RBAK Redback Networks

Redback Networks Inc. (NASDAQ:RBAK), a leading provider of next-generation broadband networking systems, today announced another new customer in China. Zhejiang Telecom will use Redback's SmartEdge(R) family of multi-service edge routers to deliver broadband internet, IPTV and virtual private network (VPN) services to business and residential users. Zhejiang Telecom is a major subsidiary of China Telecom Corporation, the largest wire-line carrier in China. There are more than 3 million broadband subscribers in Zhejiang province and more than 30+ million broadband users in China. "We want to thank Zhejiang Telecom for selecting Redback," said Simon Williams, vice president of sales and operations in Asia, Redback Networks. "China is Redback's second largest market outside the U.S. and we are pleased that Zhejiang Telecom leaders share Redback's vision of a single IP network for broadband data, voice and video services. Over time, we see a future where all communications services will be managed in harmony under a broadband infrastructure." Over the last 12 months, Redback has 22 carrier wins in China, focused on the independently operated, provincial subsidiaries of China Telecom and China Netcom, the two largest incumbent carriers in China. For China Telecom, this includes provincial carriers in Guangdong, Zhejiang, Fujian, Anhui, Hubei, Jiangxi, Yunnan, Shaanxi, Ningxia, Heilongjiang and Tibet. For China Netcom, this includes similar deployments in Shandong, Liaoning, Hebei, Heilongjiang, Jilin, Henan, Shanxi, Inner Mongolia, Zhejiang, Chongqing and Yunnan. Eleven of the top 20 DSL carriers worldwide deploy Redback's SmartEdge(R) multi-service edge routers to deliver various broadband services to tens of millions of business and residential customers worldwide. These customers include British Telecom, Belgacom, BellSouth, China Telecom, China Netcom, Chunghwa Telecom, France Telecom and Turk Telecom, among others. About Redback Networks Redback Networks Inc. manages 40 million broadband connections for 15 of the top 20 carriers worldwide. Redback's multi-service routing platform delivers next generation broadband services such as VoIP, IPTV, On-Demand Video and on-line gaming. Redback Networks has more than 500 carrier customers worldwide and is based in San Jose, CA. In 2006, Redback marks its 10 year anniversary, celebrating ten years of broadband innovation. For more information, visit Redback Networks at www.redback.com. REDBACK and SmartEdge are trademarks registered at the U.S. Patent and Trademark Office and in other countries. NetOp is a trademark of Redback Networks Inc. All other products or services mentioned are the trademark, service marks, registered trademarks or registered service marks of their respective owners. Note Regarding Forward-Looking Statements The statements contained in this press release that are not purely historical are forward-looking statements within the meaning of Section 21E of the Securities and Exchange Act of 1934, as amended. These statements include but are not limited to statements regarding our expectations, beliefs, intentions or strategies regarding the future and including, without limitation, statements regarding China's expected deployment of broadband services and IPTV services; the expectation that Zhejiang Telecom will serve up to three million broadband subscribers using Redback products; that carriers will support fewer networks and migrate wireless and wire-line users to a single broadband infrastructure; and the ability of Redback's products to help Zhejiang Telecom and other carriers deliver such services. All forward-looking statements included in this document are based upon information available to us as of the date hereof, and we assume no obligation to update any such forward-looking statements. Forward-looking statements involve risks and uncertainties, which could cause actual results to differ materially from those projected. These risks and other risks relating to our business are set forth in the documents filed by Redback Networks with the Securities and Exchange Commission (SEC), specifically the most recent report on Form 10-K for the fiscal year ended December 31, 2005, Form 10-Q for the quarter ended June 30, 2006, Forms 8-K, and amendments thereto, and the other reports filed from time to time with the SEC.