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PETAH TIKVA, ISRAEL — Lightscape Networks, an ECI Telecom Company (ECI Telecom: NASDAQ/NM symbol: ECIL) and international leader in optical networking, announced today that it has completed the first phase of a long-term frame agreement with Mobistar to provide enhanced capacity to the Belgian cellular provider’s metropolitan area network (MAN). The affiliate of Orange, owned by France Telecom, is now carrying live traffic over network equipment that is part of Lightscape Networks’ XDM metro solution umbrella.

This development marks the end of phase one of the frame agreement. The project involves two solutions in the XDM family, Broadgate™ and u-SDM™-1, for deployment as Synchronous Digital Hierarchy (SDH) equipment within customer premises. The systems are a central feature of Mobistar’s metropolitan area network supplying fixed line telecommunications services to customers throughout Belgium. In addition, Mobistar is using the systems in their Global System for Mobile (GSM) network to reduce operational costs and improve overall network management. Mobistar plans to extend this network to support the development of its General Packet Radio Service (GPRS) and Universal Mobile Telecommunications Services (UMTS) offerings. The network has been carrying live traffic since the second quarter of 2001 and this latest BroadGate deployment has carried live traffic since the fourth quarter of 2001.

“The upgrading of our infrastructure will provide an access network of urban fibre-optic loops claiming to drastically reduce our access network cost,” said Yves Bazin, Mobistar’s head of operations. “Lightscape Networks’ BroadGateTM solution also enables us to deliver enhanced services to our business subscribers. We look forward to continuing to work with Lightscape Networks as we further expand our presence and develop market-leading services for our customers.”

“We have been selected to supply network infrastructure equipment to Mobistar as part of our joint effort to supply our solutions to the France Telecom group of companies. We are pleased to have played a part in Mobistar’s growing stature in Belgium,” said Eli Peled, Lightscape Networks’ president of the regional business unit for Northern Europe. “A member of our XDM family of metro solutions, Broadgate is a straightforward, cost-effective way to help operators deliver a more complete range of services using their existing, proven SDH systems.”

Lightscape Networks’ BroadGate Access solution divides the capacity of typical fibre access networks to enable the delivery of data and voice services directly to subscribers’ premises and works with any standard SDH network. “Mobistar is the latest in a series of cellular operators to select Lightscape Networks’ technology for building out their GSM network capacity,” said Eran Dariel, president and CEO of Lightscape Networks. “Our equipment offers them a cost effective way to immediately boost capacity, eliminate network bottlenecks and prepares them for migration to optical networking over time.”

About Mobistar

Launched in 1996, Mobistar is one of the main players in the telecommunications market in Belgium, active in mobile telephony, in fixed telephony and in other markets with a high growth potential. In the financial year ended 31 December 2000 Mobistar recorded turnover of 635.2 million euros, accounting for a market share of more than 30 %. In May 2001, Mobistar became the first Belgian operator to introduce new applications using GPRS technology. On 30 September 2001, the number of Mobistar customers stood at 2,400,000.

About Lightscape Networks

Lightscape Networks is a leading provider of next generation intelligent optical networking solutions. Leveraging more than ten years of global experience, Lightscape Networks offers advanced optical platforms that combine instant provisioning with on-demand network scalability. The company’s highly dense, multi-service XDM is used by carriers to build flexible network topologies that cost-effectively scale to future demands. Lightscape Networks’ solutions are deployed in 45 countries worldwide and serve both major carriers and emerging service providers at all stages of optical network implementation. The company has corporate headquarters in Petah Tikva, Israel and regional offices across Europe and Asia Pacific. In the USA the regional headquarters are in Herndon, VA. Lightscape Networks is a wholly owned subsidiary of ECI Telecom Ltd.

For more information on Lightscape Networks, please visit

About ECI Telecom

ECI Telecom Ltd is a provider of integrated network solutions for digital communications and data transmission systems. The company designs, develops, manufactures, markets and supports end-to-end digital telecommunications solutions for today's new services and converging networks. The company's products create bandwidth, maximise revenues for networking operators, expand capacity, improve performance and enable new revenue-producing services. In doing so, they enhance the capabilities of existing networks to support voice, data, video and multimedia services. ECI Telecom's equipment supports traffic in more than 500 service networks in over 145 countries.

Certain statements contained in this release may contain forward-looking information with respect to plans, projections or future performance of the Company. By their nature, forward-looking statements involve certain risks and uncertainties including, but not limited to, product and market acceptance risks, the impact of competitive pricing, product development, commercialisation and technological difficulties and other risks detailed in the Company’s filings with the Securities and Exchange Commission.


Sian Ford
Strategic Alliance International
Tel:+44 1494 434 434

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