EXHIBIT 99.1

   CAI WIRELESS SYSTEMS, INC. COMMON STOCK TO BE LISTED ON THE NASDAQ
                          SMALLCAP MARKET{ SM}


     Albany, NY, January 7, 1998 - CAI Wireless Systems, Inc. ("CAI")
(Nasdaq: CAWS) announced today that beginning January 8, 1998, its Common
Stock will be listed on the Nasdaq SmallCap Market{SM} and will continue
to be listed under the trading symbol "CAWS."

     The Common Stock of CAI is currently listed on the Nasdaq National
Market<reg-trade-mark> ("NNM").  As previously reported by CAI, its
listing on the NNM had been under review by Nasdaq as a result of CAI's
being out of compliance with the net tangible asset listing requirement.
On January 6, 1998, the Nasdaq informed CAI that it had completed its
review of CAI's NNM listing and had concluded that CAI's Common Stock
listing would be transferred to the Nasdaq SmallCap Market{SM} effective
January 8, 1998.

     In connection with the decision, Nasdaq informed CAI that it would
waive the $4.00 per share initial inclusion bid price requirement, but
that CAI would be required to maintain compliance with the $1.00 per
share bid price maintenance requirement for the period from January 8
through January 20, 1998.  Failure to maintain such bid price would
result in immediate delisting from the Nasdaq SmallCap Market.{ SM}
Continued listing on the Nasdaq SmallCap Market{SM} will be subject to
CAI's completion of a new listing application and continued satisfaction
of the maintenance criteria for such market.

     CAI, based in Albany, operates six analog-based wireless systems in
New York City, Rochester and Albany, NY; Philadelphia, PA; Washington,
DC; and Norfolk/Virginia Beach, VA, and provides Internet access services 
in Boston, Rochester and New York City.  CAI also owns a portfolio of
wireless channel rights in eight additional markets, including Long
Island, Buffalo and Syracuse, NY; Providence, RI; Hartford, CT; Boston,
MA; Baltimore, MD; and Pittsburgh, PA.  CAI is the holder of
approximately 51% of CS Wireless Systems, Inc., an MMDS operator based in
Plano, TX.