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PRESS RELEASE

China's nationwide videoconferencing network to be powered by Cisco networking solutions

China Unicom builds world's largest videoconferencing network with Cisco 10000 Series Internet Routers

BEIJING, P.R. China, March 07, 2002 - Cisco Systems, Inc., today announced that China Unicom, a leading Chinese telecommunications service provider, is building China's first nationwide videoconferencing network using Cisco's industry-leading networking solutions. Marking another milestone in China's impressive networking infrastructure development, the IP based project is enabled by Cisco's 10000 Series Internet Routers.

The network will eventually link more than 300 Chinese cities with video connections over the Internet. The world's largest video network upon completion, this undertaking demanded end-to-end networking capabilities, the integration of numerous metropolitan area networks and an unparalleled quality-of-service (QoS) solution. China Unicom's decision to use Cisco products was determined by the unmatched capabilities of the Cisco 10000 Series Internet Routers and a high level of confidence in Cisco's service and support, based on cooperation in projects such as the building of the carrier's VoIP network.

Mr. Li Xiaoming, China Unicom's General Manager for Data and Fixed Communications said, "The introduction of videoconferencing services is an important next step in delivering leading edge broadband multi-media services. Only Cisco's technology and support offering matched our aim in building a truly world-standard video network."

In particular, the project required the high performance QoS and carrier-class reliability and scalability of the Cisco 10000 Series Internet Routers, he said.

The Cisco 10000 Series is the industry's first IP router designed for 99.999% (or 5 9s) carrier-class reliability, with both hardware and software designed for total redundancy, automatic route processor fail over and a foundation for capabilities such as non-stop forwarding and hitless software upgrades. Furthermore, these high availability features reduce the cost and simplify the process of network upgrades.

China Unicom's choice was also motivated by the fact that the Cisco 10000 series is the industry's premier edge aggregation IP router developed to lower the overall complexity and cost of network operations while enabling the delivery of high-performance IP services. The built in Parallel Express Forwarding (PXFTM) network processor delivers line-rate performance over thousands of connections.

Mr. Hanh Tu, Operations Director of Cisco Systems China said, "Cisco has participated in many of the carrier's most significant infrastructure developments. This includes all phases their VoIP network, the world's largest. The video network project is a further example of Cisco's commitment to supporting China's development of state-of-the-art networks with capabilities rivaling those of the world's most advanced information technology economies. "

More information on Cisco's 10000 Series Internet Routers can be found at http://www.cisco.com/warp/public/779/servpro/solutions/aggregation/

About China Unicom

China United Telecom was established in July 1994 and has over 53,000 employees in some 300 cities, across 31 provinces. China Unicom Limited was listed on the New York and Hong Kong stock exchanges in June 2000. It was the largest ever initial public offering (IPO) in Asia, excluding Japan. China Unicom is market-driven and committed to providing the full range of integrated telecommunications services.

About Cisco Systems

Cisco Systems (NASDAQ: CSCO) is the worldwide leader in networking for the Internet. Cisco news and information are available at http://www.cisco.com.

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Cisco, Cisco IOS, Cisco Systems, the Cisco Systems logo are registered trademarks of Cisco Systems, Inc. in the U.S. and other countries. All other trademarks mentioned in this document are the property of their respective owners.

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