Harmonic Delivers First Approved Multiplexing Nodes to AT&T Broadband & Internet Services for Salt Lake City Trial

Business Wire, July 16, 1999

SUNNYVALE, Calif.--(BUSINESS WIRE)--July 15, 1999--

Harmonic Inc. (Nasdaq: HLIT) today announced it has delivered the first multiplexing nodes to be approved by AT&T Broadband & Internet Services (AT&T BIS) for an upcoming technology trial in Salt Lake City. The multiplexing node is one of the building blocks for the experimental LightWire(TM) architecture developed by AT&T BIS and AT&T Labs. The trial deployment in Salt Lake City will be used for concept testing for this architecture.

"The rapid development and delivery of the Harmonic multiplexing node is a great example of our capability to respond quickly to customer needs with the right solutions," said Colin Boyd, Harmonic's vice president of North American sales and worldwide marketing. "By working with AT&T's specifications and the developed LightWire platform, we added to the flexible platform of our existing PWRBlazer(TM) Scaleable Node and were able to incorporate the new functionality needed by AT&T BIS."

The Harmonic multiplexing node has been fully tested at AT&T BIS in Denver and approved for deployment in the trial. Harmonic expects to deliver the full complement of nodes required for Phase I of the trial by October.

"The team at Harmonic has worked quickly to take our specifications, refine the design and bring their multiplexing nodes to market in an expedited way," said Tony Werner, AT&T BIS executive vice president and CTO. "We look forward to working with Harmonic, and the other vendors who are participating in this trial, as we explore the possibilities of the LightWire design."

About the Harmonic multiplexing node

The multiplexing node is planned to be used in the LightWire architecture to provide concentration and distribution functionality. In the downstream direction it demultiplexes the signals from the headend for distribution to smaller multiple mini-fiber nodes, while in the upstream direction it multiplexes the signals from the mini-fiber nodes for transport back to the primary hub. In Phase I of the trial the multiplexing node is expected to transport services in existing RF format, and in Phase II its capability will be extended to include baseband digital transport and time division multiplexing (TDM).

About Harmonic Inc.

Harmonic designs, manufactures and markets digital and fiber optic systems that deliver video, voice and data over cable, satellite and wireless networks. These advanced solutions enable cable television and other network operators to provide a range of interactive broadband services that include high-speed Internet access, telephony and video-on-demand.

Harmonic is headquartered in Sunnyvale, Calif., where it also operates an R&D center and a manufacturing facility. The company also operates its Harmonic Data Systems subsidiary and an R&D center in Israel. In addition, the company maintains several sales and support centers worldwide. Harmonic is ISO 9001-certified and its stock is traded on the Nasdaq stock market under the symbol "HLIT". Visit www.harmonicinc.com on the web.

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These statements include, but are not limited to, the use of the trial deployment in Salt Lake City, the delivery by October of the full complement of nodes, the planned use of the multiplexing node in the LightWire architecture, and the functionality of the node in Phase I and Phase II of the trial. Actual results could differ materially from those projected in the forward-looking statements as a result of the risk factors set forth in documents that Harmonic files with the SEC, specifically reports on Form 10-K and 10-Q.

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