3Com Corporation and Siemens Public Communications Networks Integrate Internet Gateway With Digital Switch to Produce First Ever Multi-service Central Office Switch.

SANTA CLARA, Calif.--(BUSINESS WIRE)--March 9, 1998--

3Com's Total Control(TM) Platform and Siemens' EWSD Digital Switch Enable New Generation of Custom Calling Features, Including Voice over IP; Demo at Cebit98

3Com Corporation (Nasdaq: COMS) and Siemens Public Communications Networks, Munich, today announced a joint development agreement that combines voice and data networking to produce the first ever multi-service central office switch.

The companies have integrated 3Com's Total Control(TM) multi-service platform with Siemens' EWSD (Elektronisches Wahlsystem Digital) Class 5 digital switching system to simplify remote access to the Internet and enable delivery of a whole new generation of custom-calling services, including Voice Over IP (VOIP).

This joint development agreement between the two companies positions them at the forefront of network convergence. (Also see today's other 3Com/Siemens announcement, which aims to meet the needs of enterprise customers: "Siemens and 3Com To Roll Out Stackable Solutions For Voice and Data.")

The implementation of the Total Control Internet gateway in the EWSD system enables custom-calling services that can make using the Internet and telephone much easier.

At the same time, telephone network operators can offer efficient Internet access through their existing networks, thereby reducing the investment in new infrastructure. Some of the potential new services are:

-- Improved access to Voice Over IP: This service offers the subscriber the option of completing a telephone call via the conventional telephone network, or optionally, to complete the call via an Internet Protocol (IP) network. The integrated IP telephony gateway provides customer-friendly access to this service. Dial-in access and metering charges are managed within the EWSD multi-service switch.

-- Internet call-waiting: While a subscriber is "surfing" the Internet, the Internet call-waiting service alerts the user to incoming calls in a screen window. Until now, the person being called had no way to recognize and accept incoming calls. The phone line would be continuously busy while the user engaged in an Internet session. The new service allows the recipient to decide whether to accept the call, or to continue the Internet session and perhaps call back later.

-- Call completion: This service is like the Internet call-waiting service, except that the Internet session need not be interrupted in order to accept the call. Using the Voice-Over-IP capability of the integrated EWSD multi-service switch, the recipient can talk from the PC, and thereby continue the Internet session uninterrupted while accepting inbound telephone calls.

-- E-mail waiting indication: The e-mail waiting indication service signals the subscriber that an e-mail message has been received by using the same method used for network-based voice messaging. This information is received at the subscriber's telephone, without the necessity of turning on the PC. The message-waiting information is signaled by means of the telephone display panel -- a LED -- or a special "stutter" dial tone just like voice mail.

-- Subscriber-controlled input: Using Web-based technology, subscribers themselves can configure these custom-calling services for their telephone lines with the help of a user-friendly graphic interface on their PCs. They also can obtain a display of their current service charges online, which in turn can save telco providers an estimated 40 percent in customer provisioning costs.

"The joint effort between Siemens and 3Com takes the industry to the next frontier of communications, and effectively marries the legacy circuit switched network with the burgeoning data communications network to deliver new services," said Ross Manire, senior vice president, 3Com Carrier Systems.

"The combination of Siemens EWSD switches and 3Com's Total Control technology will provide telco service providers with the ability to deploy high-density, scalable, modular systems in their networks, unmatched by any competitive offerings in the market."

In January, 3Com successfully launched VOIP capabilities, built in part on Microsoft(R) Windows NT(R) Server, in its Total Control multi-service platform, an advanced DSP-based system ranked by global industry research firms as the world's leading remote access system in revenue market share.

Changing the definition of remote access, 3Com's Total Control multi-service platform is a next generation, fully modular, carrier-class access system based on 3Com's HiPer(TM) DSP technology that can deliver value-added services such as voice, fax, video, virtual private networking and content - all in a single software-upgradable system. More than three-million Total Control ports have been deployed to date.

In addition, 300 providers, offering services to more than 150 million subscribers in 100 countries, use Siemens' EWSD system, making it the world's leading digital switch and confirming Siemens' long tradition as the premier supplier of solutions for telecommunications infrastructure systems.

"The integration of Total Control technology into Siemens' Class 5 central office switch provides a strategic opportunity for carrier-class remote access, Voice-Over-IP gateway services and a host of other Internet supplementary services," said Hans-Eugen Binder, president of the Switching Networks Business Unit of Siemens Public Communications Networks Group.

"Every installed Siemens EWSD switch can be readily upgraded into a multi-service switch, offering cost reductions for telcos delivering Internet access services."

"This initiative further confirms the role of Windows NT as a standard platform for commercial network services in the emerging convergence of voice, video and data networks," said Cameron Myhrvold, vice president, Internet Customer Unit, Microsoft.

"Microsoft is excited to see 3Com and Siemens using Windows NT Server to drive the next generation of services within the public network." The jointly developed Internet gateway and its new services will be demonstrated at Cebit98 March 19-25 in Hanover, Germany (3Com Booth--Hall 11, B62, Siemens Booth--Hall 14, H14). The product is expected to ship this spring.

About Siemens

The Siemens Public Communications Networks Group is one of the world's leading suppliers of solutions for telecommunications infrastructure systems. In the 1996/97 fiscal year, the Group had 35,000 employees and sales of about 14.5 billion DM. More than 150 million installed EWSD (digital electronic switching system) telephone lines make it the world market leader in digital switching systems.

About 3Com

3Com Corporation enables individuals and organizations worldwide to communicate and share information and resources at anytime from anywhere. As one of the world's preeminent suppliers of data, voice and video communications technology, 3Com has delivered networking solutions to more than 100 million customers worldwide.

The company provides enterprises, network service providers and carriers, small businesses and consumers with comprehensive, innovative information access products and system solutions for building intelligent, reliable and high performance local and wide area networks. For further information, visit 3Com's World Wide Web site at http://www.3com.com, or the press site at http://www.3com.com/pressbox. -0-

Note to Editors: 3Com is a registered trademark, and HiPer and Total Control are trademarks of 3Com Corporation or its subsidiaries. All other brands and product names may be trademarks of the respective companies with which they are associated.

CONTACT: 3Com Public Relations Europe

Sandra van Vreedendaal, 44-118-922-8115

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3Com Public Relations

Philip Anast, 847/797-6576

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Siemens Public Communications Network Press Office

Guenter Gaugler, 49-89-722-36798

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