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TeraForce Launches Metro Optical Unit

RICHARDSON, Texas -- TeraForce Technology Corporation (Nasdaq:TERA) today announced the launch of its newest business unit, Aegean Networks Incorporated.

Aegean Networks was formed to develop and commercialize a new generation of optical networking solutions that gives carriers a compelling and elegant means for adding value in their networks. Key to the Aegean product line is proprietary technology that enables dynamic service provisioning and metering, allowing service providers to enhance value in existing networks as well as incorporate an enhanced value mechanism as they expand their networks. Aegean Networks' mission is to redefine the economics of broadband service delivery and revolutionize the way service providers build networks and deploy services in the Metro space.

"This launch is the culmination of extensive technological and market planning and sets the stage for the next phase of our optical networking initiative," stated Dr. Eugene Helms, Executive Vice President of TeraForce Technology. "We are now focused on soliciting and collaborating with technology and business partners in Aegean Networks to facilitate intensive development of the Aegean product line."

Aegean Networks Inc.
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