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Nortel Networks to Offer New Converged Solutions for SMBs, Enterprise Branch Offices

  • 08 April, 2004 15:08

<p>New Solutions Expected to Help Customers Lower Costs, Simplify Operations, Extend Infrastructure</p>
<p>DALLAS – Nortel Networks* [NYSE/TSX: NT] plans to enhance its award-winning enterprise convergence portfolio to help small- and medium-sized businesses (SMBs) as well as enterprise branch offices drive lower communication costs, simplify network operations and extend infrastructure investments by eliminating single-purpose devices in favor of highly-reliable, multi-purpose converged solutions.</p>
<p>The enhancements will include Nortel Networks Survivable Remote Gateway (SRG) and Nortel Networks Business Communication Manager (BCM) Release 3.6. Both are expected to be commercially available in late May 2004.</p>
<p>“Recent analyst reports confirm our leadership position in IP (Internet Protocol) telephony, and we will continue to innovate to maintain the trust of the marketplace,” said Aziz Khadbai, general manager, Local Premise Solutions, Nortel Networks. “These solutions offer feature-rich IP telephony options that fit each customer need, allowing for IT investment protection and enabling customers to migrate to IP at their own pace.”</p>
<p>Nortel Networks Survivable Remote Gateway has been specifically designed to extend the desktop features and user interface of Nortel Networks Succession* 1000 IP PBX (private branch exchange) platform to give remote-site users full access to the same features and applications available at the main corporate site.</p>
<p>SRG will also allow distribution of trunking across a Succession 1000 and SRG wide area network (WAN) to provide true, least-cost routing and reduce toll costs. Local public switched telephone network (PSTN) access will be provided by SRG for local calls and E9-1-1. SRG will provide a suite of IP-based data and routing capabilities, including dynamic host configuration protocol (DHCP), Web caching and Virtual Private Network (VPN) support.</p>
<p>Chimes, a non-profit organization that provides services to people with various barriers to independent living, sees SRG as a good fit for its smaller sites in Maryland, Washington D.C., Delaware, New Jersey, Virginia, Pennsylvania and Israel, many of which are group homes.</p>
<p>“Telecommunications is the key to binding our organization and providing ongoing services to these sites,” said Martin Lampner, chief financial officer, Chimes. “We see the SRG solution fitting into the infrastructure as a mechanism to make that 9-1-1 call in emergency situations. We’re especially looking to the inherent reliability and flexibility this system offers. SRG ensures communications in a variety of situations.”</p>
<p>Also announced today, BCM Release 3.6 will deliver new functionality to the existing list of standard and optional BCM capabilities. BCM is already recognized by industry experts for outstanding performance and exceptional feature coverage and BCM 3.6 will add a variety of new features, including:</p>
<p>* Enhanced Basic, Professional and Multimedia Call Center Packages – BCM Release 3.6 will create a flexible, robust call center architecture that will allow businesses to meet the needs of its customers with maximum efficiency. By providing quick customer access to sales and support personnel via phone or Web, businesses can provide better service;
* BCM400 Expansion Gateway – By approaching scalability in a modular fashion, new and existing customers will be able to cost-effectively scale any BCM solution from 10 to 200+ extensions;
* New Telephony Features – The latest enhancements will include the ability to automatically route calls based on individual user preference, allowing business personnel to complete tasks without interruption;
* New IP Phones – BCM Release 3.6 will deliver new IP Phone 2001 and 802.3af Power over LAN (PoL) phones to the 2002 and 2004 models. Businesses of all sizes will be able to select a Nortel Networks IP Phone for every user and environment, all powered via the 802.3af standard;
* Performance Management – BCM 3.6 will take a proactive approach to network performance by monitoring critical system components. The result is expected to be lower support costs through reduced network downtime and early problem detection.</p>
<p>“We’ve been using Nortel Networks Business Communications Manager to enhance customer service across our retail sites in North America and Australia,” said Greg Clemens, Information Systems manager, Worthington Ag Parts. “Customer service is key in our industry. By leveraging BCM, we have been able to assist customers in finding parts more quickly and efficiently and connecting them with our various sites across our voice over IP network. Due to this, we have been able to increase sales calls and increase productivity and communication between sites, while significantly lowering our communication costs.”</p>
<p>SRG will leverage a customer’s investment in and the value of Nortel Networks Succession 1000 solution by connecting IP phones over the WAN and seamlessly extending features to multiple sites through IP connectivity and streamlined network management.</p>
<p>Business Communications Manager delivers small- and medium-sized businesses and branch offices the only converged voice and data solution in the industry that provides a choice of IP-enabled or pure-IP strategies. Leveraging existing Succession 1000, Nortel Networks Meridian* and Nortel Networks Norstar*, investments, BCM has the capabilities businesses need to improve communication and extend the benefits of IP to any size enterprise.</p>
<p>Nortel Networks is an industry leader and innovator focused on transforming how the world communicates and exchanges information. The Company is supplying its service provider and enterprise customers with communications technology and infrastructure to enable value-added IP data, voice and multimedia services spanning Wireless Networks, Wireline Networks, Enterprise Networks, and Optical Networks. As a global company, Nortel Networks does business in more than 150 countries. More information about Nortel Networks can be found on the Web at www.nortelnetworks.com or www.nortelnetworks.com/media_center.</p>
<p>-- end --</p>
<p>Certain information included in this press release is forward-looking and is subject to important risks and uncertainties. The results or events predicted in these statements may differ materially from actual results or events. Factors which could cause results or events to differ from current expectations include, among other things: the outcome of Nortel Networks independent review and any further restatement of its previously announced or filed financial results; the impact of the inability to meet Nortel Networks filing obligations on credit and support facilities and public debt obligations; the sufficiency of Nortel Networks restructuring activities, including the potential for higher actual costs to be incurred in connection with restructuring actions compared to the estimated costs of such actions; continued reductions in spending by Nortel Networks customers; fluctuations in Nortel Networks operating results and general industry, economic and market conditions and growth rates; the communication by Nortel Networks auditors of the existence of material weaknesses in internal control; Nortel Networks ability to recruit and retain qualified employees; fluctuations in Nortel Networks cash flow, level of outstanding debt and current debt ratings; Nortel Networks ability to meet the financial covenant in its credit facilities; the use of cash collateral to support Nortel Networks normal course business activities; the dependence on Nortel Networks subsidiaries for funding; the impact of Nortel Networks defined benefit plans and deferred tax assets on results of operations, Nortel Networks cash flows and compliance with its financial covenant; Nortel Networks dependence on new product development and its ability to predict market demand for particular products; Nortel Networks ability to integrate the operations and technologies of acquired businesses in an effective manner; the impact of rapid technological and market change; the impact of price and product competition; barriers to international growth and global economic conditions, particularly in emerging markets and including interest rate and currency exchange rate fluctuations; the impact of rationalization in the telecommunications industry; changes in regulation of the Internet; the impact of the credit risks of Nortel Networks customers and the impact of customer financing and commitments; stock market volatility generally and as a result of acceleration of the settlement date or early settlement of Nortel Networks purchase contracts; risks associated with a consolidation of Nortel Networks common shares; the impact of Nortel Networks supply and outsourcing contracts that contain delivery and installation provisions, which, if not met, could result in the payment of substantial penalties or liquidated damages; the future success of Nortel Networks strategic alliances; and the adverse resolution of litigation, intellectual property disputes and similar matters. For additional information with respect to certain of these and other factors, see the most recent Form 10-Q/A and Form 10-K/A filed by Nortel Networks with the United States Securities and Exchange Commission. Unless otherwise required by applicable securities laws, Nortel Networks disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
*Nortel Networks, the Nortel Networks logo, the Globemark, Business Without Boundaries, Succession, Meridian and Norstar are trademarks of Nortel Networks.</p>

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