ZyXEL commences direct operations in India, sets-up ZyXEL India Ltd.

ZyXEL commences direct operations in India, sets-up ZyXEL India Ltd.

New Delhi, September 18, 2006: ZyXEL Communications Corporation, the networking and information security product manufacturing major and one of the world’s leading broadband access solutions provider today announced that it has commenced direct branch office operations in India. The Indian entity, ZyXEL India Limited, will be based at a new 5000 sq. feet facility that the Company has acquired at New Delhi. ZyXEL has appointed Mr. Mahendra Lalwani, an industry veteran, as the Managing Director for its India operations.

ZyXEL has had a long presence in India through its established channel. ZyXEL has set up direct office in the country to strengthen its presence further, provide enhanced sales, marketing and technical support to its channel partners and to service its customers better. ZyXEL India currently has 35 channel partners across the country into its fold. It has ambitious plans of recruiting more channel partners from every region and taking the count to over 100 by the end of current fiscal. It is therefore currently identifying prospective partners. ZyXEL India in its endeavor to provide effective after-sales service to customers is also opening a Technical Repair Center (TRC) at its new set-up in New Delhi.

According to Dr. Shun-I Chu, Chairman, ZyXEL Communications Corporation, “India is very strategic market considering our long-term business interest in the APAC region. We are very confident that the direct office in India will produce a quick turnaround and steady results for us in the years to come. As we foresee an increased demand for our product lines, it is an appropriate time to be present here directly for it will provide us with the ability to quickly respond to the growing requirements of our local customers in terms of faster service, strong brand representation, and most importantly, interactive local business contact.”

“Aimed at being a leader in delivering next generation networking and information security solutions, ZyXEL is expanding its global presence through new footholds. With distribution, marketing, sales and technical support facilities and offices in every major market throughout the world, ZyXEL is a true global operation that can deliver on its promise to provide the best products to Indian customers today. The first agenda for ZyXEL India Ltd is to cover the entire marketing and support process right from assessing the customer requirements for the products to developing modifications and improvements in products if required. We will localize support and other activities to benefit the end users in India,” said Mr. Mahendra Lalwani, Managing Director, ZyXEL India Ltd.

ZyXEL India Ltd. will offer products and solutions for service providers, businesses and homes. Their exhaustive product range for service providers includes multi-service IP DLAMs, VDSL Switches, ADSL/G, SHDSL/VDSL customer premises equipment (CPE), Edge switches, VoIP CPE, video/multimedia CPE, multimedia auto provisioning solutions and central management software. For Enterprise businesses, the Company has L2/L3 switches, UTM, Network Security Appliances, security alert platforms, Wireless LAN solution, Hot Spot, WLAN solutions, central management software and appliances, and various other products and service platforms. The individual and home users can avail ZyXEL products like broadband routers, WLAN AP/clients, desktop switches and VoIP devices.

About ZyXEL Communications Corporation

ZyXEL Communications Co. (TSE: 2391), located in Hsinchu, Taiwan, is world’s largest DSL router provider (Gartner, August 2005). ZyXEL’s broad line of Internet Protocol-based (IP) networking solutions includes access multiplexers, customer premise equipment, Internet security and Wireless LAN equipment, enabling high-performance network services for SOHO, small to mid-sized businesses and service providers. ZyXEL works closely with worldwide network equipment vendors, telecommunications companies, ISPs, and other major businesses. For more information, please visit the Company’s website at http://www.zyxel.com

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