Tellabs to Acquire Ocular

NAPERVILLE, Ill. -- Tellabs announced today that it will acquire Ocular Networks, a leader in next-generation optical solutions for the metropolitan edge, for about $355 million in cash and options. This acquisition combines Ocular's next-generation technology with Tellabs' strong customer relationships, distribution channels, customer service and field support, expanding Tellabs' addressable market by up to $5 billion in 2003 and $9 billion in 2005.Ocular Networks' Optical Service Xchange™ (OSX) next-generation transport system logically extends Tellabs' position in the metropolitan network by supporting distributed grooming throughout the network. This new technology enables Tellabs to increase network utilization efficiency in more than 1,000 additional central offices and avoid backhauling traffic in the network, offering additional customer savings."This acquisition benefits customers by marrying Tellabs' unique distribution strength with future network architectures," said Richard C. Notebaert, president and chief executive officer of Tellabs. "Now, we will be able to help customers optimize their network efficiency all the way to the edge."Tellabs Inc. Ocular Networks Inc.