Harmonic Gives Cable Operators Tools to Access Enterprise and Mobile Voice/Data Transport Market; New FLXLink T1 Solution Carries Current and Emerging Services Using the Existing Network Infrastructure.

SUNNYVALE, Calif. -- Harmonic Inc. (Nasdaq:HLIT) today extended its FLXLink(TM) family of commercial services solutions with the launch of a multi-port T1 system that gives cable operators a cost-effective way to access transport applications traditionally served by telcos. The FLXLink T1-over-fiber solution, which is based on coarse wavelength division multiplexing (CWDM) technology, can securely carry enterprise and cellular digital voice/data services over the cable operator's existing broadband television network. In addition to multiple T1 ports, the system includes a high-speed Ethernet (100BaseT) port that, in parallel, can provision high-speed network services and support future bandwidth-intensive services.

Today, millions of sites around the world rely on T1 connections to deliver voice and data services. The applications range from enterprise PBXs and network access services to backhauling wireless digital communications by mobile telephone operators. Each year telcos generate billions of dollars in revenue by provisioning T1 circuits. Now, cable operators -- often with robust networks that already pass a significant number of T1-enabled sites -- can deploy the new FLXLink solution to quickly and cost-effectively reach this high-value market segment.

"With the accelerating investment in Ethernet/IP switching equipment, the FLXLink T1 solution is an excellent bridge between legacy and emerging service infrastructures," said Sunil Frida, Commercial Services Solutions Manager at Harmonic Inc. "Today, T1 is the primary transport method though, in the future, with the proliferation of mobile video and other bandwidth-intensive wireless services, this will migrate to an Ethernet-based environment. Since FLXLink T1 offers both interfaces, it provides a long-term advantage with a rapid return on investment."

The bi-directional FLXLink T1 device delivers a combination of four T1 and one 100-Mbps Ethernet services on a secure dedicated wavelength. Unlike complex circuit emulation solutions, the FLXLink T1 is able to deliver true TDM (time-division multiplexing) circuits over Ethernet while preserving both service quality and the full 100 Mbps of Ethernet bandwidth. Using CDWM technology, Harmonic enables operators to efficiently deliver new services by transmitting up to 10 distinct wavelengths over the same fiber that carries residential broadband services. Depending on the architecture and bandwidth requirements, a fully loaded system could support as many as 50 individual network connections (e.g., cell towers and enterprises).

FLXLink maximizes service availability while reducing costs by making the network between the operator and customer sites completely passive. A wavelength-specific CWDM network interface unit (NIU) is deployed at each location to provide a secure two-way link as well as media conversion. The new FLXLink T1 system -- which is fully interoperable with existing T1 and Ethernet/IP equipment at both the operator and customer premises -- can be installed in the same platform as the FLXLink 100-Mbps and 1-Gbps solutions. This gives operators the ability to better tailor their services to the needs of the commercial customers within a given area and streamline the deployment process. The platform incorporates high availability features -- such as redundant and hot-swappable power supplies -- needed to transport mission critical services.

The entire line of FLXLink commercial services solutions is controlled using the platform-based Element Management Card. A web browser-based tool allows operators to remotely monitor and manage their infrastructure, simplifying the verification of network and equipment status, which reduces the number of on-site service calls.

Harmonic's FLXLink commercial services solutions, including the new T1 system, will be showcased at Cable-Tec Expo 2005, Booth #2069, June 15-17 in San Antonio, TX.

About Harmonic Inc.

Harmonic Inc. is a leading provider of digital video, broadband optical networking and IP delivery systems to cable, satellite, telecom and broadcast network operators. Harmonic's open standards-based solutions for the headend through the last mile enable customers to develop new revenue sources and a competitive advantage by offering powerful interactive video, voice and data services such as video-on-demand, high definition digital television, telephony and Internet access.

Harmonic (Nasdaq:HLIT) is headquartered in Sunnyvale, California, with R&D, sales and system integration centers worldwide. The Company's customers, including many of the world's largest communications providers, deliver services in virtually every country. Visit www.harmonicinc.com for more information.

This press release contains forward-looking statements within the meaning of Section 27(A) of the Securities Act of 1933 and Section 21(E) of the Securities Exchange Act of 1934, including statements related to: the system's ability to support future bandwidth-intensive services, migration to an Ethernet-based environment, and providing a long-term advantage with a rapid return on investment.

Our expectations and beliefs regarding these matters and the features and benefits of FLXLink products may not materialize, and actual results could differ materially from those projected. The forward-looking statements contained in this press release are also subject to other risks and uncertainties, including those more fully described in Harmonic's filings with the Securities and Exchange Commission including its recent Reports filed on Form 10-K and Form 10-Q. Harmonic does not undertake to update any forward-looking statements.

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