TOKYO, May 29, 2002 - Cisco Systems K.K., a leading vendor of Internet networking devices (president: Yasuki Kurosawa; capital: JPY2.22 billion, 2-14-27 Akasaka, Minato-ku, Tokyo; Cisco), has announced that ZTV Corporation, a major TV cable company (president: Kenji Tamura; headquarters: Tsu, Mie Prefecture), will use the Cisco uBR7246VXR and uBR10012 CMTS (Cable Modem Termination System) routers for its PacketCable based cable VoIP services set to be launched in May along with its high speed data service. The service will be launched in Tsu City and will be the first DOCSIS 1.1-based VoIP service in the world.

Critical to this process is the migration of ZTV existing cable IP network from DOCSIS 1.0 (Data Over Cable System Interoperability Specification) to DOCSIS 1.1. DOCSIS is a cable industry specification issued by CableLabs, the U.S. based cable standards organization. DOCSIS 1.1 includes PacketCable specifications which define specific network performance requirements for the effective deployment and provisioning of primary line VoIP services. Both the Cisco uBR7246VXR and the uBR10012 CMTS will be used on the project and are DOCSIS 1.1 qualified with the uBR7246VXR being the only CMTS chosen for CableLab's Advanced Interoperability Test Network (AITN).

ZTV has been conducting VoIP verification testing since November 1999 and examining the possibility of commercial operations while watching moves toward standardization by CableLabs. With the availability of DOCSIS 1.1 qualified CMTS systems and the implementation of PacketCable features by Cisco, It is now ready to move ahead with its commercial VoIP service.

Kaname Yoshida, General Manager, ZTV said, "We chose Cisco because we view Cisco as a leader in the DOCSIS and PacketCable market. Cisco was able to offer the solution to handle a mixed bundle of data, voice and video services with end-to-end quality of service."

The deployment of a DOCSIS 1.1 network and VoIP services is a major milestone for the cable industry, said Carson Chen, VP of the Cisco Cable Business Unit. "Cisco is proud to be able to work with ZTV on the project and looks forward to jointly working with them to help achieve a smooth transition of their network architecture and the service launch phase of the project."

Established as the Tsu Cable Network Co., Ltd. in October 1990, ZTV started an Internet connection service in March 1998 and changed the company name to ZTV Corporation in October 2000. The company currently provides services in 22 municipalities in Mie Prefecture centered in the city of Tsu with plans to expand its service area to include an additional nine municipalities, including Hikone and Nagahama cities of Shiga Prefecture and the Shingu area of Wakayama Prefecture.