Swedish Provider GavleNet Selects Zhone Technologies for VDSL2 Network Upgrade

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Zhone MXK provides increased bandwidth and expanded service offerings

Oakland, CA February 13, 2014

Zhone Technologies, Inc. (NASDAQ: ZHNE), a global leader in FTTx network access solutions, today announced that Swedish service provider, GavleNet, has chosen to upgrade its network through installation of Zhone's MXK for VDSL2. Based in Gavle, Sweden, GavleNet provides Internet access to residential and business customers, as well as campuses, in the region. Following the equipment upgrade, approximately 3,500 customers will receive access to advanced high-speed Internet services.

When upgrading its platform, GavleNet needed equipment that supported both ADSL and VDSL2. Zhone's MXK met this need while also providing multi-service capabilities and a platform that could easily be upgraded to fiber. This was essential since GavleNet's long-term focus was on eventually deploying full fiber access in the area through Active Ethernet (AE) or GPON.

"Zhone's innovative and adaptable solution allowed GavleNet to upgrade its current infrastructure while also providing opportunity for future upgrades through fiber," said Stefan Stexgård, strategist and product manager at GavleNet. "Another major advantage is that the MXK eliminated the need for additional metro network equipment through the 10G uplink options. This represents a big investment savings opportunity for GavleNet and helps us significantly decrease our operational expenditure in parallel."

"Zhone's flexible portfolio of products and solutions enabled GavleNet to provide its customers with reliable, state-of-the-art services and increased bandwidth," said Brian Caskey, chief marketing officer at Zhone Technologies. "It's a truly scalable solution that has proven to be adaptable to GavleNet's unique requirements, while also improving overall cost-efficiency for GavleNet."

Zhone continues to provide innovative access solutions, delivering voice, video and data services over copper and fiber. For more information on Zhone's FiberHome™ portfolio please visit http://www.zhone.com.

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.


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Email: investor-relations@zhone.com
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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.

Forward-Looking Statements

This press release contains forward-looking statements that are subject to the safe harbors created under the Securities Act of 1933 and the Securities Exchange Act of 1934. Words such as "anticipate," "believe," "continue," "could," "estimate," "expect," "goal," "intend," "may," "plan," "project," "seek," "should," "target," "will," "would," variations of such words, and similar expressions are intended to identify forward-looking statements. In addition, forward-looking statements include, among others, statements that refer to financial estimates; projections of revenue, margins, expenses or other financial items. Readers are cautioned that actual results could differ materially from those expressed in or contemplated by the forward-looking statements. Factors that could cause actual results to differ include, but are not limited to, commercial acceptance of the Company's products; intense competition in the communications equipment market; the Company's ability to execute on its strategy and operating plans; and economic conditions specific to the communications, networking, internet and related industries. In addition, please refer to the risk factors contained in the Company's SEC filings available at www.sec.gov, including without limitation, the Company's annual report on Form 10-K for the year ended December 31, 2012 and the Company's quarterly report on Form 10-Q for the quarters ended March 31, 2013, June 30, 2013 and September 30, 2013. Readers are cautioned not to place undue reliance on any forward-looking statements, which speak only as of the date on which they are made. The Company undertakes no obligation to update or revise any forward-looking statements for any reason.

News Source : Swedish Provider GavleNet Selects Zhone Technologies for VDSL2 Network Upgrade

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