Ascend Unveils Intelligent Network Advantage Program; Program Speeds Competitive Local Exchange Carriers' Time-to-Market for Value-Added Subscriber Services.

ALAMEDA, Calif.--(BUSINESS WIRE)--March 29, 1999--Ascend Communications, Inc. (NASDAQ: ASND), a leader in wide area networking (WAN) and Intelligent Networking (IN) solutions for providers and users of the next-generation public network, today unveiled a program to help Competitive Local Exchange Carriers (CLECs) rapidly develop and deploy differentiated revenue-generating subscriber services at an affordable price.

The Ascend Intelligent Network Advantage is a carrier-class solution comprised of Ascend application software, continuously available hardware, and start-up professional services. This three-part solution enables CLECs to rapidly develop and deploy subscriber services based on a scalable infrastructure that starts at a low cost-of-entry.

With the Ascend Intelligent Network Advantage Program, CLECs have an alternative to service bureaus for value-added services. CLECs can now afford to deploy in-house Intelligent Network platforms and take control of critical network functions, as well as provide additional revenue generating customer services.

"Ascend's Intelligent Network Advantage Program has enabled Gateway Telephone, a Canadian CLEC, to launch new revenue-producing subscriber services that will expand our market opportunities," said Jim Blumsom, president of Gateway Telephone. "By leveraging Ascend's CLEC suite of "off-the-shelf" turnkey IN applications, we've been able to focus on the business of accelerating our time to market for service roll-out. In addition, the ability to host the IN platform ourselves has given us greater flexibility and autonomy in developing and managing our network."

CLECs participating in the Ascend Intelligent Network Advantage program will benefit from Ascend's business planning, product introduction, and integration services. These applications are available on Ascend's carrier-class Distributed Network Control Platform (DNCP) for small, medium, and large subscriber bases. The DNCP platform is ideal for providing IN services for both current circuit-switched networks and emerging next-generation integrated voice/data/video networks.

"As the CLEC market expands and becomes increasingly competitive, differentiation is the key to success in attracting both investors and customers," said Rod Randall, vice president, marketing, Carrier Signaling & Management, Ascend Communications. "These solution packages allow a CLEC to immediately go from basic connectivity or niche offerings, to a full-service provider in one easy step, without the high up-front costs of traditional telecom equipment makers."

Ascend IN Software Applications Help CLECs Generate Revenue and Reduce Costs

Ascend IN solutions are proven applications that include:

-- Advanced Calling Services: an integrated, multi-service

application for personal and Enhanced 800, 900/Premium Rate,

and Televoting services. Ascend's Advanced Calling Services

features an intuitive Web-based graphical Call Plan Editor

that allows customers and service providers to make

real-time updates to their call plans, resulting in enhanced

customer satisfaction and reduced CLEC operating costs.

-- Caller Name: a high-demand revenue-generating service that

displays the calling party's telephone number and the name

of the billing customer for that number. Ascend's Caller

Name supports a high quality database that allows CLECs to

offer this popular service with nationwide coverage,

resulting in additional recurring monthly subscriber fees.

-- Voice Virtual Private Network: a robust, customizable

service that enables a private numbering plan to be overlaid

on a public numbering plan, providing a consistent dialing

structure that allows extensions to be used for

intra-company calls among geographically dispersed

businesses. Since the subscriber uses the public network

instead of dedicated private lines with this service,

significant cost savings are achieved in addition to

increased subscriber revenues.

-- Local Number Portability: allows customers to keep their

telephone numbers if they switch local carriers. This

computer-based in-house solution provides CLECs with a

cost-reducing alternative to service bureau offerings.

-- Service Management System: provides the ability to manage

and provision multiple IN services on multiple IN platforms

via a common interface at local or remote operator consoles.

The Ascend Intelligent Network Advantage supports multiple services including the Ascend SS7 Gateway (ASG), the first commercially available industry implementation of a framework for integrating SS7 with data networks. The ASG currently supports Internet call diversion, redirecting resource-consuming Internet traffic from the Public Switched Telephone Network (PSTN) directly onto data networks. This reduces the need for traditional voice circuits, allowing carriers to evolve their PSTN to an integrated packet network using SS7 so that they can provide enhanced voice and data services over IP/ATM. As carriers deploy integrated voice/data networks, the Ascend Intelligent Network Advantage will allow them to offer consistent IN services in the next-generation environment.

DNCP Systems - Carrier-Class Platforms for CLECs

Ascend's DNCP systems are open-standards platforms, based upon Hewlett-Packard's PA-RISC architecture and the HP-UX operating system, which ensure continuous availability and reliability. CLECs can choose from three DNCP models - all scalable to handle additional subscribers and services - to fit a small, medium, or large subscriber base.

Availability and Pricing

Ascend Intelligent Network Advantage solutions are available immediately. Complete solutions include start-up professional services, carrier-class DNCP platforms, SS7 stack, SMS, LNP, and IN applications such as Advanced Calling Services (E800/E900/Televoting), Voice VPN, and Caller Name; all starting at $494,000 ($US). Customers outside the U.S. should contact their local Ascend representative or reseller for pricing and availability information.

About Ascend Communications

Ascend Communications, Inc. (NASDAQ:ASND) develops, manufactures, sells and services wide area networking solutions for telecommunications carriers, Internet service providers and corporate customers worldwide.

For more information about Ascend and its products, please visit the Ascend Web site at www.ascend.com, or send e-mail to [e-mail]. For Investor Relations, please call our communications hotline at 800-648-3059 or 760-704-4423 (outside the US & Canada). Additional investor information can also be accessed on our Web site at: http://www.ascend.com/investor/. Ascend is headquartered at One Ascend Plaza, 1701 Harbor Bay Parkway, Alameda, Calif. 94502; phone is 800/ASCEND4 and fax is 510-814-2300.

In January 1999, the Company entered into an Agreement and Plan of Merger (the "Merger Agreement") with Lucent Technologies Inc. ("Lucent"), pursuant to which, each outstanding share of Ascend common stock will be exchanged for 0.825 shares of Lucent common stock and each outstanding option or warrant to purchase Ascend common stock will be converted into an option or warrant to purchase Lucent common stock (adjusted for the exchange ratio).

In February 1999, Lucent announced a two-for-one stock split, payable on April 1, 1999, to shareholders of record as of March 5, 1999. Under the terms of the Merger Agreement, the exchange ratio will be adjusted for the effect of this stock split and any similar changes in the capitalization of Lucent.

This release, other than historical financial information, contains forward-looking statements that involve risks and uncertainties. The results or events predicted in these statements may differ materially from actual future events or results. For instance, factors which could cause actual events or results to differ from anticipated events or results include the rate of development of new and enhanced technology by Ascend and its competitors, the integration of new businesses, the introduction and market acceptance of new products by Ascend and its competitors, competitive pricing actions and marketing programs, among others. Readers are referred to the documents filed by Ascend Communications with the Securities and Exchange Commission, specifically the most recent reports on forms 10-K and 10-Q, which identify important risk factors which could cause actual results to differ from those contained in the forward-looking statements.