Nortel Launches Next-Gen Net Solution

ANAHEIM, Calif. -- Nortel Networks (NYSE:NT)(TSE:NT.) today introduced its next generation optical network solution, integrating best-in-class 40/80 Gbps building blocks to redefine network economics and deliver the lowest cost per managed bit in the industry. Nortel Networks, the global Optical Internet market leader, will showcase this solution at Optical Fiber Conference 2001 in Anaheim, Calif. this week. Building on the worldwide success of its 10 Gbps optical networking equipment, Nortel Networks next generation optical solution will be capable of delivering massive bandwidth that is reliable, flexible and affordable. It will be able to simultaneously carry over a single fiber pair more than 5,000 Gigabit Ethernet connections, or one million DVD movies streamed in real time over the Internet.

Nortel Networks next generation optical solution includes:
-- Nortel Networks OPTera Long Haul 5000 Optical Line System, the industry's first integrated 40 and 80 Gbps platform.
-- Nortel Networks OPTera Connect HDX, the first optical switch to support 40 Gbps services.
-- Nortel Networks MEMS-based tunable laser for 40 Gbps platforms, now in systems trials.
-- Nortel Networks Smart Optical Network, an integrated, multi-layer software solution that enables dynamic delivery of new, revenue-generating optical services.

Nortel Networks OPTera Long Haul 5000 is a completely open DWDM platform designed to support up to 160 wavelengths at 40 Gbps over an industry-leading 1,000+ kilometers. This sets the bar in the industry for optimization of both capacity and distance without regeneration, or "bandwidth reach." Bandwidth reach is a new metric -- representing overall network economics and flexibility -- by which all future optical networking platforms will be measured. Initially, OPTera Long Haul 5000 will be optimized at 104 wavelengths at 40 Gbps over 1,200 km for an industry-leading bandwidth reach of almost five million Gbps km.

Nortel Networks OPTera Connect HDX is a multi-terabit optical switch that provides industry-leading scalability -- from 3.84 to 40 terabits of switching capacity. As the industry's only optical switch that supports both 10 Gbps and 40 Gbps interfaces, it plays a pivotal role by delivering a smooth path from today's networks to disruptive, next generation capabilities.

"Nortel Networks has delivered cutting-edge, disruptive technologies that have fundamentally changed the networking industry, and we will absolutely continue to do so," said Greg Mumford, president, Optical Internet, Nortel Networks. "We will deliver a complete network solution, based on best-in-class building blocks, that focuses on total network economics for delivery of unprecedented new services."

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