GLOBAL CONNECTIONS UNIVERSAL SOLUTIONS

Agenda

Introduction of ZTE ZTEs IP Network Products Family

Company Profile
ZTE Corporation is a leading comprehensive provider of telecommunications equipment and solutions with global presence. Products and solutions serving 500 carriers in more than 100 countries and regions. ZTE is Chinas listed telecoms manufacturer with shares publicly traded on both Hong Kong Stock Exchange and Shenzhen Stock Exchange Major supplier in Wireless, Wireline, Optical Transport, Handsets and Datacomm.

Business Growth

Revenue Assets

Total Sales amount USD 4.1 Billion in 2004. 34.96% sales increase comparing to 2003. International sales volume of USD 1.64 Billion in 2004. Over 169% increase.

Human Resource
27,000 employees worldwide 72% with bachelor degree or above, 7000+ masters, 500+ PhDs In 2003, awarded Best Employer in Chinas IT industry In Jan. 2005, awarded Best Promising Company for Employees

Production 18% Management 7% Supporting 10% R&D 36%

Marketing 29%

Others 28%

Doctors 2%

Masters 28%

Bechelors 42%

R&D, Cooperation
100 20 100 00 80 00 60 00 40 00 20 00 0

Sa inR s ac t ff eer h

20 02

20 03

20 04

20 05

Beijing R&D USA SD R&D ZTE Sweden R&D USA Dallas R&D USA NJ R&D Nanjing R&D Shenzhen R&D

Shanghai R&D

ZTE Korea R&D Xian R&D

Chongqing R&D

Chengdu R&D

Progress Through Innovation

Over 10% of revenue invested in R&D 14 R&D centers established in China and overseas Cooperates with Microsoft, IBM, Accenture in telecom area Joint Labs with TI, Motorola SPS, Intel, Agere and ADI System Joint research with 50 universities and R&D institutions nationwide Post-doctorate working places Owns 1500 patent technologies, over 80% are self-developed and innovative

Standardization, Patents
Active member organizations of over 40 international standardization

600 items and 90% national communication standards drafter 2 co-chairman and 10 editor/initiator seats in ITU-T Totally owns 3297 patents, 90% innovative, 285 international patents

Product Portfolio
Handsets & Terminals Wireless Solution
Mobile System
GSM/ WCDMA CDMA/ GoTa PHS GSM CDMA/ EVDO/GoTa TD-SCDMA

Network Solution
Data
xDSL

Wireless Access
PHS

Optical
DWDM

Fixed Line Multimedia Value-added

Access Video Conference IPTV/STB Stream Media Intelligent Network Billing System Short Message Centre Call Centre

WLAN BWA/ WiMAX

Switch

SDH/MSTP

Switching

IP Routers OXC/OADM Soft switch

3G

3G

Global Markets

Capacity of wireless networks over 100 million lines 2004, sales of handsets over 10 million Worlds 3rd largest DSL vendor (By Gartner)
Million US$
1800 1600 1400 1200 1000 800 600 400 200 0

The most fast-growing optical products in 2004 (By Gartner)

2002

2003
International Sales

2004

Global Mobile Solutions

Capacity of wireless networks over 100 Millions, GoTa deployed in tens of countries including Norway, Turkey, Russia Chinas No.1 CDMA equipment vendor in international markets, 25 million lines used by over 60 countries and 90 operators 40 million lines of GSM systems deployed in over 30 countries and 40 operators

Global Data & Network Solutions

Worlds 3rd largest DSL vendor to serve over 30 countries like Egypt, Greece, Hungary, China, etc DWDM Backbone for India BSNL, Backbone for Indonesia TELKOM, Hong Kong Wharf T&T OADM network, Bulgaria Cabletel DWDM network, DWDM+SDH national network for Poland Zambia Telecom data network, Romanian national backbone, Angola MST data network, Uzbekistan IP backbone, Hong Kong CLP and WTT Solutions in Hong Kong Wharf T&T, Philippines DIGITEL, Pakistan DANCOM, China and many others

Highlights
In 2005 Nov., NGN Triple play contract in Vestitel, Bulgaria Sep., SDH backbone announced in Romania for KPN Sep., ZTE NGN solutions selected by Corisat America Inc Aug., about 1 million CDMA terminals serving India TATA Aug., following France Telecom, Telefonica Brazil selected ZTEs IP DSLAM May., DWDM network for Cabletel in Bulgaria Apr. Nepals national GSM/GPRS contract Feb. Alcatel signed agreement to OEM CDMA equipment In 2004 Constructed WCDMA/UMTS/ network in Tunisia, made the first ever 3G call in Africa Won a $100 million order of handsets from VIVO in Brazil BTC chose ZTE for major supplier for ADSL Access Devices & Terminals

Agenda
Introduction of ZTE ZTEs IP Network Products Family

ZXR10 IP Network Product Family Router Series ZXR10 T128/T64E, GER and GAR Switching Router & Ethernet Switch Series L2/L3/L4 switch - ZXR10 T160G/T64G/ L2/L3 switch - ZXR10 3906/3952/3928/ Medium-end L2 switches 3206/3228/3252 L2 ZXR10 2852s/2826s/2818s/2609/2626/2618 WLAN W100A, W140A,W150A,W200A, W110C,W200C, W110B, W112P, W101P

ZXR10 Router Product Features T128

Features
2.5 Gbps to 128 Gbps capacity ASIC based wire-speed routing Carrier class redundancy designing Rich routing protocols and services Versatile media interfaces Hardware-based MPLS

T64E

GER GAR

T128/T64E: Carrier Class High End Router GER: General Excellent Router GAR: General Access Router

ZXR10 LAN Switch Product Features Best MPLS performance in all kinds of LAN switches
Core switches
High capacity 2.5 million Routing list; 20 thousand ACL
T160

Plenty of network interface type

T64C T32C

POS, ATM, E1/T1, E3/T3, FE,GE ACL, NAT and Routing based on ASIC sVLANs (Stackable VLANs)4096*4096 VLAN Provides VLAN transparency

L3 switches
T16C/16S 3904

L2 switches
2826

Enables Transparent LAN services

Layer 2/3 Switch Series

ZXR10 6510

Switch ZXR10 3906 Route

ZXR10 3904F ZXR10 3925 ZXR10 3206

ZXR10 3904

t therne E ayer2 L Switch

ZXR10 3226 ZXR10 2826E ZXR10 3206S

ZXR10 1816

WLAN Product Family

Network card
W100C PCMCIA interface W200C USB interface

Access Point equipment AP

W100A W200A inner POE module W800A

Power equipment of Ethernet POE

Wireless Bridge: W110B/W140A

W112P Terminal W101P

NMS - ZXNM01

ZXR10 Router Series

ZXR10 Switch Router and Switch

NM01 Client
R

NM01 Server ZXB10 ATM Switch

WAN

NM01 Client

WWW Browser Client

ZXR10 UAS

NM01 Client

ZXIP10 VeIga Access Server

Thank you
Velimir Vasilev
Key Account Manager
ZTE Corporation
Mobile + 359.877.178.913 Fixed + 359.2.973.31.59 E-mail. velimirvasilev@zte.com.cn