Siemens Strengthens Its Commitment to Next Generation Optical Networks
Latitude Capital Group Acted as the Financial Advisor to Photonic Bridges on the Transaction
2006-05-16

Hong Kong/Munich, May 16, 2006 - Siemens has announced the signing of the acquisition of optic specialists Photonic Bridges, headquartered in Shanghai, China, effective May 16, 2006. Subject to approval from the appropriate authorities and governing boards, Siemens will integrate the previous OEM partner’s entire product portfolio into the value added chain of its optical transmission systems. This development strengthens Siemens' position in this growth market. The total market volume worldwide for optical next generation SDH (Synchronous Digital Hierarchy) systems is currently some 2.3 billion euros and will, according to Ovum RHK, increase to 3.1 billion euros by 2010.

With over 300 employees, Photonic Bridges develops optical transmission systems for ranges up to 200 kilometers. NG (next generation) SDH systems bring traditional optical SDH transmission and data technologies together and thereby enable network carriers to transmit connection-oriented services (e.g. voice services) and package-oriented data services via an existing SDH infrastructure. Regardless of whether the network carrier wants to provide Fast Ethernet, GBit Ethernet, 2 or 34-Mbit/s leased lines, etc, the NG SDH multiplexer makes all of these services available simultaneously on one optical interface. For this reason, NG SDH Systems are also known as multiservice provisioning platforms (MSPPs).

Christian Unterberger, head of fixed network business at Siemens Communications, comments: “Photonic Bridges is one of the leading companies in the SDH market. With our commitment to Photonic Bridges, we are expanding our development capacity in forward-looking areas and securing our access to those products that offer our customers significant added value.”

James Hsu, CEO of Photonic Bridges, adds: "The team at Photonic Bridges is looking forward to becoming a part of Siemens. Together with Siemens, we are in an excellent position to set the stage for above-average growth in this extraordinarily dynamic market.”

Siemens Communications
The Siemens Communications Group is one of the largest players in the global telecommunications industry. The company offers a full-line portfolio of innovative solutions for voice and data communication. Its comprehensive offerings range from devices right through to complex network infrastructures and services for wireless, fixed and enterprise networks. It is the largest Group within the Siemens organization and operates in more than 160 countries around the world. In fiscal 2005 (September 30), its 54,500-strong workforce posted sales of over 13 billion euros.

More about Siemens Communications at http://www.siemens.com/communications

Information Number: Com FN 2006 05.06 e
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