1. Internal Presentation Extreme /VL Positioning August 2011

2. Disclaimer 2 This presentation contains forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These statements are based on the current expectations or beliefs of Alvarion’s management and are subject to a number of factors and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. The following factors, among others, could cause actual results to differ materially from those described in the forward-looking statements: potential impact on our business of the current global recession, the inability of our customers to obtain credit to purchase our products as a result of global credit market conditions, the failure to fund projects under the U.S. broadband stimulus program, continued delays in 4G license allocation in certain countries; the failure of the products for the 4G market to develop as anticipated;, Alvarion’s inability to capture market share in the expected growth of the 4G market as anticipated, due to, among other things, competitive reasons or failure to execute in our sales, marketing or manufacturing objectives; the failure of the Alvarion’s strategic initiatives to enable Alvarion to more effectively capitalize on market opportunities as anticipated; inability to further identify, develop and achieve success for new products, services and technologies; increased competition and its effect on pricing, spending, third-party relationships and revenues; as well as the inability to establish and maintain relationships with commerce, advertising, marketing, and technology providers and other risks detailed from time to time in the Company’s 20-F Annual Report Risk Factors section as well as in other filings with the Securities and Exchange Commission. The information in this presentation is provided solely for information purposes, and is not a commitment, promise or legal obligation to deliver any products, features and/or functionalities, and should not be relied upon in making purchasing decisions. The development, release and timing of any products, features and/or functionalities described remains at the sole discretion of Alvarion. If and when any products, features and/or functionalities are offered for sale by Alvarion, they will be sold under agreed upon terms and conditions. This information may not be incorporated into any contractual agreement with Alvarion or its subsidiaries or affiliates. Alvarion makes no representations or warranties with respect to the contents of this presentation, and specifically disclaims any express or implied warranties of merchantability or fitness for any particular purpose. Copyright 2011 Alvarion Ltd. All rights reserved. Alvarion®, its logo and certain names, product and service names referenced herein may be either registered trademarks, trademarks, tradenames or service marks of Alvarion Ltd in certain jurisdictions. All other names are or may be the trademarks of their respective owners. The content herein is subject to change without further notice. “WiMAX Forum” is a registered trademark of the WiMAX Forum. “WiMAX,” the WiMAX Forum logo, “WiMAX Forum Certified” and the WiMAX Forum Certified logo are trademarks of the WiMAX Forum. Proprietary and Confidential. For Internal Use Only.

3. High Level Guidelines 3 Proprietary and Confidential. For Internal Use Only. General Offering Point-to-Point market - BNB Point-to-Multipoint market - depends on vertical, customer needs, project life cycle, competition and application VL / BNBExtreme When to SellExpansion of existing installations New accounts What to Look For Low capacity applications Low cost barriers High capacity applications Mission critical applications Limited spectrum Sample UsageWater metering data collectionWISPs Special network needs High capacity PTP - BNB 300Limited spectrum NomadicSupportedNoisy environment Frequencies2.4, 4.9 – 5.9 GHz3.65, 3.4-3.8, 4.9 & 5.X GHz

4. High level Positioning Guidelines Extreme – Main Strengths QoS and up / down link management Optimized to work with many endpoints (CPE’s) Capable of coping with limited / congested spectrum Best product for noisy environment Nomadic 16e to compete with 16d/16e requirements Real time applications / mission critical applications Solution in 3.65, 3.4-3.8, 4.9 and 5.xGHz Technology strength – advanced antenna system, link reliability (HARQ, MIMO A) VL / BNB – Main Strengths Competitive cost Asymmetrical links configuration (AU, BU, SU ) enabling intense up-link performance (for VS) Long range coverage High capacity up link “Pay-as-you-grow” licensed based Easy provisioning and implementation Channel familiarity Simple solution for implementation 4 Proprietary and Confidential. For Internal Use Only.

5. MarketApplication & Services Specific Needs Product Offering Benefits Smart City Smart City – multiple smart applications Extreme Service oriented networking and bandwidth management Carrier-of-carrier approach ROI Video SurveillanceHigh up-link Scalability of deployment (very small to city wide) VL / BNB Asymmetrical links configuration (AU, BU, SU) enabling intense up-link performance Competitive cost “Thin” backbone NLOS MPEG 4 ver.2 Extreme Video optimized QoS Advanced antenna system Enhanced Transportation Management (non mobile) Real-time oriented Mission critical applications NLOS Extreme Enhanced QoS Scheduled system supporting real-time Advanced antenna system Transportation MonitoringTypically for smaller network size Non mission critical VL/ BNB Competitive cost Asymmetrical links configuration (AU, BU, SU) enabling intense up-link performance Backhaul to WiFi AccessLayer 2 WiFi subscriber Extreme / VL Extreme - enhanced networking capabilities Complementary solution for prime infrastructures First RespondersReal-time and nomadic services Extreme 4.9Ghz, 5.xGhz Vehicular SU Centralized provisioning Markets and Applications

6. MarketApplication & Services Specific Needs Product Offering Benefits Mining Multiple smart applications Extreme Service oriented networking and bandwidth management Centralized provisioning Diverse services for fixed or nomadic TCO Video SurveillanceHigh up-link VL / BNB Asymmetrical links configuration (AU, BU, SU) Competitive cost SensorsReal-time / NLOS Extreme Scheduled system supporting real-time Advanced antenna system Enhanced networking capabilities Low BW requirements VL Competitive cost Scalability for growing needs (Software upgrade path) Remote control over automated & autonomous vehicle Full mobility Low latency Remote video capabilities Extreme / 4M Advanced antenna system Real-time support Full inherent mobility Vehicular SU Markets and Applications

7. MarketApplication & Services Specific Needs Product Offering Benefits WISPs Data, Voice Advance networking features for broadband needs and SMBs QoS CPE for Voice & Data Extreme QoS and up / down link management Supports more then 200 CPE’s per sector Centralized authentication Enhanced networking options for diverse services NGV as residential gateway Business Building ConnectivityCapacity driven Data / Voice E1 / T1 replacement B-100 / B300High Capacity Scalability for growing needs (Software upgrade path) Utilities SCADA BackhaulReal-time monitoring and control ExtremeEnhanced QoS Scheduled system supporting real-time Asset ProtectionMonitoring Leak prevention Video Surveillance VL / BNBCompetitive cost Asymmetrical links configuration (AU, BU, SU) specially for video usage Extended uplink (SU-V 8 Mbps / 12 Mbps) Markets and Applications

8. MarketApplication & Services Specific Needs Product Offering Benefits Oil, Gas & Maritime Smart Private Network - multiple smart applications Extreme Service oriented networking and bandwidth management Centralized provisioning Diverse services for fixed or nomadic Ship-to-ship or rig-to-shore connectivity Coverage High Capacity Link BNB100 / BNB300 Long coverage High Capacity Mobile Work ForceMobility / Nomadic Extreme / 4M Advanced antenna system Centralized provisioning Inherent mobility Vehicular SU Remote Office ConnectivitySecured link Nomadic Extreme / VL Encryption (AES128 in both) Extreme - Centralized management – (AAA) for authentication enabling nomadic applications VSU with Extreme for mobile office SensorsReal-time / NLOS Deployment specific needs Extreme Scheduled system supporting Real-time Advanced antenna system Enhanced networking capabilities Low BW requirements VL / BNB Competitive cost Scalability for growing needs with Software upgrade “pay-as-you-grow” Markets and Applications