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Zhone's MALC Selected by AccessCom for ADSL2+ and EFM Service Expansion

AccessCom Cites Superior Platform Performance, Easy Service Expansion and Cost Efficiency in Selection Criteria

Oakland, CA — September 23, 2009 — Zhone Technologies, Inc. (NASDAQ: ZHNE), a global leader in network access solutions, announced today that Louisiana-based CLEC AccessCom has selected Zhone's MALC as the cornerstone platform for its network service expansion. AccessCom will initially roll out enhanced voice, ADSL2+, and high-speed EFM business services throughout its New Orleans and Bayou Region markets. The MALC's any service/any slot design, paired with Zhone's feature-rich SLMS access operating system, not only give AccessCom easy entry into a broad range of new markets, but also provide AccessCom customers high-value services that are unavailable from any other carriers in the region.

"When we evaluated Zhone's offerings, particularly EFM, we felt that the cost and performance claims made by Zhone had to be too good to be true," said Jeff Giles, CEO for AccessCom. "After testing the platform we were convinced, and we've been consistently amazed by the flexibility, value and performance of the MALC."

"In addition to improving AccessCom's business service portfolio, the MALC platform will support their entry into residential markets through straightforward line card additions," said Steven Glapa, VP of product management and marketing for Zhone. "The MALC is the most power and space efficient multi-service platform on the market, making it ideal for co-location services."

AccessCom believes that the competitive advantage offered by Zhone's MALC enables it to exceed all known metrics for Wide Area Network (WAN) performance for large businesses, while also reducing the cost threshold for small businesses to obtain high bandwidth and state-of-the-art telephony solutions. Beyond enhancing AccessCom's reach and product variety to businesses, Zhone's MALC enables true broadband connectivity to the residential market - as high as 20 Megabits over a single pair of copper wires, enough to accommodate 1-3 channels of HD video. This 6-20 Megabits transport, in conjunction with AccessCom's 675 Megabits GigE fiber optic ring will support AccessCom's longer-term plans to deploy IPTV services.

About AccessCom

AccessCom is a telecommunications service provider offering business class voice and data services. As a major facilities-based telephone company, housing two of the largest telecommunications switch and data centers in Louisiana, AccessCom provides businesses with traditional local and long distance telephone service as well as PRI, VoIP, and SIP trunk terminations. AccessCom has built a reputation for delivering its customers outstanding quality of service while maintaining some of the most competitive prices in the industry.

About Zhone Technologies - Access for a Converging World

Zhone Technologies, Inc. (NASDAQ: ZHNE) is a global leader in multi-service access solutions, serving more than 700 of the world's most innovative network operators. The company offers the industry's only fully-integrated portfolio of MSAP, FTTx, EFM and Wi-Fi access technologies, improving network agility and reducing the costs of delivering the full spectrum of access services, including residential and business broadband, VoIP, and High-Definition IPTV - over copper, fiber, and wireless. Zhone is headquartered in California, and its MSAP products are all manufactured in the USA, in a facility that is emission, waste-water, and CFC free.

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