Amati Clears Erroneous Facts Published Today; Licensing issues misrepresented in recent reports.SAN JOSE San Jose, city, United States San Jose (sănəzā`, săn hōzā`), city (1990 pop. 782,248), seat of Santa Clara co., W central Calif.; founded 1777, inc. 1850. , Calif.--(BUSINESS WIRE)--June 21, 1996--Amati Communications Corporation (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on : AMTX), released the following information to attempt to clear some published erroneous reports. Amati Communications does not license any technology from the former AT&T Paradyne. In fact, Amati holds the patent rights for the standard technology basis of the ADSL See DSL. ADSL - Asymmetric Digital Subscriber Line service known as Discrete Multi-Tone (DMT See DSL. ). Companies that are developing standard ADSL products license their technology from Amati. Motorola and Northern Telecom are among the companies that have licensed the Amati technology. The value of ADSL is based on its future potential, but certain facts are true: there are no ADSL services existing today; the potential for high speed data access using ADSL is high but depends on telco and service provider implementation of those services, Amati is the developer of the T1.413 standard for ADSL which is the Discrete Multi-Tone technology, DMT; AT&T Paradyne only offers a non-standard, proprietary version of technology and has yet to be able to deliver any standard compliant products or technology; and Westell, also mentioned in the reports, has announced availability of both Paradyne non-standard and DMT-standard products for future installations. DMT is a unique technology that enhances ADSL by providing the ability to move signals at up to 8 Mbps or greater over existing telephone lines. DMT was chosen as the ADSL standard by ANSI (American National Standards Institute, New York, www.ansi.org) A membership organization founded in 1918 that coordinates the development of U.S. voluntary national standards in both the private and public sectors. It is the U.S. member body to ISO and IEC. and ETSI (European Telecommunications Standards Institute, Sophia Antipolis technical park, Nice, France, www.etsi.org) A non-profit membership organization founded in 1988, dedicated to standardizing information and communication technologies (ICT) throughout Europe. three years ago, following head-to-head competition with an alternative approach called CAP in lab tests by Bellcore. DMT offers several key advantages over the proprietary solutions: higher performance (it can carry more data at longer lengths), higher immunity to noise on the copper loop (permitting more robust service offering with less manual intervention), and rate adaptation (the data rate delivered to any given customer is automatically adapted to the distance and line quality ensuring optimum performance at all times). Currently, more than a dozen different telephone company field trials are based on the Amati products designed with the DMT technology. The products include: the Overture 4 ADSL/DMT modem capable of up to 4 Mbps downstream and 160 Kbps upstream and the Overture 8 ADSL/DMT Modem capable of the fastest ADSL service available today at 8 Mbps downstream and 640 Kbps upstream. Amati Communications Corporation Amati is a leading developer of advanced transmission equipment utilizing DMT technology for the ADSL, Very High-Speed Digital Subscriber Line See DSL. (communications, protocol) Digital Subscriber Line - (DSL, or Digital Subscriber Loop, xDSL - see below) A family of digital telecommunications protocols designed to allow high speed data communication over the existing copper telephone lines between end-users and (VDSL See DSL. VDSL - Very high bit-rate Digital Subscriber Line ) and cable modem markets. Amati is also a provider of network connectivity systems for the internetworking and OEM (Original Equipment Manufacturer) The rebranding of equipment and selling it. The term initially referred to the company that made the products (the "original" manufacturer), but eventually became widely used to refer to the organization that buys the products and marketplaces. The company's connectivity products include local area network gateways, client-based workstation software and network data communications interfaces. -0- Note to Editors: Statements made in this press release which are not historical, including statements regarding product demonstration, product capabilities and markets, are forward looking statements and as such are subject to a number of risks. Please see the Company's prospectus/proxy statement dated Oct. 16, 1995 and other reports filed pursuant to the Securities Exchange Act of 1934 for additional disclosure regarding such risk factors. CONTACT: Amati Communications Corporation Benjamin (Tac) Berry, 415/903-2398 or Simon/McGarry Public Relations public relations, activities and policies used to create public interest in a person, idea, product, institution, or business establishment. By its nature, public relations is devoted to serving particular interests by presenting them to the public in the most Carol Felton, 408/746-0911 cfelton@shandwick.com |
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