Document:

Exhibit 10.3

Letter of Intent

This letter of intent will outline, subject to a formal Offer, the terms and conditions under which Syngas International Corp., will offer to purchase Salmon Arm Plastics Ltd.

Purchaser:

Syngas International Corp.

Sellers:

Grant Bennett, Jack Bowers, Peter Robertson

1.

Share Exchange:

Syngas International Corp. will issue 1 million shares (144 legend) for 100% of the shares of Salmon Arm Plastics Ltd., provided that the financial statements indicating assets and liabilities to be assumed are reasonably similar to those disclosed.

2.

Shareholders Loans:

Syngas International Corp. will issue 1.12 million shares (144 legend) as repayment of $400,000 worth of shareholders loans.

Syngas International Corp. will issue a convertible debenture for the balance of the shareholders loans.  The debenture will carry an interest rate of 8% per annum paid quarterly, with the principal amount due in two years.  The debenture is fully convertible, at the option of the holder to common shares of Syngas International Corp. (144 legend), at a 10% discount to market price.  Market price will be the average closing price of the stock for the previous ten days.  The holder shall have registration rights so that upon conversion, the stock shall be free trading.

The intent of this clause is to facilitate present shareholders’ request to have the ability to liquidate atleast $250,000 worth of shareholders loans as, and when convenient for the shareholder, but no later than January 30, 2007.

3.

Line of Credit:

Once the purchase is effected, Syngas International Corp. will obtain, or make available a credit facility such as a line of credit or loan for a minimum amount of $500,000 for the exclusive use of Salmon Arm Plastics Ltd. for the growth of the business.

4.

SEC Requirements:

Salmon Arm Plastics Ltd. would undertake to perform all necessary financial reviews, requirements and audits to comply with SEC requirements.

5.

Management:

Grant Bennett, President of Salmon Arm Plastics Ltd. would agree to serve as a director of Syngas International Corp., and agree to enter into an exclusive management contract for the management of the plastics subsidiary for a minimum term of three years, to be overseen by a corporate management committee.

By:

Accepted by:

/s/ Wilf Ouellette

/s/ Grant Bennett

Wilf Ouellette, Syngas International Corp

Grant Bennett, Salmon Arm Plastics Ltd

 

/s/ Jack Bowers

 

Jack Bowers

 

/s/ Peter Robertson

 

Peter Robertson<PAGE>

                                                                    Exhibit 10.1

PORTIONS OF THIS EXHIBIT HAVE BEEN OMITTED PURSUANT TO A REQUEST FOR
CONFIDENTIAL TREATMENT. THE OMITTED PORTIONS, MARKED "[***]," HAVE BEEN
SEPARATELY FILED WITH THE SECURITIES AND EXCHANGE COMMISSION.

                          STRATEGIC ALLIANCE AGREEMENT

This Strategic Alliance Agreement ("Agreement") is entered into effective April
3, 2006 ("Effective Date") between Motorola Wireline Networks, Inc., a Delaware
corporation with offices at Two Tech Drive, Andover, MA 01810 ("Motorola"), and
Amedia Networks, Inc., a Delaware corporation with a principal place of business
at 2 Corbett Way, Eatontown, NJ 07724 ("Amedia"). Motorola and Amedia may be
referred to individually as a "Party" or collectively as the "Parties."

The Parties are both engaged in providing broadband access platforms to telecom
service providers, and desire to work together to develop one or more new
products for that market; and

Amedia desires to grant to Motorola the right to resell certain of its existing
products to current and future Motorola customers;

Therefore, the Parties agree as follows:

1.   DEFINITIONS.

1.1.    "Copyrights" means copyrights, copyright registrations, mask works
        rights, and mask works registrations, and applications for any of the
        foregoing and all other rights corresponding thereto under any
        applicable law, treaty or convention, whether registered or
        unregistered, in the United States and its territories and in all other
        countries of the world.

1.2.    "Gateway" means a customer-premises product to provide IP-based services
        using Motorola's existing Multi-Service Access Platform and capable of
        interoperating with any IP-based set-top boxes that employ IGMP to
        signal changes as described in the IP Set Top Application MRD.

1.3.    Intellectual Property Rights ("IPR") means any and all right in and to
        the following throughout the world, whether registered or unregistered,
        as applicable: (i) Patents; (ii) Proprietary Rights; (iii) Copyrights;
        (iv) Trademarks; and (v) any similar corresponding or equivalent
        intellectual property rights to any one of the foregoing.

1.4.    "Resale Products" is defined in Section 3.1.

1.5.    "Patents" means classes or types of patents and patent applications,
        including utility models, provisional applications, petty patents,
        design patents, registered industrial designs and all other similar
        protection of inventions as recognized by applicable law, in all
        countries of the world and all continuations, continuations-in-part,
        divisions, or reissues.

1.6.    "Product" means Gateway and Resale Product collectively.

<PAGE>

PORTIONS OF THIS EXHIBIT HAVE BEEN OMITTED PURSUANT TO A REQUEST FOR
CONFIDENTIAL TREATMENT. THE OMITTED PORTIONS, MARKED "[***]," HAVE BEEN
SEPARATELY FILED WITH THE SECURITIES AND EXCHANGE COMMISSION.

1.7.    "Proprietary Rights" means all trade secret rights and all other

        similar or equivalent rights of a proprietary nature in any Product.

1.8.    "SOW" shall mean a mutually agreed statement of work or project plan.

1.9.    "Successor Product" means any new model, extension, or derivative of a
        Product.

1.10.   "Term" is defined in Section 20.1.

1.11.   "Trademarks" means all rights and goodwill in trademarks, service marks,
        logos, trade dress, trade names, web addresses and domain names, whether
        registered, unregistered, or pending in the United States and all other
        countries.

2.   GATEWAY DEVELOPMENT AND MANUFACTURING.

2.1.    DEVELOPMENT. The Parties shall jointly develop the three types of IPTV
        Gateways described in the Statement Of Work (Exhibit A) for exclusive
        sale by Motorola under the Motorola brand.

2.2.    NON-RECURRING ENGINEERING ("NRE") COSTS. Motorola will pay Amedia
        $1,900,000 for NRE associated with the development and manufacturing of
        the Gateway. The NRE, the description and estimated costs of which are
        provided in Exhibit B, will be paid according to the following milestone
        schedule:

      2.2.1.  $[***] within five business days of the Effective Date;
      2.2.2.  $[***] within 30 calendar days after the Effective Date;
      2.2.3.  $[***] within 30 days of Amedia successfully passing the AM1 IPTV
              Gateway Acceptance Test, as set forth in Milestone 13 of the SOW,
              and delivering an invoice to Motorola. Feedback on test results
              will be provided by Motorola within 30 days of AM1 delivery;
      2.2.4.  $[***] within 30 days of Amedia successfully passing the entrance
              criteria for the IPTV Gateway SVT Acceptance Test, as set forth in
              Milestone 21 of the SOW) and delivering an invoice to Motorola.
              Feedback on test results will be provided by Motorola within 30
              days of delivery to Motorola's designated lab;
      2.2.5.  $[***] within 30 days of successful completion of IPTV Gateway SVT
              Test Plan Execution, including all exit criteria, as set forth in
              Milestone 28 of the SOW) and delivering an invoice to Motorola;
              and
      2.2.6.  the remainder ($[***]) is tied to successful completion of no more
              than [***] customer beta trials. Upon demonstration by Amedia, in
              each of Motorola's first [***] beta trials, that the Gateway
              performs according to specifications agreed in the applicable beta
              test plans in existence at the completion of milestone 28 in 2.2.5
              above, Amedia may issue an invoice for $1[***] for each such
              trial, which shall be

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<PAGE>

PORTIONS OF THIS EXHIBIT HAVE BEEN OMITTED PURSUANT TO A REQUEST FOR
CONFIDENTIAL TREATMENT. THE OMITTED PORTIONS, MARKED "[***]," HAVE BEEN
SEPARATELY FILED WITH THE SECURITIES AND EXCHANGE COMMISSION.

              paid by Motorola within 30 days of receipt. Each of the first
              [***] beta trials must be scheduled by Motorola within the first
              60 days following the completion of Milestone 28 referenced in
              2.2.5 above or else they will be deemed to be successfully
              completed by the Parties for the purposed of payment, and Amedia
              may issue an invoice for $[***] for each such trial, which shall
              be paid by Motorola within 30 days of receipt.

2.3.    NRE PENALTIES.

      2.3.1.  MILESTONE COMPLETION DATES ("MCDS"). MCDs triggering the NRE
              payment obligations in Sections 2.2.3 through 2.2.6, above,
              shall be agreed upon and set forth in Exhibit A. In each
              instance in which Amedia misses an MCD, for each full week of
              delay in meeting such MCD, Amedia shall reduce by 2.5% the total
              NRE amount payable by Motorola upon completion such milestone,
              to a cumulative cap of 10% of the total NRE payable for such
              milestone.

      2.3.2.  EXTENSION OF MCDS. In the event that Amedia fails to meet an MCD
              as the direct result of either an incident of force majeure (as
              defined in Section 21.6, below) or a material failure of
              Motorola to perform any of its prerequisite obligations under
              Exhibit A, such MCD shall be extended for a period of time equal
              to the duration of the force majeure incident or the failure of
              Motorola to perform its prerequisite obligations, and no
              penalties shall be payable unless and until such extended MCD is
              missed. In the event that the Parties in good faith agree that a
              day-for-day extension of any MCD under the circumstances above
              is not reasonable, the Parties shall agree in good faith upon a
              new MCD.

2.4.    EARLY TERMINATION. Motorola may terminate Gateway development under this
        Agreement at any time prior to the completion of development of the
        Gateway, in which case Amedia shall be entitled to retain NRE payments
        made or due and owing prior to the date on which Motorola provides
        notice of termination, as its sole and complete remedy for any costs
        incurred under this Agreement.

2.5.    AMEDIA FAILURE. If Amedia is unable to fulfill its obligations under
        Exhibit A for any reasons (excluding Force Majeure and failure of
        Motorola to deliver on its obligations in a timely manner), upon notice
        from Motorola, and Amedia's failure to cure such inability within 30
        days (or such longer period as agreed by the Parties), Amedia shall
        grant Motorola a perpetual, exclusive, royalty-free license to the IPR
        and design information for the Gateway for the sole purpose of allowing
        Motorola to complete the development of, sell and support the Gateway.

2.6.    EXCLUSIVE MANUFACTURING AND PRICING. Upon successful completion of all
        required testing, Amedia shall manufacture the Gateway for exclusive
        sale to Motorola at a cost, exclusive

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<PAGE>

PORTIONS OF THIS EXHIBIT HAVE BEEN OMITTED PURSUANT TO A REQUEST FOR
CONFIDENTIAL TREATMENT. THE OMITTED PORTIONS, MARKED "[***]," HAVE BEEN
SEPARATELY FILED WITH THE SECURITIES AND EXCHANGE COMMISSION.

        of the WAN portion [***], of no greater than [***]. The Parties shall
        agree on, and shall subsequently attach as an Addendum to this
        Agreement, a methodology for determining final Gateway pricing, based on
        manufacturing costs assuming Amedia's current supply chain agreements.
        Further improvements in pricing may be realized by utilizing Motorola's
        supply chain agreements. The addition of [***] features to the Gateway
        specifications shall add no more than [***] to the price of each
        Gateway; the actual price will be agreed upon by the Parties prior to
        the addition of such features. All prices shall include electronic
        source material for all end-user documentation.

3.   RESALE.

3.1.    Motorola shall have the right to resell, on a non-exclusive basis,
        Amedia's existing FTTx product line (not including the Gateway, which
        will be sold by Motorola on an exclusive basis), including the Amedia
        iNID product (collectively the "Resale Products"), as part of Motorola's
        portfolio of broadband wireline solutions. The Parties would jointly
        develop channels and mutually resolve channel-conflict issues.

3.2.    EXCLUSIVE.  Motorola shall have the exclusive right, for a period of 24
        months from the Effective Date (the "Exclusivity Period"), to resell
        Amedia's PG1000 and HGV100 products, and all derivative or substantially
        similar products (the "Exclusive Products"), to the following customers
        and their affiliates: [***] (collectively the "Exclusive Customers").
        Within 60 days of the Effective Date, Amedia shall complete all changes
        necessary to its existing agreements with distributors, so that such
        agreements are not in conflict with Motorola's rights under this Section
        3.2. However, if Motorola sources, manufactures or resells a gateway
        which has substantially the same functionality as Amedia's Products, the
        exclusivity in this Section 3.2 and the non-solicitation in Section 10.1
        shall immediately terminate. Notwithstanding the foregoing, Amedia may
        sell the Exclusive Products, either directly or indirectly through one
        or more resellers, to any other customers. Motorola covenants and agrees
        to use its best efforts to market the Exclusive Products to the
        Exclusive Customers. Motorola further agrees that ongoing exclusive
        rights, under this Section 3.2, shall be contingent on the following:

      3.2.1.  Motorola shall include the Products in the Motorola Wireline
              Networks sales plan on or before July 1, 2006;

      3.2.2.  Amedia and Motorola will have had the opportunity to participate
              in at least two joint sales call with one or more Exclusive
              Customers on or before October 30, 2006. Either Amedia or Motorola
              may arrange such joint call(s);

      3.2.3.  At least one Exclusive Customer shall have accepted an Exclusive
              Product for lab evaluation within one year from the Effective
              Date; and

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<PAGE>

PORTIONS OF THIS EXHIBIT HAVE BEEN OMITTED PURSUANT TO A REQUEST FOR
CONFIDENTIAL TREATMENT. THE OMITTED PORTIONS, MARKED "[***]," HAVE BEEN
SEPARATELY FILED WITH THE SECURITIES AND EXCHANGE COMMISSION.

      3.2.4.  Amedia shall have earned at least $[***] in revenue from the Sale
              of Exclusive Products from an Exclusive Customer, or have a
              signed contract from an Exclusive Customer to purchase Exclusive
              Products (which is reasonably expected to result in at least
              $[***] in revenue to Amedia), within 18 months of the Effective
              Date.

3.3.    In the event that any of the contingencies set forth in Sections 3.2.1
        through 3.2.4 are not met, the Exclusivity Period shall terminate as of
        the last date for completion of such contingency. Once the contingency
        set forth in Section 3.2.4 is met for an Exclusive Customer, the
        Exclusivity Period for such Exclusive Customer shall be extended for an
        additional 24 months.

3.4.    Amedia will re-brand, at its cost, the units of Resale Products that are
        ordered and to be sold by Motorola as part of the "Motorola AXS" line,
        as specifically directed by Motorola and in accordance with Motorola
        policies and procedures. It is understood and agreed that such
        re-branding shall be limited to changes in surface markings, and any
        visual displays generated by software, on the Resale Products, but shall
        not require changes to the overall form, fit and function of the Resale
        Products. Motorola shall reimburse Amedia for any reasonably required
        costs of recertification of the Resale Products by any certifying
        agency. Amedia will provide Motorola with electronic source material for
        all Resale Product end-user documentation, and electronic source
        material for all training, sales and marketing collateral materials.

4.   ADDITIONAL PRODUCT TERMS.

4.1.    PAYMENT.  Payments due from Motorola for Products purchased under this
        Agreement shall be made within 60 days of Motorola's receipt of a
        correct invoice.

      4.1.1.  Amedia shall deliver invoices to Motorola for Products purchased
              under this Agreement on an as shipped basis.

      4.1.2.  All invoices submitted by Amedia to Motorola are subject to
              Motorola's right to withhold partial payment in the event of a
              good faith dispute pursuant to Section 4.1.3.

      4.1.3.  If Motorola in good faith disputes any charges, it may withhold
              from its payment of the relevant invoice a reasonable amount of
              the charges associated with the dispute. If Motorola withholds
              any payment pursuant to this Section 4.1.3., Motorola shall
              provide to Amedia written notice of the amount and basis for the
              withholding. Regardless of any disputed amount, Motorola shall
              remit to Amedia the invoiced amount minus the amount withheld.
              The Parties will promptly discuss such withholding. If the
              dispute on the withheld amount is not resolved through friendly
              consultations within seven days from the date Motorola provides
              the written notice,

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              then it shall be resolved by mediation under Section 21.7.

4.2.    MOST-FAVORED CUSTOMER. Prices for Products and Successor Products will
        be no higher than the prices Amedia charges to any other reseller,
        customer or other entity for equal or lesser quantities of such products
        during the Term. If Amedia offers a lower price for any of these
        products to another reseller or customer on equivalent volume, Amedia
        will proportionately reduce its price for such product to Motorola.
        Amedia will keep appropriate records to demonstrate compliance with this
        section, which will be available for inspection by Motorola upon
        reasonable notice during regular business hours.

4.3.    FORECAST.  Motorola will provide Amedia with a rolling 12-month forecast
        of requirements for Products. The first 30 days of such forecast shall
        constitute a commitment on the part of Motorola to issue firm purchase
        orders for such quantities of Products during that 30-day period; the
        remaining 11 months of the forecast shall be non-binding. In the event
        that Motorola cancels any purchase orders for Products, Motorola's only
        liability will be for raw materials Amedia has ordered to support
        cancelled Motorola deliveries, provided: i) Amedia's order was
        consistent with the applicable forecast in effect at the time of the
        cancellation, and was reasonably necessary to support the cancelled
        Motorola deliveries; and ii) Amedia uses all commercially reasonable
        efforts to mitigate Motorola's liability including but not limited to
        attempting to cancel or return its orders for a refund, and using the
        material in question for other products or for other customers. Amedia
        will use all commercially reasonable efforts to mitigate the amount of
        Motorola's liability.

4.4.    MOTOROLA SUPPLY CHAIN. At Motorola's request, Amedia shall source any
        and all product components through Motorola's supply chain, on terms and
        conditions established by Motorola, provided that the pricing and terms
        and conditions of sale of such components shall be no less favorable
        than those obtainable by Amedia directly.

4.5.    HUBBING PROGRAMS. If agreed by both Parties, Amedia may participate in
        Motorola's supplier owned inventory programs ("Hubbing Programs") under
        which Amedia will retain risk of loss for and title to Products stored
        in Motorola or third-party warehouses ("Hubs"). Specific terms and
        conditions for the Hubbing Programs will be established under separate
        Hubbing Agreements with Motorola and third party Hub operators.

4.6.    SUCCESSOR PRODUCTS. Amedia shall inform Motorola of all Successor
        Products to be introduced by Amedia after the Effective Date. Such
        information will be provided as soon as reasonably practicable, but in
        no event later than 90 days in advance of beta availability of each
        Successor Product, and Motorola shall be entitled to resell such
        Successor Product under the terms of Section 3, above.

4.7.    DEVELOPMENT MEETINGS. Representatives of the Parties will meet at least
        quarterly to discuss potential improvements and modifications to
        Products, and reduction of overall cost. The Parties shall agree in
        writing on: implementation of modifications and improvements; the Party
        to be responsible for the development work; and the Parties' respective
        ownership of IPR in such modifications and improvements.

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PORTIONS OF THIS EXHIBIT HAVE BEEN OMITTED PURSUANT TO A REQUEST FOR
CONFIDENTIAL TREATMENT. THE OMITTED PORTIONS, MARKED "[***]," HAVE BEEN
SEPARATELY FILED WITH THE SECURITIES AND EXCHANGE COMMISSION.

4.8.    OEM RELATIONSHIP. [***]

5.   OWNERSHIP OF IPR. The Parties agree that at no time shall either Party
     acquire or retain, or appropriate for its own use, any right, title or
     interest in or to any of the other Party's IPR. Neither Party shall take
     any action that might impair in any way any right, title or interest of
     the other Party in or to any of that Parties' IPR. The IPR of each Party
     shall remain the sole property of such Party. Any jointly developed IPR,
     including all new IPR created in the Gateway, shall be jointly owned,
     and each Party shall execute any and all legal documentation reasonably
     required to evidence that joint ownership. Each Party shall grant the
     other a perpetual, non-exclusive, royalty-free license in the jointly
     developed IPR.

6.   LICENSE. Amedia grants to Motorola a perpetual, non-exclusive, worldwide,
     fully assignable and transferable, royalty-free license under Amedia's
     IPR to:

6.1.    Use, market, distribute, offer, sell and otherwise dispose of Products
        manufactured by Amedia to Motorola customers at prices determined solely
        by Motorola; and

6.2.    Sublicense to distributors, customers and end users solely the right to
        use the Products, including any software associated with the Products.

7.   CHANGE, DISCONTINUANCE, SERVICE AND SUPPORT.

7.1.    PRODUCT CHANGE.  Amedia will not make changes to Products sold to
        Motorola or changes to the processes, BOM, materials, design, tools, or
        locations used to manufacture the Products without Motorola's prior
        written approval, which shall not be unreasonably withheld. Amedia will
        provide Motorola a minimum of six months' prior written notice of any
        intent to change the design, content, form, fit, or function of any
        Product. Backward compatibility to prior Product and software versions
        is required unless agreed otherwise. Motorola will respond to each
        Product Change Notice ("PCN"). If Motorola provides written acceptance,
        Amedia may make the requested change and begin to ship modified Products
        once they have been qualified. If Motorola rejects the change or does
        not provide written acceptance within 90 days of receipt of the notice,
        Amedia may not make the change. If Amedia does not follow Motorola's
        required Product change process, and such change results in a claim by a
        Motorola customer, Amedia is completely responsible for all direct
        damages, losses and expenses incurred by Motorola and its customers
        ("Damages"). Damages for purposes of this section include without
        limitation, costs of inspection, storage, shipping, reinstallation,
        expediting, product recalls, stop of line, plant closures, and any
        resulting injuries.

7.2.    DISCONTINUED PRODUCT.  If Amedia intends to stop offering any Product
        for sale to Motorola ("Discontinued Product"), Amedia will give Motorola
        a minimum of nine months' prior written notice ("EOL Period"). During
        the EOL Period, Motorola will provide Amedia

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        with a preliminary forecast of anticipated demand for the Discontinued
        Product in the EOL Period and a preliminary final lifetime buy volume
        forecast, and Motorola may continue to place orders for Discontinued
        Product, with delivery not to exceed 12 months from the date of the
        order. At the conclusion of the EOL Period, Motorola will take receipt
        of the final lifetime buy of Discontinued Product over the next calendar
        quarter. At Motorola's request, Amedia will sell to Motorola or its
        designated third-party manufacturer at book value all Amedia owned
        materials exclusively necessary for manufacture of the Discontinued
        Product, and Amedia will assist Motorola in making alternative supply
        arrangements for the manufacture and supply of Discontinued Product,
        including granting to Motorola and a third-party manufacturer, a
        perpetual, irrevocable, worldwide, non-exclusive, royalty-free,
        transferable license under Amedia's IPR to such materials and all
        relevant technology, to use, reproduce, modify, display, perform,
        distribute copies of and sublicense such materials and technology, and
        to make or have made, sell, offer to sell, import, otherwise dispose of,
        sublicense and distribute the Discontinued Product.. For purposes of
        this Section 7.2, Amedia's IPR includes any rights Amedia has obtained
        to the IPR of third parties, to the extent that such rights are
        necessary for the sale, use or other distribution of the Products
        supplied to Motorola under this Agreement. If Amedia is unable to
        transfer or sublicense those rights to third party IPR, then Amedia
        will, at Motorola's request, assist Motorola in obtaining the necessary
        rights from the third party.

7.3.    MOTOROLA CHANGES.  Motorola may request changes to Products ("Requested
        Changes"). Amedia will use reasonable efforts to implement the Requested
        Changes and all future applicable orders will be deemed amended to
        incorporate the changes. Motorola agrees to purchase any unsold
        inventory or goods ordered via a valid Motorola purchase order prior to
        the Requested Change to the Product being delivered by Amedia. If the
        Requested Changes will increase or decrease the cost of performance or
        the time required to perform, Amedia will advise Motorola in writing,
        and Amedia will not implement the change until Motorola gives Amedia
        written authorization to do so. If Amedia deems any Requested Changes to
        be beyond its ability to undertake and support with existing resources,
        Amedia will provide Motorola with an NRE quotation allowing Motorola to
        compensate Amedia to prioritize or add resources to undertake the
        Requested Change. Motorola, however, shall be under no obligation to
        accept any NRE quotation from Amedia and Amedia shall not undertake any
        NRE efforts and shall not be obligated to implement any Requested
        Changes until such efforts are approved by Motorola in writing. Amedia
        will provide Motorola written description of any resulting costs to the
        Product related to the Requested Change, including any changes to the
        design, content, components, form, fit, or function of any Product. The
        parties agree to execute additional SOWs or amendments to this Agreement
        as necessary to accommodate such NRE and to specify ownership of any
        resulting IPR resulting from any Requested Change and/or NRE. Under no
        circumstances shall Amedia invoice Motorola for any engineering effort
        required to achieve functional specifications described in any agreed
        upon Product specification or SOW or to repair defect in any Product
        unless as otherwise contained in this Agreement or agreed upon in
        writing by Motorola. In the event that Motorola cancels any such NRE or
        Requested Change following commencement of performance by Amedia at any
        time during which any such work remains outstanding, Motorola shall
        compensate Amedia on a pro-rata basis for work performed as of the
        effective date of such cancellation.

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7.4.    ONGOING SUPPORT. Amedia will make available spare parts and repair
        services for a period of seven years after notice of Product
        discontinuance.

8.   ESCROW. Amedia shall maintain the source code for all software developed
     by Amedia and use reasonable efforts to obtain any sublicensed third-party
     software for which Amedia has made any modifications to the source code,
     provided to Motorola under this Agreement (collectively the "Escrow
     Materials") in escrow (in electronic text format compatible with vi or
     EMACS text editors) with Iron Mountain, Inc. The Parties shall use their
     best commercially reasonable efforts to enter into the Escrow Agreement
     in Exhibit C with Iron Mountain within 90 days following the Effective
     Date. Amedia shall bear the expense of such escrow arrangement.

8.1.    Escrow Materials for each Gateway shall initially be delivered to the
        escrow agent under the Escrow Agreement immediately upon payment of the
        final NRE installment under Section 2.2.6, above. Escrow Materials for
        each Resale Products shall be delivered to the escrow agent within 60
        days of Amedia's receipt of the Motorola's first purchase order for such
        Product. Thereafter, Amedia will make, under the terms of the Escrow
        Agreement, an annual deposit of updated Escrow Materials with respect to
        the Products subject to this Agreement. In addition, if a Release
        Condition (as defined below) occurs, Amedia will provide Motorola with
        then-current versions of the Escrow Materials for each Product.

8.2.    RELEASE. The escrow agent will release the Escrow Materials to Motorola,
        under the terms of the escrow agreement, if a "Release Condition," as
        defined below, occurs:

      8.2.1.  Amedia becomes the subject of any proceeding under any bankruptcy,
              receivership, insolvency or similar laws instituted by or against
              Amedia, which proceedings are not dismissed as to Amedia within
              45 days after being instituted;

      8.2.2.  The occurrence of a material breach by Amedia of its obligations
              under this Agreement, which material breach is not cured by
              Amedia within 30 days after Amedia's receipt of notice of such
              material breach from Motorola; or

      8.2.3.  Any change of control of Amedia, including without limitation the

              acquisition of Amedia by or merger of Amedia into any other
              entity, unless within 30 days of the change of control, the
              newly controlling entity provides a specific written
              acknowledgement to Motorola accepting the terms and conditions of
              this Agreement.

8.3.    Subject to the terms of this Agreement and the Escrow Agreement, Amedia
        grants Motorola a non-exclusive, royalty-free, non-assignable (except
        under Section 16.3), non-transferable, non-sublicenseable license to
        receive all Escrow Materials released to Motorola under Section 8.2 and
        the terms of the Escrow Agreement. Once Amedia cures the Release
        Condition, to the reasonable satisfaction of Motorola, this license will
        expire and Motorola must promptly return or destroy the Escrow
        Materials. Both Parties shall protect the Escrow Materials as
        Confidential Information under Section 17. It is understood and agreed
        that any Escrow Materials released to Motorola under this Section 8

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        shall be used for the ongoing support and maintenance of the Products
        only, and not for development of new products.

9.   SUPPORT OBLIGATIONS.

9.1.    PRODUCT SUPPORT. Amedia shall supply ongoing support for the Products
        during the Term of this Agreement. Such support shall include, without
        limitation, ongoing software releases, updates, and bug fixes, along
        with hardware and software support. All such support shall be made
        available to Motorola on terms no less favorable than those offered
        PORTIONS OF THIS EXHIBIT HAVE BEEN OMITTED PURSUANT TO A REQUEST FOR
        CONFIDENTIAL TREATMENT. THE OMITTED PORTIONS, MARKED "[***]," HAVE BEEN
        SEPARATELY FILED WITH THE SECURITIES AND EXCHANGE COMMISSION.

        to any other Amedia customer.

9.2.    FIELD TRIAL SUPPORT. Amedia shall provide, at its sole expense,
        reasonable on-site support to Motorola and customers for field trials of
        Products during the first 12 months after the Effective Date.

10.  NON-SOLICITATION, NONCOMPETITION AND RIGHT OF FIRST REFUSAL.

10.1.   NON-SOLICITATION. Amedia agrees that it will not, during the Term and
        for a period of two years after the expiration of the Agreement,
        directly or through any third party, sell, solicit or accept any orders
        for any Products, or substantially similar products, from any customer
        to which Motorola has sold Products during the Term. This provision
        shall not apply: a. to sales of Products or substantially similar
        products via a distributor who has made sales of Amedia products to such
        customer in the previous 12 months; or b. after termination of this
        Agreement by Amedia for cause or by Motorola for convenience.

10.2.   MOTOROLA COMPETITORS. In addition to the exclusive resale terms set
        forth in Section 3.2, above, Amedia shall not, during the Term,
        cooperate with any company that could reasonably be considered to be a
        "Competitor" of Motorola to sell any Products, or substantially similar
        products. Provided, however, that Amedia may work with Competitors to
        sell any Product fed exclusively via a 10/100 Cat 5 or Fiber Ethernet
        interface. For purposes of this Section 10.2, Motorola's Competitors
        include, [***]. This paragraph shall not apply to prohibit
        interoperability testing, reference sales, or any other activity that
        does not result in revenue to such Competitors.

11.  TECHNICAL SUPPORT.

11.1.    CUSTOMER SUPPORT.  During the Term, Amedia will provide Tier 2 and Tier
         3 Support (as defined below) to Motorola customers. Motorola will
         provide Tier 1 support.

      11.1.1. TIER 1 SUPPORT. Tier 1 Support is the initial response to customer
              queries and problem reporting. This involves collecting failure
              data, location, Product and warranty information. Tier 1 Support
              begins the troubleshooting process to determine the

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<PAGE>

              appropriate resolution path.

      11.1.2. TIER 2 SUPPORT. Tier 2 Support is the second phase of problem
              isolation, in which support personnel work directly with the
              customer's technical staff to perform troubleshooting processes,
              and identify, isolate, and resolve customers' reported problem,
              including, but not limited to, repairing or replacing defective
              Products. Tier 2 Support shall be provided as set forth in
              Exhibit D.

      11.1.3. TIER 3 SUPPORT. Tier 3 Support (as set forth in Exhibit D) shall
              include the following:

           11.1.3.1. TELEPHONE SUPPORT. Telephone assistance with respect to
                     Products within one hour after Motorola contacts the
                     Amedia call center at 866-611-4321(within USA) and
                     +1-732-440-1992, option 4 (outside USA). Telephone
                     support shall be available on a 24x7, 365 basis. The
                     call center shall provide Motorola with a case number
                     and assign a technical support engineer, who shall work
                     with Motorola to track the problem and identify a
                     reasonable workaround or other resolution.

           11.1.3.2. EMAIL SUPPORT. Technical support not requiring a 24-hour
                     response may be requested via email at
                     TECHSUPPORT@AMEDIANETWORKS.COM; and

           11.1.3.3. ON-SITE SUPPORT. If a problem cannot be resolved via
                     telephone, at Motorola's request, Amedia shall provide
                     on-site support to perform additional troubleshooting
                     and implementation of a resolution. If such on-site
                     support is of a Tier 1 or Tier 2 nature, Motorola shall
                     bear the costs for such support at the rates set forth
                     in Exhibit B. If the on-site support is determined to be
                     of a Tier 3 Support nature, Amedia shall bear all costs
                     for such services.

11.2.   ADDITIONAL AMEDIA OBLIGATIONS.

      11.2.1. INSTALLATION SUPPORT. If requested by Motorola, during the first
              customer installation of each type of generally available
              Product sold by Motorola, Amedia shall provide one person
              on-site to support and train Motorola, at Amedia's expense, not
              to exceed one week.

      11.2.2. FAILURE REPORTS. Amedia shall provide a report on any Product
              returned for repair. Such report shall state how the Product was
              tested, the nature of the defect or failure, if known, what
              corrective action was taken, and the final test results.

      11.2.3. SOFTWARE SUPPORT. Motorola may report bugs or malfunctions in
              Product software to Amedia by contacting the Amedia Call Center.
              Amedia shall make reasonable efforts to track the reported
              problem and identify a reasonable workaround or resolution,
              including bug fixes if deemed necessary, to bring such software
              into compliance with specifications as soon as reasonably
              possible. Any necessary bug fixes will be provided to Motorola
              for installation in the field. During the warranty period,
              Amedia shall provide Motorola with any bug fixes when and if
              available, as released

                                       11
<PAGE>

              by Amedia and applicable to the Products supplied. Amedia shall
              provide Motorola with hardware compatibility information
              applicable to any such bug fix released.

      11.2.4. EMERGENCY SUPPORT. Amedia shall support Motorola on a priority
              basis in the event of a Product failure that causes an emergency
              "out of service" condition at a customer. Such support may
              include telephone assistance and on-site support. If the Product
              involved is in warranty under Section 14, any costs of such
              emergency support shall be borne by Amedia.

      11.2.5. OUT-OF-WARRANTY SUPPORT. Any out-of-warranty repair requested by
              Motorola shall be performed by Amedia at a cost based on its
              standard time and materials rates.

      11.2.6. ADDITIONAL SUPPORT. Additional support services, that may be
              requested by Motorola, and agreed to by Amedia, that are for
              services other than Tier 3 Support as described above, shall be
              provided upon a schedule agreed to by the Parties at its
              standard time and materials rates. When such additional support
              services are requested, Amedia will provide Motorola with an
              estimated price and also advise Motorola of ordering and service
              completion procedures.

11.3.   ESCALATION PROCEDURES.

      11.3.1. AMEDIA. At any time, Motorola may contact the Amedia Call Center
              to request escalation of a technical issue or previously
              reported problem. Upon receipt of such escalation request, the
              Amedia Call Center shall route the caller to an appropriate
              individual or provide contact information to Motorola as
              necessary.

      11.3.2. MOTOROLA. At any time, Amedia may contact the Motorola CNRC at
              ___-___-____ to request escalation of a technical issue or
              previously reported problem. Upon receipt of such escalation
              request, the Motorola CNRC shall route the caller to an
              appropriate individual or provide contact information to Amedia
              as necessary.

12.  TRAINING.

12.1.   SKILLS TRAINING. Amedia will provide one Product support skills training
        class ("Skills Training") sufficient to enable qualified Motorola
        technical personnel to provision, configure, operate, install, test,
        maintain, commission, and troubleshoot the Products, and to train other
        Motorola personnel to do the same. Amedia will make Skills Training
        available at a site designated by Motorola within 90 days of the
        Effective Date. The on-site engineering personnel provided by Amedia
        shall be knowledgeable about, and able to answer detailed questions from
        comparable Motorola technical staff regarding, all aspects of the design
        and functioning of the Products. Additional Skills Training sessions may
        be made available by Amedia on a time-and-materials basis.

      12.1.1. Skills Training will comprise any Amedia-provided visual aids or
              reference materials, on-the-job training, and information
              sessions, as typically found in Amedia's support skills training
              programs. A Skills Training plan will be mutually developed
              within 60

                                       12
<PAGE>

              days of the Effective Date, and will be focused on developing
              Motorola's capabilities to fulfill its technical support
              obligations. Amedia shall provide, within 30 days of the
              Effective Date, documented prerequisites, if any, for such
              training.

      12.1.2. The agreed upon Skills Training will be provided at Motorola's
              Andover facility, or at such other locations(s) as agreed, and
              shall include, but not be limited, to each of the published
              Product courses Amedia makes available to its customers.

      12.1.3. New course materials for Skills Training on new or modified
              Products will be developed by Amedia at no charge.

12.2.   COURSEWARE. Amedia will provide Motorola with currently available end
        customer courseware electronic source material ("Courseware") at no
        charge. Amedia shall provide initial Courseware at least 90 days after
        the first customer shipment or 90 days after the Effective Date,
        whichever is later. Additional Courseware will be provided on a mutually
        agreed schedule. Updates to Courseware will be provided at no charge
        when made available. Amedia will provide Courseware electronically in a
        format that is compatible with Interleaf (Unix-based) or Microsoft Word
        and PowerPoint for PC Windows application. Amedia will solicit
        Motorola's input when developing Courseware.

      12.2.1. Amedia will provide electronic source material for Courseware for
              the following courses: (a) Overview of Product; (b) Operations of
              Product; (c) Maintenance of Product; (d) Deployment Guidelines;
              (e) Installation and Turn-up; and (f) Troubleshooting

      12.2.2. Subject to the terms and conditions of this Agreement, Amedia
              grants Motorola a limited, worldwide, fully paid-up, non-exclusive
              license during the Term to adapt the Courseware to different media
              without altering its substance, and to reproduce and distribute
              Courseware for use by customers in connection with the use of
              Products. When adapting or reproducing any part of the Courseware,
              Motorola shall include all copyright and other proprietary
              notices as are contained on each part of the Courseware or as
              may be reasonably specified from time to time by Amedia.

13.  QUALITY.

13.1.   TL-9000 CERTIFICATION. Within 360 days of the Effective Date, Amedia
        shall obtain TL-9000 certification, at its own expense, and Amedia shall
        maintain such certification during the Term and any extensions. Amedia
        shall promptly inform Motorola in writing of any loss of such
        certification, and use reasonable efforts to obtain recertification.

13.2.   ADDITIONAL QUALITY COMMITMENT. Amedia shares Motorola's commitment to
        quality and total customer satisfaction. Product malfunctions create
        customer dissatisfaction and loss of goodwill. Therefore, in addition to
        its warranty and other obligations under this Agreement, Amedia agrees
        to provide assistance to Motorola in preventing and solving quality
        problems attributable to the Products, including, without limitation,
        by:

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<PAGE>

13.3.   maintaining a quality improvement program focused on producing both
        major and incremental continuous improvement in Product and process
        quality;

13.4.   maintaining a quality assurance function covering all aspects of its
        business, including product development, support services, manufacturing
        and vendor quality;

13.5.   participating in periodic quality reviews and working with Motorola to
        improve Amedia's quality systems based on the outcome of such reviews;

13.6.   attending customer meetings to address quality issues, taking action
        items and working with Motorola to resolve such issues;

13.7.   documenting its hardware development and manufacturing processes;

13.8.   promptly diagnosing and remedying any widespread occurrences of Product
        defects;

13.9.   serializing all Field Replaceable Units ("FRUs") to allow tracing of
        individual units should epidemic or lot-related quality issues arise
        (serial numbers shall be obtainable without removing the FRU from
        operation);

13.10.  allowing Motorola and representatives of its customers - upon reasonable
        notice during business hours, on no greater than a semi-annual basis -
        to audit Amedia facilities and records for purposes of verifying
        compliance with the terms set forth in this Section 13;

13.11.  auditing, or facilitating a direct Motorola audit, of its suppliers'
        facilities and records to verify the existence of quality programs
        similar to those required under this Section 13;

13.12.  establishing quality-driven return policies including detailed and
        timely root-cause-analysis reports, and clearly documented and
        communicated corrective action plans.

13.13.  managing manufacturing and validation processes to ensure that Product
        lot variations and component substitutions do not impact
        customer-perceived quality.

13.14.  continually striving to mimic customer environments during development,
        testing and validations processes to reduce the risk of defects;

13.15.  ensuring that Products meet applicable product safety requirements;

13.16.  providing Motorola with a list of any restricted or controlled materials
        used in Products or processes;

13.17.  providing full material composition, recycled content, and recyclability
        information regarding Products.

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<PAGE>

13.18.  providing Motorola access to Amedia's quality data for the purpose of
        measuring continuous process improvement; and

13.19.  providing to Motorola, upon request, details of all above programs and
        processes, along with results of reviews, audits, tests and other
        actions discussed above.

14.  WARRANTY.

14.1.   TITLE. Amedia represents and warrants that all Products sold by Amedia
        under this Agreement shall be owned by, or in the case of software,
        licensed to, Amedia immediately prior to the time of shipment, free and
        clear of any liens or encumbrances.

14.2.   WORKMANSHIP AND MATERIALS. Amedia represents and warrants that all
        Products sold by Amedia under this Agreement shall be free from defects
        in workmanship and materials and conform to all applicable
        specifications for the following periods from the date of shipment:
        hardware -five years; and software - one year.

14.3.   RMA. Amedia shall provide, at its sole cost, return materials
        authorization ("RMA") support to Motorola customers, through Motorola's
        CNRC for all Products for the duration of the applicable warranty
        periods for such Products.

14.4.   DESIGN DEFECTS. Amedia warrants that each hardware or software component
        of each Product will be free from defects in design that cause the
        Product to not meet its specifications, for five years (one year for
        software) from the date a Product manufactured by Amedia is shipped to a
        customer during the Term.

14.5.   OUT-OF-WARRANTY REPAIRS. All out-of-warranty repairs performed by Amedia
        shall be free from defects in workmanship for a period of 180 days from
        date of return of the repaired Product. Turn-around time for all out of
        warranty repairs shall not exceed 15 days from date of receipt.

14.6.   REMEDIES. If Product does not comply with the warranties in this
        Agreement, Amedia will, at its option, repair or replace defective
        Product hardware, correct software defects, re-perform services, or
        refund the purchase price of the Product. Amedia will also reimburse
        Motorola for costs Motorola incurs to repair or replace products that
        incorporate or are impacted by the non-compliant Products (including
        shipping and handling costs), and for customer charges and damages
        incurred and paid by Motorola. Amedia agrees that these remedies are in
        addition to any other remedies provided elsewhere in this Agreement and
        remedies available under law or equity. Except for the indemnity
        obligations in Section 15, these are the sole and complete remedies
        available for warranty and out of warranty repairs.

14.7.   EPIDEMIC FAILURE.  "Epidemic Failure" shall mean a hardware or software
        defect which affects more than 5% of the installed base of a Product
        during the applicable warranty period, and which the Parties reasonably
        determine to have a common root cause. In the event of an Epidemic
        Failure, Amedia will immediately take remedial action, at its sole

                                       15
<PAGE>

        expense, for all impacted and potentially impacted Products, including
        Products in the field or in Motorola's or any customer's inventory,
        under a corrective action plan approved by Motorola. Amedia, at its sole
        expense, will repair or replace, at Amedia's option after consulting
        Motorola, all impacted and potentially impacted Products and will
        reimburse Motorola for any direct and reasonable costs Motorola incurs
        in connection with the Epidemic Failure. If Amedia fails to fulfill any
        of its obligations to remediate or reimburse, Motorola may cancel all
        open orders without any liability. Amedia will pay: (i) the costs of
        recovering, and repairing or replacing any Motorola products
        incorporating or otherwise potentially impacted by non-conforming or
        defective Product; (ii) any customer charges Motorola incurs; (iii) any
        other direct costs incurred by Motorola or its customers. Provided,
        however, that Amedia shall have no obligations under this Section 14.7
        for such costs to the extent that they are attributable to the acts or
        omissions of Motorola.

14.8.   REPAIR AND REPLACEMENT.

      14.8.1. Amedia warrants that services for repair and replacement of
              Products will be performed in a good and workmanlike manner and
              in accordance with industry standards, and that parts, material
              and components furnished will be free from defects for a period
              of 90 days from the shipment date or the remainder of the
              un-expired initial warranty, whichever is longer.

      14.8.2. If Amedia fails to meet the warranties in Section 14.8.1, Amedia
              will re-perform the repair services and replace any defective
              parts, material and components without additional cost to
              Purchaser. In the event of material and repeated failure of
              Amedia to meet its obligations to perform repair and replacement
              services in accordance with industry standards for repaired
              product quality and/or Amedia's committed repair turnaround
              times, Motorola may choose to repair Products internally or use
              a third-party provider to provide in-warranty services and
              Amedia shall be responsible for all reasonable costs associated
              with such Motorola internal or third-party repair or replacement,
              including inbound and outbound transportation costs.

14.9.   NETWORK INTERFACE/SYSTEM INTEGRATION. Both Parties represent and warrant
        that their software development related to the network interface of the
        Product and system integration shall be performed in a good and
        workmanlike manner and in accordance with all industry standards.

14.10.  SERVICES. Amedia warrants that all other services provided under this
        Agreement shall be performed in a good and workmanlike manner and in
        accordance with all industry standards. If Amedia fails to meet this
        warranty, it shall re-perform those services until such breach is cured.

14.11.  DISCLAIMER. EXCEPT FOR THE REPRESENTATIONS AND WARRANTIES IN THIS
        SECTION 14, NEITHER PARTY MAKES ANY ADDITIONAL REPRESENTATION OR
        WARRANTY OF ANY KIND WHETHER EXPRESS, IMPLIED, OR STATUTORY, AS TO ANY
        MATTER. EACH PARTY EXPRESSLY DISCLAIMS

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<PAGE>

        ALL IMPLIED WARRANTIES OF MERCHANTABILITY, FITNESS FOR A PARTICULAR
        PURPOSE, AND NON-INFRINGEMENT.

15.  INDEMNIFICATION.

15.1.   GENERAL.  Each Party will indemnify and save the other Party (including
        without limitation that Party's parents, subsidiaries, affiliates,
        officers, directors, employees, agents and representatives (collectively
        the "Indemnified Parties")) harmless from any loss or damage to real
        property or tangible personal property or from any loss or damage
        arising from bodily injury, including death (collectively a "Claim"), to
        the extent such Claim is caused by the negligent acts or omissions or
        intentional wrongdoing of the indemnifying Party's employees,
        subcontractors or agents and arises out of the performance of this
        Agreement, provided that the indemnified Party gives the indemnifying
        Party prompt written notice of such Claim. Upon agreement in writing by
        either Party to fully indemnify the other Party against any Claim, the
        indemnified Party shall give the indemnifying Party full opportunity and
        sole authority to defend and settle the Claim, and furnish, upon
        request, all information and assistance reasonably necessary for the
        defense of such Claim.

15.2.   INTELLECTUAL PROPERTY.

      15.2.1. Each Party will defend, indemnify and hold harmless the other
              Party against any claim brought against them alleging that the
              IPR incorporated in any Product infringes any third party's
              rights existing at the time of the Effective Date of this
              Agreement under registered patent, copyright or trade secret law
              in the United States, and shall pay all costs, damages and
              attorneys' fees incurred, provided that indemnified Party: (a)
              promptly notify the indemnifying Party in writing of the claim;
              and (b) allows the indemnifying Party to control, and reasonably
              cooperates with the indemnifying Party in, the defense and any
              related settlement negotiations.

      15.2.2. However, neither Party shall have any obligation to indemnify the
              other Party under Section 15.2.1, to the extent any claim of
              infringement is caused by any of the following:

           15.2.2.1. Either Party's use of an item that is the subject of the
                     infringement claim (the "Item"), in a manner that causes
                     infringement if such manner was not actually known to the
                     other Party prior to the claim of infringement;

           15.2.2.2. Either Party's combination of an Item with any hardware,
                     software, or other product, or the modification of the
                     Item, in a manner that causes the infringement, if such
                     manner was not actually known to the other Party prior to
                     the claim of infringement;

           15.2.2.3. Either Party's failure to apply commercially reasonable
                     corrections or enhancements to the Item that were made
                     available by the other Party and that, if applied, would
                     have rendered the Item non-infringing; or

                                       17
<PAGE>

           15.2.2.4. Either Party's development of the Item in accordance with
                     detailed, non-discretionary technical designs or
                     technical specifications (as opposed to functional or
                     business specifications or other general requirements) or
                     to achieve a specific, non-discretionary business process
                     required by the other Party.

      15.2.3. If a Product in Motorola's or a customer's possession becomes, or
              Amedia believes is likely to become, the subject of such a
              claim, Amedia will at its option and expense: (a) procure for
              Motorola and its customers to right to continue to use the
              infringing Product; (b) modify the Product so it is no longer
              infringing; or (c) replace it with an equivalent non-infringing
              Product that does not materially affect form, fit or
              functionality, and does not require modification of software
              code or other technology to accommodate such replacement
              Product. In the event that Amedia modifies the Product, or
              replaces it with a functionally equivalent non-infringing
              Product, the modified or replacement Product shall be added to
              the list of "Products" in Exhibit A, and all IPR contained in
              such modified or replacement Product shall immediately be
              subject to all terms and conditions of this Agreement. If none
              of these alternatives is reasonably available: Motorola and/or
              its customers shall return all affected Amedia-manufactured
              Products to Amedia, and Amedia will refund the full purchase
              price of the Products plus any costs incurred in retrieving and
              returning those Products; and Amedia will reimburse Motorola for
              all costs incurred by Motorola in retrieving and reimbursing
              customers for Motorola-manufactured Products.

15.3.   PRODUCT LIABILITY INDEMNIFICATION BY AMEDIA

      15.3.1. Subject to Motorola's indemnification obligations , Amedia will,
              at its option and expense, defend the Motorola Indemnified
              Parties from or settle any claim brought by a third party
              against a Motorola Indemnified Party that arises directly from
              any injury or death to persons or loss of or damage to property
              that is caused directly by a design defect in a Product provided
              that Motorola: (a) promptly notifies Amedia in writing of the
              claim; and (b) allows Amedia to control, and reasonably
              cooperates with Amedia in, the defense and any related
              settlement negotiations.; and (c) complies with any settlement
              or court order made in connection with such claim (e.g.,
              relating to the future use of any Product containing a design
              defect). The Motorola Indemnified Parties will not defend or
              settle any such claim without Amedia's prior written consent.
              The Motorola Indemnified Party shall have the right to
              participate in the defense of such claim at its own expense and
              with counsel of its own choosing, but Amedia will have sole
              control over the defense and settlement of the claim.

      15.3.2. Amedia will indemnify the Motorola Indemnified Parties against

              and pay: (a) all damages, costs, and attorneys' fees awarded
              against a Motorola Indemnified Party in any claim under Section
              15.3.1; (b) all out-of-pocket costs (including attorneys' fees)
              reasonably incurred by any of them in connection with the
              defense of such claim, including assistance provided under
              Section 15.3.1 (other than attorneys' fees and costs incurred
              without Amedia's consent after Amedia has accepted defense of
              such claim); and, (c) if any claim arising under Section 15.3.1
              is settled, all amounts to be paid to any third party in
              settlement of any such claim (as agreed to by Amedia).

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<PAGE>

16.  LIMITATION OF LIABILITY.

16.1.   DISCLAIMER OF CONSEQUENTIAL DAMAGES. EXCEPT FOR LIABILITY ARISING OUT OF
        SECTION 15, NEITHER PARTY WILL, UNDER ANY CIRCUMSTANCES, BE LIABLE TO
        THE OTHER PARTY FOR ANY CONSEQUENTIAL, INCIDENTAL, INDIRECT, SPECIAL,
        PUNITIVE, OR EXEMPLARY DAMAGES ARISING OUT OF OR RELATED TO THIS
        AGREEMENT, INCLUDING BUT NOT LIMITED TO LOST PROFITS, LOSS OF BUSINESS,
        AND BUSINESS INTERRUPTION, EVEN IF SUCH PARTY IS APPRISED OF THE
        LIKELIHOOD OF SUCH DAMAGES OCCURRING.

16.2.   DIRECT DAMAGES. Amedia agrees that the any and all damages incurred by
        Motorola as a result of the following acts or omissions by Amedia
        (except and to the extent any such damages are attributable to the acts
        or omissions of Motorola) shall be considered "direct" and not
        "consequential" damages for the purpose of interpreting the disclaimer
        in Section 16.1, and thus recoverable by Motorola: late delivery; poor
        Product quality; warranty failures; and epidemic defects.

16.3.   CAP ON LIABILITY. EXCEPT FOR LIABILITY ARISING OUT OF SECTION 15, UNDER
        NO CIRCUMSTANCES WILL EITHER PARTY'S TOTAL LIABILITY OF ALL KINDS
        ARISING OUT OF OR RELATED TO THIS AGREEMENT, REGARDLESS OF THE FORUM AND
        REGARDLESS OF WHETHER ANY ACTION OR CLAIM IS BASED ON CONTRACT, TORT, OR
        OTHERWISE, EXCEED THE TOTAL AMOUNT PAID OR PAYABLE UNDER THIS AGREEMENT.

17.  INSURANCE.

17.1.   Amedia will maintain:  (i) statutory Worker's Compensation, Employer's
        Liability, Broad Form Commercial General Liability, and Business
        Automobile Liability Insurance on behalf of Amedia and its
        subcontractors, and Contractual Liability Insurance for liability under
        this Agreement, in each instance of at least $2,000,000 combined single
        limit; (ii) reasonably adequate insurance covering its assets and
        operations implicated by this Agreement; and (iii) Umbrella / Excess
        Liability Insurance of $5,000,000 per occurrence. In addition Amedia
        will: name Motorola as an additional insured and, under the Commercial
        General Liability policy, include a cross-liability endorsement; provide
        a waiver of subrogation in favor of Motorola under the Workers
        Compensation and Employers' Liability policies; cause its insurance to
        be designated as primary and provide for thirty days' minimum prior
        notice of cancellation to Motorola; at Motorola's request, furnish
        evidence of insurance from a licensed insurance provider reasonably
        acceptable to Motorola; and require the vendors and suppliers in its
        supply chain to maintain, at a minimum, the same coverage and limits
        required of Amedia.

17.2.   Nothing contained within these insurance requirements will be deemed to
        limit or expand the scope, application or limits of the coverage
        afforded, which coverage will apply to each insured to the full extent
        provided by the terms and conditions of the policies. Nothing contained
        within this provision will affect or alter the application of any other
        provision

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<PAGE>

        contained with this Agreement. Deductibles or self-insured retentions
        must not exceed $50,000 unless declared to and approved by Motorola
        prior to the date of this Agreement. The deductible or self-insured
        retention of the policies will not limit or apply to Amedia's liability
        to Motorola and will be the sole responsibility of Amedia.

18.  COMPLIANCE WITH LAWS.

18.1.   ETHICAL CONDUCT, ANTICORRUPTION AND UNFAIR BUSINESS PRACTICES.  Motorola
        has historically depended on upon product quality and superiority,
        combined with outstanding support capability, to sell its products.
        Accordingly, Amedia agrees to perform the services hereunder with the
        highest ethical standards. Motorola will not do business with any entity
        or person where Motorola believes that payoffs or similar improper or
        unethical practices are involved. Motorola expects its suppliers to
        abide by this policy and not to have a relationship with another entity
        or person, or engage in any activity, that results or may result in a
        conflict of interest, or embarrassment to Motorola, or harm to
        Motorola's reputation. Amedia will: (i) maintain transparency and
        accuracy in corporate record keeping; (ii) act lawfully and with
        integrity in handling competitive data, proprietary information and
        other intellectual property; and (iii) comply with legal requirements
        regarding fair competition and antitrust, and accurate and truthful
        marketing. Amedia will not engage in corrupt practices, including public
        or private bribery or kickbacks. Motorola also agrees to comply with
        this Section 18.1. If either Party fails to comply in any respect with
        all of these requirements, then the other Party may immediately and
        without liability terminate this Agreement.

18.2.   ANTIDISCRIMINATION AND HUMANE TREATMENT OF WORKERS.

      18.2.1. Amedia will employ workers on the basis of their ability to do the
              job and not on the basis of their personal characteristics or
              beliefs.

      18.2.2. Amedia will assure that Products (including parts) (except those
              provided or sourced by/through Motorola)will not be produced,
              manufactured, mined, or assembled with the use of forced,
              prison, or indentured labor, including debt bondage, or with the
              use of illegal child labor in violation of International Labor
              Conventions for minimum age (ILO-C138) and child labor
              (ILO-C182). If Amedia recruits contract workers, Amedia will pay
              agency recruitment commissions, will not require workers to
              remain in employment for any period of time against their will,
              and will not impose any early termination penalties on workers.
              If Amedia provides housing or eating facilities, Amedia will
              assure the facilities are operated and maintained in a safe,
              sanitary and dignified manner.

      18.2.3. Amedia will operate safe, healthy and fair working environments,
              including managing operations so levels of overtime do not
              create inhumane working conditions. Amedia will pay workers at
              least the minimum legal wage applicable in the place of
              employment, or where no wage laws exist, the local industry
              standard. Amedia will assure that workers are free to join, or
              refrain from joining, associations of their own choosing, unless
              otherwise prohibited by law. Amedia will not routinely

                                       20
<PAGE>

              require workers to work in excess of six consecutive days without
              a rest day.

18.3.   ENVIRONMENTAL PROTECTION.

      18.3.1. Amedia will implement a functioning environmental management
              system in accordance with ISO 14001 or equivalent. Third-party
              registration is recommended but not required.

      18.3.2. Amedia certifies that Products and their parts (except those
              provided or sourced by/through Motorola) do not contain and are
              not manufactured with a process that uses any Class I
              ozone-depleting substances (as identified in 40 CRF Part 82
              Appendix A to Subpart A, or as subsequently identified by the
              U.S. Environmental Protection Agency as Class I ozone-depleting
              substances). For Products imported into the United States,
              Amedia will provide Motorola with a completed and signed ODS
              Certification Questionnaire, accessible at the following URL:
              HTTP://WWW.MOTOROLA.COM/CONTENT/0,,5424,00.HTML.

      18.3.3. For Products used as parts for Motorola products, Amedia will

              provide material disclosure or certification, as defined in
              Motorola's Controlled and Reportable Materials Disclosure
              Process, accessible at the following URL:
              HTTP://WWW.MOTOROLA.COM/CONTENT/0,,1673-3290-5406,00.HTML.

18.4.   MATERIAL SAFETY DATA SHEETS. Amedia will electronically provide material
        safety data sheets, chemical safety data sheets, or equivalent
        documentation for all chemicals sold to Motorola. For all chemicals
        supplied or imported into the United States, Amedia will certify that
        the chemicals are listed on the Toxic Substances Control Act, 15 USCS
        ss.2601, et. seq., chemical inventory, or are subject to an exemption
        specified in the material safety data sheets.

18.5.   IMPORTS AND CUSTOMS. The Parties must comply with all import and customs
        laws, regulations and administrative determinations of the importing
        country. Amedia must comply with the security criteria of any supply
        chain security government program of the importing country. Amedia's
        providing products to be delivered to and/or services to support
        delivery to the U.S. must comply with the security criteria of the U.S.
        Customs and Border Protection's Customs-Trade Partnership against
        Terrorism (C-TPAT) Program
        HTTP://WWW.CUSTOMS.GOV/XP/CGOV/IMPORT/COMMERCIAL_ENFORCEMENT/CTPAT/
        CRITERIA_IMPORTERS/CTPAT_IMPORTER_CRITERIA.XML.

18.6.   EXPORT RESTRICTION. Neither Party will export or re-export, directly or
        indirectly, any Confidential Information or the Products to any country
        for which any applicable government, at the time of export or re-export,
        requires an export license or other governmental approval, without first
        obtaining the license or approval.

18.7.   UTILIZATION OF SMALL BUSINESS CONCERNS. If applicable, Amedia will
        comply with the provisions of U.S. Federal Acquisition Regulation (FAR)
        52.219-8 pertaining to Utilization of Small Business Concerns, as well
        as any other state and local, small and

                                       21
<PAGE>

        other business utilization laws.

18.8.   EQUAL OPPORTUNITY. If applicable, Amedia will comply with the provisions
        of FAR 52.222-21, 52.222-26, 52.222-35, and 52.222-36 pertaining to
        Segregated Facilities, Equal Opportunity, Equal Opportunity for
        Veterans, and Affirmative Action for Workers with Disabilities. If
        applicable, Amedia will maintain, at each establishment, affirmative
        action programs required by the rules of the U.S. Secretary of Labor (41
        CFR 60-1 and 60-2).

18.9.   GOVERNMENT SUBCONTRACT. If an order is issued under a government
        contract, Amedia will comply with the terms of the government contract
        that appear on the Order, and with any other applicable laws,
        regulations and executive orders.

18.10.  AMEDIA DIVERSITY. If Amedia is located in the United States or is
        supplying Products to Motorola locations based in the United States,
        Amedia will track and report its Supply Chain's spend with
        minority-owned, women-owned and disabled veteran-owned business
        enterprises located in the United States. Amedia and Motorola will agree
        on a goal for Amedia's Supply Chain spend, based upon a percentage of
        Amedia's total gross revenues under this Agreement. Amedia will submit
        quarterly progress reports, in a format designated by Motorola, by the
        twenty-fifth day of the month following the end of each calendar
        quarter. All reports will be forwarded to the Motorola Amedia Diversity
        Group, 2501 S. Price Road, M/D G1232, Chandler, AZ 85248, or sent via
        email to SUPPLIERDIVERSITY@MOTOROLA.COM.

19.  CONFIDENTIALITY.

19.1.   NDA. The information between the Parties under this Agreement will be
        governed by the Mutual Nondisclosure Agreement entered into by the
        Parties on Jan 9, 2006 ("NDA"). A Party may disclose the terms of this
        Agreement in compliance with securities law without the other Party's
        consent if the disclosing Party takes reasonable steps to obtain
        confidential treatment for appropriate portions of this Agreement.

19.2.   RETURN OF MATERIALS. Upon the termination or expiration of this
        Agreement, or upon earlier request, each Party will deliver to the other
        all Confidential Information (as defined in the NDA) that it may have
        received from the other Party. However, neither Party will be required
        to return materials that it must retain in order to receive the benefits
        of this Agreement or properly perform under this Agreement.

20.  TERM AND TERMINATION.

20.1.   TERM. This Agreement will commence upon the Effective Date and will
        continue in effect for a period of three years (the "Term"). The Term
        will automatically extend for a succession of additional one-year
        periods unless either Party gives the other written notice of
        termination no less than 30 days prior to the expiration date of the
        then-current Term. However, in the event that Amedia gives notice of
        termination under this Section, the Parties shall continue to be bound
        by the terms and conditions of this Agreement for a period of no less
        than nine months from the date of Motorola's receipt of such notice, so

                                       22
<PAGE>

        that Motorola shall have adequate time in which to find an alternate
        supplier.

20.2.   TERMINATION. This Agreement may be terminated before the end of the Term
        upon the occurrence of any of the events set forth in this Section 20.2.

      20.2.1. By Motorola, for convenience, upon 30 days' advance written
              notice.

      20.2.2. By either Party upon written notice effective upon receipt, if the
              other Party ceases to conduct business in the ordinary course.

      20.2.3. By either Party, if the other Party defaults on any of its

              material obligations, representations, or warranties under this
              Agreement, or otherwise commits a material breach of this
              Agreement and fails to cure such breach in the manner described
              below. The non-defaulting Party may notify in writing the
              defaulting Party of the material breach or default and its
              intention to terminate the Agreement if the material breach or
              default is not cured within 30 days (ten days in the case of a
              failure to pay amounts when due) after the date that the notice
              is received by the defaulting Party. If the defaulting Party
              does not cure the breach during such 30-day period (ten-day
              period for a failure to pay amounts when due), the
              non-defaulting Party may terminate this Agreement by providing
              written notice of termination to the defaulting Party. The
              termination under this Section 20.2.3 will take effect 30 days
              after the defaulting Party's receipt of such notice of
              termination.

20.3.   SURVIVAL.  Each Party's rights and obligations under Sections 14.8, 15,
        16, 17, 19, 20.3, and 21 will survive termination and expiration of this
        Agreement.

21.  GENERAL.

21.1.   NOTICES. Unless otherwise specified, any notice required under this
        Agreement will be in writing to the addresses set forth above and is
        effective upon receipt. Such notice may be sent via: e-mail, receipt
        acknowledged; certified mail, return receipt requested; overnight
        delivery service; or facsimile, receipt acknowledged.

21.2.   RELATIONSHIP OF THE PARTIES. Nothing contained in this Agreement shall
        be construed as creating a joint venture or legal partnership or as
        authorizing any Party to act as an agent or representative of the other.

21.3.   WAIVER. Neither Party's failure to insist on the strict performance of
        any provision in this Agreement will be deemed a waiver of such
        provision presently or in the future nor will it be deemed a custom or
        practice contrary to such provision.

21.4.   ASSIGNMENT. This Agreement shall accrue to the benefit of and be binding
        upon the Parties and any successor entity into which either Party shall
        have been merged or consolidated. Neither Party may assign this
        Agreement without the prior written consent of the other Party, which
        consent shall not be unreasonably withheld.

                                       23
<PAGE>

21.5.   ENTIRE AGREEMENT AND AMENDMENT. This Agreement, together with the
        schedules and exhibits attached, constitutes the entire understanding
        between the Parties concerning its subject matter and supersedes all
        prior discussions, agreements and representations, whether oral or
        written and whether or not executed by Amedia and Motorola. This
        Agreement may not be modified except in writing signed between the
        Parties. Variance from or addition to the terms of this Agreement in any
        PO or other written notification will be of no effect unless
        countersigned by the other Party.

21.6.   FORCE MAJEURE. Neither Party shall be liable for delays, failure in
        performance or damages due to fire, flood, explosion, power failures,
        civil disturbances, acts of civil or military authorities or the public
        enemy, labor disputes, acts of God, unauthorized use of the Products, or
        other causes beyond that Party's reasonable control.

21.7.   DISPUTE RESOLUTION. Any dispute arising out of this Agreement that the
        Parties are unable to resolve via good faith negotiation shall be
        submitted for non-binding mediation with a single mediator, under the
        Commercial Mediation Rules of the American Arbitration Association,
        before either party may resort to litigation or other dispute resolution
        procedures. Each party will bear its own attorney's fees and other
        individual costs and will equally share the costs of the mediation,
        including the mediator's fees. If the matter is not resolved by
        mediation within 60 calendar days of the initial request for mediation,
        either Party may then submit the matter to an appropriate court of law.

21.8.   GOVERNING LAW AND VENUE. This Agreement is governed by the laws of the
        State of New York, without regard to its conflicts of laws rules, and
        any litigation arising out of this Agreement shall be brought in state
        or federal courts in New York City. Neither Party will contest
        jurisdiction in such courts. The parties agree that the United Nations
        Convention on Contracts for the International Sale of Goods will not
        apply to this Agreement. The prevailing Party in any litigation arising
        out of or related to this Agreement will be entitled to recover its
        reasonable attorneys' fees and costs against the other Party

21.9.   PUBLICITY. Neither Party will make any public announcement or press
        release regarding the terms of this Agreement or any aspect of the
        relationship under this Agreement without having obtained the prior
        written consent of the other Party, which consent will not be
        unreasonably withheld or delayed. However, nothing in this Section 21.9
        shall preclude either Party from making such disclosures that are
        required by law.

21.10.  SEVERABILITY. If any part of this Agreement is found to be illegal,
        unenforceable, or invalid, the remaining portions of this Agreement will
        remain in full force and effect.

21.11.  INTERPRETATION. The Parties have had an equal opportunity to participate
        in the drafting of this Agreement and the attached exhibits, if any. No
        ambiguity will be construed against any Party based upon a claim that
        that Party drafted the ambiguous language.

21.12.  COUNTERPARTS. This Agreement may be executed in any number of identical
        counterparts, with the same effect as if the Parties had signed the same
        document. All counterparts will be construed as and constitute the same
        agreement.

                                       24
<PAGE>

The Parties have signed below to indicate their acceptance of the terms of this
Agreement.

MOTOROLA WIRELINE NETWORKS, INC.          AMEDIA NETWORKS, INC.

By: /S/ THOMAS E. MADER                   By: /S/ FRANK GALUPPO
   -----------------------------             -----------------------------
Name:   THOMAS E. MADER                   Name:   FRANK GALUPPO
Title:  CORPORATE VICE PRESIDENT,         Title:  CHIEF EXECUTIVE OFFICER
        WIRELINE

                                       25
<PAGE>

                                    EXHIBIT A

                                       SOW

                  MOTOROLA WIRELINE NETWORKS, INC. ("MOTOROLA")
                                 [MOTOROLA LOGO]

                        AMEDIA NETWORKS, INC. ("AMEDIA")

                                  [AMEDIA LOGO]

                          MOTOROLA IPTV GATEWAY PROJECT

                             STATEMENT OF WORK (SOW)
                                 XX2006-MOT-001

                                       i

<PAGE>

Confidential Proprietary

                                 VERSION HISTORY
<TABLE>
<CAPTION>

---------------- ---------------- ------------------------------------------------------------------------------
    VERSION #           DATE                              DESCRIPTION OF MAJOR CHANGES
---------------- ---------------- ------------------------------------------------------------------------------
<C>              <C>              <C>
1.0              MARCH 15, 2006   INITIAL CREATION - MOTOROLA WITH INPUTS FROM AMEDIA
---------------- ---------------- ------------------------------------------------------------------------------
1.1              MARCH 24, 2006   UPDATED MILESTONE CHART AND INPUTS
---------------- ---------------- ------------------------------------------------------------------------------
1.2              MARCH 30, 2006   UPDATED MILESTONE CHARTS AND INPUTS
---------------- ---------------- ------------------------------------------------------------------------------
1.3              MARCH 31, 2006   LANGUAGE AND FORMAT REVISIONS
---------------- ---------------- ------------------------------------------------------------------------------
1.4
---------------- ---------------- ------------------------------------------------------------------------------
1.5
---------------- ---------------- ------------------------------------------------------------------------------
1.6
---------------- ---------------- ------------------------------------------------------------------------------
1.7
---------------- ---------------- ------------------------------------------------------------------------------
1.8
---------------- ---------------- ------------------------------------------------------------------------------
1.9
---------------- ---------------- ------------------------------------------------------------------------------
1.10
---------------- ---------------- ------------------------------------------------------------------------------
1.11
---------------- ---------------- ------------------------------------------------------------------------------
</TABLE>

                                    APPROVALS

This SOW has been reviewed and approved by both Motorola and Amedia. Signatures
on this SOW indicate agreement with the scope and deliverables. No agreement to
purchase or provide Professional Services outlined in this SOW is implied. A
Purchase Order is required to consider this a firm and final order.

<TABLE>
<CAPTION>

              MOTOROLA - WIRELINE NETWORKS                                      AMEDIA NETWORKS, INC.

----------------------------------------------------------       -----------------------------------------------------
<S>                                                              <C>
SIGNATURE                                                        SIGNATURE

----------------------------------------------------------       -----------------------------------------------------
PRINT NAME                                                       PRINT NAME

----------------------------------------------------------       -----------------------------------------------------
TITLE                                                            TITLE

----------------------------------------------------------       -----------------------------------------------------
DATE                                                             DATE
</TABLE>

                                                                   Page ii of 42
Confidential Proprietary

<PAGE>

                                TABLE OF CONTENTS

<TABLE>
<CAPTION>

<S>                                                                                              <C>
Table of Contents................................................................................iii

1     SOW Purpose..................................................................................5

2     SOW Validity.................................................................................5

3     Key Contacts.................................................................................6

4     Project Management...........................................................................7
   4.1      Team Structure.........................................................................7
   4.2      Roles and Responsibilities.............................................................7
   4.3      Other Development Resources............................................................8
   4.4      Meeting Structure......................................................................8
   4.5      Risk Management Planning...............................................................8
   4.6      System Integration.....................................................................8
   4.7      Capital Expenditures...................................................................9

5     Project Description..........................................................................9
   5.1      Target Market Description..............................................................9
   5.2      Current Customer Deployments..........................................................11
   5.3      Target Customer Deployments...........................................................12
      5.3.1    Motorola IPTV Gateway Platforms....................................................13
   5.4      Amedia's Gateway Platform Architecture................................................13
   5.5      Customized Components Developed for Motorola by Amedia................................14
      5.5.1    Hardware Terminology...............................................................15

6     Milestones..................................................................................16
   6.1      IPTV Gateway Project Plan.............................................................18
   6.2      IPTV Gateway Market Requirements Document (MRD).......................................18
   6.3      Product Requirements Document (PRD)...................................................18
   6.4      System Requirements Document (SRD)....................................................18
   6.5      IPTV Gateway Middleware/applications MRD..............................................18
   6.6      Amedia Provides Manufacturing Plan....................................................18
   6.7      IPTV Gateway Architecture and High Level Design Document..............................18
   6.8      IPTV Gateway Interface Specification Document.........................................19
   6.9      Amedia Provides Hardware Test Plan (HT/HALT)..........................................19
   6.10     IPTV Gateway Artmaster1 (AM1) Acceptance Test Plan....................................19
   6.11     IPTV Gateway Artmaster2 (AM2) Acceptance Test Plan....................................19
   6.12     Amedia Delivery of AM1 IPTV Gateways..................................................19
   6.13     AM1 IPTV Gateway Acceptance Test Complete (SAA Section 2.2.3).........................19
   6.14     Amedia Provides Quality /  Regulatory Compliance Test Plan............................20
   6.15     IPTV Gateway System Verification Test (SVT) Plan......................................20
   6.16     IPTV Gateway System Verification Test (SVT) Entry Acceptance Test Specification.......20
   6.17     WAN Software Acceptance Test Plan.....................................................20
   6.18     Amedia Delivery of AM2 IPTV Gateways..................................................20
   6.19     Motorola Delivers Fully Functional WAN SW for IPTV Gateway Integration................20
   6.20     Amedia Delivery of Fully Functional IPTV Gateways.....................................20
   6.21     IPTV Gateway SVT Acceptance Test Complete (SAA Section 2.2.4).........................21
   6.22     Tech Pubs - IPTV Gateway Quick Start Guide............................................21
   6.23     Tech Pubs - IPTV Gateway Users Guide..................................................21
   6.24     Tech Pubs - IPTV Gateway Operations and Maintenance Guide.............................21
   6.25     Tech Pubs - IPTV Gateway Bulletin/Data Sheet..........................................21
   6.26     Amedia Completes Hardware Testing (HT/HALT)...........................................21
   6.27     Amedia Completes Quality / Regulatory Compliance Testing..............................21
   6.28     Successful Completion of System Verification Testing (SVT) (SAA Section 2.2.5)........21
</TABLE>

                                                                  Page iii of 42
Confidential Proprietary

<PAGE>

<TABLE>
<CAPTION>

<S>                                                                                              <C>
   6.29     Alpha Testing Complete................................................................22
   6.30     Motorola Completes Customer Beta Testing (SAA Section 2.2.6)..........................22

7     Development Environment.....................................................................22

8     Constraints, Dependencies, Assumptions......................................................23

9     Project Processes...........................................................................24
   9.1      Billing...............................................................................24
   9.2      Change Management.....................................................................24
      9.2.1    Changes Initiated by Motorola......................................................24
      9.2.2    Changes Initiated by Amedia........................................................25
   9.3      Defects Management....................................................................25
   9.4      Milestone Acceptance..................................................................26
   9.5      Cancellation Terms....................................................................26
   9.6      Travel................................................................................26
</TABLE>

                                                                   Page iv of 42
Confidential Proprietary

<PAGE>

Portions of this exhibit have been omitted pursuant to a request for
confidential treatment. The omitted portions, marked "[***]," have been
separately filed with the Securities and Exchange Commission.

1.    SOW PURPOSE

      This document provides a description of the work being undertaken by
      Amedia as a part of the Motorola IPTV Gateway Project, and the project
      management process that will be employed for this project.

      This SOW sets forth terms and conditions for joint development and
      delivery by the Parties of three types of IPTV Gateway for sale
      exclusively under the Motorola brand as a private label product. The
      specifics of the technical work and supportive business agreement are as
      set forth in the following two documents:

      o  Market Requirements Document IPTV Gateway 525674-001 CA79 MRD V1.0
         March 17, 2006

      o  The Strategic Alliance Agreement effective April 3, 2006 ("SAA")

      This SOW covers all work for the IPTV Gateway platforms:

      It is expected that the development will be for three basic codes of IPTV
      Gateway that support three different Wide Area Network types, [***]

2.    SOW VALIDITY

      Acceptance of this SOW does not by itself constitute an agreement to
      purchase or provide the services described in this document. All
      deliverable dates in this SOW are based on agreement to the SAA, including
      this SOW, as well as receipt of a Purchase Order.

3.    KEY CONTACTS

      The key contacts for this project are outlined in Table 2 below.

      [***]

         The Commercial Leads for Motorola and Amedia are responsible for all
         commercial matters.

         The Technical Lead is responsible for formal acceptance of the set of
         technical deliverables identified in Section 6.

         The Program Manager is responsible for coordinating all aspects of the
         project, technical and non-technical, to ensure schedule of all
         cross-functional deliverables.

         Based on the planned transition of the Rohnert Park facility to Andover
         on August 2nd, the Motorola Software and Hardware leads may be subject
         to change.

4.       PROJECT MANAGEMENT

      A.    Team Structure

         Project team will consist of Motorola hardware and software resources
         located in Rohnert Park to perform initial development tasks
         (architecture, requirements definition) of the WAN block of the IPTV
         gateways. In addition the Motorola development team will jointly create
         appropriate interface specifications with

<PAGE>

         Amedia development resources.

         Project team will also consist of Amedia hardware and software
         resources that will develop the combined hardware and software of the
         IPTV gateways.

         Project team will also consist of additional Motorola hardware and
         software resources that will own the project from handoff from Rohnert
         Park development team lead until completion including system
         integration, system verification, alpha and beta resources.

         Both Motorola and Amedia will provide a Program Manager.

         Both Motorola and Amedia will provide a Commercial lead.

      B.    Roles and Responsibilities

         Amedia is responsible for IPTV Gateway hardware development, core
         feature software development and integration, and core feature
         software/hardware integration. Core features are the features used to
         manage and operate the gateway excluding the WAN related features. The
         WAN related features are features used to operate the Wide Area Network
         and interface the IPTV Gateway to the remainder of the Motorola access
         system.

         Amedia is responsible for overall integration of interfaces for and
         within the IPTV Gateway with participation by Motorola.

         Amedia is responsible for IPTV Gateway manufacturing, but this
         responsibility may move to Motorola over time. Any mutually agreed
         changes to these responsibilities would be as identified during the
         course of the project.

         Amedia is responsible for all HT/HALT testing as well as all Quality
         and Regulatory Compliance testing.

         Motorola is responsible for software development/integration and
         hardware/software integration for features related to the Wide Area
         Network blocks and IPTV Gateway interface to the existing Motorola
         video/data network.

         Motorola is responsible for overall System Integration Testing and
         Verification with participation by Amedia.

         Motorola is responsible for Alpha and Beta testing with support from
         Amedia as described in the SAA.

         The parties agree that they will create and track a Project Plan that
         structures the development project to meet the IPTV Gateway business
         objectives. The parties agree to provide the deliverables identified in
         Table 3 (Section 6 of this SOW) on the mutually agreed and specified
         dates.

      C.    Other Development Resources

         Other than Amedia development resources in Eatontown, NJ and Motorola
         development resources in Rohnert Park, CA and Andover MA,. no other
         development resources are identified at this time. Any other
         development resources would be as identified during the course of the
         project.

      D.    Meeting Structure

         Two meetings each week with support from both Motorola and Amedia
         project members. Scope of one meeting is for technical / development
         collaboration. Scope of second meeting is for project planning
         collaboration and project tracking.

      E.    Risk Management Planning

                                                                    Page 2 of 42
Confidential Proprietary

<PAGE>

         PORTIONS OF THIS EXHIBIT HAVE BEEN OMITTED PURSUANT TO A REQUEST FOR
         CONFIDENTIAL TREATMENT. THE OMITTED PORTIONS, MARKED "[***]," HAVE BEEN
         SEPARATELY FILED WITH THE SECURITIES AND EXCHANGE COMMISSION.

         [***]

      F.    System Integration

         Motorola will perform development integration of the WAN block of the
         IPTV gateways.

         Amedia will perform development and functional integration of the IPTV
         gateway hardware and software, including WAN and Core software, with
         support from Motorola.

         Motorola will perform system verification of the IPTV gateway within
         the Motorola access system with support from Amedia.

         Third party vendors of middleware application software - (VOD, DRM,
         etc.) and IP STBs will be responsible for certification of their
         applications over the Motorola access infrastructure.

      G.    Capital Expenditures

         Motorola shall be responsible to provide mutually agreed upon
         BDT/USAM/BSAM and View1/View2/DC assets for Amedia to use for IPTV
         Gateway functional integration purposes at Amedia location.

         Motorola shall be responsible to provide mutually agreed upon
         BDT/USAM/BSAM and View1/View2/DC assets for Motorola to use for WAN
         software integration and system verification purposes at Motorola
         locations.

5.       PROJECT DESCRIPTION

      A.    Target Market Description

         Motorola provides Video over IP deployments in North America. [***].

         Motorola uses Residential Gateways (RGs) to deploy IP TV. RGs are
         predominantly multi-stream capable, and usually include a DSL modem.
         Decoder chips are built into the unit. The RG unit targets homes with
         multiple rooms pre-wired with co-ax. The RG is physically located in
         the primary entertainment center of the house and distributes TV to
         other rooms.

         The infrastructure requirements for delivering both data and video in
         the access space have shifted from an ATM architectures to IP
         architectures and this shift is continuing into voice as VoIP becomes
         more wide spread. Carriers have quickly embraced IP primarily because
         of the significant cost savings in IP technologies but due to more
         efficient deployment of services.

         Many carriers are investigating or planning Switched Digital Video
         (SDV) offerings to compete with the

                                                                    Page 3 of 42
Confidential Proprietary

<PAGE>

         PORTIONS OF THIS EXHIBIT HAVE BEEN OMITTED PURSUANT TO A REQUEST FOR
         CONFIDENTIAL TREATMENT. THE OMITTED PORTIONS, MARKED "[***]," HAVE BEEN
         SEPARATELY FILED WITH THE SECURITIES AND EXCHANGE COMMISSION.

         loss of lines and expected additional losses due to the introduction of
         VoIP by the cable operators. All of these new deployments are being
         planned around IP centric platforms many of which are being lead by
         Microsoft and its new MSTV2 or Myrio based IP video architectures.

         The focus of this project is on a cost-effective solution to provide a
         means for our existing customers to support IPTV applications while
         maintaining as much of their existing Motorola (BDT/BSAM/USAM) access
         infrastructure and Motorola CPE devices. [***]

         MARKET OPPORTUNITY OVERVIEW

         [***]

      B.    Current Customer Deployments

         Motorola customers currently deliver triple-play services to their
         subscribers over the Motorola access infrastructure illustrated in
         Figure 1 below. Motorola Residential Gateways (RGs) are deployed in the
         subscriber homes and are connected via XDSL to Motorola remote terminal
         equipment (BSAM/USAM). Remote terminal equipment is connected over
         fiber to a Motorola Broadband Distribution Terminal (BDT) in a central
         office location. Subscriber services are delivered from the Video
         Head-end and Internet via ATM network connections to the BDT. The
         Motorola system network elements are managed by View1 and the video and
         data services are managed by the View2/Download Carousel. The Motorola
         access systems also provide interaction with service provider Billing
         systems and service activation from Operation Support Systems (OSS).
         Electronic Program Guide (EPG), Video-on-Demand (VOD), and Digital
         Rights Management (DRM) applications are fully integrated through
         interactions with View2/DC and embedded application software on the
         Motorola Residential Gateways.

     FIGURE 1:   CURRENT MOTOROLA SDV DEPLOYMENTS

         [CHART ILLUSTRATING CURRENT MOTOROLA SDV DEPLOYMENTS]

      C.    Target Customer Deployments

         Portrayed in Figure 2 below is the primary application of the IPTV
         Gateway platforms to enable feature evolution and support for IPTV
         applications and services on our existing customer deployments of
         Motorola access infrastructure.

         IP Set tops and personal computers are connected in the home network
         via LAN interfaces to the Motorola IPTV gateways for video and data
         services. Motorola IPTV Gateways (RGs) are deployed in the subscriber
         homes and are connected via XDSL to Motorola remote terminal equipment
         (BSAM/USAM). Remote terminal equipment is connected over fiber to a
         Motorola Broadband Distribution Terminal (BDT) in a central office
         location. Subscriber services are delivered from the Video Head-end and
         Internet via ATM network connections to the BDT. The Motorola system
         network elements including the IPTV gateway are managed by View1. The
         video and data service connections from the IPTV gateway across the
         Motorola access network are managed by View2/Download Carousel.
         However, the IPTV Middleware (client and server applications) will
         provide all video services management of Electronic Program Guide
         (EPG), Video-on-Demand (VOD), Digital Video Recorder (DVR), and Digital
         Rights Management (DRM) applications supported on the IP Set top
         devices. The IPTV middleware server shall also provide interaction with
         service provider Billing systems for video and data services supported
         via the IPTV

                                                                    Page 4 of 42
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<PAGE>

         PORTIONS OF THIS EXHIBIT HAVE BEEN OMITTED PURSUANT TO A REQUEST FOR
         CONFIDENTIAL TREATMENT. THE OMITTED PORTIONS, MARKED "[***]," HAVE BEEN
         SEPARATELY FILED WITH THE SECURITIES AND EXCHANGE COMMISSION.

         gateways.

FIGURE 2: IP ENABLING MOTOROLA ACCESS NETWORK- IPTV GATEWAYS

       [FIGURE ILLUSTRATING IP ENABLING MOTOROLA ACCESS NETWORK - IPTV GATEWAYS]

       1.    Motorola IPTV Gateway Platforms

          o The Motorola IPTV Gateway platform has the following
            characteristics:
            [***]

      D.    Amedia's Gateway Platform Architecture

         The Amedia IPTV Gateway platform illustrated in Figure 3 below has the
         following base architecture from which the Motorola IPTV gateway
         platforms can easily be developed.

         [***]

      E.    Customized Components Developed for Motorola by Amedia

         Amedia is expected to develop customized hardware and software for
         three basic models of IPTV Gateway that support three different Wide
         Area Network (XDSL) types. [***]

       1.    Hardware Terminology

       Artmasters (e.g. AM1, AM2) are defined as printed wiring board versions
       for a given circuit pack code, and revisions are defined as equipage
       variations on the PWB for that code. So for example, AM1 "Classic" can
       have n revisions (component values, equipage in the BOM, white wires,
       development-only access terminals, etc.), starting from rev 1 and going
       to rev n. AM2 "Classic" can have a separate number m of revisions,
       starting from rev 1 and going to rev m. Models for a particular
       artmaster are updated to the latest rev and designated as AM j, rev k,
       as appropriate.

6.    MILESTONES

      [***]

7.    DEVELOPMENT ENVIRONMENT

      Hardware development tools and licenses are Amedia's responsibility.
      Software development tools and licenses and Real Time Operating System
      (RTOS) licensing fees are the responsibility of each party for use in its
      own software development [***]

                                                                    Page 5 of 42
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<PAGE>

PORTIONS OF THIS EXHIBIT HAVE BEEN OMITTED PURSUANT TO A REQUEST FOR
CONFIDENTIAL TREATMENT. THE OMITTED PORTIONS, MARKED "[***]," HAVE BEEN
SEPARATELY FILED WITH THE SECURITIES AND EXCHANGE COMMISSION.

8.    CONSTRAINTS, DEPENDENCIES, ASSUMPTIONS

      [***]

9.    PROJECT PROCESSES

      A.    Billing
         As each billing milestone is reached, Amedia and Motorola will use the
         form found in Appendix B for signatures to indicate successful delivery
         of the milestone.

         This Service Agreement will be considered complete upon successful
         completion of all milestones described in this SOW. Amedia will make
         every reasonable effort to ensure that the milestones are completed in
         accordance with the milestone dates.

      B.    Change Management

       1.    Changes Initiated by Motorola

       Motorola may request changes to deliverables or schedules through the
       following procedure.

         o   The Motorola Program Manager will notify the Amedia Program
             Manager in writing of a change request, specifying a
             description of the requested change, using the Change Request
             form found in Appendix A, and completing the Request
             Description section.

         o   Within 5 business days following receipt of such a change
             request, Amedia shall review and complete the remainder of the
             Change Request document. If Amedia cannot complete the Change
             Request document within 5 business days, Motorola will be
             provided with a date by which the Change Request document will
             be completed.

         o   Within 5 business days following the date of return receipt of
             the Change Request document, Motorola will notify Amedia in
             writing whether or not to proceed with the Change Request. If
             Motorola signs and returns a copy of the Change Request
             document, Amedia will implement the change as described in the
             document. If Motorola notifies Amedia not to proceed, or does
             not notify Amedia within the 5 business day period, Amedia
             will consider the Change Request to have been withdrawn.

         o   If Motorola signs and returns the Change Request document,
             then this SOW will be considered to have been amended as
             described in the Change Request. If changes are significant
             enough a new version of this document, or other appropriate
             documents, will be issued. If there is a change in scope that
             results in a change in cost to Motorola, Amedia will expect a
             Purchase Order for the changed amount to be submitted as soon
             as reasonably possible from acceptance of the Change Request.

       2.    Changes Initiated by Amedia

       In the event that Amedia wishes to make a Change Request, Amedia
       shall notify Motorola in writing of the requested change through the
       following procedure.

         o   The Amedia Program Manager will notify the Motorola Program
             Manager using the form found in

                                                                    Page 6 of 42
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<PAGE>

             Appendix A, specifying a description of the requested change,
             recommended action and impact on overall plans.

         o   Within 5 business  days of sending the  request,  Motorola  will
             notify Amedia in writing whether or not to proceed with the
             Change Request. If Motorola cannot complete the Change Request
             document within 5 business days, Amedia will be provided with a
             date by which the Change Request document will be completed. If
             Motorola signs and returns a copy of the Change Request
             document, Amedia will implement the changes as described in the
             document. If Motorola does not respond within 5 business days,
             Amedia will consider the Change Request declined and will not
             implement as described in the Change Request document. If
             Motorola notifies Amedia not to proceed Amedia will consider the
             Change Request to be declined.

C.       Defects Management

         A proper defects management procedure will be put in place and agreed
         between Motorola and Amedia to track issues starting with the Release
         Candidate load. When a software deficiency is found and reported, at
         least the following information will be included for each defect.

         o   Impact (Urgent, High, Medium, Low)

         o   Title

         o   Detailed problem description

         o   Test case

         o   Expected results

         o   Observed results

         o   Date identified

         o   Identifier

         o   Assignee

         o   Version of Software on which defect is found

D.       Milestone Acceptance

         Motorola shall accept or reject each deliverable within a reasonable
         time of receipt contingent upon meeting the schedules and dates within
         the mutually agreed project plan, unless an extension is required and
         requested in writing. Amedia shall promptly make at its expense the
         modifications required to correct the issues identified in writing by
         Motorola and resubmit the deliverable for approval by Motorola. The
         acceptance cycle shall repeat until Motorola accepts or otherwise
         mitigates.

E.       Cancellation Terms

         As specified in the SAA, Amedia will invoice Motorola in accordance
         with the agreed terms therein.

F.       Travel

         The majority of the development will be conducted at the Amedia office
         in Eatontown, NJ.

                                                                    Page 7 of 42
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<PAGE>

PORTIONS OF THIS EXHIBIT HAVE BEEN OMITTED PURSUANT TO A REQUEST FOR
CONFIDENTIAL TREATMENT. THE OMITTED PORTIONS, MARKED "[***]," HAVE BEEN
SEPARATELY FILED WITH THE SECURITIES AND EXCHANGE COMMISSION.

         If required travel expenses exceed the amount listed in Appendix B to
         the SAA (i.e. $[***]), Motorola will pay for additional reasonable
         travel and living expenses incurred as a result of this travel.
         Motorola must approve all travel arrangements prior to the booking.

                                                                    Page 8 of 42
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<PAGE>

                           APPENDIX A - CHANGE REQUEST
<TABLE>
<CAPTION>
-------------------- ------------------------------------------- ------------------- ---------------------------------
<S>                  <C>
REQUESTOR                                                        DATE
-------------------- ------------------------------------------- ------------------- ---------------------------------
ORGANIZATION                                                     REFERENCE #:
-------------------- ------------------------------------------- ------------------- ---------------------------------

----------------------------------------------------------------------------------------------------------------------
REQUEST DESCRIPTION
----------------------------------------------------------------------------------------------------------------------

----------------------------------------------------------------------------------------------------------------------

----------------------------------------------------------------------------------------------------------------------
SOLUTION DESCRIPTION
----------------------------------------------------------------------------------------------------------------------

----------------------------------------------------------------------------------------------------------------------

----------------------------------------------------------------------------------------------------------------------
IMPACT ON COST, QUALITY, CONTENT AND SCHEDULE
----------------------------------------------------------------------------------------------------------------------

----------------------------------------------------------------------------------------------------------------------

------------------------- ----------------------------------------------- --------------------------------------------
APPROVALS                                    MOTOROLA                                       AMEDIA
------------------------- ----------------------------------------------- --------------------------------------------
SIGNATURE
------------------------- ----------------------------------------------- --------------------------------------------
NAME
------------------------- ----------------------------------------------- --------------------------------------------
TITLE
------------------------- ----------------------------------------------- --------------------------------------------
DATE
------------------------- ----------------------------------------------- --------------------------------------------
</TABLE>

                                                                    Page 9 of 42
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<PAGE>

                        APPENDIX B - MILESTONE ACCEPTANCE

<TABLE>
<CAPTION>
---------------------------------------- -----------------------------------------------------------------------------
<S>                                      <C>
MILESTONE NUMBER & NAME
---------------------------------------- -----------------------------------------------------------------------------
DATE DELIVERED
---------------------------------------- -----------------------------------------------------------------------------

----------------------------------------------------------------------------------------------------------------------
DESCRIPTION OF MILESTONE DELIVERABLES
----------------------------------------------------------------------------------------------------------------------

----------------------------------------------------------------------------------------------------------------------

----------------------------------------------------------------------------------------------------------------------
CUSTOMER COMMENTS
----------------------------------------------------------------------------------------------------------------------

----------------------------------------------------------------------------------------------------------------------

------------------------- ----------------------------------------------- --------------------------------------------
APPROVALS                                    MOTOROLA                                       AMEDIA
------------------------- ----------------------------------------------- --------------------------------------------
SIGNATURE
------------------------- ----------------------------------------------- --------------------------------------------
NAME
------------------------- ----------------------------------------------- --------------------------------------------
TITLE
------------------------- ----------------------------------------------- --------------------------------------------
DATE
------------------------- ----------------------------------------------- --------------------------------------------
</TABLE>

                                                                   Page 10 of 42
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<PAGE>

PORTIONS OF THIS EXHIBIT HAVE BEEN OMITTED PURSUANT TO A REQUEST FOR
CONFIDENTIAL TREATMENT. THE OMITTED PORTIONS, MARKED "[***]," HAVE BEEN
SEPARATELY FILED WITH THE SECURITIES AND EXCHANGE COMMISSION.

                                    EXHIBIT B

                    ITEMIZED ESTIMATED NRE AND SUPPORT COSTS

     [***]

<PAGE>

                                    EXHIBIT C

                                ESCROW AGREEMENT

<PAGE>

                                    EXHIBIT D

                                 SERVICE LEVELS

         P1 PRIORITY SERVICE REQUEST
         Conditions that severely affect service, capacity/traffic, billing and
         maintenance capabilities and require immediate correct action,
         regardless of time of day or day of the week as viewed by a customer on
         discussion with the supplier such as;
         o   a loss of service that is comparable to the total loss of effective
             functional capability of an entire switching or transport system,
         o   a reduction in capacity or traffic handling capability such that
             expected loads cannot be handled, or
         o   any loss of safety or emergency capability.

         P2 PRIORITY SERVICE REQUEST
         Conditions that seriously affect system operation, maintenance and
         administration, etc., and require immediate attention as viewed by the
         customer on discussion with the supplier. The urgency is less than in
         critical situations because of a lesser immediate or impending effect
         on system performance, customers and the customer's operation and
         revenue such as;
         o   any loss of functional visibility and/or diagnostic capability,
         o   short outages equivalent to system or subsystem outages, with
             accumulated duration of greater than 2 minutes in any 24 hour
             period, or that continue to repeat during longer periods,
         o   repeated degradation of DS1 or higher rate spans or connections,
         o   prevention of access for routine administrative activity,
         o   degradation of access for maintenance or recovery operations,
         o   degradation of the system's ability to provide any required
             critical or major trouble notification,
         o   any significant increase in product related customer trouble
             reports,
         o   billing error rates that exceed specifications, or
         o   corruption of system or billing databases.

         P3 PRIORITY SERVICE REQUEST
         Priority assigned to problems that do not significantly impair the
         functioning of the system and do not significantly affect service to
         customers. These problems are tolerable during system use. Minor
         problems are classified based on one or more of the following
         conditions:
         o   Loss of administrative capabilities
         o   Loss of feature functionality
         o   Configuration discrepancies/questions related to error messages or
             alarms that are being generated on the system.
         o   Other equipment or software issues that are not affecting service.

         P4 PRIORITY SERVICE REQUEST
         Priority assigned to a case type of Information. This is normally the
         urgency assigned to problems with low impact and is based on one or
         more of the following conditions:
         o   Basic questions
         o   Cosmetic problems
         o   Documentation errors
         o   RMA Cases.

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