Occam Networks Augments FTTx Product Line with ON 2351 Optical Network Terminal.

New ONT Offers High Definition Access for MDU/MTU Applications, Supports Triple Play Services

SANTA BARBARA, Calif. -- Occam Networks[R] Inc. (NASDAQ:OCNW), a leading supplier of innovative Ethernet and IP-based loop carrier equipment to telecommunications companies, announced today the availability of the ON 2351 Optical Network Terminal (ONT) for multiple dwelling unit (MDU) and multiple tenant unit (MTU) environments. The ON 2351 is the latest in Occam's 2300 series ONTs.

Occam designed the ON 2351 to deliver Triple Play services including POTS, high-speed Ethernet data, VoIP and multiple HD video streams to up to four residences or businesses. Telcos can add new subscribers in as little as five minutes as a result of Occam's integrated station wiring with rocker block termination. Thermal management design eliminates the need to calculate heat loads when adding modules. Telcos can locate the ON 2351 on a building's outside wall, at a common service area or inside a communications closet. It features a hardened, weatherproof enclosure and low profile aesthetically-pleasing design.

Each of the four internal service locations can deliver two POTS phone lines and four Fast Ethernet ports for data and VoIP. The ON 2351 provides IP video services using 10/100 Base T and/or HPNAv3 coaxial cable to compatible set top boxes.

Occam's IP Security Management enables dynamic "hands free" network security. The ON 2351 facilitates Administration, Authorization and Accounting (AAA) of subscriber traffic through a combination of IP scalability, simplicity of dynamic configuration with DHCP and the cost effectiveness of Gigabit Ethernet. For MDU/MTU applications, Occam's ONT operating system extends these features by adding DHCP and IGMP snooping as well as MAC limiting, ensuring integrity of subscriber services. With IP Security Management, the end-to-end network is more secure than a traditional ATM circuit-oriented architecture, while maintaining the cost efficiencies in both the capital and operations of DHCP+IP+Ethernet.

"The ON 2351 enables our customers to serve a wide variety of apartments, condominiums and small businesses with greater flexibility," said Russ Sharer, vice president of marketing for Occam Networks. "It can be rapidly deployed, scale as services grow and yet be managed consistently with all other Occam FTTx products."

About Occam Networks Inc.

Occam Networks' broadband loop carrier (BLC) solutions enable telecommunications and other service providers to offer innovative voice, broadband, IPTV and full triple play services over copper or fiber. Occam solutions give telco service providers the flexibility and scalability to continuously expand their offerings with simplicity of service deployment. Occam's BLC products and services are currently deployed at over 230 service providers in North America and the Carribean. For more information, please visit www.occamnetworks.com.

Cautionary Note Regarding Forward-Looking Statements

Portions of this press release may contain forward-looking statements regarding future events or the future performance of Occam Networks, including statements predicting customer adoption of willingness to purchase our ON 2351 Optical Network Terminal or other Triple Play products. Forward-looking statements involve risks and uncertainties, which could cause actual results to differ materially from any future performance suggested in such statements. In particular, new product introductions may not achieve market acceptance as rapidly as we expect, if at all, and we or our customers may experience unexpected problems associated with the installation or performance of new products. Correcting bugs or other issues in new product introductions may be costly and time consuming and may increase our expenses. Customers' willingness to purchase the ON 2351 and other upgraded products such as Triple Play will depend in part on customers' existing network configurations and any incremental costs associated with implementing upgrades. We cannot predict whether the ON 2351 product introduction will be successful or result in any increase in our revenues. 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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