TXP announces first ONT shipments to a Major OEM and tier I carrier

TXP Corporation (OTC BB:TXPO.OB), an Original Design Manufacturer (ODM) for the electronics and telecommunications industries, announced that it has shipped its first Broadband Passive Optical Network (BPON) Optical Network Terminal (ONT) units to a major Original Equipment Manufacturer (OEM) and a Tier I Carrier. The shipments included both single family unit (SFU) and multiple-dwelling unit (MDU4) models.

Michael C. Shores, President and CEO, stated, "These first shipments are a major milestone for the company, as we begin commercialization of the ONT product line we recently acquired from Siemens. These orders also validate our two-pronged strategy of pursuing both carriers and OEMs."

Mr. Shores continued, "Similar to the model followed in the maturing DSL market just a few years ago, the major systems vendors and carriers are beginning to explore OEM sourcing for more cost-effective, time-sensitive ONT solutions that are interoperable across a wide range of networks. We believe that our pre-manufacturing services model and quick-turn capabilities enable us to bring products to market both faster and more cost-effectively than traditional providers. This allows us to provide customized BPON and GPON ONTs to industry partners with a much faster turnaround time and at very attractive price points.

"This new ONT business has the potential to dramatically expand our photonics business and we are extremely excited about the prospects for this business, given the massive expenditures planned by the carriers as they role out new 'triple-play' and 'Fiber-to-the-Home' services nationwide."

ONTs are the customer premises-located devices used by a carrier to serve residential and business customers over a PON-based system. PON is a maturing point-to-multipoint technology which is being adopted by telephone companies globally because of its cost-effectiveness in extending fiber-based services all the way to the customer premises.