Zhone Technologies, Inc : iTV-3 Calls on Zhone Technologies to Provide Customers with High-Speed Triple-Play Services

    Zhone Technologies, Inc : iTV-3 Calls on Zhone Technologies to Provide
                Customers with High-Speed Triple-Play Services

Contacts

Aurora Arlet                       Zhone Investor Relations
Edelman for Zhone Public Relations Tel: +1 510.777.7013
Tel: +1 404.460.8578               Fax: +1 510.777.7001
E: aurora.arlet@edelman.com        E: investor-relations@zhone.com

                                      

    iTV-3 Calls on Zhone Technologies to Provide Customers with High-Speed
                             Triple-Play Services

 Zhone assists Central Illinois service provider in third fiber optic network
                                  expansion

                                      

Oakland, CA -April 24, 2013- Zhone Technologies, Inc. (NASDAQ: ZHNE), a global
leader in FTTx network access solutions, today announced it will assist with
iTV-3's new network expansion in Central Illinois, building off of two
previous network expansions that used Zhone equipment. Zhone's MXK, GPON and
ZNID products will enable iTV-3 to expand its high-speed Internet and
triple-play services to an additional 10,000 subscribers.

By 2015, a four-time increase in fixed broadband speeds is expected, and
global Internet users worldwide are predicted to increase from 1.9 billion in
2010 to 3 billion in 2015, according to IEEE. Today's bandwidth demand
explosion, by no surprise, is driven by a dramatic increase in the consumption
of services such as streaming, social media, video on demand and increased
access rates.

To meet the growing demand for high-speed broadband iTV-3, a local service
provider in Central Illinois, is expanding its service offerings for business
and residential subscribers by building a brand new 100 percent fiber optic
network in East Peoria, IL. This expansion, which will be fully managed by
Zhone's MXK, follows two recent network expansions in the cities of Morton and
Pekin, IL.

"After working with Zhone on successful fiber optic network deployments in
both Morton and Pekin, IL, iTV-3 is extending its high-speed Internet, VoIP
and IPTV video services to customers in East Peoria," said Levi Dinkla, vice
president of iTV-3. "Reception to iTV-3's 100 percent fiber-to-the-home
network and local customer service was strong, which is why the company chose
to expand to additional markets this year. iTV-3 selected Zhone's MXK platform
for use on its newest fiber optic network because of the solution's proven
ability to seamlessly integrate with current systems, while also providing
opportunity for future footprint expansion within the market."

Zhone specializes in high-capacity FTTx multi-service systems, including MXK,
designed to deliver cost-effective solutions for customers and provide high
performance, while meeting ever-growing bandwidth demands. Zhone's MXK is the
industry's first Terabit Access Concentrator, providing industry-leading
density, switching capacity and throughput, as well as non-blocking capacity
of up to 3,600 100 Mbps GPON subscribers or 360 1G Active Ethernet
subscribers. The MXK platform also provides investment protection for the
future by guaranteeing high-quality experience for residential triple-play and
high-bandwidth business services over any FTTx infrastructure.

"Zhone's FTTx solutions such as the MXK platform will provide advanced
connectivity offerings for iTV-3's newest fiber optic network," explained
Brian Caskey, chief marketing officer at Zhone. "Zhone has worked with iTV-3
since January 2011 and is excited to provide iTV-3 with flexible services and
applications from Zhone's MXK, GPON and ZNID products in this newest network
expansion."

iTV-3 uses fiber-to-the-home technology connected to an Optical Network
Terminal (ONT) to convert signals from the fiber optic line into standard
Ethernet ports. For residential triple play and high-bandwidth business
services over any FTTx architecture, Zhone's MXK is one of the leading
solutions for FTTH deployments, providing cost efficiency and service
differentiation from competitors.

For more information about Zhone's MXK offerings or other solutions in Zhone's
FiberHome(TM) portfolio, please visithttp://www.zhone.com.

About Zhone Technologies

Zhone Technologies, Inc. (NASDAQ: ZHNE) is a global leader in all IP
multi-service access solutions, serving more than 750 of the world's most
innovative network operators. The IP Zhone is the only solution that enables
service providers to build the network of the future.today, supporting
end-to-end Voice, Data, Entertainment Social Media, Business, Mobile Backhaul
and Mobility service. Zhone is committed to building the fastest and highest
quality All IP Multi-Service solution for its customers. Zhone is
headquartered in California and its products are manufactured in the USA in a
facility that is emission, waste-water and CFC free.

Zhone, the Zhone logo, and all Zhone product names are trademarks of Zhone
Technologies, Inc. Other brand and product names are trademarks of their
respective holders. Specifications, products, and/or product names are all
subject to change without notice.

Forward-Looking Statements

This press release contains forward-looking statements that are subject to the
safe harbors created under the Securities Act of 1933 and the Securities
Exchange Act of 1934. Words such as "anticipate," "believe," "continue,"
"could," "estimate," "expect," "goal," "intend," "may," "plan," "project,"
"seek," "should," "target," "will," "would," variations of such words, and
similar expressions are intended to identify forward-looking statements. In
addition, forward-looking statements include, among others, statements that
refer to financial estimates; projections of revenue, margins, expenses or
other financial items. Readers are cautioned that actual results could differ
materially from those expressed in or contemplated by the forward-looking
statements. Factors that could cause actual results to differ include, but are
not limited to, commercial acceptance of the Company's products; intense
competition in the communications equipment market; the Company's ability to
execute on its strategy and operating plans; and economic conditions specific
to the communications, networking, internet and related industries. In
addition, please refer to the risk factors contained in the Company's SEC
filings available at www.sec.gov, including without limitation, the Company's
annual report on Form 10-K for the year ended December 31, 2012. Readers are
cautioned not to place undue reliance on any forward-looking statements, which
speak only as of the date on which they are made. The Company undertakes no
obligation to update or revise any forward-looking statements for any reason.

                                      

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Source: Zhone Technologies, Inc via Thomson Reuters ONE
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