Intel And Nortel Networks To Enable Next Generation Networks

Nortel to Deliver Key Routing Software for Intel® Internet Exchange™ Architecture

SANTA CLARA, Calif., Nov. 9, 1999 - Intel Corporation and Nortel Networks* [NYSE/TSE-NT] today announced plans to work together to enable a new generation of software programmable networking devices. The plans call for Nortel Networks to add elements of its Open IP Environment to the Intel® Internet Exchange™ (IX) Architecture. The combination will provide developers with a comprehensive, open platform for building advanced networking equipment based on the IX Architecture.

The joint effort will focus on three key components: interoperability, joint marketing and developer's kits. The companies plan to work together to enable the IXP1200 network processor from Level One, an Intel company, to operate with elements of Nortel Networks' Open IP Environment. In addition, the companies intend to participate in joint marketing programs whereby Nortel Networks will market the elements of its Open IP Environment as a core building block component of the IX Architecture, while Intel will reference this software to other IX Architecture developers. Finally, Intel plans to include elements of Nortel Networks Open IP Environment software to its IXP1200 developer's kit to make it easier for third-party developers to create flexible network solutions based on Intel's IX Architecture.

"Today's announcement offers further support for Intel's Internet Exchange Architecture and Intel's vision of how networks will be built in the future. Through the use of programmable silicon and readily available development tools, our companies intend to usher in a new era of networking," said Mark Christensen, vice president and general manager of Intel's Network Communications Group. "Expanding our alliance with Nortel Networks will offer customers additional benefits by providing lower cost solutions and quicker time to market."

Intel's IX Architecture is a new framework for designing networking and telecommunications equipment using programmable silicon. It consists of a portfolio of components from Intel's Level One Communications subsidiary, including the flagship IXP1200 network processor.

Nortel Networks' Open IP Environment, also announced today, is "New World" routing and IP software that Internet-enables a wide variety of servers, personal computers, appliances, mobility devices, set-top boxes and processors.

Combining elements of Nortel Networks Open IP Environment software with Intel's IX Architecture will provide networking equipment developers with the tools they need to build advanced, low-cost, programmable networking equipment.

"Nortel Networks has always made a commitment to our customers to deliver interoperable and standardized internetworking solutions. Our collaboration efforts with Intel continues this strategic objective to provide our customers with a choice when it comes to building new networking solutions," said Al Delorenzi, chief technology officer for Nortel Networks, Enterprise Solutions. "In the near future, the re-tooling of the network infrastructure is more about value added software capabilities than customized silicon. Our customers want the flexibility to rapidly develop applications that enable new types of functionality to be introduced."

Nortel Networks is a global leader in telephony, data, wireless and wireline solutions for the Internet. The company had 1998 revenues of US$17.6 billion and serves carrier, service provider and enterprise customers globally. Today, Nortel Networks is creating a high-performance Internet that is more reliable and faster than ever before. It is redefining the economics and quality of networking and the Internet through Unified Networks* that promise a new era of collaboration, communications and commerce. Visit Nortel's Web site at www.nortelnetworks.com.

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