ADTRAN Announces Converged IP PBX-Switch-Router; New NetVanta 7100 Simplifies VoIP for SMBs and Offers Savings of up to 40%.

HUNTSVILLE, Ala. -- ADTRAN(R), Inc. (NASDAQ: ADTN), a leading supplier of IP-based networking solutions, today unveiled the first in a series of converged Voice over IP (VoIP) solutions, the NetVanta(R) 7100. This unique "office-in-a-box" takes convergence to a new level by combining all of the networking functionality needed for voice, data, and Internet communications in a single easy-to-use platform. The NetVanta 7100 also sets a new price point for IP PBX systems that support 50 users at costs of up to 40% less than traditional multi-product VoIP solutions.

"High costs and network complexity have limited the adoption of VoIP by small and medium businesses (SMB) in the past," stated Tim Saunders, vice president of product management, ADTRAN Enterprise Networks Division. "ADTRAN designed the NetVanta 7100 specifically for SMBs who want the features larger systems offer, but who don't have the IT staff or budget to support a large complex system."

The NetVanta 7100 reduces the complexity of communications for small and medium businesses. These businesses typically have multiple voice, data, and Internet networks supported by different solution providers. The NetVanta 7100 simplifies networking by converging independent networks and multiple product features into one product, while offering one management interface and the option of a single point of contact for support. In turn, this not only simplifies network administration, but saves the customer time and money.

The NetVanta 7100 is a SIP-based PBX designed for business locations with up to 50 stations and includes voicemail, auto attendant, a 24-port Power over Ethernet (PoE) switch, full-featured IP Router, IPSec Virtual Private Network (VPN), stateful inspection firewall, and Quality of Service (QoS) to prioritize voice traffic. The NetVanta 7100 also includes an intuitive Graphical User Interface (GUI) that allows users to easily make changes and add new phones. A personal Web-based phone manager is also included that enables users to change phone configurations easily. ADTRAN's optional n-Command(R) network productivity software enables authorized partners to quickly and easily perform remote system backups and firmware updates for end users.

The NetVanta 7100's wealth of functionality comes from the robust, field-proven ADTRAN Operating System (AOS). The AOS is the foundation for all NetVanta product lines including switch-routers, managed Ethernet switches, IP access routers, and VPN/firewall appliances. Customers will appreciate the familiar Web-based GUI and Command Line Interface (CLI) that are common to all NetVanta products. There are three regularly scheduled releases of AOS each year, which bring added functionality and enhanced performance to NetVanta products at no extra cost.

"For my small business, keeping costs down and enhancing productivity are top priorities. The NetVanta 7100 provides everything I need for networking my computers, phone service and Internet access," said Stief Counts of The Counts Company. "My business is dependent on the ability of my customers to reach me, no matter what hour of the day or night. The NetVanta 7100 provides for all of my networking needs in one reliable system."

The NetVanta 7100 addresses a number of key applications for single-site small and medium businesses including those that are relocating, have outgrown current system capacity, or are upgrading from leased or aging phone equipment. It is also ideally suited for enterprises with branch locations. In these situations, an integrated network can be created by placing a NetVanta 7100 at each location. This allows all locations to enjoy the same benefits, such as three or four-digit dialing between offices. This product also addresses the needs of telecommuters, small business owners, or any employee wanting the ability to work from home. A small VPN appliance, like the NetVanta 2054, at the home office can be connected via the Internet to the NetVanta 7100 at the host site for transparent voice and data access to the main network. This enables these workers to be more productive by functioning as if they were in their main business office.

The NetVanta 7100 brings a number of advantages to ADTRAN's new IP Telephony (IPT) dealers. "The NetVanta 7100 allows us to address new market opportunities by providing a unique solution for SMBs at an attractive price point," said Jim Hayes, president of Hayes and Associates, Inc. "The simplicity of the solution helps reduce costs in a number of ways, including network administration, troubleshooting, inventory, and sparing. This reduces my overhead and preserves profitability, allowing me to pass those savings along to my customers. In addition, ADTRAN is easy to do business with -- we get fast, responsive help whenever we need it."

The NetVanta 7100 offers a compelling price point with costs as low as $220 per port for a small office. It has a North American list price of $5,195 and will be available exclusively in North America in March 2006. ADTRAN is also offering a broad line of IP phones, an IP SoftPhone for PCs and laptops, and other accessories, all priced separately. Like all NetVanta products, the NetVanta 7100 comes with a standard five-year North American warranty. Future plans include expanding this product offering to address larger enterprise customers, globalization of the product line, and the introduction of additional advanced features.

About ADTRAN

ADTRAN, Inc. is one of the world's most successful network access equipment suppliers, with a 18-year history of profitability and a portfolio of more than 1,400 solutions for use in the last mile of today's telecommunications networks. Widely deployed by carriers and enterprises alike, ADTRAN solutions enable voice, data, video, and Internet communications across copper, fiber, and wireless network infrastructures. ADTRAN solutions are currently in use by every major domestic service provider and many international ones, as well as by thousands of public, private and governmental organizations worldwide.

For more information, contact the company at 800 9ADTRAN (800 923-8726) or via email at [e-mail]. On the Web, visit www.adtran.com.