TI Reduces Operators' Network Costs with ADSL CO Chipset

9/9/2003 - A new 16-port, multi-service ADSL central office (CO) chipset that reduces operators´ and manufacturers´ total cost of ownership of their ADSL systems was introduced today by Texas Instruments Incorporated (TI) (NYSE: TXN). The chipset raises the bar for integration on silicon for COs with a 2-chip architecture that results in significant cost savings in the manufacturing and operational expenses of ADSL systems. TI is enabling manufacturers and operators to more cost effectively provide and deploy ADSL infrastructure networks by supporting both new and legacy ADSL standards and providing robust interoperability performance.

The AC7, TI's seventh-generation CO solution, enables multi-service and multi-standard support of ADSL, including legacy protocols, as well as ADSL2 and ADSL2plus. Included among the features in AC7 are support of reach-extended ADSL2 (G.992.3 Annex L), enhanced-upstream operation enabling upstream bit rates over POTS as high as 3.5 Mbps (G.992.3 Annex J and G.992.5 Annexes J and L). Each of these standards and operational modes can be supported from any port on a single linecard with software provisioning.

This full suite of standards enables operators to tier their service offerings for consumers, offer the triple play of voice, video and data services, and expand their service area to provide DSL to more households. TI's large investment in interoperability testing equipment and labs, along with extensive testing of the AC7 against most major modems, allows operators around the world to protect their installed customer premises equipment (CPE) base.

"TI is addressing the key operator and infrastructure equipment requirements with one DSL CO chipset that enables lower network and system costs with the ability to reach more subscribers," said Matt Davis, director of Yankee Group's Broadband Access Service. "Providing support for multiple ADSL services on any port, TI's AC7 gives operators the ability to offer triple-play and enhanced upstream services to compete in the broadband market without having to completely upgrade their entire infrastructure."

Reducing Total Cost of Ownership
The level of integration achieved by the AC7 enables the highest densities for central office applications. This integration also reduces the total cost of ownership for OEMs and operators to develop, deploy and maintain DSL systems and networks through a variety of cost efficiencies and expense reductions.

For CO equipment manufacturers, the AC7 improves R&D and manufacturing efficiency by:

For operators, the AC7 minimizes capital expenditures and operational expenses by:

"With the introduction of the AC7, TI continues to lead the industry in integration, performance, quality and interoperability. The benefit to manufacturers and operators is a reduction in their total cost of ownership," said Greg Jones, general manager of TI's DSL Business Unit. "As a multi-service, multi-standard solution, the AC7 protects operators' existing network investment and enables future growth with new revenue generating services with minimal costs."

The AC7 is expected to begin sampling in 4Q 2003 with full production expected in early 2004.

About Texas Instruments DSL
Texas Instruments offers DSL CO and CPE equipment manufacturers around the globe the most interoperable and widely deployable, end-to-end solutions including voice-enabled and 802.11-enabled solutions for local loop deployments. Leveraging the company´s history of innovation in DSL technology development, interoperability testing, customer support and manufacturing capabilities, TI enables customers to meet the requirements of operators worldwide. TI´s DSL business is part of the company´s comprehensive portfolio of broadband solutions including cable modems, Voice over Internet Protocol (VoIP) and 802.11 wireless networking.

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