Tellabs Acquires Future Networks

Lisle, Ill. — Tellabs will acquire Future Networks, a leader in standards-based voice and data cable modem technology, enabling Tellabs to provide cable operators with an end-to-end multi-services solution based on Internet protocol. Through the acquisition, Tellabs stakes out a leading position in the rapidly growing cable data and telephony markets, which industry experts forecast will grow explosively from $1 billion in 2000 to $7 billion in 2003.

Tellabs is a world leader in cable telephony solutions with over 1.3 million lines deployed in North America, South America, Asia and Europe. The CABLESPAN® system delivers voice, data and video to homes using a single connection to a cable network. Joined with the CABLESPAN® system and the SALIX® family of next generation switches and gateways, Future Networks brings a complete line of cable data modems based on Data Over Cable Service Interface Specification (DOCSIS), EuroDOCSIS and PacketCable specifications to Tellabs' end-to-end solution. Future Networks is the leader in the emerging integrated voice and data cable modem market with a proven ability to develop products that meet the rigorous standards processes. Its next-generation Embedded-Multi-Media Adapters (E-MTA) are currently in trials.

www.tellabs.com