ECI Telecom Rolls out $20 Million Triple Play Network for Leading European ISP; Deploys Hundreds of Thousands of IPTV-Ready Lines

Business Wire, May 22, 2006

PETAH TIKVA, Israel -- ECI Telecom (NASDAQ:ECIL) announced the successful deployment of a turnkey triple-play network for one of the leading ISPs in Europe. This ISP, a subsidiary of one of the largest European carriers, has already deployed hundreds of thousands of high-speed, IPTV-ready ADSL lines. Deployment of additional lines is expected in the near future. ECI was chosen as the sole broadband access supplier for the network. The multi-year contract is valued at approximately $20 million.

ECI has recently been ranked by research firm Dell'Oro as the second largest provider of multiple services DSL platforms, which are used for IPTV deployments worldwide (TV broadcast over telephone lines using IP protocols).

As part of this turnkey project, ECI is handling the full deployment and management of the network. It enables the ISP to expand its broadband service to hundreds of thousands of subscribers, while providing innovative triple-play services for video and voice, in addition to traditional fast Internet data service. Using ECI's broadband access solution, this ISP can now easily expand its network, introduce new services and increase revenue. It plans to launch IPTV services before the end of 2006.

This advanced broadband access solution is based on ECI's Hi-FOCuS(TM) Multi-Service Access Gateway (MSAG), a high-density, high-end multi-service access gateway that handles thousands of subscriber lines of any type.

"We have a very successful record of deploying large-scale DSL networks for major carriers and providers," said Rafi Maor, President and CEO of ECI Telecom. "We're pleased to have the opportunity to work with such a leading ISP and play a significant role in helping develop its broadband access added value services with ECI's advanced access solutions to support its competitive edge in this dynamic market."

About ECI Telecom

ECI provides advanced telecommunications solutions to leading carriers and service providers worldwide. By translating a deep understanding of their needs into innovative, technologically advanced solutions, ECI enables its customers to increase the value of the infrastructure of their networks and reduce operating expenses. ECI's platforms provide carriers and service providers with carrier-grade solutions for easily introducing new revenue-generating services.

ECI provides innovative IP service delivery solutions to the converged telecom networks encompassing Broadband access gateways, Service Edge Routers, Optical transport, NGN VoIP and multimedia applications and services. ECI maintains a global sales, marketing and customer support network, as well as a host of strategic channel relationships worldwide.

Certain statements contained in this release may contain forward-looking information with respect to plans, projections or future performance of the Company. By their nature, forward-looking statements involve certain risks and uncertainties including, but not limited to, product and market acceptance risks, the impact of competitive pricing, product development, commercialization and technological difficulties and other risks detailed in the Company's filings with the Securities and Exchange Commission.