IMT Vislink Receives $360,000 Order for NewStream Mobile Broadcast Transmission Solution from Prominent U.S. Television Station

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SARASOTA, FL, OCTOBER 23, 2017 - xG Technology, Inc. ("xG" or the "Company") (Nasdaq: XGTI, XGTIW), a leading provider of wireless video solutions to broadcast, law enforcement and defense markets, and private mobile broadband networks for critical communications, announced that its IMTVislinkbusiness has received a $360,000 order from a prominent U.S. television station for its NewStream comprehensive mobile broadcast transmission solution.

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NewStream is a multi-mode mobile transmission system that makes gathering and transmitting live news and events a seamless experience. NewStream combines microwave, satellite and cellular newsgathering technologies into a single 2-rack unit chassis, with an easy-to-use front panel that simplifies workflow. The unit allows for on-the-fly switching of transmission technology in the field, depending on the most efficient method of newsgathering available on scene.

NewStream was specifically designed to meet both current and future requirements, providing broadcasters a clear upgrade path to multi-channel newsgathering. NewStream can easily integrate with a variety of other IMT Vislink uplink products for additional data and video applications. With its vendor-agnostic design, NewStream can easily provide multi-channel support to any existing newsgathering system.

"The NewStream system delivers a comprehensive, future-proof solution that has enjoyed a stellar reputation for meeting the evolving needs of the broadcasting industry," says John Payne IV, president of IMT USA. "With streamlined design, industry-leading RF performance, a highly expandable technology platform and exceptional ease of use, NewStream takes the overall efficiency of newsgathering operations to a new level."

About xG Technology, Inc.

xG Technology's brands provide wireless video solutions to broadcast, law enforcement and defense markets, and private mobile broadband networks for use in challenging environments. xG's brand portfolio includes Integrated Microwave Technologies (IMT), Vislink, and xMax.

IMT has pioneered advanced digital microwave systems and is a trusted supplier to broadcast, sports and entertainment, and MAG (Military, Aerospace & Government) markets. Their products are recognized for their high level of performance, reliability, build quality, extended operating ranges and compact form factors. More information about IMT can be found at http://www.imt-solutions.com. Vislink specializes in the wireless capture, delivery and management of secure, high-quality, live video, and serves broadcast & media and public safety & surveillance markets. More information about Vislink can be found at http://www.vislink.com/.

xMax is a secure, rapid-deploy mobile broadband system that delivers mission-assured wireless connectivity in demanding operating environments. It was designed to serve as an expeditionary and critical communications network for use in unpredictable scenarios and during fluid situations, making it ideal for disaster response, emergency communications, and defense applications. More information about xMax can be found at http://www.xgtechnology.com/system-overview/. In addition to the above business lines, xG has a dedicated Federal Sector Group (xG Federal) focused on providing next-generation spectrum sharing solutions to national defense, scientific research and other federal organizations. Additional information about xG Federal can be found at http://www.xgtechnology.com/technology/xg-federal/.

Based in Sarasota, Florida, xG Technology has over 100 patents and pending patent applications. xG is a publicly traded company listed on the NASDAQ Capital Market (symbol: XGTI) For more information, please visit www.xgtechnology.com.

Cautionary Statement Regarding Forward Looking Statements

Statements contained herein that are not based upon current or historical fact are forward-looking in nature and constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Such forward-looking statements reflect the Company's expectations about its future operating results, performance and opportunities that involve substantial risks and uncertainties. These statements include but are not limited to statements regarding the intended terms of the offering, closing of the offering and use of any proceeds from the offering. When used herein, the words "anticipate," "believe," "estimate," "upcoming," "plan," "target", "intend" and "expect" and similar expressions, as they relate to xG Technology, Inc., its subsidiaries, or its management, are intended to identify such forward-looking statements. These forward-looking statements are based on information currently available to the Company and are subject to a number of risks, uncertainties, and other factors that could cause the Company's actual results, performance, prospects, and opportunities to differ materially from those expressed in, or implied by, these forward-looking statements.

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