Zhone Introduces New Line-Powered Additions to Its Family of Raptor DSL Access Multiplexors.

Business Editors/High-Tech Writers

OAKLAND, Calif.--(BUSINESS WIRE)--April 14, 2004

New Compact ATM/IP DSLAMs Extend ASDL Services up to 38,000

Feet with Weather-Proof Enclosure Options for Greater

Deployment Flexibility

Zhone Technologies, Inc. (Nasdaq:ZHNE), the first company dedicated solely to delivering the full spectrum of next-generation local loop infrastructure equipment, today announced the new Raptor 50 and Raptor 100 OSP DSLAMs; two new line-powered additions to Zhone's family of Raptor DLSAM products. These new compact Raptor DSLAMs provide next-generation features, with support for central office, remote terminal and non-powered wiring cabinet deployments, without new right-of-way.

As part of Zhone's multi-service architecture, the Raptor family dramatically lowers carrier's fixed and operational costs of service delivery over the existing local loop infrastructure while adding incremental revenue with new service creation. In addition, these new products allow service delivery as far as 38,000 feet from a central office with power supplied over the uplink's twisted pair. The new Raptor 50 offers eight ADSL ports and is hardened for a full range of deployment options. The Raptor 100 OSP provides up to 16 ADSL ports and is enclosed in a weather-proof enclosure that can be externally mounted on cabinets, poles or buildings.

In its broadband survey, the National Telecommunications Cooperative Association found that 45% of its members cite excessive loop lengths as one of the primary barriers to wide-scale DSL deployments. The new line-powered Raptors address this key issue by extending the reach of conventional standards-based DSL circuits to more than twice the serving area of traditional DSLAMs.

"The flexible and robust Raptor family of DSLAMs provide everything a carrier customer needs to deploy and manage digital video, high bandwidth Internet access and cell relay services from a single remote platform," said Steve Rogers, general manager, Zhone Technologies. "Zhone's new Raptor 50 and Raptor 100 OSP DSLAMs further expand Zhone's product portfolio, and continues to eliminate the technical and economic barriers to profitably delivering triple play services."

The Raptor makes the delivery of DSL services attractive and simple, regardless of line count. The Raptor is a versatile platform that is available in a range of environmentally hardened shelf sizes including 7U, 3U and 1U that can be deployed in any environment. The Raptor family supports a wide variety of line interfaces and uplinks from Gigabit Ethernet or 10/100baseT to DS1 IMA and OC-12. Zhone's ZMS Management System provides OSMINE-certified management and provisioning across the entire access network. As an alternative, Zhone also offers a lightweight management tool, ZMS LT, as a convenient and scalable provisioning and management program for a single device or small network.

With line counts ranging from 8 ports to 640 in a single chassis, the Raptor Next-Generation DSLAM provides the highest density and lowest cost per port of any DSL platform on the market today. In addition, the Raptor is the only family of DSLAMs that offer software upgradeability to a fully functional voice and data NGDLC, and provides in-service software-selectable ATM or IP uplinks.

Zhone products are installed at over 300 carriers and serve over 11 million subscribers worldwide.

About Zhone Technologies, Inc. (Zhone)

Zhone Technologies, Inc. (Nasdaq:ZHNE) is the first company dedicated solely to delivering the full spectrum of next-generation local loop infrastructure equipment. The company was founded by the senior management team that grew telecommunications pioneer Ascend Communications, Inc., from its startup roots to the multi-billion-dollar company acquired by Lucent Technologies (NYSE:LU) in June 1999. Zhone's Multi Service architecture allows carriers to concurrently deliver voice, new premium data and video services over copper or fiber access lines. Zhone provides carriers with an elegant migration from legacy circuit-based technology to packet based networks while substantially reducing operating costs. With deployments at over 300 carriers including among some of the world's largest networks, Zhone has enabled carriers to reinvent their businesses. For more information about Zhone and its products, please visit the Zhone Web site at http://www.zhone.com or e-mail [e-mail].

Zhone, the Zhone logo, and all Zhone product names are trademarks of Zhone Technologies, Inc. Other brand and product names are trademarks of their respective holders. For more information about Zhone and its products, please visit the Zhone Web site at www.Zhone.com or e-mail [e-mail]. Specifications, products, and/or product names are all subject to change without notice.