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Zhone Technologies Surpasses Strategic Milestone Of 3,000 MXK™ Platform Deployments Worldwide

Zhone Technologies, Inc. (NASDAQ: ZHNE), a global leader in FTTx network access solutions, today announced the deployment of more than 3,000 MXK™ multi-service access node (MSAN) platforms worldwide. Zhone embraces the growing demand for Gigabit Passive Optical Network (GPON), Active Ethernet (AE) and very high bit rate Digital Subscriber Line (VDSL2) connectivity and continues to equip its customers with products and solutions aimed at addressing their bandwidth concerns and shifting consumer expectations.

“According to our market assessment, Zhone is a steady top five FTTH network provider in all the markets they address,” stated Teresa Mastrangelo, principal analyst at Broadbandtrends. “With recent updates to the Zhone FiberHome and Zhone FiberCell portfolios and the introduction of Zhone EZ FiberService, the company is poised for continued leadership in the global FTTx market with complementary presence in the mobile backhaul market. Zhone’s continued focus on product development has enabled it to grow its presence both domestically and abroad. We expect demand for FTTx services to grow at a 14-16% CAGR over the next 3-5 years with continued strong growth expected in the U.S., Latin America and European markets where Zhone continues to focus its efforts.”

According to USA Today, consumer demand for wireless broadband is anticipated to increase sixty-fold by 2015, and Zhone’s subsequent, ongoing expansion of its customer base across the Middle East, Central and Latin America (CALA), Europe and North America is a result of the powerful combination of best-in-class solution design, continued innovation, technology leadership and global customer service capabilities. 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 access solutions.

“The four-pronged offering of Zhone’s MXK, zNID™ GPON and AE Optical Network Terminals (ONTs), Zhone Management System (ZMS™) and Zhone EZ Touch Provisioning™ system provides the customizable solutions that our customers expect, designed to expand network reach and service offerings,” explained Brian Caskey, chief marketing officer at Zhone. “Each of our solution portfolios – the IP Zhone℠, Zhone FiberHome™ and Zhone FiberCell™ – endow our customers to enhance the value of their own copper, fiber and Ethernet investments for the long-term and craft a cost-effective, scalable and future-proof network for their individual subscribers. The recent deployment with Mobily and continued expansion with Etisalat – along with other recent customer announcements – are further proof of the MXK’s ability to address leading operator requirements for high performance, scalability, flexibility and overall system reliability.”

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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