ZyXEL and Sprint Sign Deal for WiMAX Customer Premise Equipment

    Award Winning 802.16e Solutions Support Sprint WiMAX Network Access

    ANAHEIM, CALIF., August 20 /CNW/ - ZyXEL Communications Inc., a leading
provider of secure broadband networking, Internet connectivity and routing
products, today announced that Sprint Nextel (NYSE:  S) has selected ZyXEL WiMAX
Customer Premise Equipment (CPE) for use with their upcoming WiMAX mobile
broadband network. ZyXEL will join Sprint Nextel's WiMAX ecosystem partners in
helping incorporate mobile WiMAX technology in a range of computing, portable
multimedia, interactive and other business and consumer devices.

    Recognized as a pioneer in DSL technology with the largest modem/router
shipment in the world, ZyXEL introduced its WiMAX product line for the
IEEE802.16e standard last year and was first to market with an all-in-one
solution that combines WiMAX, Wi-Fi, VoIP and security in a single box.
ZyXEL's market leading CPE is currently in trial at more than 40 different
sites throughout the world including major deployments in Canada, Europe,
Asia, Australia and South America. ZyXEL has also been a major contributor for
the M-Taiwan project, a nation-wide WiMAX deployment in Taiwan featuring its
2.5GHz micro-base stations, Element Management Systems (EMS) and ASN gateways
for a total end-to-end solution.

    Sprint is developing a large scale advanced wireless broadband network
designed to mobilize the Internet, bring wireless innovation to devices and
new multimedia mobile applications to customers. By wirelessly enabling the
multitude of stand-alone consumer electronic devices that currently lack
Internet access, Sprint will facilitate digital life amid a new era of
user-generated content and Internet connectivity dependency.

    "ZyXEL is an industry leader with proven solutions and a deep history in
developing innovative broadband networking solutions," said Barry West, Sprint
Nextel chief technology officer and president of 4G Mobile Broadband. "ZyXEL's
award-winning WiMAX products are complementary to our WiMAX ecosystem
initiative. With the help of ZyXEL we are working to quickly make advanced
mobile broadband services a reality for our customers."

    ZyXEL's WiMAX product line includes the MAX-100 series PCMCIA card for
mobile users and the MAX-200 series CPE, a plug-and-play router designed for
home users, which will be used by Sprint. Both of these products received the
2006 WiMAX World Award for Devices/Peripherals/Application Software. The
MAX-200S will enable Sprint to deliver last mile wireless broadband access to
customers as an alternative to cable and DSL. ZyXEL's product portfolio on the
client/terminal devices also includes an Express Card, USB dongle, SOHO
router, and both indoor and outdoor CPE for mobile WiMAX applications
supporting 2.5GHz, 2.3GHz and 3.5GHz bands. In addition, ZyXEL's comprehensive
WiMAX product line also features the pico-cell and femto-cell base stations,
which offer service providers a cost-efficient solution to enhance their 4G
coverage with better indoor penetration while increasing network capacity and
flexibility for wireless Internet service deployment.

    "Sprint is a trusted partner and profoundly innovative company and we are
pleased to be a technology partner for their WiMAX initiative," said Dr.
Shun-I Chu, chairman, ZyXEL Corporation. "We share with Sprint a common goal
to mobilize the Internet and we're looking forward to the successful launch of
their service."

    The agreement between Sprint Nextel and ZyXEL was formalized on Monday,
August 13, 2007 in Reston, Virginia at a signing ceremony involving: Barry
West, Sprint Nextel's chief technology officer and president, 4G Mobile
Broadband; Atish Gude, Sprint's senior vice president, Mobile Broadband; Bin
Shen, Sprint's vice president, Product and Partnership Management; Dr. Shun-I
Chu, ZyXEL Corporation's chairman; Howie Chu, ZyXEL USA's president; and
Munira Brooks, ZyXEL USA's senior vice president of sales, marketing and
business development.

    About Sprint Nextel

    Sprint Nextel offers a comprehensive range of wireless and wireline
communications services bringing the freedom of mobility to consumers,
businesses and government users. Sprint Nextel is widely recognized for
developing, engineering and deploying innovative technologies, including two
robust wireless networks serving 54 million customers at the end of the second
quarter 2007; industry-leading mobile data services; instant national and
international walkie-talkie capabilities; and a global Tier 1 Internet
backbone. For more information, visit www.sprint.com.

    About ZyXEL Communications

    ZyXEL Communications, Inc., with North American headquarters in Anaheim,
Calif., is one of the world's foremost suppliers of broadband networking and
Internet connectivity/routing products. ZyXEL is focused on developing MSAPs,
xDSL DSLAMs / modems / gateways, cable access, broadband-sharing, VoIP,
wireless and security solutions for a large target audience including Telcos,
cable operators, ISPs, small-to-medium sized businesses, SOHO, residential and
institutional MxU (multi-tenant unit/multi-dwelling unit) markets. Some of
ZyXEL's largest customers include: Sprint, Time Warner, Charter, EarthLink,
Chunghwa Telecom, Deutsche Telekom, France Telecom, Telefonica Brazil, Telia,
Verizon and many others. ZyXEL's North American distributors include Embarq,
Ingram Micro, Tech Data and Wynit. ZyXEL offers its channel partners industry
leading incentives with a full line of enterprise-class products through the
North America ZySTAR Channel Program. For more information on ZyXEL
Communications and its broadband solutions, visit the company's Web site at

For further information:

For further information: Lages & Associates for ZyXEL Communications
Inc. Halie Schmidt, 949-453-8080 halie@lages.com

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