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Nortel data platform prepares wireless carriers for the future

September 15, 1998, Company Press Release


LONDON - Nortel (Northern Telecom) [NYSE: NT/TSE: NTL] has announced a wireless data platform that provides operators of GSM networks a reliable and high performing infrastructure to support data service delivery to their customers today as well as in the future.

Based on Nortel's award winning data switch, Passport, the Passport 8300 G wireless gateway is the cornerstone of Nortel's wireless data solutions and is the platform for all future Nortel wireless data technologies. This revolutionary product was unveiled today at Intelcom'98 - The Wireless Economy.

The Passport 8300 G enables operators to offer advanced GSM data services now as well as provide a smooth evolution toward mobile data technologies of the future.

"Nortel's data switching expertise will allow operators to affordably evolve towards wireless IP networks," said Pascal Debon, president, GSM Networks, Nortel. "Now, with the recent merger with Bay Networks, we will be able to complement our data expertise with additional IP knowledge, especially in the area of providing easy to manage, secure, virtual packet networks to corporate intranets."

The wireless gateway provides an immediate 200 percent improvement in the current effective GSM data rate. Additionally, it will support fast digital connection to the Internet/intranet, facsimile services and the existing portfolio of Interworking Function (IWF) services with increased capacity and reliability.

In order to meet the increasing demand for higher efficiency, higher bandwidth networks, Nortel will extend the capabilities of the Passport 8300 G to support mobile standards including: General Packet Radio Services (GPRS) and Enhanced Data rate for GSM Evolution (EDGE).

GPRS is a key milestone for GSM data services as it will initiate the move from the circuit-based environment to the packet-based architecture of the future. Through GPRS, end users will have access to a new portfolio of data services with data rates of up to 115 kbps. From the operator's perspective, GPRS enables radically different tariffing options because of its very efficient use of available spectrum. These factors will encourage the widespread adoption of mobile data services. Beyond GPRS, EDGE will be the next step in providing cost-effective solutions for operators with data rates up to 384 kbps.

The Passport 8300 G is also the basis for the third generation (3G) unified core network. With data rates of up to 2 Mbps, Universal Mobile Telecommunications Systems (UMTS) will be of prime importance in enabling convergence of the telecommunications, computing and media industries. Nortel is strongly involved in the standards and will develop a UMTS solution based on advanced radio technology and the Passport 8300 G.

"Wireless data is expected to comprise more than a quarter of network traffic within four years," said Debon. "Today Nortel is the only company manufacturing a full portfolio of wireless network infrastructure and data networking products designed to meet this demand. We are committed to supplying our customers with a complete, cost-effective and future proof wireless data solution."

Since its introduction in 1994, Passport has gained leadership in Wide Area Network (WAN) switching. It has achieved a leadership position in the frame relay switch market and in the packet switch market.

The technology performance is recognized by the industry, especially by service providers and large corporations around the world who chose Passport to build their data services. More than 10,000 Passport platforms serve the data market worldwide. It currently holds a number one position in the global ATM enterprise WAN switch market, representing 38 percent market share. (Number two in overall ATM switch market.)

This expertise is now complimented by the extensive portfolio of IP routers, remote access servers, IP feature rich software and IP network authentication, security and administration servers provided by Bay Networks.

Passport's leading market position is a result of technology excellence. The platform has been designed to support IP, Frame Relay and ATM capabilities and enables the integration of voice, data and video. Passport ensures reliable, high performing and scalable networks.

Nortel's common shares are listed on the New York, Toronto, Montreal, Vancouver, and London stock exchanges. Nortel had 1997 revenues of US$15.5 billion and Bay Networks, a wholly owned subsidiary of Nortel, had revenues of US$2.4 billion during its most recent fiscal year. The combined company's workforce totals approximately 80,000 employees worldwide.

 

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