Narad Networks, Inc., a provider of business class broadband access solutions that leverage cable operators' existing networks, today announced the launch of its next generation Passive Architecture, which enables cable operators to deploy commercial voice and data services while preserving their existing network and services. Narad's Passive Architecture is now being installed by multiple system operators (MSOs) in North America.

The company also announced a change in its pricing model to one that places a price cap on operators' cost per customer, enabling operators to calculate the exact cost and return of their investment before signing up prospective subscribers. Narad's research into small to mid-sized businesses in many US cities shows a natural clustering of these businesses, suggesting targeted rollouts that reduce costs in deploying commercial services.

"Cable operators launching commercial voice and data services often want to keep their residential network separated from the commercial services network, both in the treatment of capital expenditures and in the use of spectrum," said James D. Norrod, CEO of Narad Networks. "Operators that are planning for significant growth in commercial services are recognizing the need to go out-of-band to create new capacity on their existing access networks, and with voice services being such a strong driver for near-term revenues, the upstream path has come into clear focus."

Narad's Passive Architecture requires only passive diplex filters to touch the HFC network, thereby enabling its switched Ethernet overlay to be added transparent to the current services while still sharing the existing coaxial cable. The Narad solution adds a large amount of bandwidth per node, 400 Mbps in both the upstream and downstream directions, while allowing all existing network elements to remain in place. Since all data flows are switched, only the data intended for a specific subscriber is sent to that subscriber. This provides the degree of data security required by enterprises.

The intelligence in the network elements provides immediate fault isolation to the specific location of a plant issue, allowing business class service level agreements (SLA) to be met. Service call response times are reduced to a matter of minutes, which is critical to business customers.

About Narad Networks Narad Networks, Inc. provides cable operators with cost-effective solutions to create new, managed, symmetric capacity on existing cable networks. Narad enables the delivery of highly profitable broadband voice and data services over cable infrastructure while minimizing capital expenditures and accelerating free cash flow. The company's solution leverages the previously unusable frequency spectrum to overlay secure, switched Ethernet onto existing HFC networks. The solution can be installed in phases, only adding equipment to those portions of the plant that lie directly between the node and the business customer. Narad's solution enables cable operators to offer services such as Voice-over IP, T1/E1 voice, symmetric broadband Ethernet up to 100 Mbps, and virtual private networks. The Narad solution adds 400 Mbps symmetric capacity to each HFC node. Business customers include small-to-medium businesses (SMBs), mobile and WiFi operators, enterprise customers, schools and municipalities.

Founded in July 2000 and based in Westford, Massachusetts, Narad Networks is a privately held company with venture funding from Polaris Venture Partners, Argo Global Capital, and other leading venture capital firms. For more information, visit www.naradnetworks.com.