SAN JOSE, Calif. -- Redback Networks (NASDAQ:RBAK - News), a leading provider of next-generation IP networking systems, today announced that Bezeq, the national incumbent telecommunications provider of Israel, has selected Redback's SmartEdge Multi-Service Edge Router as the foundation for its next generation broadband IP network. Together with its Israeli partner Taldor Communications, Redback will provide Bezeq service and support to meet their broadband infrastructure requirements.

According to Point-Topic, Israel had 800,000 residential customers using high-speed ADSL (Asymmetric Digital Subscriber Loop) to access the Internet at the end of 2005. Point-Topic also reports that ADSL technology accounts for over 65% of the broadband access market in Israel, which is growing at almost 30% per year. Bezeq chose the SmartEdge router to help it address this growing market along multiple dimensions such as increased bandwidth, service variety and multiple access devices.

"Strong broadband adoption in the Israeli market combined with an upcoming demand for next generation IP services such as VoIP (Voice over Internet Protocol) and IPTV (Internet Protocol Television) has created the need for increased capacity, scalable multicast and quality of service within the broadband network infrastructure," said Eve Griliches, research manager at IDC. "Knowing the thoroughness of Bezeq's selection and testing process, the selection of Redback's SmartEdge system demonstrates it is one of the major contenders in the Multi-Service Edge Router market, integrating carrier class edge routing with scalable Ethernet aggregation and strong subscriber management functions."

"We are pleased to extend our relationship with our long-standing customer Bezeq together with our loyal partner Taldor Communications," said Magnus Almquist, vice president of operations for Redback in Europe, Middle East and Africa. "Redback's SmartEdge and NetOp family of products will enable Bezeq to deliver the full range of IP based services on a personalized basis to residential and business customers on an integrated platform."

Redback Networks Inc.