CoSine Communications Partners with Nissho Electronics Corporation to                  Expand Presence in Japanese Telecommunications Market
                   Veteran Japanese Value-Added Distributor and Integrator to Showcase CoSine's IP                  Service Delivery Platform at NetWorld+Interop Tokyo 
                   NetWorld+Interop, TOKYO, June 7, 2000 ? CoSine Communications, the leading                  provider of managed network-based IP Service Delivery Platforms for business IP                  Service Providers, and Nissho Electronics Corporation, a major value-added reseller,                  systems integrator and distributor in Japan, jointly announced today a strategic                  distributorship. For the first time, Nissho will be demonstrating CoSine's IP Service                  Delivery Platform during the NetWorld+Interop Tokyo Conference and Exhibition, June                  7-9, 2000. 
                   Under the terms of the agreement, Nissho Electronics will assist CoSine with direct                  sales of its IP Service Delivery Platform to Japanese Service Providers (SPs), and                  with OEM/sub-distributor management, technical support, Japanese market/business                  analysis, localization and joint ventures. This strategic partnership will enable                  next-generation SPs in Japan to rapidly respond to increasing demand for                  network-based Virtual Private Networking (VPN) solutions. 
                   "Nissho is an important part of our global business strategy," said Dean Hamilton,                  CoSine president and CEO. "To establish a footprint in the world's second-largest                  technology market, CoSine has chosen Nissho Electronics because it is an                  experienced and capable partner with existing strategic relationships in the Japanese                  Service Provider market." 
                   "Japanese Service Providers have expressed considerable interest in network-based                  IP services that can offer incremental revenue streams above and beyond                  commoditized bandwidth," said Takao Tsuji, senior general manager of the Network                  Solutions Division at Nissho Electronics. "We are pleased to deliver the CoSine                  solution and address this demand in the Japanese marketplace." 
                   This week at Networld+Interop Tokyo, June 7-9, CoSine will demonstrate its IP                  Service Delivery Platform at both CoSine's booth (USP10, U.S. Pavilion) and Nissho                  Electronics' booth (7C14). The platform consists of CoSine's IPSX 9000? non-stop IP                  service processing switch, a carrier-class switch that marries scalable computing                  hardware with an open software architecture; the InVision? Service Management                  System (SMS); and the InGage? Customer Network Management (CNM) system.                  This platform enables Service Providers to create, manage and deliver value-added IP                  services to enterprise customers, who, in turn, can monitor and control their portion                  of the public IP network. 
                   Today, CoSine's suite of managed, network-based IP services includes the Network                  Associates Gauntlet Firewall©; site-to-site IPSec tunneling (virtual leased line);                  IPSec dial tunnel termination; virtual routing with support for the Border Gateway                  Protocol (BGP4), Open Shortest Path First (OSPF) and Routing Information Protocol                  (RIP); Secure DSL; Frame Relay to IPSec interworking; IP-Enabled Frame Relay and                  Frame Relay over IPSec. 
                   About Nissho Electronics Corporation
                   Nissho Electronics is one of Japan's leading distributors and system integrators of IT                  related products and services such as NT/Unix systems, networks, software, system                  components, peripherals and visualization/VR systems. Nissho's principal role is to                  provide the Japanese market with advanced products and services incorporating new                  technologies, as well as to offer new approaches. Working with its customers, Nissho                  identifies cutting-edge technologies that best meet their current and future needs,                  and helps them find ways to utilize the technology. 
                   About CoSine Communications 
                   Founded in 1998 and based in Redwood City, Calif., CoSine Communications develops,                  markets and sells managed IP service delivery platforms designed for Business IP                  Service Providers who risk losing profitability with today's low-value Internet access                  services. The CoSine solution enables Next Gen Telcos, Competitive IXCs,                  International Service Providers and PTTs to quickly and reliably turn up value-added                  services to their wholesale and retail subscribers.  |