PLANO, Texas - February 4, 2000 - Nucentrix Broadband Networks, Inc. (NASDAQ: NCNX), today announced that it has entered into a strategic relationship with Cisco Systems, Inc. (NASDAQ: CSCO), the worldwide leader in networking for the Internet, by becoming the first service provider to offer wireless broadband Internet access using Cisco's Vector Orthogonal Frequency Division Multiplexing (VOFDM) solution. Nucentrix, a provider of wireless broadband services in medium and small markets, will use its Cisco-enabled wireless infrastructure to provide its customers with wireless broadband Internet access and eventually, telephony services. With today's announcement, Nucentrix achieves Cisco Powered Network certification.
Using Cisco's wireless VOFDM-based WT2700 Wireless Technology Suite, Nucentrix and Cisco plan to conduct a field trial in Austin, Texas in April, 2000. A second field trial in Amarillo, Texas will be completed by September, 2000. Upon successful completion of the trials and the obtaining of required approvals of the Federal Communications Commission, Nucentrix expects to launch VOFDM-based wireless broadband services in at least 20 markets by the end of 2001.
"Cisco's VOFDM solution is the only one in the market that enables low-cost cellular wireless broadband deployments," said Carroll McHenry, chairman and chief executive officer of Nucentrix. "Nucentrix will increase its network capacity and be able to provide a full set of business enhancing service offerings. We will now be able to offer wireless broadband services to small and medium businesses, telecommuters and consumers on a single network platform."
Today's announcement follows last quarter's announcement by Cisco that it was joining forces with ten leading companies to develop open technology standards based on VOFDM technology for wireless broadband Internet services. VOFDM technology overcomes the issues of interference and multi-path fading that can occur in wireless environments, allowing for a more robust and reliable service offering. Other members of the alliance supporting VOFDM open standards are Broadcom Corporation, Texas Instruments, Motorola, Samsung, Toshiba, Pace Micro Technology, Bechtel Telecommunications, KPMG Consulting, LCC International and EDS.
"Cisco's VOFDM solutions will allow Nucentrix to meet the growing demand of our target customer base for bandwidth without depending on a wireline connection to the office or home," said McHenry. "Incorporating VOFDM technology into our network will ensure a more reliable signal and will provide high-speed Internet access and other data, voice and video solutions to customers who previously had limitations due to line-of-sight or distance."
"Cisco is working with Nucentrix to implement a cost-effective wireless broadband solution," said Larry Lang, vice president of marketing for Cisco's Service Provider Line of Business. "As the first CPN-certified service provider that for Cisco's VOFDM solution, Nucentrix has shown its commitment to becoming a New World provider of wireless broadband access services."
Nucentrix's participation in the CPN program demonstrates its ability to provide leading-edge technology services that are based primarily on Cisco solutions. As a participant in the program, Nucentrix will also benefit from joint marketing activities, technology sharing and sales support from Cisco.