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Passave and Fiberxon Announce Reference Design that Enables Lowest Cost FTTH Equipment

Joint Technology Makes Gigabit Ethernet Speed FTTH Cost-Competitive With DSL and Cable.

Santa Clara, Calif., March 8, 2005 – Passave, the leading provider of semiconductors for fiber to the home (FTTH), and Fiberxon, one of the world`s leading innovators of opto-electronic components and subsystems for communication networks, have announced the availability of a reference design for FTTH access system that is cost-competitive with DSL and cable modem. Fully compliant with the IEEE 802.3ah Ethernet Passive Optical Network (EPON) standard for FTTH, the reference design provides bandwidth of 1Gbps to each user, which is almost 1000 times faster than DSL or cable, and enables the delivery of “triple-play” services (simultaneous voice, data, and video over a single link) and high-definition television (HDTV) channels over IP. Passave and Fiberxon will demonstrate the reference design at OFC/NFOEC, booth 3132, in Anaheim California, March 8-10, 2005.

The reference design is a fully functioning Gigabit Ethernet network incorporating a central office optical line terminal (OLT), a customer premises optical networking unit (ONU), optical-fiber transceivers, and a complete networking and management solution for layers 2, 3 and 4 of the Open Systems Interconnection (OSI) model. It is based on silicon and transceiver components that have shipped in accumulated volumes of over one million units and are deployed today by leading carriers worldwide. The reference design comes with hardware schematics and Gerber files along with complete system-level software.

“We are pleased to partner with Passave, the leader in silicon for FTTH, in demonstrating a cost-optimized FTTH solution that delivers Gigabit Ethernet service over fiber,” said Li Hsu, president and CEO of Fiberxon. “Our joint solution breaks new ground in cost-for-performance, while delivering field-proven technology that will meet the requirements of sophisticated users.”

“Passave`s partnership with Fiberxon shows ample evidence that fiber-based networks can deliver on the true promise of triple-play at a cost structure competitive with that of DSL and cable modems,” said Ariel Maislos, president of Passave. “Together we enable the FTTH revolution.”

About Fiberxon
Fiberxon Inc. is focused on the design, manufacturing, and marketing of best-in-class and cost-effective optoelectronic interface modules and solutions for communication systems and networks. Founded in 2000, Fiberxon has its headquarters in Santa Clara, California, and subsidiaries and offices in Dallas, Beijing, Shanghai, Shenzhen, Chengdu, and Hong Kong. Supported by leading venture capital and world-class strategic partners, Fiberxon meets the demands of its customers worldwide with products and services derived from its innovation in technology, product development, and manufacturing processes, as well as its complete quality and reliability assurance systems. For more information about Fiberxon, visit www.fiberxon.com

About Passave Inc.
Passave is a fabless system-on-a-chip vendor offering integrated solutions for broadband fiber access. Passave delivers complete, standards-compliant and interoperable solutions for passive optical networks (PONs) that expedite the original equipment manufacturer (OEM) design process and dramatically reduce product cost. Leveraging Ethernet and IP technologies, Passave offers complete chipsets for fiber to the home (FTTH) systems. Founded in 2001, Passave has received strategic backing from leading venture capital firms and private investors. For more information about Passave, visit www.passave.com.