Nortel Networks Announces New Solution to Consolidate Network Security Management

Enterprises to Benefit from Simplified Control of Multiple Platforms to Protect Infrastructure

SANTA CLARA, Calif.--(BUSINESS WIRE)--Feb. 25, 2003 - Nortel Networks (NYSE/TSX:NT) today announced enhancements to its portfolio of security products designed to provide greater network protection with improved performance and scalability while simplifying administration of communications infrastructure.

These enhancements include Nortel Networks Alteon Security Manager, a new solution that consolidates configuration, management and monitoring of the multiple security appliances and embedded security solutions typically employed by enterprises and service providers to safeguard networking and applications infrastructure.

Also included is Nortel Networks Alteon Firewall 5109 for small- and medium-sized businesses, and new software releases for Nortel Networks Alteon Switched Firewall System to provide greater performance, flexibility and reliability.

Supporting the 'One network. A world of choice.' enterprise vision, these solutions are designed to give businesses the ability to increase performance of their communications infrastructures while lowering total cost of ownership.

Alteon Security Manager enables multiple security devices - like the Alteon Switched Firewall family - to be controlled by a single device that presents a common interface for 'one stop' security management. Alteon Security Manager has features that can automatically detect security devices in the network and provide a common status report.

"The growing complexity of managing multiple security devices within the network infrastructure is a concern for Fuji-Xerox and our customers," said Akira Hirose, manager, Solution and Service Support Group, System Engineering Center for Fuji-Xerox Co., Ltd., an early adopter of Alteon Security Manager.

"Alteon Security Manager provides a very useful suite of network management tools that simplify firewall provisioning and deployment," Hirose said. "The single point of administration and the ability to quickly view fault and performance information increases overall network security while decreasing the time and resources spent managing the devices."

"Alteon Security Manager underscores our Unified Security Architecture philosophy," said Atul Bhatnagar, vice president and general manager, Ethernet Switching, Nortel Networks. "To be truly effective, network security must be comprehensive across the infrastructure, and it must enhance the performance of the network. We have accomplished this with our line of accelerated firewalls and SSL acceleration products, which increase network performance while providing multi-layered security to customers of all sizes. This extends our leadership position in security and makes security administration much easier to handle."

Alteon Security Manager is designed to strengthen security and reduce costs by automating time-consuming manual functions. Tasks that once required administration by trained professionals - including configuration of each security appliance and each product in a security cluster - can now be performed automatically.

In addition to configuration and software management for different security platforms, Alteon Security Manager provides automatic fault analysis, including notification of network security issues. It also offers performance management features, including 'up-to-the-minute' reports on network capacity, throughput and bottlenecks.

Future product enhancements are planned to enable Alteon Security Manager to configure and govern appliances and platforms that provide Secure Sockets Layer (SSL) acceleration, SSL Virtual Private Networks (VPN) and intrusion detection systems. Supported platforms will include Alteon Application Switch 2424-SSL, the Alteon SSL Accelerator product line, Alteon SSL VPN Extranet, and Nortel Networks Passport 8600 equipped with Alteon 8661 SSL Acceleration Module.

Nortel Networks Alteon Firewall 5109 is a non-accelerated firewall that provides gigabit throughput for small- and medium-sized businesses. Based on Check Point's (Nasdaq:CHKP) FireWall-1 software, Alteon Firewall 5109 is a high-performance, 'first line of defense' network solution.

"We are pleased to see Nortel Networks deliver Alteon Security Manager and the new ASF 5109," said Farzad Tari, director of business development for Check Point Software Technologies. "Our joint customers now have an expanded range of appliances offering high-performance as well as unified management."

The latest software releases for the Alteon Switched Firewall System portfolio provide dynamic routing capabilities. They are also designed to enable critical traffic paths to be identified and configured to eliminate dropped packets, even during overwhelming conditions. This enables businesses to ensure the integrity of priority traffic, even during network outages caused by malicious attacks. Other new features support high availability, increase monitoring capabilities, and provide network traffic segmentation with virtual local area network (VLAN) tagging.

Alteon Security Manager, Alteon Firewall 5109, Alteon Firewall Release 2.0 and Alteon Switched Firewall Release 3.0 are generally available today.

Part of Nortel Networks 'One network. A world of choice.' enterprise vision, the Unified Security Architecture offers a prescriptive guide that addresses each of the many layers of communications infrastructure security.

'One network. A world of choice.' is Nortel Networks enterprise vision, centered around a commitment to productivity, options and convergence. This convergence eliminates the boundaries between services, users and locations while delivering a consistent user experience no matter where and how the network is accessed. 'One network. A world of choice.' offers a new level of customer engagement, bringing enterprises the power of choice in deployment options. Providing industry-leading solutions in voice over IP, data and optical networking, Nortel Networks offers its enterprise customers the simplicity and cost-savings of converged networks, information sharing across platforms, 'five nines' reliability, and simplified deployment of security measures.

Nortel Networks is an industry leader and innovator focused on transforming how the world communicates and exchanges information. The Company is supplying its service provider and enterprise customers with communications technology and infrastructure to enable value-added IP data, voice and multimedia services spanning Wireless Networks, Wireline Networks, Enterprise Networks, and Optical Networks. As a global company, Nortel Networks does business in more than 150 countries. More information about Nortel Networks can be found on the Web at www.nortelnetworks.com.

Certain information included in this press release is forward-looking and is subject to important risks and uncertainties. The results or events predicted in these statements may differ materially from actual results or events. Factors which could cause results or events to differ from current expectations include, among other things: the severity and duration of the industry adjustment; the sufficiency of our restructuring activities, including the potential for higher actual costs to be incurred in connection with restructuring actions compared to the estimated costs of such actions; fluctuations in operating results and general industry, economic and market conditions and growth rates; the ability to recruit and retain qualified employees; fluctuations in cash flow, the level of outstanding debt and debt ratings; the ability to meet financial covenants contained in our credit agreements; the ability to make acquisitions and/or integrate the operations and technologies of acquired businesses in an effective manner; the impact of rapid technological and market change; the impact of price and product competition; international growth and global economic conditions, particularly in emerging markets and including interest rate and currency exchange rate fluctuations; the impact of rationalization in the telecommunications industry; the dependence on new product development; the uncertainties of the Internet; the impact of the credit risks of our customers and the impact of customer financing and commitments; stock market volatility; the entrance into an increased number of supply and outsourcing contracts which contain delivery and installation provisions, which, if not met, could result in the payment of substantial penalties or liquidated damages; the ability to obtain timely, adequate and reasonably priced component parts from suppliers and internal manufacturing capacity; the future success of our strategic alliances; and the adverse resolution of litigation. For additional information with respect to certain of these and other factors, see the reports filed by Nortel Networks with the United States Securities and Exchange Commission. Unless otherwise required by applicable securities laws, Nortel Networks disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

Nortel Networks, the Nortel Networks logo, the Globemark, Alteon and Passport are trademarks of Nortel Networks. FireWall-1 is a trademark of Check Point Software Technologies Ltd.

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