Lucent Technologies Selects Interphase as a Supplier of Broadband Telecommunications Controllers; 6535 Communication Controller Component of 3G Wireless Base Stations.

Business Editors & High-Tech Writers

DALLAS--(BUSINESS WIRE)--Feb. 6, 2001

Interphase Corporation (Nasdaq:INPH), an international supplier of next-generation networking technologies, today announced that Lucent Technologies (NYSE:LU) has selected Interphase as a supplier of broadband communications controllers for several key product initiatives.

Under the terms of the multiyear agreement, Interphase will supply Lucent with CompactPCI(R) and PMC-based controllers for integration into Lucent wireless and broadband telecommunications platforms.

"Our relationship with Lucent is a significant milestone in our strategic initiative into the fast growing broadband telecommunications market which was announced last year," said Greg Kalush, Interphase president and CEO. "Lucent is a leader in the telecommunications networks of the future and we're pleased to have been selected to supply the key broadband technologies for Lucent's mobile Internet infrastructure."

The worldwide deployment of the Internet is driving new advanced services and an increased investment in telecommunications infrastructures. According to Electronic Trends Publications, the market for telecommunications controllers is expected to grow from $261 million in 2000 to over $635 million by the year 2004.

The Interphase 6535 Octal T1/E1 Communications Controller is the world's most advanced controller for telecommunication systems based on the industry-standard CompactPCI(R) bus architecture. The 6535 is the flagship product supporting the company's initiative into the fast-growing telecommunications markets including wireless communications, fast Internet Access and Advanced Intelligent Networking. CompactPCI is based on the PCI bus specification that provides high performance features designed for telecommunications such as hot swap and front-loading.

In addition to the 6535, Interphase offers a complete line of PMC-based broadband telecommunication controllers that provide equipment suppliers with fast, flexible, off-the-shelf broadband I/O and wireless connectivity for open system telecommunications platforms. PMC is a mezzanine card format that is widely adopted in the embedded industry for I/O expansion on VME and CompactPCI carrier cards. The products supplied to Lucent under the agreement will leverage the company's knowledge in ATM, SS7, ISDN and Frame Relay technologies.

About Interphase Corporation

Interphase Corporation designs and delivers high performance connectivity adapters for computer and telecommunication networks. The company's products connect computer and telecommunication servers to SANs, wide area networks and local area networks using Fibre Channel, Asynchronous Transfer Mode, SS7, Frame Relay and ISDN technologies. Headquartered in Dallas, with offices in Austin, Paris, London, and Bangkok, Interphase 1999 revenues were $73.5 million. Clients include Hewlett-Packard Co., IBM Corp., Compaq Computer Corp., Motorola Inc., Fujitsu Ltd., Nortel Networks Ltd., Lucent Technologies, Inc., Lockheed Martin Corp. and the Raytheon Company. Additional information about Interphase and its products is available through the company's web site at www.interphase.com.

The Interphase logo is a registered trademark of Interphase Corporation. All other trade and service marks are property of their respective companies.