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                     [TERAGLOBAL COMMUNICATIONS LETTERHEAD]


                 TERAGLOBAL APPOINTS FORMER BELL SOUTH EXECUTIVE
                            DIRECTOR AND INTERIM CEO

       --COMPANY INITIATES SEARCH FOR PERMANENT SUCCESSOR TO DAVID FANN,
                ELECTS JOHN F.A.V. CECIL CHAIRMAN OF THE BOARD--

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SAN DIEGO, CALIFORNIA, SEPTEMBER 20, 2000: TeraGlobal Communications Corp.
(Nasdaq:TGCC) said today it has appointed William F. Reddersen to serve as a
member of its board of directors and as interim chief executive officer while
the company searches for a permanent successor to David Fann.

Fann, 45, who has served as chief executive officer since September 1998,
announced that he was stepping down for personal reasons. Fann will also
relinquish his position as a director and chairman of the board.

"TeraGlobal has successfully built a strong technological foundation and is
poised to bring its products and solutions to the growing communications
market," said Fann. "I am gratified to have played an important role in bringing
the company to this position and remain very enthusiastic about the company's
prospects."

Reddersen, 53, is a veteran in the telecommunications industry with more than 30
years of executive experience at BellSouth and AT&T. During his 13-year tenure
at BellSouth Corporation, Reddersen held a number of senior management
positions, including executive vice president of corporate strategy, group
president of value added services and senior vice president of broadband
strategies. Reddersen currently serves as chairman of the Georgetown University
School of Nursing Parents Council, the Council of Visitors for Vanderbilt
University School of Engineering and the Advisory Board of Clear Communications.

"TeraGlobal's compelling technology can provide significant value to defined
target markets," said Reddersen. "I look forward to the challenge of actively
bringing to TeraGlobal the people, strategy and relationships that can unlock
the company's potential."

The company also announced that John F.A.V. Cevil, who has served as a director
of the company since March 1999, was elected to succeed Fann as chairman of the
board.

"Bill's experience and in-depth knowledge of virtually every aspect of the
communications industry will make him a valuable contributor," said Cecil. "He
has a proven record of strategic vision, operating success and leadership."

ABOUT TERAGLOBAL COMMUNICATIONS CORP.

Founded in 1998, TeraGlobal Communications Corp. provides real time, real life
voice, video and data communications. In the center of the voice, data, and
video convergence zone, the

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company has developed patent-pending technology that
guarantees real-time, two-way, simultaneous communications and collaboration.

TeraGlobal is headquartered in San Diego, California with development and sales
offices in Dallas, Texas and Logan, Utah. The company's products and services
are available through its direct sales force and emerging partners. Additional
information is available at http://www.teraglobal.com or by sending an email
inquiry to info@teraglobal.com.

Contacts:  TeraGlobal Communications Corp.       Pondel/Wilkinson Group
           Carl Peede (Media)                    Investor Relations
           Darren Seed (Investors)               E. E. Wang
           investor@teraglobal.com               eewang@pondel.com
           (858) 404-5500                        (310) 207-9300
           www.teraglobal.com                    www.pondel.com
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