MILAN -- Italtel, one of the world’s leaders in the integrated voice, dataand video tlc networks and Cisco Systems, world leader in networking for the internet, willcooperate to enable the supply of a multi-service network, based on Italtel’s iMSS (Italtel Multi-Service Solution) innovative platform and Cisco’s data networking technology, to freenet.de AG.

The iMSS network solution and Cisco IP core will allow freenet, which acquired the Mobilcomfixline business, to manage and control Internet dial-up traffic more cost effectively. It alsoallows the company to effect considerable operating cost reductions through the convergence ofits traditional telephony and IP (Internet Protocol) networks. As a result of the development,freenet will offer business and residential subscribers new advanced services over a singleVoice over IP (VoIP) network with Quality of Service (QoS).

The Cisco IP backbone and the iMSS network solution developed by Italtel will be delivered andentered in commercial service within the year.

“The reach of Italtel’s iMSS solution for Next Generation Networks – said Antonio Cassese,Executive Vice President Sales Operations at Italtel – has achieved a fundamental milestone. Infact, Italtel is today finalizing its commitment to enter the very competitive telecom market inGermany. This solid result – observes Cassese – comes from our strong and continuousinvestments in Research and Development focusing on advanced solutions fortelecommunications. It is not by chance that 55% of our employees (1300 people) work in thisarea. IMSS softswitch, a carrier grade VoIP platform, takes Italtel and Italy at the front edge oftechnology in modern telecommunications”.

The main benefit of the Italtel and Cisco solution is the reduction of Operational Expenditure(OPEX) thanks to network rationalization, centralized operational, reduced footprint and powerconsumption. In addition, the iMSS Italtel and Cisco core platform will help freenet increase itsrevenues through the provision of new services including PC telephone calls, IP videocommunication, Internet call waiting and click to dial. This is the first step toward a nextgeneration network capable of managing multimedia communications (voice, data, video) at areasonable cost, with band flexibility, enabling people to communicate anywhere and at anytime.

Claudio Pavanelli, Vice President Worldwide Marketing at Italtel added that “Italtel has gained arecognized worldwide status as provider of Next Generation Networks. The fact that a reputedService Provider like freenet selected us as its partner in the development of its network andservices makes us proud and encourages us to continue in enlarging our market presence”.

Enrico Deluchi, Operations Director at Cisco Systems said: “The convergence of data and voiceover IP makes a network easier and cheaper to run and enables the delivery of new revenuegenerating converged services. As the market evolves further toward IP technology we will seemore projects of this nature. freenet has taken a lead. We are very pleased to be part of thisdeployment alongside our gold partner Italtel”.

Italtel SpA

Cisco Systems Inc.