18 October 2021

ETHERNITY NETWORKS LIMITED

("Ethernity" or the "Company")

Ethernity Networks Receives Breakthrough $3m Order for FPGA-based 1G/10G PON OLT SoCs

·    Significant new contract with Chinese broadband network OEM

·    $3m initial committed order from 2022 and into 2023

·    FPGA-based PON deployment into Chinese marketplace

Ethernity Networks (AIM: ENET.L), a leading supplier of data processing offload solutions on programmable FPGA (field programmable gate array) for accelerating telco/cloud networks, is pleased to announce that it has signed a $3m contract with a Chinese broadband network OEM.

Under the contract, Ethernity will supply its ENET 4820 and ENET 5200 FPGA System-on-Chip (SoC) devices with support for four Gigabit Passive Optical Networking (GPON) Optical Line Termination (OLT) ports and four 10Gbps XGS-PON OLT MAC ports, respectively, or for different combinations thereof. The SoCs will enable the two types of PON for use in the OEM's 5G fronthaul products, as well as other fiber access deployments.

The total initial committed order, valued at approximately $3,000,000 from a mix of the FPGA SoCs, accrues from 2022 into 2023 with additional orders anticipated thereafter. Initial order deliveries will commence in Q2 2022, and committed quarterly orders with minimum order quantities will commence thereafter.

Ethernity's ENET 5200 10G XGS-PON OLT SoC focuses on resolving major infrastructure issues related to the deployment of 5G cell towers, as detailed in a recent article in Lightwave Magazine by Ethernity's David Levi. The OEM will base its XGS-PON and GPON offerings on a unique architecture that utilizes a low-cost enterprise switch, as well as Ethernity's FPGA SoC with advanced traffic management, and the OLT PON MACs.

David Levi, CEO, Ethernity Networks said: "This is Ethernity's largest single contract since the Company's IPO and builds on the multiple new contract wins and orders over the last six months. We are immensely pleased to have converted our PON technology into a deployable product via this significant entry into the Chinese marketplace, and plan to extend this offering to other worldwide markets. The addition of PON to our global implementations is a validation of our statement that Ethernity's products cover network processing "from the tower to the 5G core". We look forward to our continued growth through the adoption of the entire range of our 5G router products into mass deployment in the coming years."

About Ethernity Networks

Ethernity Networks (AIM: ENET.L) provides innovative, comprehensive networking and security solutions on programmable hardware for accelerating telco/cloud networks. Ethernity's FPGA logic offers complete Carrier Ethernet Switch Router data plane processing and control software with a rich set of networking features, robust security, and a wide range of virtual function accelerations to optimize telecommunications networks. Ethernity's complete solutions quickly adapt to customers' changing needs, improving time-to-market and facilitating the deployment of 5G, edge computing, and NFV.

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