Euskaltel Launches Usage-Based Cable Broadband Service with Service Exchange Capability of Cisco Internet Protocol Next Generation Network

Cisco Systems(R) (NASDAQ:CSCO) announced today thatEuskaltel, the leading cable operator and broadband service providerin the Basque country in Spain, is introducing usage-based billing toits broadband services portfolio to enhance choice and lower the entrylevel to broadband services for its customers. The new billingcapabilities are made possible using the Service Exchange Framework ofthe Cisco Internet Protocol Next Generation Network (IP NGN), whichfeatures the CableLabs standard-compliant Subscriber AccountManagement Interface Specification (SAMIS) embedded in the Cisco CableModem Termination System (CMTS). Euskaltel has recently gained aleading position in the broadband market as the operator with thelargest number of broadband subscribers in the Basque country.

Euskaltel launched its usage-based broadband service in July 2005to give its customers the broadest choice of bandwidth and billingoptions. "Euskaltel is aiming to universalise broadband through astrategy of offering the best range of services in the market," saidAitor Marcaida, Director of Marketing, Euskaltel. "Our objective is tomaintain our lead in the Basque country as a broadband servicesprovider. By providing the greatest choice and fastest access speeds,we hope to achieve the highest rate of broadband penetration andbroadband usage for our customers." Euskaltel broadband services areavailable at bandwidths up to 8 Mbps on flat rate, time-based andusage-based billing options.

Idoia Uriarte, Network and Services Engineering Director atEuskaltel said: "Our cable access network is based on Cisco CMTSrouters and we considered that utilising the embedded subscribermanagement features, based on a standard compliant solution, was thebest way to deploy usage-based billing."

"Euskaltel operates in a fast-moving market and needs to becontinuously proactive in developing its portfolio and expanding itscustomer base," said Luis Martins, Cable Solutions DevelopmentManager, Cisco Systems. "The Service Exchange Framework is afundamental component of Cisco's IP Next Generation Network andincludes subscriber management solutions such as usage-based billing.Cisco's Service Exchange solutions are key to helping our customersbring more creative and attractive offerings to market more quickly."

The Euskaltel usage-based billing solution employs the detailedper-subscriber account and billing information present in theSAMIS-formatted Management Information Bases (MIBs), which areembedded in Cisco uBR7246VXR and Cisco uBR10012 universal broadbandrouters. The SAMIS format is specified within the Data-over-CableService Interface Specifications (DOCSIS) Operations Support SystemInterface (OSSI) specification and is supported for cable modemscompliant with DOCSIS 1.0, DOCSIS 1.1 and DOCSIS 2.0.

Inclusion of SAMIS in the Cisco CMTS is part of the ServiceExchange Framework (SEF) of the Cisco IP NGN. The Service ExchangeFramework is designed to help service providers deliver a variety ofservices to a range of devices over multiple access paths, and allowsservice providers to control customer access and use of services,without limiting the types of applications that can be deployed. Theaccess-independent, open framework helps network operators achievebetter understanding, visibility, and control of their network bytelling them who their subscribers are, what services they areauthorised for and what policies govern their use of those services.It helps network operators determine how to control the network andindicates where the users and their devices are at any given time.Greater visibility and control gives service providers better insightinto customer activity and lets network operators deliverdifferentiated services, securely and profitably.

About Euskaltel

Euskaltel is a Basque Global Telecommunications Operator offeringfixed and mobile telephone, Internet and television services. It isthe Basque Autonomous Region's top Broadband Operator, with a marketshare of 45% in fixed telephony, 44% in Broadband Internet, 31% inmobile telephony and 25% of the total income from thetelecommunications sector in the Basque Country. In 2004, our incomefor operations amounted to 291 million Euros, with 16.2 million Eurosin profits. Euskaltel is deploying a last-generation fibre-opticnetwork in the Basque Country with an investment of 1,200 millionEuros -- 600 Euros per inhabitant -- the largest network investmentper inhabitant in the entire Spanish State.

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