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Zhone Technologies Announces Strategic Milestone Of 2,000 MXK™ Platform Deployments Worldwide

Zhone Technologies, Inc. (NASDAQ:ZHNE), a global leader in FTTx network access solutions, today announced the deployment of over 2,000 MXK™ multi-service access node (MSAN) platforms across the globe. Zhone has increasingly focused its development, sales and marketing efforts on the fast-growing Gigabit Passive Optical Network (GPON), Active Ethernet (AE) and Very high bit rate Digital Subscriber Line (VDSL2) markets to augment consumer and business services globally. In July 2011, MXK also reached a significant milestone of being deployed with over 150 service providers in over 40 countries.

“Zhone is a top 5 global player in the emerging FTTH category, based on our analysis of the market,” said David Emberley, research manager of telecommunication infrastructure at IDC. “The strength of Zhone’s position in the global FTTx market is due in large part to its robust product portfolio and targeted focus on access technologies. As a pure-play, Zhone faces tremendous competitive pressure from significantly larger vendors. Zhone's continued technology enhancements and its global customer diversity have enabled it to grow its FTTx deployments significantly in 2010 and 2011. The broadband access market is poised for an upgrade from copper based infrastructure to deep fiber and fiber to the home and Zhone stands to gain further if it can execute its go-to-market strategy.”

Zhone’s powerful combination of best-in-class solution design, continued innovation, technology leadership and global customer service capabilities translates into ongoing expansion of its customer base across the Middle East, Central and Latin America (CALA), Europe and North America regions. Zhone’s leadership status in the global fiber-to-the-home (FTTH) market demonstrates the value that service providers place on the company’s ability to consistently deliver high-quality, high-performance single line multi-service (SLMS)-based multi-service access solutions.

“The MXK, zNID™ GPON and AE Optical Network Terminals (ONTs), Zhone Management System (ZMS™) and Zhone EZ Touch Provisioning™ system offer a powerful combination of customizable solutions for our customers to expand network reach and service offerings in response to rapidly changing user demands,” outlined Brian Caskey, chief marketing officer at Zhone. “Our IP Zhone℠, Zhone FiberHome™ and Zhone FiberCell™ solution portfolios empower operators to sustain the value of their copper, fiber and Ethernet investments long-term and design a cost-effective, scalable and future-proof network.”

Zhone FiberHome portfolio of products and solutions, including the MXK platform, fulfills the network requirements of both international and domestic customers’ broadband expansion efforts for residential and business users and the growing opportunity in the mobile backhaul market provide ongoing opportunities for Zhone to further deploy the MXK platform globally.

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