Press Release

Zhone Technologies Appoints Steven Levy to Board of Directors

Oakland, CA — April 10, 2006 — Zhone Technologies, Inc. (Nasdaq: ZHNE), the first company dedicated to building total-delivery solutions for voice, data and video content services worldwide, today announced that Steven Levy has agreed to serve as a director on Zhone's board. Mr. Levy will serve as a Class I director, with his initial term expiring at the 2008 annual meeting of stockholders.

Mr. Levy most recently served as a Managing Director and Global Head of Communications Technology Research at Lehman Brothers. Before joining Lehman Brothers, Mr. Levy was a Director of Telecommunications Research at Salomon Brothers, a Managing Director and Head of the Communications Research Team at Oppenheimer & Co. and a senior communications analyst at Hambrecht & Quist. During his time working in the financial community, he was recognized as one of the top analysts in the industry by a variety of independent organizations and surveys.

"We are very pleased to welcome Steve to Zhone's Board," said Mory Ejabat, Zhone's Chairman and CEO. "Steve brings both industry experience and financial perspective to Zhone's Board. His tenure with Wall Street as well as with the investment, analytic and technology communities, will serve Zhone in its continued growth."

During his years on Wall Street, Mr. Levy researched and covered all aspects of the telecommunications technology industry including wireless infrastructure, voice and call processing, data networking, and video and teleconferencing. The last group of companies that Mr. Levy covered in his research included Lucent Technologies, Nortel Networks, Tellabs, Tekelec, Sonus Networks and Scientific Atlanta. From 1986 through 2005 he helped bring several technology companies public and also played a supporting role in numerous transactions. Earlier in his career, Mr. Levy worked at AT&T for six years.

"I am enthusiastic about the opportunity to work with Mory and the rest of the highly regarded members of Zhone's board," said Mr. Levy. "In this role, I look forward to representing shareholder interests and to making a positive contribution to the corporate governance of the organization," added Levy.

Mr. Levy currently sits on the Tut Systems (Nasdaq: TUTS), and PCTEL (Nasdaq: PCTI) boards of directors and the advisory board of privately held GENBAND. Mr. Levy received his M.B.A. and his B.S. in Materials Engineering from Rensselaer Polytechnic Institute in 1980 and 1978 respectively.

About Zhone Technologies

Zhone Technologies, Inc. (NASDAQ: ZHNE) is a global leader in all IP multi-service access solutions, serving more than 750 of the world's most innovative network operators.

The IP Zhone is the only solution that enables service providers to build the network of the future…today, supporting end-to-end Voice, Data, Entertainment Social Media, Business, Mobile Backhaul and Mobility service.

Zhone is committed to building the fastest and highest quality All IP Multi-Service solution for its customers.

Zhone is headquartered in California and its products are manufactured in the USA in a facility that is emission, waste-water and CFC free.

Contacts:

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Email: investor-relations@zhone.com
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