Seoul, Korea and Boca Raton, FL – June 7, 2005 – Axerra Networks, “The Pseudo-Wire Company™” and the leading provider of circuit emulation and service emulation solutions, today announced that KT Powertel (KTP) has selected Axerra’s Pseudo-Wire solution for its radio access network (RAN). Axerra’s Pseudo-Wire solution enables KTP to utilize the power and flexibility of Carrier Ethernet as the full-service alternative to TDM backhaul in the mobile wireless RAN.

KT Powertel, a subsidiary of KT Corporation (NYSE: KTC) formerly Korea Telecom, specializes in business mobile telecommunications, integrating mobile telephony and wireless data services. KTP also provides the domestic trunked radio system service in Korea. Parent-company KT Corporation is Korea’s leading telephone service provider with nationwide coverage for fixed-line communications and over 20 million subscribers.

KTP selected Axerra Networks’ AXN Pseudo-Wire Gateways and Access Devices™ to provide full-service backhaul of mobile voice and data traffic using KT Corporation’s Metro IP/Ethernet. According to Mr. Yong-Pio Hong, CEO of KTP, “Axerra is the only vendor that can deliver Pseudo-Wires for both mobile voice and data backhaul from a single platform with particular emphasis on scalability, port density, and resiliency.”

Deployments currently underway at KTP show that Axerra’s Pseudo-Wires enable the support of all generations of mobile wireless networks, preserve native signaling and features across packet networks, enable bandwidth sharing, and provide the high-precision clock recovery capabilities that are required for reliable mobile services. AXN Pseudo-Wire Gateways and Access Devices support circuit emulation and service emulation, including Frame Relay/HDLC, Ethernet, and even ATM services for 2G, 2.5G, and 3G voice and data aggregation from a single box. AXN Pseudo-Wire platforms control latency, jitter, and packet loss – critical capabilities for reliable mobile applications.

“KT Corporation has a worldwide reputation for leading the way in packet networks, and we are excited to be selected by KTP,” said Gil Itkin, Axerra’s Vice President – Sales, APAC. “They have a clear vision for the power that Pseudo-Wires plus Carrier Ethernet bring to a unified packet RAN. In a single network they are building support for multiple generations of today’s mobile services as well as the emerging services of tomorrow.”

About KT Powertel

KT Powertel, a subsidiary of KT Corporation (NYSE: KTC), formerly Korea Telecom, is a business mobile telecommunications specialist that provides the optimum means for telecommunications. KT Powertel integrates mobile telephony, wireless data service, and more for the purpose of stimulating business. KT Powertel also provides the domestic trunked radio system service. KTC is Korea’s leading telephone service provider with nationwide coverage for fixed-line communication networks and over 20 million subscribers. Today, the company has set its sight on becoming a global Internet service provider through ongoing technology development and management innovation.

About Axerra Networks, Inc.

Axerra Networks is the leading provider of circuit emulation and service emulation solutions over packet access networks. Axerra’s Pseudo-Wire solutions enable incumbent carriers, competitive service providers, mobile wireless operators, and cable MSOs to extend IP + legacy voice and data services in native format over Ethernet, IP, and MPLS networks. The result is greater operational efficiency, new revenue opportunities, and a smooth migration strategy to a single converged network, without stranding any revenue streams from profitable legacy services. With Axerra’s Pseudo-Wire solutions, service providers can convert any packet access network (Carrier Ethernet, broadband wireless including WiMAX, cable HFC, etc.) into a full-service alternative to TDM access. For more information, please visit: www.axerra.com.

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