Occam Networks Streamlines Operations to Gain Competitive Advantage; Contract Manufacturer, Flash Electronics, Takes Over Manufacturing Operations to Meet Growing Demand for Occam BLC 6000 System

Business Wire, March 13, 2006

SANTA BARBARA, Calif. -- Occam Networks(R) Inc. (OTCBB: OCCM), a supplier of innovative Ethernet- and IP-based loop carrier equipment to telecommunications companies worldwide, today announced that it has moved manufacturing operations to contract manufacturer Flash Electronics. The move has enabled Occam to streamline operations by creating an efficient, end-to-end supply chain that has accelerated the delivery of the company's flagship product, the Occam BLC 6000 System, to its customers. Working with Flash Electronics, Occam has created a single, integrated supply chain that will enable the company to scale its operations to meet growing customer demand.

"We began transitioning our manufacturing to Flash Electronics in September 2005, and since then we have improved corporate performance and delivered significant cost savings," said Bob Howard-Anderson, president and CEO of Occam Networks. "By taking this approach, we have created a manufacturing solution that can deliver our products in a shorter time frame and with less internal involvement, making us much more competitive."

Flash Electronics operates three uniform manufacturing sites in Silicon Valley. In addition, the company maintains manufacturing sites in Suzhou and Shanghai, China. With expertise in quick-turn prototypes, high-speed production lines, and capacity for 100 million component placements a month, Flash manufactures the highest quality products built to serve the needs of the most demanding of customers.

"We are excited to add a growing young company like Occam Networks as a customer," said Chin Fan, president and COO for Flash Electronics. "In the six months since we began working with Occam, the company has seen substantial operational improvements that are a direct result of our broad experience in high-quality, high-volume production. We will continue to strengthen our relationship to ensure that Occam can meet its growth and profitability goals."

About Flash Electronics

Flash Electronics Inc., headquartered in Silicon Valley, Calif., has five manufacturing sites in the United States and China. All sites are ISO 9001:2000, TL9000 and ISO14000 certified. Founded in 1994, Flash Electronics rapidly grew into one of the world's premier electronics manufacturing service (EMS) providers serving a dynamic list of OEMs including Foundry Networks, Tellabs, Adept Technologies, Nokia, DigiDesign, Pinnacle Systems, Huawei-3Com and SonicWALL Inc. Flash Electronics is a privately held company. For more information about Flash Electronics, please visit www.flashelec.com.

About Occam Networks Inc.

Occam Networks Inc. develops and markets innovative Broadband Loop Carrier networking equipment that enable telephone companies to deliver voice, data and video services. Based on Ethernet and Internet Protocol (IP) technologies, Occam's equipment allows telecommunications service providers to profitably deliver traditional phone services, as well as advanced voice-over-IP, residential and business broadband, and digital television services through a single, all-packet access network. Occam is headquartered in Santa Barbara, Calif. Additional information can be found at www.occamnetworks.com.

Portions of this press release may contain forward-looking statements regarding future events or the future performance of Occam Networks. Forward-looking statements involve risks and uncertainties, which could cause actual results to differ materially from any future performance suggested in such statements. Rapidly changing technologies and market conditions may require changes to Occam's products. Occam does not undertake any obligation to publicly update any forward-looking statements as a result of new information, future events or otherwise. Please also refer to the company's most recent quarterly report on Form 10-Q, annual report on Form 10-K and other filings with the SEC. These filings contain and identify other important factors that could cause actual results to differ materially from those contained in any forward-looking statements.

Occam Networks and Occam BLC 6000 are either registered trademarks or trademarks of Occam Networks Inc. in the United States and/or other countries.

All other trademarks mentioned are the property of their respective owners.