Passave and Zarlink Demonstrate Gigabit FTTH/FTTP Triple-Play Plus E1/T1 Service over PON Network at OFC (Booth #3421)
3/1/2006

Complementary PON (Passive Optical Network) and CESoP (Circuit Emulation Services over Packet) chipsets enable simultaneous delivery of TDM voice services, IP telephony, high-definition IPTV, and IP data services over unified FTTH/FTTP network.

OTTAWA, CANADA and SANTA CLARA, CA - Passave, Inc. and Zarlink Semiconductor (NYSE/TSX:ZL) today announced that they are showcasing a gigabit/second triple-play FTTH (fiber-to-the-home)/FTTP (fiber-to-the-premise) network with integrated E1/T1 TDM voice service at the OFC show at the Anaheim Convention Center, Anaheim, CA, March 7 to 9 (Booth #3421). The FTTH/FTTP network demonstrates a fully loaded and congested network with many users, multiple high-definition applications, and high-bandwidth one gigabit/second upstream and downstream traffic that exhibits predictable QoS (quality of service) performance.

The FTTH/FTTP system uses a Passave PAS6201 QoS-aware ONU (optical network unit) device to provide a gigabit/second interface between the fiber network and the Ethernet-based CPE (customer premise equipment) that supports triple-play services, with a Zarlink ZLT50120 CESoP processor for integrated transport of TDM E1/T1 services. This provides a cost-effective solution for integrating TDM equipment with FTTH/FTTP networks.

"Combining our QoS-aware triple-play PON chipset and Zarlink's ZL50120 CESoP processor enables network operators to carry circuit-switched voice and T1/E1 services over Ethernet-based PON networks with predictable QoS performance - avoiding the need for costly access lines for legacy services," said Onn Haran, Chief Technology Officer, Passave.

"With Passave and Zarlink's complementary technologies, one merged broadband triple-play Ethernet-based PON network delivers the full range of data, video and voice services," said Bruce Ernhofer, Product Marketing Manager, Zarlink Semiconductor. "Blending TDM support into PON helps carriers generate additional revenues and migrate towards a unified network supporting existing voice and data services."
 

CESoP is a powerful addition to PON triple-play networks
Using Zarlink's CESoP technology, circuit-switched traffic - including associated timing and signaling information - is converted into Ethernet packets and seamlessly carried across an Ethernet-based PON network. Because Zarlink's CESoP processors integrate timing and synchronization information and support industry-standard T1/E1 and fractional T1/E1 services, customers have a complete solution for carrying TDM across PON.

With CESoP, operators can build cost-effective fiber-based packet networks while still supporting T1/E1 services for customers and avoiding "fork-lift" upgrades of installed legacy equipment. Zarlink's standards-based CESoP processor family has been designed into IP-DSLAM (Internet Protocol Digital Subscriber Line Access Multiplexer), cable, WiMax (Worldwide Interoperability of Microwave Access), and Wi-Fi (Wireless Fidelity) access technologies.

For more on Zarlink's CESoP technology, visit http://cesop.zarlink.com.

About Passave, Inc.
Passave is a leading supplier of gigabit FTTH (Fiber to the Home) semiconductors for the broadband access network. Passave FTTH products use the field-proven GigaPASST FTTH architecture to provide the bandwidth and feature sets that enable service providers to deliver triple play services - integrated data, IPTV and voice - over passive optical networks. The GigaPASST architecture integrates gigabit PON to Ethernet interfaces, wire-speed protocol processing and programmable features, delivering high-performance, low-cost FTTH solutions. Passave's system-on-chip FTTH solutions are open-source software platforms with flexible hardware features giving system OEMs the ability to differentiate their products with application-specific features. Passave maintains offices in Santa Clara, California, Herzliya, Israel, Tokyo, Japan and Seoul, Korea, with customer support teams in China. For more information about Passave, visit www.passave.com.

About Zarlink Semiconductor
For over 30 years, Zarlink Semiconductor has delivered semiconductor solutions that drive the capabilities of voice, enterprise, broadband and wireless communications. The Company's success is built on its technology strengths including voice and data networks, consumer and ultra low-power communications, and high-performance analog. For more information about Zarlink, visit www.zarlink.com.


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Shareholders and other individuals wishing to receive, free of charge, copies of the reports filed with the U.S. Securities and Exchange Commission and Regulatory Authorities, should visit the Company's web site at www.zarlink.com or contact investor relations.

Certain statements in this press release constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties, and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance, or achievements expressed or implied by such forward-looking statements. Such risks, uncertainties and assumptions include, among others, the following: rapid technological developments and changes; our ability to achieve profitability and generate positive cash flows in the future; our exposure to product warranty claims resulting from product defects or failures; our dependence on our foundry suppliers and third-party subcontractors; increasing price and product competition; our exposure to currency exchange rate fluctuations and other factors inherent in our international operations; and other factors referenced in our Annual Report on Form 20-F for the fiscal year ended March 25, 2005. Investors are encouraged to consider the risks detailed in this filing.

Zarlink, ZL, and the Zarlink Semiconductor logo are trademarks of Zarlink Semiconductor Inc.

GigaPASS is a trademark of Passave, Inc.


Passave Company Contact
Chris Bailey, Communications Director
Passave, Inc.
chris.bailey@passave.com
1-408-235-9790 x126

Media Contact, for Passave, Inc.
Constance Sweeney
Big Wave PR
cks@bigwavepr.com
1-650-358-9119

Zarlink North America
Heather McCulligh, Media Relations
Zarlink Semiconductor, Inc.
heather.mcculligh@zarlink.com
1-613-270-7322
 
Zarlink Asia-Pacific
Karen Li
The Hoffman Agency China
kli@hoffman.com.cn
86-10-6507-0985

Zarlink Europe
Simon Krelle,
Pinnacle Marketing Communications
simonk@pinnaclemarcom.com
44 (0) 7973 821036




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