ZyXEL Ranked 2nd Telecom Equipment Provider in Taiwan Technology Top 100

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July 15, 2003

(Hsinchu, Taiwan, July 15, 2003) BusinessNext Biweekly (www.bnext.com.tw), one of Taiwan's premier business magazines on the latest trend and vision, ranked ZyXEL as the 22nd place out of 100 Taiwanese companies in its "Taiwan/China/World's Top 100 Technology Company Rankings" annual review. In the same review, ZyXEL has also been ranked as the 2nd largest of Taiwan's telecom service and equipment providers. The "2003 Taiwan/China/World's Top 100 Technology Company Rankings" has been published on July 1.

Every year, BusinessNext Biweekly works with Business Week magazine to evaluate the performance of 419 public Taiwanese electronics-related companies with four criteria: Revenue, Revenue Growth, Return on Equity, and Shareholders' Return. In the Top 100 ranking, BusinessNext grouped the companies into 7 categories including semiconductors, computers, peripheral devices, telecom services and equipments. Among the Top 100 contestants, ZyXEL made a quantum leap from last year's 94th to 22nd, and it also became the second largest in Taiwan's telecom service and equipment providers.

As BusinessNext Biweekly pointed out, this dynamically assessed ranking chart faithfully reflects the drastic changes in the Taiwanese IT industry, and the collective power of innovation presented by countless enterprises. Today, merits could hardly be earned by improving the past establishments; however, an unheard of company could become a hotshot with technological breakthroughs. The per annum ranking by BusinessNext Biweekly and Business Week provides an arena for companies to race for the summit, and discovers the trends blooming from the fierce industrial competition for readers as well.

As Mr. Andrew Lin, Reporter of BusinessNext Biweekly, wrote in his featured story In Focus: ZyXEL Communications: "More than a decade, ZyXEL is well known for its capability of finding profitable niche in the paradigm-shifting network industry, and staying ahead of the competition." Lin wrote, "ZyXEL is armed with sufficient R&D power as well as ambition, aiming to surpass itself as a holistic network equipment manufacturer instead of concentrating on just 'single boxes'. Moreover, ZyXEL is planning to interconnect the distribution channels and new products, and breathe new life into its new brand image."

About ZyXEL Communications
ZyXEL Communications Co. (TSE:2391), located in Hsinchu, Taiwan, is one of the world's leading broadband access solution vendors. ZyXEL's broad line of Internet Protocol-based (IP) networking solutions includes access multiplexors, customer premise equipment, Internet security and Wireless LAN equipment, enabling high-performance network services for SOHO, small to mid-sized businesses and service providers. ZyXEL works closely with worldwide network equipment vendors, telecommunications companies, ISPs, and other major businesses. For more information, visit the company's Website at http://www.zyxel.com