ZyXEL Announces Multi-Hospitality Unit Solutions

Hsinchu, Taiwan, June 3, 2003 -- ZyXEL Communications Co. (TSE: 2391), world's leading broadband access solutions vendor, today announces its Multi-Hospitality Unit (MHU) solutions to the hospitality industry. The complete MHU solution, which includes a VDSL DSLAM, VDSL modem, Service Gateway, Layer 2 Switch and Wireless LAN network, enables the industry to prepare a best suited, customized broadband environment.

"Internet access services has become a crucial factor in selecting business hotels in recent years," states Dr. Yuh Long Chen, ZyXEL's senior VP of Central Office Business Unit. Therefore, for the hotel owners, building a fast and accessible High-Speed Internet Access (HSIA) environment not only reinforces the competitive advantages, it also fosters customer loyalty. The ZyXEL MHU solution has well-anticipated the actual networking hardware needed for setting up a HSIA environment, and provides a comprehensive turnkey solution which decreases the system integration time and cut cost to the minimum." Chen offers.

For hotels with only in-house telephone lines, the ZyXEL MHU solution offers IES-2500 and VES-1012 VDSL IP DSLAM, Prestige 841 VDSL modem, Vantage VSG-1000/1200 Service Gateway. Through VDSL, hotel owners can provide broadband access in guest rooms and conference rooms, without altering the existing phone circuits, in addition to plentiful bandwidth to feature multimedia services such as video-conferencing, and even on-demand video broadcasting.

To establish an in-house VDSL environment, medium- or small- sized hotels can adapt the 12-port VES-1012; for the larger hotels with over a hundred guest rooms, the 144 port, chassis-mount IES-2500 is the best choice. The high density design of the IES-2500 would save up valuable space for hotels, and the use of alternate current power reduces the hassle of acquiring additional adaptors.

The ZyXEL MHU solution also includes VSG-1000/1200 Service Gateway, for hotel guests to surf the Net without changing the setting on their computers; it also serves as the authentication, authorization and account tracking system for the hotel. Through the Service Gateway, guests can send and receive emails, as well as surfing the Net; and hotel owners can present featured services on the Web site. ZyXEL's Service Gateway also allows VPN connection to pass through, for hotel guest to establish secured communication with their company intranet.

For the hotels with CAT-5 cabling deployed, ZyXEL offers the Dimension ES-2008/3024 Switch as an alternative to the DSLAM solution, allowing hotels to build broadband network economically. Through the ZyXEL Wireless LAN Series products, hotels can feature broadband connectivity in their cafe, conference rooms and other open areas.

Available now, the ZyXEL MHU solutions can be ordered via ZyXEL's global sales network, including direct from the company and through partnered service providers and distributors. To find a ZyXEL distributor nearest your location, please consult: http://www.zyxel.com/wherebuy/index.php.

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.