Net Insight to Supply DTM Products to City Network Operator Karlstads Elnät AB.

5 August, 1999
Net Insight has agreed to sell three Nimbra One™ switches to city network operator Karlstads Elnät AB, owned by the City of Karlstad. The switches will be installed in August/September, and Karlstads Elnät AB has an option to install four more. By using Net Insight´s DTM technology (Dynamic synchronous Transfer Mode), Karlstads Elnät AB will be one of the first operators to offer its customers integrated telephony, data and video communication at an entirely new level of quality than previously available.
The initial contract covers delivery of three Nimbra One™ city network switches for installation during the third quarter of 1999, with an option to install four more. Depending on the configuration, the price varies between 300.000 and 500.000 SEK per switch.

Karlstads Elnät AB, owned by the City of Karlstad, is one of the first city network operators in Sweden offering its customers services that require increased bandwidth, such as integrated telephony and broadband data communication. Karlstads Elnät AB will connect the University of Karlstad, local schools, the municipal government and businesses in a common network to create new services and possibilities for end-users. Growing interest from households to have access to multi-media services will be tested and evaluated in Karlstad.

"Net Insight´s city network solution offers Karlstad a cost-effective network with high quality and large capacity that will take into consideration current and future needs for telephony, data and video communication", says Lars Ohlsson, CEO Karlstads Elnät AB AB.

Net Insight´s DTM switches will allow Karlstad to build a network offering services such IP, telephony and video communication. DTM networks can be built and maintained with a minimum of effort, and are highly scaleable. This makes them very well-suited to the rapidly growing city network market, where the need for capacity is increasing all the time. One reason that more capacity is required is that more real-time services, such as music and video, are now being made available on these networks.

"We are very pleased to be working with Karlstads Elnät AB and we view Karlstad as a pioneer in many different areas of information technology. Karlstad´s commitment to providing advanced services to educational institutions such as the the university and schools will surely be followed by more city network operators", says Bengt Olsson, CEO Net Insight.

With this agreement Net Insight has taken a leading position as a supplier of city network switches in Sweden. At the same time, its collaboration with ICG, the third largest CLEC (Competitive Local Exchange Carrier) in the U.S., continues. This is proceeding according to plan and is part of Net Insight´s developing presence on the U.S. market, where the city network market is growing rapidly.

For further information, please contact:
Bengt Olsson, Net Insight, tel +46 8 449 22 30, e-mail: bengt.olsson@netinsight.se
Lars Ohlsson, VD Karlstads Elnät, tel: +46 54 29 55 56

About Net Insight
Net Insight is a network equipment company developing and marketing DTM-based (Dynamic synchronous Transfer Mode) solutions that enable network operators to reduce costs and build future proof network with superior performance and unique scalability. Net Insight´s vision is to help release the full potential of the Internet and fiber technology, thereby enabling network operators to provide full interactive communication to people all over the world. For more information, see http://www.netinsight.net

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