Arris Intros Touchstone

SUWANEE, Ga., -- ARRIS (Nasdaq: ARRS), a leading provider of broadband access and cable telephony solutions, and Resolute Networks Ltd., the pseudo-wire Circuit Emulation Service (CES) technology leader, today announced the general availability of the ARRIS TouchstoneR Commercial Services Modem (CSM) 470 T1/E1 MTA, an integrated end-to-end solution enabling Multi-Service Operators (MSOs) to provision T1/E1 services over standard HFC DOCSIS infrastructure. The solution is based on ARRIS' DOCSIS technology implementation and Resolute's standards-compliant CES technology. This solution was developed based on a grant from the BIRD Foundation.

According to Kagan Research, this increased level of activity will lead to the availability of cable-based commercial services to 54% of U.S. businesses by 2007. The joint ARRIS-Resolute solution will be marketed by ARRIS to key MSOs, allowing them to deliver T1 voice, frame relay, and leased line services in the U.S., and similar E1-based services worldwide, over standard DOCSIS infrastructure.

The customer premises part of the solution consists of the ARRIS Touchstone CSM 470 Commercial Services Modem with one T1/E1 port, in addition to a standard 10/100BaseT Ethernet port. With Resolute CES module technology, standard T1/E1 connectivity is provided without the need to replace or reconfigure the T1/E1-based PBX, frame relay access, router or other equipment already installed at the customer premises.

The head-end solution includes a dedicated pseudo-wire CES aggregator based on Resolute module technology, and is designed to minimize rack space and power consumption, while supporting scalability through a range of aggregation density options for handoff of T1/E1 traffic to the carrier TDM network.

"The BIRD Foundation is pleased to see that ARRIS and Resolute Networks have successfully brought this solution to market," said Dr. Eitan Yudilevich, the Executive Director of the BIRD Foundation. "We look forward to the rapid adoption of this solution and its underlying state-of-the-art technology in MSO networks worldwide.

In a separate release:

ARRIS (Nasdaq: ARRS) today announced that it has entered into a joint development agreement, a licensing agreement and a supply agreement with UTStarcom, Inc. (Nasdaq: UTSI) that will together enable the fourth leg of the quadruple play for cable Multiple System Operators (MSOs) worldwide. The joint solution will allow end customers with a Wi-Fi-enabled dual-mode handset to seamlessly roam between their cellular and Wi-Fi connections (a service commonly referred to as Fixed Mobile Convergence (FMC)). ARRIS' FMC solution enables MSOs to add mobility features to their service portfolio and leverage their existing VoIP infrastructure using industry standard protocols. As IP Multimedia Subsystem (IMS) and PacketCableT 2.0 specifications are finalized, the solution's software will evolve to meet those requirements and new applications. UTStarcom's ContinuityT FMC solution is designed to increase network efficiency and coverage through either wireline or wireless networks. It can also enable end users to access a richer set of services and features than were available in the past.

Under the terms of the licensing agreement, ARRIS will license FMC software from UTStarcom. The licensing agreement has an initial term of three years, after which ARRIS will have the right to exercise an option to retain rights in the software. Under the conditions of the development agreement, both parties will jointly create improvements and new and enhanced features for emerging FMC solutions according to the set milestones. The supply agreement calls for UTStarcom to provide ARRIS with the hardware and software for sale to the global cable MSO community. ARRIS will have exclusive marketing rights to the global MSO community per the terms of the supply agreement and UTStarcom will retain exclusive marketing rights to the telco community. The ARRIS FMC solution is planned for shipping in the second half of 2006 with early customer testing already underway. UTStarcom's Continuity FMC solution is available today and is currently in telecom carrier trials.

The ARRIS FMC solution consists of an ARRIS Mobility Application Server (MAS) located in a cable headend that controls the communication between a cable operator's telephony operations and the cellular operator's network. The communication between networks allows for seamless mobility between cellular and IP access networks via standardized cellular signaling mechanisms. In the home, the customer's dual-mode handset voice traffic and signaling is carried via their WiFi connection (such as the ARRIS TouchstoneR TM552 wireless telephony modem (E-MTA)) through the High Speed Internet access provided by the MSO's CMTS (such as the ARRIS CadantR C4T CMTS).

"We are very excited to be able to offer cable operators this elegant fixed mobile convergence solution," said ARRIS New Business Ventures President Bryant Isaacs. "This new capability allows ARRIS to further equip the cable industry with another tool in providing end users with the ultimate converged services portfolio."

Arris Group Inc. (Nasdaq: ARRS)

Resolute Networks Ltd.

UTStarcom Inc. (Nasdaq: UTSI)