Centillium Communications, Inc.

Laurie Falconer
Centillium Communications, Inc.
(510) 771-3647
[email protected]

CENTILLIUM COMMUNICATIONS PARTNERS WITH SUMITOMO ELECTRIC INDUSTRIES TO BRING A FULL RANGE OF DSL SOLUTIONS TO JAPAN

Sumitomo Electric Utilizes Centillium CopperFlite Chipsets In Leading Edge MegaBit Gear CU4000 DSLAM

FREMONT, Calif., March 6, 2001 - Centillium Communications, Inc. (Nasdaq: CTLM), innovator of broadband communications technology, today announced a partnership with Sumitomo Electric Industries (SEI) to provide a full range of DSL technology to carriers in Japan. SEI recently announced availability of its MegaBit GearTM CU4000 DSLAM, which supports multi-mode ADSL (Annex A and C) and symmetric DSL (Annex H) for Japan and throughout the world. Centillium's CopperFlite multi-mode chipset, which is the only DSL chipset that conforms to the Annex C and H standards for Japan, is the basis for the CU4000 product.

Annex C addresses the unique requirements for operating with Japan's existing telecommunications network, where time compression multiplexing integrated services digital network (TCM-ISDN) is widely deployed. The prevalence of ISDN service significantly increases the adverse effect of crosstalk from other lines in the loop bundle, a serious barrier for the wide deployment of ADSL in such environments. Centillium's innovative and patented technology is the foundation of the Annex C standard that overcomes the crosstalk problem and enables Japanese carriers to deploy DSL in the same bundles that contain ISDN.

Centillium's Annex H solution, which also addresses the unique network characteristics in Japan, provides symmetric DSL for customers requiring greater bandwidth upstream than is available in typical ADSL services. Centillium's technology features support for multiple embedded 64 kbps channels carried on a single DSL line, which can be used for applications such as channelized voice over DSL (CVoDSL) and ISDN over DSL.

SEI's MegaBit Gear CU4000 Series DSLAMs are scalable, high capacity, standards-based platforms that can accommodate up to 480 lines in a 23-inch wide chassis. Utilizing the latest ATM technology, the CU4000 series offers service providers extensive bandwidth management capabilities and network accessibility. With integrated, front-access shelves, the CU4000 series greatly improves system maintainability. Additionally, the CU4000 series provides superior reliability by offering redundancy for the DSL lines, high-speed uplinks and ISDN clock cascade connection.

"With Centillium's network-proven CopperFlite chipsets, SEI has been able to quickly provide world-class DSL solutions to carriers in Japan," said Mr. Hideo Takahashi, vice president of business development, Sumitomo Electric U.S.A., Inc. "The relationship we have with Centillium has helped us build a strong position in the DSL market in Japan and throughout the world."

The CU4000 series features full support for international standards of ADSL, including G.lite (Annex C), full rate and symmetrical DSL for Japan (Annex C and H), the United States (Annex A), and throughout the world (Annex A). Centillium's CopperFlite chipset features support for all these standards, making the unique technical functions available for SEI's leading edge equipment designs.

"We're thrilled to continue this strong relationship with SEI by providing full rate Annex C and Annex H ADSL chipsets for the CU4000 platform," said Dori Braun, vice president, access business unit, Centillium Communications, Inc. "Japan's ADSL market is strong, and we look forward to continuing to support SEI in their market leadership into the future."

About Sumitomo Electric Industries
With offices located around the globe, SEI is recognized as one of the pioneers in xDSL technology development. With its early entry into market, the company has been able to accumulate a wealth of technology and deployment experience. SEI's xDSL products "MegaBit Gear" series, including both CPE and Central Office equipment, have been widely adopted by various telecommunications companies in Japan and abroad. To date SEI has shipped over 100,000 lines worth of xDSL equipment, thereby earning itself the top spot among Japanese manufacturers. Additional information is available at www.megabitgear.com.

About Centillium Communications
Centillium Communications, Inc. is combining technical innovation and customer commitment to make broadband communications a market reality. Centillium consistently delivers value to its customers by providing broadband networking systems for applications across all market segments. The company designs and markets communications chipset solutions for central office equipment, digital loop carrier (DLC) line cards, and customer premise equipment for Digital Subscriber Line (DSL), Voice over Packet (VoP) and Premise Networking. The Centillium Communications headquarters are located at 47211 Lakeview Blvd., Fremont, CA 94538. Additional information is available at www.centillium.com.

Forward Looking Statements
Except for historical information contained in this press release, the foregoing contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially from those indicated by such forward-looking statements based on a variety of risks and uncertainties, including the risks and uncertainties relating to actual quantities and timing of any orders received under the contract and the successful development and market acceptance of Centillium's new products. The company assumes no obligation to update these forward-looking statements to reflect events or circumstances after the date hereof. Information about potential factors that could affect Centillium's financial results is included in Centillium's most recent Quarterly Report on Form 10-Q, which can be viewed at the Securities and Exchange Commission's website at www.sec.gov.

Centillium Communications and the Centillium logo are trademarks of Centillium Communications.