News Release

Olicom and Cisco Announce ATM Licensing Agreement; Pivotal Step in Providing ATM Access to Token-Ring Networks

Co-developed Second Generation Token-Ring Switches with High Performance ATM Uplinks Provide Access to Future High-Speed Networks
Feb 25, 1997

DALLAS, February 25, 1997 -- Olicom (NASDAQ: OLCMF), a leadinginternational supplier of high-performance networking solutions, andCisco Systems, Inc. today announced an agreement to license Olicomms LANEmulation software for use in Cisco Token-Ring switches. This agreementrepresents a key component in the two companiesm continuing jointdevelopment of second generation, high-performance Token-Ring switches,which will include ATM uplink technology. Olicomms LAN Emulationsoftware has been tested for interoperability with Cisco routers andswitches and fully supports Ciscoms Simple Server Redundancy Protocol(SSRP) for backup of LANE services. In addition, Olicom currentlyparticipates in Cisco's ATM Associates program, ensuring that Olicom'sATM NICs are fully interoperable with Cisco networks.

The joint development agreement between Cisco and Olicom announced lastyear is progressing well, with the first products expected to ship inthe second half of 1997. The two companies continue to expand theirjoint development and licensing agreements in order to providecomprehensive Token-Ring network solutions.

The ability to connect Token-Ring switches via an uplink to the ATMbackbone has proven a critical requirement among both companiesmcustomers. By integrating Olicomms LANE software and Ciscoms IOSttechnologies, high performance Token-Ring to ATM uplinks will beavailable in the same timeframe as the jointly developed switch.Olicomms LAN Emulation software was selected for the ATM uplink for itsrobust functionality and portable design.

lWemve been extremely pleased with the results of our ongoingdevelopment efforts with Olicom. LAN Emulation will be key for ourcustomersm integration with ATM backbones and Olicom is recognized ashaving an excellent implementation." said Cliff Meltzer, vice presidentand general manager of the Cisco Interworks Business Unit responsiblefor Cisco internetworking solutions in IBM environments. "Our jointdevelopment efforts will bring our customers a new generation ofToken-Ring switches that will overcome the limitations of todayms firstgeneration products. The new generation will be fast and affordablewhile improving critical functionality."

lEver since we began working with Cisco last year on a next-generationToken-Ring switch, we have continually looked for ways to enhance thetotal solution provided by our two companies,n said Niels Jorgensen,vice president of R&D at Olicom. lThis new agreement offers compellingtestimony to the ongoing success of our joint efforts.n

Jorgensen continued, lOur collaboration with Cisco underscores Olicommscommitment to provide our Token-Ring customers with the broadest rangeof migration options -- whether they want to go ATM to the desktop ormaximize their existing infrastructure with high-performance Token-Ringswitching.n


Olicom develops and markets a broad range of Token-Ring, Ethernet, Fast Ethernet and ATM local area network products.Olicom products, known for high quality, high performance andcompetitive prices, are distributed worldwide by a network of strategicpartners and resellers. Founded in 1985, the company trades on theNASDAQ National Market System under the symbol OLCMF. More informationon Olicom is available from the company's SEC filing or by contactingthe company directly. Olicom news and product/service information areavailable at our Web sites. Olicom is headquartered in suburbanCopenhagen, Denmark.

Cisco Systems

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