CIENA Introduces Next-Generation Core Networking Capabilities for Enabling Efficient Delivery of High-Growth Broadband Services.

Business Editors/High-Tech Writers

CeBIT 2004

LINTHICUM, Md. and HANNOVER, Germany--(BUSINESS WIRE)--March 17, 2004

Launches CoreStream Agility System That Integrates Automated Wavelength Switching

At CeBIT 2004, CIENA(R) Corporation (Nasdaq:CIEN), a leading global provider of innovative network solutions, today announced the general availability of its newest generation optical networking system, CoreStream(TM) Agility. The system enables an advanced optical core network, required for supporting the adoption of high-capacity services at the edge. Shipping today, CoreStream Agility integrates optical transport and software-enabled wavelength switching in a single system, which has been lab-tested for 40G compatibility.

"Demand for new-generation enterprise and consumer broadband services at the edge of the network, such as Video on Demand, storage and carrier-class data services, is driving service providers' plans for network evolution," said Steve Alexander, chief technical officer at CIENA. "Service providers that want to capitalize on these services require next-generation capabilities in the core, which CoreStream Agility is designed to provide."

CoreStream Agility delivers agile WDM (wavelength division multiplexing) for new levels of network flexibility and efficiency by enabling rerouting of signals and reconfiguration of network traffic via software. Capable of routing 2.5G, 10G and 40G wavelengths for long-haul and ultra long-haul (ULH) network routes, CoreStream Agility also delivers an all-optical bypass to eliminate optical-electrical-optical (OEO) signal conversions and transceivers, allowing capital-cost savings that grow as the network scales. Additionally, the system lowers ongoing operational costs by automating end-to-end service provisioning and management, inventory and resource tracking, and dynamic power management.

CoreStream Agility has already been recognized as a leader in next-generation optical platforms and has been selected by MCI and the U.S. Defense Information Systems Agency (DISA) for their recently announced network builds. CoreStream Agility is deployed and operating in both lab and field applications today.

"Leveraging its strength within the long-haul and ultra long-haul marketplace, CIENA's CoreStream Agility is a flexible and scalable platform for supporting increased traffic growth and service flexibility, enabling reduced costs at the edge/core of the network," said Pat Matthews, The Yankee Group's senior analyst for communications network infrastructure. "As adoption of broadband services like carrier-class Ethernet and numerous others continues to grow, service providers are looking to agile WDM and other technologies that allow them to deliver more customized, more flexible service offerings while driving down both capital and operational costs end-to-end."

"We believe that a reliable, cost-effective core is an essential part of a holistic network solution for service providers as they deliver the high-value broadband and data services that enterprises need for enhanced productivity and that consumers demand," said CIENA's Dawn Hogh, senior vice president, product line management. "These industry-leading enhancements helped secure a leading role for CIENA in the industry's two largest network builds of the last year and will help further extend our lead in this space as the market recovers."

Like preceding CoreStream systems, CoreStream Agility provides a single platform for long-haul and ultra long-haul applications, offers up to 1.92 terabits of optical capacity in the C-band alone, and is L-band upgradeable. CoreStream Agility also includes tunable transceivers with optional G.709 and multiplexing client interfaces, next-generation integrated line amplifiers, and 10-Gigabit Ethernet (GbE) support.

CoreStream Agility features are backward compatible with previous CoreStream systems. Additionally, CoreStream Agility has an ITU optics interface and is fully interoperable with CIENA's CoreDirector(TM) intelligent optical core switch for even greater operational efficiency and service flexibility.

ABOUT CIENA

CIENA Corporation delivers innovative network solutions to the world's largest service providers and enterprises, increasing the cost-efficiency of current services while enabling the creation of new carrier-class data services built upon the existing network infrastructure. Additional information about CIENA can be found at www.ciena.com.

NOTE TO INVESTORS

This press release contains certain forward-looking statements based on current expectations, forecasts and assumptions of CIENA (the Company) that involve risks and uncertainties. Forward-looking statements in this release, including but not limited to the features and benefits of CIENA's products, are based on information available to the Company as of the date hereof. The Company's actual results could differ materially from those stated or implied in such forward-looking statements, due to risks and uncertainties associated with the Company's business, which include the risk factors disclosed in the Company's Report on Form 10-Q filed with the Securities and Exchange Commission on February 19, 2004. Forward looking statements include statements regarding the Company's expectations, beliefs, intentions or strategies regarding the future and can be identified by forward looking words such as "anticipate," "believe," "could," "estimate," "expect," "intend," "may," "should," "will," and "would" or similar words. The Company assumes no obligation to update the information included in this press release, whether as a result of new information, future events or otherwise.