Zhone Announces Over One Million Subscriber Interfaces Shipped

Zhone Announces Over One Million Subscriber Interfaces Shipped

    Business Editors/High-Tech Editors

    OAKLAND, Calif.--(BUSINESS WIRE)--Jan. 5, 2005--

MALC and Raptor Shipments Exceed Over 3000 Units to Growing List of Global Service Provider Customers With Capacity for Over One Million FTTP or DSL Subscribers
    Zhone Technologies, Inc., the first company dedicated to building total-delivery solutions for voice, data and content services worldwide, announced today that it has shipped platform capacity supporting over one million broadband subscribers to carriers worldwide. Each service slot in the compact, packet-based MALC and Raptor packet loop carrier (PLC) supports up to 32 FTTP or 48 ADSL2+ subscriber terminations. With over 3,000 MALC and Raptor platforms shipped and over a quarter-million active ports in service, this deployment footprint represents capacity for over one million subscriber terminations.
    "Zhone continues to demonstrate accelerating market penetration with its MALC and Raptor products," stated Teresa Mastrangelo, Program Director for the Global Broadband Access program at RHK. "Access remains the largest impediment to deliver of new broadband services and DSL continues to gain strength as the dominant broadband access technology. With their MALC and Raptor products, Zhone is addressing the need for flexible, broadband solutions that scale to deliver high bandwidth applications."
    In addition to providing carriers with the ability to deliver IPTV, VoIP and Triple Play services, Zhone's MALC and Raptor offer the greatest flexibility and density of any platform on the market with support for up to 960 ADSL2+ ports in a 7U chassis. With options for integrated metallic test, POTS ports and splitters, MALC simplifies network integration efforts while delivering downstream data rate services up to 24 Mbps and upstream data rates ranging up to 3 Mbps over existing copper loops.
    The MALC is also fully NEBS level 3 and GR-487 compliant to provide reliable service in a wide range of applications -- from the rigorously controlled environments of RBOC COs, to remote terminals and extreme climates ranging from North Dakota to North Africa. Only Zhone's MALC and Raptor products offer the diverse port counts, form factors and environmental protections needed to provide universal broadband delivery.
    This flexibility allows carriers to minimize loop lengths and provide precisely the right sized DSL platform for every demographic requirement. Subscribers beyond the standard serving area benefit from extended reach capabilities while carriers create new revenue opportunities with new broadband subscribers and deliver new bundled services including switched digital video.
    In addition to support for both high-bandwidth copper and fiber access lines, MALC also supports integrated transport using Gigabit Ethernet and Resilient Packet Ring (RPR) technology. RPR provides many of the characteristics found in conventional SONET networks including QOS, sub-50 ms protection switching and simplified provisioning. However, unlike SONET, RPR allows carriers to efficiently and cost-effectively handle both TDM and packet traffic including multicast and broadcast video traffic.
    As the industry's first next-generation, high-density packet loop concentrator, the MALC has been specifically designed to support transport and distribution of voice, data and video services in a single platform. The MALC uniquely facilitates the migration to packet networks by allowing carriers to deploy today using TDM circuit and ATM technology and migrate to entirely IP packet access and transport as their needs and networks dictate without incremental hardware.

    About Zhone Technologies, Inc. (Zhone)

    Zhone (Nasdaq:ZHNE) designs and manufactures network equipment for network operators worldwide. Zhone's products allow network operators to deliver a rich array of voice, data, video, and entertainment services over their existing networks while simultaneously retooling for converged packet based voice (VoIP) and video (IPTV) over copper or fiber access lines.
    Zhone's advanced networking solutions include the Single Line Multi-Service architecture (SLMS(TM)), Multi-Access Line Concentrator (MALC(TM)), Raptor(TM) ATM/IP DSLAMs, Zhone Residential Gateways (ZRG(TM)), GigaMux(TM) Optical Transport Systems and Zhone Management System (ZMS(TM)). With deployments at over 300 carriers including among some of the world's largest networks, Zhone has enabled network operators to reinvent their businesses. For more information, please visit http://www.zhone.com.

    Zhone, the Zhone logo, and all Zhone product names are trademarks of Zhone Technologies, Inc. Other brand and product names are trademarks of their respective holders. Specifications, products, and/or product names are all subject to change without notice. Copyright (C) 2005 Zhone Technologies, Inc. All rights reserved.

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CONTACT: Zhone Technologies, Inc. Investors, 510-777-7013 investor-relations@zhone.com Jessica Mullens, 510-777-7020 (Media) jmullens@zhone.com www.zhone.com

KEYWORD: CALIFORNIA INDUSTRY KEYWORD: MANUFACTURING TELECOMMUNICATIONS NETWORKING INTERNET E-COMMERCE PRODUCT SOURCE: Zhone Technologies, Inc.

Copyright Business Wire 2005