Canadian pay as you go phone

Business Editors & High-Tech Writers

VANCOUVER, British Columbia--(BUSINESS WIRE)--April 29, 2002

DataWave Systems Inc. (CDNX:DTV) (CDNX:DTV.V) (OTCBB:DWVSF) today announced that it has signed an agreement with Rogers(TM) AT&T(R) Wireless to offer prepaid cellular services at over 8,000 retail locations serviced by DataWave across Canada.

"In addition to enhancing our product line in Canada, we're excited to introduce another prepaid stored valued product that can be delivered through our technology," said Bill Turner, Vice President of Business Development, DataWave Systems Inc.

The DataWave System eliminates the need for retailers to inventory pre-activated "live" cards as it provides for point-of-sale activation of individual prepaid cellular cards as well as DataWave PrePaid PhoneCards. It also allows for automatic inventory replacement and enables retailers to track sales made by individual employees.

"Rogers AT&T Wireless Pay As You Go stands out in Canada as a simple, convenient and affordable way to access wireless communications," said Terry Buckley, Vice President, Retail Sales, Rogers AT&T Wireless. "By ensuring our Pay As You Go product is available for sale at retail locations serviced by DataWave across Canada, we have increased the number of ways that our customers can access this popular prepaid wireless offering."

About DataWave (www.datawave.ca)

DataWave has pioneered the concept of online, point-of-sale activation through a vending unit, ensuring the secure distribution of high value, high shrinkage prepaid products, such as cash cards and phone cards, since it was founded in Vancouver, British Columbia in 1994.

Wireless communications are combined with point-of-sale technologies in the DataWave System to enable it to process transactions, accept a variety of payment methods and generate a number of different reports aimed at assisting the customer. The System works equally well over the Internet, through intelligent free-standing vending machines (DTMs) or with over-the-counter "swipe" units (OTC). As of December 31, 2001 the Company has placed over 2,000 DTMs, OTCs and traditional vending machines and provides prepaid card 'batch activation' services to an additional 500 sites. The Company also wholesales prepaid phone cards to over 8,000 retail locations in Canada.

In addition to its successful prepaid phone card business, the company is currently working with Standard Federal Bank and Coinstar on a three-city pilot with 52 machines, selling MasterCard Prepaid Cards.

About Rogers AT&T Wireless (www.rogers.com)

Rogers Wireless Inc. operates under the co-brand Rogers AT&T Wireless and has offices in Canadian cities from coast to coast. Rogers AT&T Wireless is Canada's leading wireless communications service provider, offering a complete range of wireless solutions including Digital PCS, cellular, advanced wireless data services and one and two-way messaging services to a total of more than 3.4 million customers across the country. Rogers Wireless Communications Inc. (TSE:RCM.B) (NYSE:RCN) is approximately 56% owned by Rogers Communications Inc. and approximately one-third owned by AT&T Wireless Services, Inc.

DataWave Systems Inc.

William Turner, Vice President, Business Development

This news release may include statements that constitute forward-looking statements. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to differ materially from the anticipated results, performance or achievements expressed or implied by such forward-looking statements.

"DataWave" is a registered trademark of the Company. All other trademarks and trade names referred to are the property of their respective owners.

(TM) Rogers Communications Inc. Used under License.

(R) AT&T Corp. Used under License.

The Canadian Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.