Press Release

Zhone Technologies Multi-Service BLC Platform Selected by Panservice to Deliver EFM and ADSL2+ Services Throughout Central Italy

Network Expansion Enables Panservice to Add New Business Services to its Access Portfolio

Oakland, CA — May 22, 2007 — Zhone Technologies, Inc. (NASDAQ: ZHNE), a global provider of advanced communications equipment and a leader in VoIP, IPTV, and Ethernet over both copper and fiber access lines today announced that Panservice has selected Zhone's Multi-Service Broadband Loop Carrier (BLC) to deliver ADSL2+ and Ethernet in the First Mile (EFM) services. The Zhone equipment will enable Panservice to introduce a suite of new business services to its access portfolio.

"We evaluated a range of equipment from other leading suppliers and selected Zhone's BLC for its superior port density, modular design and its full range of interface cards," reported Giuliano Peritore and Fabrizio Cuseo," co-owners and co-administrators of Panservice. "This was coupled by our outstanding customer support experience with Zhone."

By selecting Zhone's BLCs, Panservice can deliver voice and data and symmetrical EFM services over copper or fiber access lines and introduce new services via the simple addition of specialty line cards into the system chassis. With over 70 percent growth in DSL-BLC shipments last quarter, Zhone continues to lead the market in BLC-Data port shipments worldwide.

"We're seeing rapid adoption in Europe as Independents and Competitive Local Exchange Carriers, including Panservice expand their networks in response to the European Union's initiative to unbundle the local loop," said Mike Scheck, Zhone's vp of international sales. "Zhone's Multi-Service BLC strategy enables greater agility and speed to market for the newest generation of services which is highly attractive to fast moving CLECs."

About Zhone Technologies, Inc.

Zhone Technologies, Inc. (NASDAQ: ZHNE) is a global provider of advanced communications equipment to more than 600 operators in both emerging and established markets. Zhone's market-leading Broadband Loop Carrier equipment enables operators to rapidly deploy revenue-generating access services using their existing infrastructure, while providing a migration path to a cost-efficient, all-IP access network. The company's products address a broad range of applications including residential and business broadband, VoIP, IPTV, and Ethernet over both copper and fiber access lines. Zhone's advanced networking solutions include the Single Line Multi-Service architecture (SLMS™), Multi-Access Line Concentrator (MALC™), Raptor™ ATM/IP DSLAMs, Zhone Residential Gateways (ZRG™), GigaMux™ Optical Transport Systems and Zhone Management System (ZMS™). www.zhone.com

About Panservice

Panservice has offered comprehensive internet services throughout Italy for more than ten years. Panservice products and services span from internet access to server housing, web sites and applications hosting, domain registration, security, networking and telecommunications consultancy for enterprises, including ISPs. Panservice is a member of Associazione Italiana Internet Providers (www.aiip.it), Consorzio Voipex (www.voipex.it), Consorzio Namex (www.namex.it). For more information about Panservice visit: http://www.panservice.it

Contacts:

Zhone Investor Relations
Tel: +1 510-777-7013
Fax: +1 510-777-7001
Email: investor-relations@zhone.com
   Zhone Public Relations
Tel : +1 404-460-8578
Email: aurora.arlet@edelman.com
     

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. Specifications, products, and/or product names are all subject to change without notice.

©2012 Zhone Technologies. All Rights Reserved. | Privacy Policy | Terms and Conditions