Occam BLC 6000 is Key Component in Evolution and Growth of Canadian Telco's Access Network.

SANTA BARBARA, Calif. -- Northeastern Ontario-based Telco Uses Occam Networks' Broadband Loop Carrier to Provide New, In-Demand Services

Occam Networks(R) Inc. (OTCBB: OCCM), a supplier of innovative Ethernet- and IP-based loop carrier equipment to telecommunications companies worldwide, today announced that northeastern Ontario-based telco Ontera has selected the company's Occam BLC 6000(TM) System to replace or overbuild portions of its legacy transport and access network. This upgrade to the network enables Ontera to quickly and efficiently meet increasing demands from its subscriber base for new high-bandwidth services.

Ontera began delivering service from the Occam BLC 6000 in late 2005. Initially, the telco used the IP DSLAM capabilities of the BLC 6000 to deliver ADSL and ADSL2 Plus services. Since then, it has used the Broadband Loop Carrier (BLC) to overbuild a legacy TDM-based facility, providing IP transport for a transparent local area network (LAN) service requested by a commercial subscriber in the area.

"We selected the Occam platform because it offers the most flexibility of any BLC product of which we are aware," said Wayne Lynch, manager of transport infrastructure for Ontera. "We are very pleased to have found a single product from which we can deliver such a wide array of services over an IP network."

Within larger urban centers, Ontera is deploying the BLC in a ring configuration to reliably transport a variety of services, such as transparent LAN, hosted VoIP, and Internet access, which demand bandwidth speeds ranging from 10 Mbps Ethernet to Gigabit Ethernet. The company also plans to implement the fiber capabilities of the Occam BLC to deliver FTTx services and support even higher bandwidths.

Another key factor in the selection was Occam BLC platform's Ethernet Protection Switching (EPS), a feature that provides failover protection in urban as well as rural areas where the population is more widely dispersed. "EPS performs better and is less expensive to deploy and maintain than a similar SONET-based system," said Lynch.

When choosing the new equipment for upgrading its access network, Ontera worked with Nexicom Systems Inc., a local provider of advanced telecommunications equipment. According to Lynch, "Nexicom Telephones Inc. has the BLC installed in its network and we trusted their recommendation. Our experience with the product has been very good."

At the end of 2005, the telco had installed the Occam BLC 6000 in five exchange sites and will install an additional five sites during the first quarter of 2006 with additional locations being installed throughout the balance of 2006. Because the BLC 6000 has become such an integral component of Ontera's access network, the telco anticipates that its implementation will be ongoing.

"We are very impressed with the technological expertise and knowledge of Occam and Nexicom, as well as with the excellent sales and technical support we have received from each company," Lynch noted. "The two companies work very well together. Both have been exceptionally responsive to our requests for equipment needed to solve urgent service requests from our subscribers. This has enabled Ontera to be responsive to our customers allowing us to capitalize on important revenue opportunities."

Ontera serves a mix of residential and business subscribers. Today, the telco is delivering high-speed data access service (DSL), to a growing base of residential and business subscribers. As this ongoing demand for bandwidth accelerates, the company expects the use the Occam BLC as the key platform to provide fiber to the Premise services in urban and even rural areas.

"Ontera plans to completely leverage the entire range of the BLC 6000 System's capabilities," said Russ Sharer, vice president of sales and marketing for Occam. "We are delighted to see a telco utilize the product in the way it was designed to be used."

About Ontera

Ontera (formerly O.N. Telcom), a fully integrated telecommunications company, offers a wide range of telecommunications and IP-based solutions including Internet, local, long distance, voice, data, and information technology services throughout northern Ontario. Ontera is a wholly owned subsidiary of the Ontario Northland Transportation Commission (ONTC), an Operational enterprise of the Province of Ontario. Ontera maintains more than 1,500 route kilometers of fiber and 39 communications towers. This infrastructure supports TDM, SONET, and Ethernet transport systems. ONTC, established in 1902, is a recognized leader in creating prosperity in the North by providing innovative telecommunications solutions.

About Nexicom Systems Inc.

Nexicom Systems Inc. is a provider of the most advanced high-tech wholesale equipment in the telecommunications industry. For more than 60 years, we have been helping people implement effective solutions for customers. Our customer base includes independent telephone companies, Internet service providers, public utilities, communication businesses and cable/satellite TV companies. The products supplied by Nexicom Systems enable businesses to improve service to their customers, deliver new and innovative products, and provide leading-edge telecommunications solutions.

About Occam Networks Inc.

Occam Networks Inc. develops and markets innovative Broadband Loop Carrier networking equipment that enable telephone companies to deliver voice, data and video services. Based on Ethernet and Internet Protocol (IP) technologies, Occam's equipment allows telecommunications service providers to profitably deliver traditional phone services, as well as advanced voice-over-IP, residential and business broadband, and digital television services through a single, all-packet access network. Occam is headquartered in Santa Barbara, Calif. Additional information can be found at www.occamnetworks.com.

Portions of this press release may contain forward-looking statements regarding future events or the future performance of Occam Networks. Forward-looking statements involve risks and uncertainties, which could cause actual results to differ materially from any future performance suggested in such statements. Rapidly changing technologies and market conditions may require changes to Occam's products. Occam does not undertake any obligation to publicly update any forward-looking statements as a result of new information, future events or otherwise. Please also refer to the company's most recent quarterly report on Form 10-Q, annual report on Form 10-K and other filings with the SEC. These filings contain and identify other important factors that could cause actual results to differ materially from those contained in any forward-looking statements.

Occam Networks and Occam BLC 6000 are either registered trademarks or trademarks of Occam Networks Inc. in the United States and/or other countries.

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