February 19, 2002

Xtera's Nu-Wave DWDM System delivers radically lower cost bandwidth to long distance carriers

ALLEN, Texas, February 19, 2002 – Xtera Communications, Inc. (www.xtera.com), the $133 million equity funded Raman technology company, today announced the Xtera Nu-Wave DWDM system, which radically lowers the cost of bandwidth capacity used by long distance carriers. At a time when carriers are getting squeezed to deliver more bandwidth while taking in less revenue, Xtera's Nu-Wave economics gives carriers the means to be profitable.

Using Xtera's patented Wide Reach™ Raman technology that allows amplification over a continuous 100 nm spectrum, the Nu-Wave system supports 240 channels of 10 Gb/s over a full 1500 km without electrical regeneration. Until now, DWDM solutions have been very expensive, making it difficult for carriers to operate profitably. As CapEx declines Xtera allows carriers to meet the lower budgets without sacrificing their equipment build-out plans.

"Xtera's Nu-Wave is a very timely solution for carriers. It is our objective to enable carriers to reduce their CapEx budgets even further," according to Xtera Chairman and CEO, Jon Bayless. "Not only is the Nu-Wave far less expensive than any other DWDM system, it's designed to give carriers access to significantly more markets than is possible with any other transport system."

The Xtera Nu-Wave offers the industry's highest density DWDM terminal, with 2.4 terabits in three 7-foot by 12-inch deep bays. Any in-line amplifier (ILA) site can be converted, in-service, to an optical add drop multiplexer (OADM) with no distance trade-off. This simplifies network design and planning, providing carriers with more scalable optical network solutions.

About Xtera Communications

Xtera Communications specializes in network infrastructure that delivers the highest capacity, reach and density. Our long-haul, Submarine, Metro and WAN technologies together with our deployment expertise drive customer success and long term value.

Xtera offers an extensive portfolio of Optical Transport solutions for long-haul, regional, metropolitan and sub-sea networks, and WAN Traffic Management solutions for both enterprise and telecom companies.  

With deployments in four continents, Xtera’s Optical Transport portfolio helps service providers worldwide reach new markets via new deployments, and extends the life of their existing network assets with cost-effective upgrades. Xtera‘s innovative Traffic Management solutions offer customers the best price/performance in network optimization.

Xtera delivers compelling advantage to its customers by maximizing network capacity, reach and value.

For more information, please visit www.xtera.com