Copper Mountain Networks' New DSL Inverse MUX Solution Turbo-charges Business-class DSL for Enterprise Applications.

PALO ALTO, Calif.--(BUSINESS WIRE)--July 19, 1999--

Symmetric Speeds Up to 12 Mbps Make Copper Mountain IMUX Ideal

for High-End Applications, Branch Office Connectivity, Web Hosting,

"Power Teleworkers," and More

Copper Mountain Networks (Nasdaq:CMTN), the leader in business-class Digital Subscriber Line (DSL) solutions, announced Monday a new Inverse Multiplexing (IMUX) capability that allows carriers to multiply the access speeds delivered by existing CopperEdge(tm) DSL Concentrators through a simple software upgrade. In addition, the company introduced two complementary Customer Premise Equipment (CPE) products: the CopperRocket(tm) 202 Symmetric DSL (SDSL) IMUX Data Service Unit (DSU), supporting speeds of up to 3 Mbps; and the CopperRocket 212 ISDN DSL (IDSL) IMUX, supporting speeds of up to 288 kbps.

The IMUX functionality creates a high-speed connection at a multiple of the speed of a single DSL link, and automatically balances the load across active lines. Copper Mountain's new IMUX capability functions on all devices in the CopperEdge DSL concentrator family, enabling carriers to seamlessly bond up to eight copper pairs and deliver very high bandwidth services - up to 12 Mbps. Copper Mountain's new SDSL and IDSL CPE devices will initially support two lines bonded together for speeds up to 3 Mbps. The company expects to announce a host of additional CPE variants, to be developed by Copper Mountain and its third-party CopperCompatible(tm) CPE partners, that will support additional lines bonded for higher speeds - up to the eight line (12 Mbps) IMUX capability supported by the CopperEdge.

"Over the last year, our carrier customers have aggressively rolled out DSL services to small and mid-sized businesses nationwide. IMUX capability allows carriers to sell 'up market' to larger organizations requiring higher bandwidth to run mission-critical business applications," said Bryan Long, vice president of marketing at Copper Mountain Networks. "Carriers can also satisfy the bandwidth demands of the 'power teleworker' located in the suburbs, by doubling the capacity of extended-reach IDSL service. Additionally, IMUX allows Multi-Tenant Unit (MTU) service providers to offer value added services requiring greater than T1 speeds to business tenants."

"According to Dataquest's July 12 'Worldwide xDSL Market Share and Forecast 1999' report, Copper Mountain is the leader in SDSL," said Kathie Hackler, principal analyst, remote and Internet access telecommunications, Dataquest (San Jose, Calif.). "Product innovations drive up DSL deployment. This solution provides carriers with a higher-value service portfolio, offers an easy migration path for the enterprise, and brings competitive high-speed NxDSL access to business users for little more than the cost of a dedicated 56 kbps connection."

Industrial Strength, Mission Critical High Bandwidth

Copper Mountain's IMUX functionality is based on the Multilink Frame Relay User-Network Interface (UNI) draft standard currently under review by the Frame Relay Forum.

When a connection involves multiple DSL circuits, the IMUX software automatically balances traffic across links and actively monitors the performance of the bonded connection. Should one of the links fail for any reason, the IMUX software automatically forwards data traffic to the active link; when the second link is restored, the software transparently restores the bond and rebalances traffic. The Copper Mountain IMUX solution is deigned for mission-critical applications requiring high-speed connectivity.

Carriers can troubleshoot IMUX connections remotely using their existing CopperView(tm) DSL Access Management System. They can provision IMUX links, check link integrity, monitor performance, and gather traffic statistics. Carriers can also perform loopback tests on the DSL links and verify the signals of the serial interface.

"As usual, Copper Mountain has thought through all the details of its new IMUX offering, from the perspective of both the carrier delivering the service, and the end-user beneficiary," said Jim Greenberg, chief network officer at Rhythms NetConnections, Inc. (Nasdaq: RHTM). "That makes it easy for us to extend our business-class services to a much broader audience nationwide."

No Truck Roll Required

As with all Copper Mountain CPE devices, the CopperRocket 202 SDSL IMUX DSU and the CopperRocket 212 IDSL IMUX feature plug-and-play ZIP!(tm) (Zero Installation Procedure) functionality. There is no software to install and no hardware configuration is necessary at the customer premise. On power up, the CopperRocket automatically identifies itself to the companion CopperEdge DSL Concentrator in the carrier Central Office or MTU facility and downloads the appropriate configuration parameters to begin full operation immediately.

The CopperRocket 202 provides auto-sensing V.35 or EIA530 serial interfaces and automatically configures the serial connection when plugged into an existing router. Because the CopperRocket 202 is a DSU, business customers can easily migrate their access to DSL by replacing their DDS or T1 DSU. There is no change to the customer's Local Area Network (LAN). The CopperRocket 212 provides an Ethernet interface that can connect directly to an existing workstation or hub. This functionality allows the service provider to offer LAN Extension and Internet access for teleworkers and the SOHO market.

"As the fastest growing DSL provider and the first data CLEC to introduce T-1 speed business class DSL, NorthPoint continues to lead the industry by doubling the speeds of its symmetric DSL offering," said John Stormer, NorthPoint's vice president of marketing. "With leading edge technology solutions from Copper Mountain, NorthPoint is introducing innovative choices and greater scalability of services to meet the growing demand for high speed access in the business market."

Pricing and Availability

IMUX functionality is supported by the full line of CopperEdge DSL Concentrators (CopperEdge 200 and CopperEdge 150) through a simple software upgrade.

The CopperRocket 202 Symmetric DSL (SDSL) IMUX Data Service Unit (DSU), supporting speeds of up to 3.0 Mbps is expected to be available in September 1999, for a price of $995 (suggested retail price).

CopperRocket 212 ISDN DSL (IDSL) IMUX, supporting speeds of up to 288 kbps is expected to be available in September 1999, for a price of $895 (suggested retail price).

About Copper Mountain Networks

Founded in January 1996 with offices in Palo Alto and San Diego, Calif., Copper Mountain Networks, Inc., (NASDAQ: CMTN) develops and markets a comprehensive family of DSL solutions that enable high-speed internetworking over existing copper facilities. The company's mission is to enable carriers and other service providers to offer a range of high-performance, cost-effective DSL services that are easy to deploy, use, and manage. Copper Mountain's CopperRocket(tm) CPE family addresses the bandwidth, reliability, ease-of-use, and cost concerns of remote offices and users. Its carrier-class CopperEdge(tm) DSL concentrators and CopperView network management solutions offer a robust and scalable platform for carriers and Multi-Tenant Unit service providers to generate a high return on investment while satisfying the ever-increasing user demand for bandwidth.

Customers wanting more information about Copper Mountain products can contact Diana Helfrich at [phone], or visit the Company's World Wide Web site at http://www.coppermountain.com. For investor relations information, call toll free 877-INFO-CMTN (463-6268) or contact us at [e-mail].

Note to Editors: This news release contains certain forward-looking statements that involve risks and uncertainties. Such statements are only predictions, and the company's actual results may differ materially from those anticipated in these forward-looking statements. Factors that may cause such differences include, but are not limited to, risks related to product development, our ability to keep pace with rapidly changing product requirements, market acceptance of our products, and our ability to meet product development and delivery schedules. These factors and others are more fully discussed under "Risk Factors" and elsewhere in Copper Mountain's Registration Statement on Form S-1 (No. 333-73153), as filed with the Securities and Exchange Commission.

Copper Mountain and all Copper Mountain product names are trademarks of Copper Mountain Networks, Inc. Other brand and product names are trademarks of their respective holders.