Nortel Demos Tunable Laser

ATLANTA -- Supercomm 2001 -- Nortel Networks* [NYSE/TSE: NT] will provide the industry’s first public demonstration of a tunable laser incorporated into a metropolitan optical DWDM (dense wavelength division multiplexing) communications system this week at SUPERCOMM 2001 (Booth #8048). Nortel Networks has developed tunable laser capability for the market-leading Nortel Networks OPTera* Metro 5000 optical platform, placing flexibility and dynamic bandwidth provisioning at the heart of its vision for metro optical networks. Tunable laser capability is aimed at intelligent, next generation optical networks built to address future applications including bandwidth-on-demand. This capability will make it possible to isolate, route and manage individual wavelengths to serve customer specific traffic and services in line with demand. Tunable lasers will alleviate costly inventory management associated with fixed wavelength lasers, reducing operational cost and complexity. “The Yankee Group projects that the worldwide market for tunable lasers will grow fromUS$50 million in 2001 to US$2.32 billion in 2005,” said Jay Patel, senior analyst, The Yankee Group. “Tunable lasers are emerging as a solution that will reduce the number of unique lasers needed, while taking DWDM and switching systems to the next level of network flexibility.” “Tunable systems will be an essential requirement for future metro networks,” said Brian McFadden, president, Metro Optical, Nortel Networks. “Innovations like this can position our customers to establish leadership in delivering optically-energized services to the metro market.” “Placing tunable lasers into the OPTera Metro portfolio will help accelerate our customers’ paths to profitability by reducing costs and enabling delivery of next generation optical services such as bandwidth provisioning, bandwidth-on-demand and packet switching. With today’s announcement, Nortel Networks has demonstrated a complete suite of tunable laser capabilities for the metro as well as next-generation 10, 40 and 80 Gigabit per second longhaul systems,” McFadden said. The Nortel Networks tunable laser demo at SUPERCOMM 2001 will feature Nortel Networks OPTera Metro 5200 with tuning capability remotely managed from a personal computer. A wavelength meter will be used to monitor the wavelength of laser output in real time. This technology advancement will be enabled through the innovations of Nortel Networks Metro Optical and High-Performance Optical Components teams, including CoreTek, and jointly demonstrated at the show by Nortel Networks and Bandwidth9, Fremont, Calif.“We are pleased to work with Nortel Networks, a leader in metro optical networking, on this innovative solution,” said Hatch Graham, president and chief executive officer, Bandwidth9. “The ability to integrate our precisely tunable, highly reliable VCSEL-based lasers into Nortel Networks metro systems gives our customers a view of affordable, full-service tunable metro networks.”“Optical networks that offer significant operational cost improvements and deliver greater flexibility and intelligence will be key in the metro market,” said Parviz Tayebati, president, CoreTek and vice president, business development, High-Performance Optical Components Solutions, Nortel Networks. Nortel Networks is a global Internet and communications leader with capabilities spanning Optical, Wireless, Local, Personal Internet and eBusiness. The Company had 2000 U.S. GAAP revenues of US$30.3 billion and serves carrier, service provider and enterprise customers globally. Today, Nortel Networks is creating a high-performance Internet that is more reliable and faster than ever before. It is redefining the economics and quality of networking and the Internet, promising a new era of collaboration, communications and commerce. Visit us at www.nortelnetworks.com. Certain information included in this press release is forward-looking and is subject to important risks and uncertainties. The results or events predicted in these statements may differ materially from actual results or events. Factors which could cause results or events to differ from current expectations include, among other things: the impact of price and product competition; the dependence on new product development; the impact of rapid technological and market change; the ability of Nortel Networks to make acquisitions and/or integrate the operations and technologies of acquired businesses in an effective manner; general industry and market conditions and growth rates; international growth and global economic conditions, particularly in emerging markets and including interest rate and currency exchange rate fluctuations; the impact of rationalization in the telecommunications industry, the uncertainties of the Internet; stock market volatility; the ability of Nortel Networks to recruit and retain qualified employees; the ability to obtain timely, adequate and reasonably priced component parts from suppliers and internal manufacturing capacity; the impact of the credit risks of our customers; the entrance by Nortel Networks into an increased number of supply, turnkey, and outsourcing contracts which contain delivery, installation, and performance provisions, which, if not met, could result in Nortel Networks having to pay substantial penalties or liquidated damages; and the impact of increased provision of customer financing and commitments by Nortel Networks. For additional information with respect to certain of these and other factors, see the reports filed by Nortel Networks with the United States Securities and Exchange Commission. Nortel Networks disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Nortel Networks Corp.For more information on Supercomm 2001, please visit the Light Reading Supercomm 2001 Site.