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Hitachi Cable, Ltd., is pleased to announce the development of the GMC-1016, Japan's first Gigabit Ethernet1-compatible high-density built-in media converter2, as well as the development of the XGMC series, Japan's first 10 Gigabit Ethernet-compatible Gigabit media converters. In addition, the Company announces the development of the GMX1010, a new type of Gigabit Ethernet multiplexer.

Corporate users continue to look for ways to lower wide area network (WAN) line transmission costs. Because of this, the telecommunications carrier metro area network (MAN) and access network markets have seen a rapid switch from high-cost exclusive lines like ATM to low-cost 10Mbit/s or 100Mbit/s wide area Ethernet services. Moreover, access lines are starting to require speeds of up to 1Gbit/s.

In addition, the telecommunications carrier network and local area network (LAN) markets have begun to demand a speed upgrade from Gigabit Ethernet to 10 Gigabit Ethernet. It is expected that the IEEE802.3ae 10 Gbit/s Task Force will determine the standard for 10 Gigabit Ethernet sometime between June and September of this year.

Hitachi Cable boasts three advantages that will allow it to take advantage of this market environment and increase sales in the carrier MAN and access network markets. First, the Company has a strong record of supplying Japan's carrier markets with such Gigabit Ethernet transmission devices as the GMX series. Second, the Company will participate in the IEEE802.3ae Task Force, allowing it to acquire new technological information quickly. Finally, the Company can leverage its proprietary development of such products as fiber-optic transceivers for 10 Gigabit Ethernet products, allowing for the development of the products listed below.

1. Gigabit Built-in Media Converter (GMC-1016)

The access network connects corporate LANs to carrier base stations. In the past, speeds of 100Mbit/s were adequate, but recent demand for greater speed has led to the commencement of services with speeds of up to 1Gbit/s. Just like the previous lines that could carry up to 100Mbit/s, 1Gbit/s access lines must be compatible with many different specifications depending on user needs. These lines must be able to transmit using one or two optical fibers, and must be able to be used for short- and long-distance transmission. Carrier base stations require devices that efficiently accommodate 1Gbit/s lines with many users and a variety of specifications.

These demands have promoted Hitachi Cable to develop the GMC-1016, Japan's first Gigabit built-in media converter. This 2U (one "U" is 4.5cm tall and can accommodate a 19-inch rack) media converter includes up to 16 ports. Sales of these media converters are underway.

The GMC-1016 includes four types of slot modules to meet the diverse needs of its users. It comes in one and two optical fibers, and can transmit over both short distances (maximum of 40km) and long distances (maximum of 80km). Reliability has been enhanced through the implementation of measures such as redundant power sources and headless operation.

2. 10 Gigabit Media Converter (XGMC 1001/1001L/1001LR)

As access networks continue to adopt broadband services, MANs, with being above them in rank, must become even faster. This has made it necessary to develop transmission devices that are 10 Gigabit Ethernet-compatible.

Hitachi Cable was one of the first to adopt the 10 Gigabit Ethernet standard. The Company has developed the 10 Gigabit media converter XGMC-1001/1001L/1001LR, Japan's first 10 Gigabit Ethernet-compliant products. The standard IEEE802.3ae interface has a maximum transmission distance of 40km, but by changing the standard specifications to Hitachi Cable's proprietary fiber-optic transmission specification, the Company's XGMC series enables a maximum transmission distance of up to 120km.

3. A New Type of GMX Product: The GMX-1010

Hitachi Cable's GMXs are key products for constructing telecommunications carrier Ethernet networks. The Company has recently begun selling a new product in the GMX series, the GMX-1010. This device enables long-distance transmission over multiplexing ten Gigabit Ethernet channels using the evolving 10 Gigabit Ethernet standard.

Using the XGMC series or the GMX-1010 to link base stations is a low-cost and highly reliable solution for constructing a high-speed broadband Ethernet network.

Hitachi Cable's GMX series made it possible for carrier MAN and access networks to adopt the Ethernet standard. Leveraging the Company's outstanding Ethernet and optical component technology, as well as its long track record and industry experience, Hitachi Cable will continue timely development of products that meet the needs of telecommunications carriers.

The Company expects sales of network devices for telecommunications carriers, including the aforementioned GMC, XGMC, and GMX series, will be ?3.5 billion for fiscal 2003.

The products in this release are produced by
Takasago Works
880, Isagosawa-cho, Hitachi City, Ibaraki 319-1418

1. Ethernet is a registered trademark of Xerox Corp.
2. It is an integrated media converter that can meet diverse customer needs using replaceable slot modules with multiple specifications.