ZyXEL Ships the New AES-100 ADSL-Ethernet Switch to Expand Its Ambitious Plan in MTU and IP DSLAM Market

Hsinchu, Taiwan, May 7, 2001 -- ZyXEL Communications Co., (TAI: 2391.TW) a pioneer manufacturer and supplier of broadband access solutions, today announced immediate availability of its new AES-100 ADSL-Ethernet Switch specifically designed for the various MTU (Multiple Tenant Unit) and IP DSLAM markets. Compatible with standards-based ADSL, the AES-100 can be deployed alone or together with ZyXEL's ADSL CPE or WAN routers to form an integrated broadband access solution.

The AES-100 is a powerful and innovative ADSL-Ethernet multiplexer with two network modules. Each network module provides eight multi-mode ADSL ports with built-in POTS splitters. It uses a 10 Mbps Ethernet port for uplink to ZyXEL's Prestige 1400 IP WAN router or a third party router/switch. A 100 Mbps Ethernet port for uplink will be available in the near future to meet increasing bandwidth demands.

To increase network security and performance, especially for business customers, the AES-100 features a built-in virtual LAN to separate broadcast domain. With SNMP (Simple Network Management Protocol) management, the AES-100 is ideal for delivering and provisioning high quality broadband services in high rise buildings and communities.

"The flexibility and low provision cost of Ethernet infrastructure make the AES-100 an attractive solution for Internet service providers or BLECs when an ATM backbone is not feasible," said Nathan Yen, Strategic Marketing Manager of Central Office Equipment Business Unit at ZyXEL. "The AES-100 allows them to start at the minimum cost, and will extend cost savings in every portion of the chain such as site provisioning and future support and maintenance."

MTU Application
The AES-100 aggregates the traffic from up to 16 ADSL lines to the Ethernet port and forwards it to a router. The router then routes the traffic further to the Internet. By Deploying the AES-100 in a large residential building or commercial building, service providers are able to leverage the existing phone line wiring to provide broadband access to all tenants.

IP DSLAM Application
When deployed at a service provider site, the AES-100 can be used for IP DSLAM applications. The AES-100 terminates all of the ADSL ATM circuits and converts the traffic to IP packets. All IP traffic goes directly to ISP internal Ethernet environments, and is routed to the Internet.

Compact Design for Limited Space
The AES-100 occupies only 1.5U (2.63 inches) of standard Telco rack space. Its compactness is perfect for collocation and basement installation. With the built-in POTS splitters, service providers do not have to allocate extra space for POTS splitter shelves.

Scalable Platform for Future Expansion
The AES-100 features two slots for the ADSL to Ethernet multiplexer modules. This flexible design allows service providers to start initial deployment at a minimum cost, and yet still have room to grow as the number of users and demand increase.

Available now, ZyXEL's AES-100 can be purchased through ZyXEL's worldwide sales networks, including directly from the company and through company's authorized regional distributors.

About ZyXEL InterTenant(tm) Network solutions
ZyXEL's InterTenant(tm) Network Solutions is a multi-service platform, which consists of the Prestige 1400 IP WAN router, HomePNA/ADSL/VDSL/SHDSL-Ethernet switches, and complete client side HomePNA/ADSL/VDSL/SHDSL CPE. The solution provides a scalable and flexible platform to deliver complete broadband networking services for today's MTU market. For more information visit http://www.zyxel.com/product/mtu/itns.htm

About ZyXEL MTU Solutions
ZyXEL's MTU solutions include a comprehensive line of universal access concentrators (UAC), InterTenant Network Solution (ITNS) and mini-DSLAM, which support a wide range of IDSL, ADSL, SDSL, VDSL, and HomePNA technologies. Utilizing the existing in-building wiring, these solutions are designed specifically for MTU service providers to seize the large green-field market, by offering a sophisticated portfolio of routing, concentration, and powerful network management capabilities along with a wide range of ZyXEL's CPE solutions. ZyXEL MTU solutions are highly customizable, providing excellent performance, reliability, and scalability, while also maintaining surprising affordability. For more information on ZyXEL's MTU solutions, visit the company's Website at http://www.zyxel.com/product/mtu/index.htm

About ZyXEL Communications
ZyXEL Communications Co. (TAI:2391.TW), located in Hsinchu, Taiwan, is Taiwan's largest DSL CPE provider. Products developed by ZyXEL over the years are not only industry leaders, but consistently win acclaim and are selected by worldwide carriers, service providers, and other major businesses. ZyXEL now serves Chunghwa Telecom (TAI: 2412.TW), Deutsche Telekom, France Telecom (NYSE:FTE), EarthLink (NASDAQ: ELNK), Sprint, Telefonica Brazil, Telia, Verizon (NYSE: VZ), Verio (Nasdaq: VRIO), and many others. For more information on ZyXEL Communications and its broadband solutions, visit company's Website at http://www.zyxel.com.