TELCO SYSTEMS INTRODUCES NEW SERIES 5000 FRAME RELAY OPTIMIZER.

NORWOOD, Mass.--(BUSINESS WIRE)--July 24, 1995--The Magnalink Communications Division of Telco Systems, Inc. (NASDAQ: TELC) today announced the Series 5000 Frame Relay (5000FR) Optimizer, a new network data-packet compressor that increases the throughput of frame relay environments by 100% to 300%. The Series 5000FR Optimizer shortens user response times, reduces circuit congestion, minimizes dropped packets and lowers costs by dramatically reducing the amount of data traffic transmitted across frame relay circuits.

Telco Systems' Sequential Packet Compression is the key breakthrough that enables superior multipoint compression performance for data packet transmission across Frame Relay virtual circuits. Sequential Packet Compression is unique in its ability to maintain compression histories across packet boundaries for each Data Link Connection Indicator (DLCI) and utilize advanced memory techniques that maximize data dictionary caching. The data throughput ratio is increased since building a packet history for each DLCI increases the ability to compress data.

Reduces Frame Relay Costs

Today, Frame Relay users must select a specific Committed Information Rate (CIR) for their normal data traffic load, and have a Burst Rate capable of transmitting data at higher rates. If the user has bursty traffic, there is no guarantee that they can transmit at more than their CIR, therefore, packets may be dropped. Major service carriers allocate any available excess bandwidth in proportion to the CIR contracted for by the customer. The availability of idle bandwidth for bursting data is changing as Frame Relay networks are reaching higher levels of utilization resulting in less available excess bandwidth. The Series 5000FR Optimizer allows users to put more data on less bandwidth, ensuring that users do not exceed the CIR and reducing the risk of packet drop-offs.

"We are pleased to see Telco Systems add frame relay compression to its data compression offerings," said Jim Morin, Director of Systems Marketing for Computer Network Technology Corporation (CNT), a leading provider of channel networking systems and a Telco Systems data compression OEM customer. "Frame relay compression can reduce wide area networking costs by enabling the same data throughput with a lower CIR. This technology enables CNT customers to realize the flexibility of domestic and international channel networking over frame relay with the additional benefit of reduced costs through data compression."

"The Series 5000FR Optimizer plays an integral role in Telco System's data compression product family, " said Surya Panditi, vice president at Telco Systems. "With the explosive growth of the Frame Relay market, users are placing even greater demands on their wide-area networks. Telco Systems is providing solutions that enable network managers to get the most out of their Frame Relay network. Users can send more data without exceeding their CIR -- actually lowering costs while increasing their response times."

The Series 5000FR Optimizer enables seamless compression deployment on an as-needed basis. The Series 5000FR Optimizer has three compression modes: Sequential Packet Compression; In-Packet Compression; and Transparent Mode. Network managers select the most congested links to receive Sequential Packet Compression. Links with less congestion will use In-Packet Compression which provides throughput improvements of 30% to 70% on selected Frame Relay circuits. For those links that do not require compression or do not have an Optimizer, Transparent Mode will pass packets directly to the destination without compression. Up to 15 DLCIs can be simultaneously supported in Sequential Packet Mode, and a total of 1024 DLCIs can be compressed with In-Packet Mode.

The Series 5000FR Optimizer provides network managers maximum flexibility in deploying compression over a full range of Frame Relay environments, from remote sites to headquarters. The Series 5000FR Optimizer provides compression for circuits with transmission speeds up to 2.048 Mbps. A menu-based user interface simplifies configuration. Trivial File Transfer Protocol (TFTP) facilitates the central distribution of software images and configuration information over the network. The 5000FR Optimizer's multi-processor flow- through hardware architecture seamlessly compresses data in real-time with negligible delays to support high volume, high connectivity configurations.

Telco Systems' Series 5000 Frame Relay Optimizer is available worldwide immediately. Pricing begins at $5,900. Current users of the Series 5000 LAN/WAN Optimizer(TM) can upgrade to the 5000FR through a hardware and software upgrade kit. The upgrade is available at a list price of $1,500.

Telco Systems, Inc., designs, manufactures, and markets fiber optic transmission products, network access equipment, and bandwidth optimization products. Primary customers include the local exchange companies, independent telephone companies, interexchange carriers, competitive access providers, and private network end users.

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The Series 5000 LAN/WAN Optimizer and Sequential Packet Compression are trademarks of Telco Systems, Inc.

CONTACT: For More Information Contact:

Costas Rodopoulos

Telco Systems, Inc.

617-255-5271

or

Lisa Spellman

Copithorne & Bellows

617-252-0606