Xtend Networks, Paradigm Telecom Partner to Deliver New Revenue Opportunities to Cable

Xtend Networks, Paradigm Telecom Partner to Deliver New Revenue Opportunities to Cable

ATLANTA, Jan. 12 /PRNewswire-FirstCall/ -- Xtend Networks, a Vyyo company (NASDAQ:VYYO) that provides advanced broadband solutions for the cable TV industry, announced today a strategic alliance with Paradigm Telecom for the creation of new commercial service revenue opportunities for cable system operators.

Under the alliance, cable system operators deploying Xtend's solution for the delivery of symmetrical, voicegrade T1 (1.544 megabits per second) services over hybrid fiber-coaxial (HFC) networks will be able to utilize Paradigm's expertise and relationships in the wireless sector to enter the lucrative market for the backhaul of mobile voice traffic from cellular towers to central offices.

Xtend's T1 solution currently is being trialed by cable operators in multiple markets in the southeastern United States. A previous Xtend solution, for the delivery of 3 GHz of bandwidth over 860 MHz coaxial plant, already has been approved by Cox Communications for deployment to commercial customers.

"With the incumbent telecom providers accelerating their fiber rollouts, cable needs to look beyond the classic 'triple play' to partnerships with wireless providers," said Bill Keating, CEO of Xtend Networks. "By combining our technology with Paradigm's expertise, we are able to offer operators both a base of prospective customers and the means to satisfy their needs."

"Our wireless clients are seeking high-quality, competitive services," said Karen Toth, CEO of Paradigm Telecom. "Cable's HFC infrastructure often is in close proximity to cellular towers; by enabling cable system operators to deliver high-quality, highly-reliable T1 services over their existing plant, Xtend has opened the door for cable's entry into a new business opportunity without substantial investment."

Utilizing Xtend's XMTS, a head-end modular system servicing up to 24 T1 links, and Vyyo's V301 -- CPE T1 modem, the carrier-class solution integrates T1 real-time traffic with the standard DOCSIS(R), ensuring Quality of Service (QoS) and minimizing delay and jitter. Combined with Xtend's Block Division Multiplexing technology, the overall solution enables hundreds of T1 links over the HFC networks. The solution creates a new market for cable system operators (MSOs), enabling them for the first time to provide alternatives to incumbent carriers for small and medium-sized business (SMB) customers that need to connect local telephone switches (PBX) to the public service, or connect their local area network (LAN) to another office or to the Internet. MSOs also can offer SMB customers bundled services of TV, high-speed data and telephony, giving them a competitive advantage over the incumbent telecom service providers.

About Paradigm Telecom

Paradigm Telecom is a telecommunication consulting and brokerage firm that partners with major service and equipment providers to create comprehensive telecommunication packages that meet the needs of customers across the United States. Paradigm offers world-class service by provisioning the most reliable business information service infrastructures at the most affordable prices available, while also providing the benefit of a single point of contact for all customer service related issues. For more information, please go to www.paradigmtelecom.com.

About Xtend Networks

Xtend provides cost-efficient, innovative solutions that expand the existing bandwidth of hybrid fiber-coax networks up to 3 GHz without affecting traditional residential services. Xtend's RF technology works in parallel with existing infrastructure to significantly increase upstream and downstream capacity, enabling cable system operators to deploy DOCSIS(R)-based symmetrical commercial services, HDTV and other bandwidth intensive products. Xtend Networks is a Vyyo company. For more information, please visit www.xtendnetworks.com.

Safe Harbor Statement

Statements made in this press release relating to the future, including those related to the potential for Xtend's systems to generate (1) new customers, markets and revenues; and (2) competitive advantages over incumbent telecoms for MSOs, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Because these forward-looking statements involve risks and uncertainties, there are important factors that could cause our actual results to differ materially from those in the forward-looking statements. These factors include, without limitation, the current limited visibility available in the telecommunications and broadband access equipment markets; whether Xtend will be able to move from the development stage to deployment and establish commercial relationships with the cable system operators; whether the cable industry will be willing and able to substantially increase the available bandwidth on their networks and do so using Xtend's alternative technology solution; whether Paradigm Telecom is able to successfully use those Xtend solutions being developed; whether Xtend is able to maintain its relationship with Paradigm Telecom; and other risks set forth in Vyyo's annual report on Form 10-K for the year ended December 31, 2003, its quarterly report on Form 10-Q for the three months ended September 30 2004, and in other periodic reports filed by Vyyo with the Securities and Exchange Commission from time to time. Vyyo assumes no duty to update these statements.

NOTE: All trademarks mentioned herein are the property of their respective owners.


Source: Xtend Networks

CONTACT: media, Paul Schneider of Paul Schneider Public Relations, Inc.,
+1-215-702-9784 (w), or +1-215-817-4384, or pspr@att.net, for Xtend Networks;
or investors, Walt Ungerer, VP, Corporate Communications of Vyyo Inc.,
+1-650-319-4029, or in@vyyo.com

Web site: http://www.vyyo.com/
Web site: http://www.xtendnetworks.com/
Web site: http://www.paradigmtelecom.com/


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