Ellacoya Networks Extends Product Line with Compact, High-Throughput IP Service Control Platform
A leader in IP service control for cable broadband operators extends unprecedented visibility, control and new service capabilities to smaller network locations

Merrimack, NH - May 12, 2003 - Ellacoya Networks Inc., an innovative company providing IP service control technology for broadband networks, today announced availability of the 4000 Series Switch - the newest member of the IP Service Control Systems family. The 4000, a compact switching platform based on the technology in Ellacoya's flagship 16000 Series Switch, manages high-speed network traffic based on a range of subscriber, network and service parameters. With its streamlined design and Gigabit throughput, the 4K is the most cost-effective solution for bringing visibility, control and new services to remote head-end/hub sites or to broadband networks servicing under 4,000 subscribers. It is in trials today in a number of peer-to-peer (P2P) management and tiered service plan deployments, and will be showcased for the first time in booth #2416 at the SCTE Cable-Tec Expo in Philadelphia this week.

"Our trial deployment of Ellacoya's 16000 platform gave us valuable visibility into our network traffic and robust control of subscribers and applications. We plan to leverage Ellacoya's capabilities for tiered services, as well as to potentially sell value added services. Ultimately, we expect that an Ellacoya deployment can improve subscriber loyalty, reduce churn, and increase the profitability of the broadband data service. Ellacoya's new 4000 is important because it will deliver this functionality to operators with smaller systems," said Farron Toler at Paragould City Light, Water & Cable.

The Ellacoya IP Service Control System can be placed quickly in the network without changing existing infrastructure. Once in line, it begins to collect granular data on network activity by application (P2P, e-mail, HTML, etc.), time of day, subscriber and many other parameters. With its deep packet inspection capabilities, the system provides traffic as well as consumer behavior data which then allows operators to flexibly manage bandwidth, control bandwidth and copyright abusers, introduce a range of service tiers and provide preferred transport for premium services. The results are improved customer satisfaction, more carrying capacity from the existing plant and additional revenues per subscriber.

The Ellacoya IP Service Control System is optimized for the following application areas:

Intelligent Bandwidth Recovery. Peer-to-peer (P2P) application traffic continues to consume large amounts of network bandwidth, degrading performance for the majority of users engaged in interactive applications such as web surfing or e-mail. The IP Service Control System can automatically identify the high-bandwidth, often port-hopping, P2P applications and gives the operator a number of options to increase customer satisfaction without throwing more bandwidth at the problem. With the right policies in place, operators can recover bandwidth costs or effectively increase the number of satisfied subscribers they can support with their current infrastructure.

Prudent Abuse Management. Acceptable Use Policy violations including theft of services, service attacks, downstream servers and bandwidth usage policy violations can be easily monitored and managed. Operators can apply automated "gentle" byte caps to reduce the impact of bandwidth hogs on the network while maintaining customer satisfaction and identifying higher tier service candidates.

Flexible Access Plans. Service plans can easily be designed, tested and validated based on speed, consumption, applications or combinations of each to meet unique demographic requirements. The operator can offer new, revenue-generating IP Services to reduce churn, attract new subscribers and accelerate penetration rates.

Preferred Data Transport. Gain control over the network hitchhikers riding your bandwidth for free. Broadband operators continue to deliver third-party console gaming, broadband voice, music and more to their subscribers with out charging the third parties for carriage. They can share in the revenue proposition by developing premium services in conjunction with the third-party content providers to ensure their customers receive the best online experience.

"High value digital content is becoming legal, and affordable. Consequently, demand is increasing," said Ron Sege, president and CEO of Ellacoya Networks. "We are providing a technology platform that enables broadband operators benefit from the multi-billion dollar digital content revolution by using its assets to enable premium content to be easily distributed and consumed."

4000 Pricing and Availability

The Ellacoya 4000 series switch will be available for commercial shipment on June 1, 2003. With a one rack unit space-saving design, and 12 Fast Ethernet and 2 Gigabit Ethernet ports, the 4000 pricing starts at USD $20,000. Data sheets on the 4000 can be found at www.ellacoya.com.

About Ellacoya Networks

Ellacoya Networks is an innovative technology company building breakthrough IP service control platforms for broadband service provider and carrier markets, with announced customer deployments at Aurora Cable Internet, Cedar Falls Utilities, Coldwater Board of Public Utilities, Eastlink Cable Systems, Murray Electric System, Muscatine Power & Water, Partner Communications and University of South Florida.

A leader in IP Service Control for cable broadband operators, Ellacoya's IP Service Control System™ brings visibility, control and new services to broadband networks. With the Ellacoya system, operators can immediately increase customer satisfaction and reduce costs, while collecting data and preparing their infrastructure for new sources of revenue longer term. Recognized as one of the most promising telecommunications start-ups by Telecommunications Magazine and recipient of numerous "Investor's Choice" awards, Ellacoya Networks is privately held and headquartered in Merrimack, New Hampshire. For more information contact us at +1 603.577.5544, or visit us at www.ellacoya.com.







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