SPRINT INCREASES NETWORK CAPACITY, PERFORMANCE WITH DEPLOYMENT OF CIENA'S SCALEABLE 40-CHANNEL MULTIWAVE® 4000
New DWDM Technology Secures Sprint's Lead in Data Communications
Linthicum, MD — 03/16/1998Sprint (NYSE: FON) and Ciena Corporation (Nasdaq: CIEN) together announced today that Sprint has chosen Ciena's 40-channel MultiWave® 4000 scaleable dense wavelength division multiplexing (DWDM) system for deployment next month in the Sprint network. Such a move will enable Sprint to immediately increase its current network capacity by 250%, and eventually by 600% to deliver high-performance communication services to Sprint's business and data customers. In addition, both parties have signed a three year supply agreement for the MultiWave 4000.
Sprint's use of the MultiWave 4000 will mark the first time that a long-distance carrier has deployed a 40-wavelength system in its network. In early 1996, Sprint began installing Ciena's 16-channel product, once again leading the industry in DWDM deployment.
Based on design innovations recently introduced by Ciena and announced separately today, the MultiWave 4000 is scaleable on a channel-by-channel basis from 40 channels, or 100 Gb/s, to 96 channels, or 240 Gb/s, which enables Sprint to protect its investment in its existing fiber-optic network and expand capacity in the future. Such a capability will enable Sprint to deliver high-performance solutions more efficiently and at lower cost.
When coupled with Sprint's OC-48 SONET equipment, 96-channel DWDM equals almost 3.1 million phone calls over a single fiber pair - enough capacity to carry all the voice traffic of all the major long distance carriers. This capacity also enables Sprint to handle the growing demands for multimedia and high-bandwidth data applications.
"As Sprint plans for continued network and traffic growth, scaleability is critical," said Marty Kaplan, senior vice president and chief technology officer at Sprint, who recently was named America's Network "Technologist of the Year." "Ciena has consistently delivered high-capacity DWDM systems to help meet the needs of Sprint's customers. With the MultiWave 4000, Sprint will continue its leadership position in voice and broadband services."
"After more than a year of shipping our 16-channel, 40Gb/s DWDM systems to Sprint, we are gratified that Ciena has received this additional vote of confidence, especially because it follows Sprint's industry-wide review of competing DWDM systems," said Patrick Nettles, Ciena's president and chief executive officer. "The provisioning of greater bandwidth is critical to every carrier, and we're very pleased that when Sprint faced a real decision for an actual 200 plus Gb/s deployment, Ciena was selected."
The contract is a three-year addition to an existing Sprint/Ciena 16-channel supply agreement, and follows successful acceptance-testing of a fully populated 40-channel MultiWave 4000 DWDM system at Sprint's testing laboratories in Burlingame, CA.
Ciena specializes in network transition. We provide the flexible platforms, intelligent software and professional services to build converged networks for enhanced services and applications. With a growing global presence, Ciena leverages its heritage of practical innovation to deliver maximum performance and economic value in communications networks worldwide. For more information, visit www.ciena.com.
Sprint is a global communications company -- at the forefront in integrating long distance, local and wireless communications services and is one of the world's largest carriers of Internet traffic. Sprint built and operates the United States' only nationwide, all-digital, fiber-optic network and is the leader in advanced data communications services. Sprint has $15 billion in annual revenues and serves more than 16 million business and residential customers.
Forward-looking statements in this release, including statements regarding the expected timing of installation of Ciena's equipment in Sprint's network during this quarter is based on information available to the Company as of the date hereof. The Company's actual results could differ materially from those stated or implied by such forward-looking statements, due to risks and uncertainties associated with the Company's dependence on its major customers and their spending patterns, including specifically the impact on the Company's near term operating results of WorldCom's recently announced change in purchasing practices, the challenge of transitioning to the manufacture of multiple product lines in fiscal 1998, and the overall management of its expansion. The forward-looking statements should be considered in the context of these and other risk factors disclosed in the Company's Form 10-Q, filed with the Securities and Exchange Commission on February 19, 1998.
Nicole Anderson
Ciena Corporation
(877) 857 -7377
pr@ciena.com
Marie Downing
Ciena Corporation
(888) 243-6223
ir@ciena.com
