Fujitsu Delivers Powerful FASST Solutions to Help Service Providers Transition to Critical New Services & Delivery Models.

Business Editors/High-Tech Writers

RICHARDSON, Texas--(BUSINESS WIRE)--June 7, 2004

New Partnership Pairs Fujitsu's Proven Transition Track Record

with Innovative Technologies from Atrica and CoSine

Fujitsu Network Communications Inc., a leading supplier of IT and networking solutions, today announced an all-out, major assault on the advanced packet network market with a new network-based service delivery initiative. Fujitsu is targeting service providers and Multiple System Operators (MSOs) who wish to transition to an efficient packet infrastructure capable of delivering the new business and broadband services required for them to effectively compete, while leveraging their installed infrastructure as well as advanced Optical Ethernet infrastructure. These carriers are finding this task impossible with products currently offered by traditional IP vendors. To satisfy this growing solution gap, Fujitsu has partnered with innovative companies, including Atrica(R) and CoSine Communications(R) (Nasdaq:COSN), to create the Flexible Architecture for Subscriber Service Termination (FASST(TM)) solution portfolio.

FASST is an architecture and solution suite optimized for transition management. This unique partnership enables service providers to manage the many critical transitions they must execute, while mitigating risk, leveraging their multi-billion dollar investments in Synchronous Optical Networking (SONET), ATM, Frame Relay, IP, Multiprotocol Label Switching (MPLS) and Operational Support System (OSS) products, and taking advantage of advanced Optical Ethernet technology. Central to these transitions is the shift to more profitable service delivery models that enable a broad range of differentiable carrier class Ethernet services, managed IP services and advanced Triple Play, along with the migration of existing corporate data services (e.g., Frame Relay, ATM and Ethernet) to a converged core network based on MPLS.

Applications supported by FASST include Voice over IP, secure Internet access, Transparent LAN Service (TLS), Frame Relay/ATM services, video conferencing, video on demand (VOD), broadcast video, Storage Area Networking (SAN) and business continuity. FASST enables service providers to differentiate themselves with fully tested and complementary technologies and solutions, with attributes that can be manipulated in order to set themselves apart from their competition and sell new subscriber offerings.

Initial solutions in the FASST portfolio comprise carrier-class Optical Ethernet systems by Atrica, and managed IP service and Advanced Subscriber Management (ASM) platforms by CoSine Communications. Atrica's Optical Ethernet systems combine the low cost, proven scalability, management ease and ubiquity of Ethernet technology with the critical carrier-class features demanded by today's service providers.

CoSine Communications delivers the necessary IP infrastructure to provide value-added services that are clearly differentiable from the commoditized services available in baseline routers, in a delivery model that scales Return on Investment (ROI) for mass-market penetration.

These FASST platforms add guaranteed Service Level Agreements (SLAs), granular traffic management, carrier-class resiliency (e.g., sub-50 millisecond), prioritization, integration with circuit switched networks, Ethernet Circuit Emulation Services (CES) for support of Time Division Multiplexing (TDM) traffic, and point-and-click Operations, Administration, Maintenance and Provisioning (OAM&P) for packet networks.

"Service providers need the best-of-both worlds -- they want to exploit critically needed advanced technologies from innovative companies, but also seek partners who are of similarly large operational scale that can help them smoothly manage transitions within the tremendous size and scale of their operations," said Michael Kennedy, managing partner of Network Strategy Partners, LLC. "Fujitsu is clearly in the top tier of networking suppliers, not only a large player but one with the level of conservative financial management and the solid reputation for high quality that carriers are looking for in today's uncertain marketplace. The coupling of Fujitsu's operational experience with the progressive technologies supplied by the FASST alliance partners is a compelling transition-based approach that fits well with the needs of the North American market."

Fujitsu brings to FASST a proven track record in helping large carriers smoothly execute some of the industry's most complex transitions, including the wholesale transition from Asynchronous to SONET transmission infrastructures, the addition of next-generation Wavelength Division Multiplexing (WDM) networks and the associated speed increases from 150 Mbps to 1.76 Tbps capacities, while ensuring that business operations remain stable and uninterrupted. Fujitsu's unparalleled transition management and systems integration expertise is now being called upon to assist service providers with their latest critical transition without requiring forklift upgrades nor jeopardizing billions of dollars in core service revenue.

Fujitsu's world-class testing and certification process, applied across all FASST solution products, will ensure the highest levels of quality are met to speed the service provider's acceptance and deployment phase. Fujitsu's services group will leverage its multi-protocol (SONET, WDM, TDM, FR/ATM, IP, Ethernet and MPLS) and multi-vendor capabilities to provide network design, deployment, training and maintenance services across all FASST solution products, ensuring smooth transitions, speeding time-to-market and reducing operational costs. Tier One service support is also provided across all FASST solution products, giving the service provider an integrated support structure.

"Service providers recognize that transitioning services portfolios and delivery models, as well as exploiting new infrastructure technology are major undertakings -- and one-size-fits-all approaches which rely on forklift infrastructure changes are simply not practical," said George Chase, group president and chief operating officer of Fujitsu Network Communications. "Initial customer reaction to FASST has been extremely positive because we have effectively delivered transitions for them in the past. Unlike other vendors, we understand that transitions of this magnitude will not happen overnight and must occur in a manner that allows carriers to leverage the billions invested in existing networks, while introducing new technology such as Optical Ethernet. FASST brings together solutions that are complementary and migratory, yet provide the necessary technologies that traditional IP vendors have failed to deliver."

Other companies will join FASST in the future and additional information will be made available about them at that time.

About Fujitsu Network Communications Inc.

Fujitsu Network Communications Inc., a subsidiary of Tokyo-based Fujitsu Limited (TSE:6702), is a leading provider of customer-focused IT and carrier-class telecommunications solutions for the Service Provider and Cable TV market in North America. Supported by smart innovation and deep-rooted research from Fujitsu Labs, Fujitsu is uniquely positioned to deliver fully integrated IT/Telecom solutions for its customers. The company's comprehensive consulting and customer services offer support at any network design, development, deployment and maintenance stage. For more news and information, please visit www.fujitsu.com/us/telecom.

About Atrica

Atrica's mission is to deliver the most cost-effective, high-performance Optical Ethernet solutions to forward-thinking service providers that are building next-generation metro networks. Its revolutionary, Carrier-class Optical Ethernet Systems are designed to allow carriers to dramatically simplify their Metro network operations, significantly reduce their capital and operational expenditures, effectively scale their networks to support emerging Ethernet-based services, and efficiently leverage the same transport network to serve both business and residential customers. Privately held, Atrica is based in Santa Clara, Calif., with R&D facilities in Israel and business development and sales offices throughout the U.S., Europe, and Asia Pacific. The company has received a total of $134 million in funding to date, from world-class venture capital firms, industry leaders, and seven global service providers. For more information, visit Atrica on the Web at www.atrica.com.

About CoSine Communications Inc.

CoSine Communications (Nasdaq:COSN) is a global telecommunications equipment supplier founded in 1998 to empower service providers to deliver a compelling portfolio of managed, network-based IP and Broadband services to consumers and business customers. From the edge of the network, several of the world's largest carriers use the CoSine platform to deliver customized and profitable network-based services to consumers and enterprises. For more information about CoSine Communications, visit the company's Web site at: www.cosinecom.com.

FASST(TM) is a trademark of Fujitsu Network Communications Inc. (USA). Atrica(R) is a registered trademark and trademark of Atrica Ireland Limited in the United States and other countries. CoSine Communications(R) is a trademark of CoSine Communications Inc. All rights reserved. All other trademarks are the property of their respective owners.