RESEARCH TRIANGLE PARK, N.C. -- Reinforcing its position as a leader in voice over IP (InternetProtocol) technology innovation, Nortel Networks (NYSE:NT)(TSX:NT) has added IP network support to Nortel Networks Succession Media Gateway 9000, providing greater deployment flexibility for delivering new, revenue-generating services over converged voice and data networks.

Succession Media Gateway 9000 is a fully integrated, next generation access platform that bridges Nortel Networks broad portfolio of voice and data edge access technologies. The recent general availability of the Succession Networks SN06 software release enables Succession Media Gateway 9000 to support IP capability in addition to ATM. This new feature enhances Nortel Networks industry-leading portfolio of voice over IP gateways.

Nortel Networks has been delivering Succession Media Gateway 9000 lines since the fourth quarter of 2002, and more than 150,000 lines are expected to be in-service on Succession Media Gateway 9000 by the end of 2003. This IP functionality for Succession Media Gateway 9000 is a strategic addition to Nortel Networks extensive gateway portfolio, which currently contains IP functionality on its industry-leading trunk gateway - Nortel Networks Passport Packet Voice Gateway. Synergy Research Group, in its second quarter 2003 market share report, ranked Nortel Networks as number one worldwide for voice over IP gateways.

"We are removing the boundaries of business through technology innovation that enables service providers to expand business and revenue potential," said Al Safarikas, vice president, marketing, Wireline Networks, Nortel Networks. "Our ability to develop and implement high-value solutions through product enhancements, such as IP support on Succession Media Gateway 9000, exemplifies Nortel Networks continued market leadership in voice over IP. Succession Media Gateway 9000 provides our customers with investment protection today and a bridge to next generation advanced services."

Nortel Networks Corp.