[Amati and Sumitomo Combine Forces to Increase Data Access Speeds in Japan]
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<<Partnership Agreement Calls for Sumitomo to Distribute Amati ADSL Products in Japan
SAN JOSE, Calif., April 7 /PRNewswire/ -- Amati Communications Corp , Sumitomo Corporation of America, and Sumitomo Corporation today announced a strategic relationship to distribute Amati's Asymmetrical Digital Subscriber Line (ADSL) products in Japan. The partnership is focused on accelerating the deployment of advanced communications services over existing telephone lines, a major initiative for Japan for the multimedia age.
According to Sumitomo, the rapid growth of the Internet in Japan has caused increased demands for high-speed data transmission. ADSL is a viable solution since it allows broadband access over existing telephone lines, permitting telephone operators to offer services to their customers such as high speed access to the Internet, networked multimedia, work from home (telecommuting) and ATM to the home. In the U.S., ADSL is being acclaimed as one of the most promising technologies for high-speed Internet access.
Amati and Sumitomo will jointly support and market the Amati ADSL/DMT modem products. These products support ADSL at up to 8 Mbps delivery rates downstream and 640 Kbps upstream.
Amati was selected by Sumitomo because of its leadership position in ADSL technology. Amati is the developer of Discrete Multi-Tone (DMT) technology, which is the only ADSL line code that has been adopted by the worldwide ETSI and ANSI standards organizations. Amati has licensed its DMT technology to companies including Nortel and Motorola. In addition, the company leads the market in high-speed ADSL implementations using the DMT standard, with products presently in field trials by U.S. regional telephone companies, PTTs in Europe and Asia-Pacific and by system integrators such as Philips, Italtel Tadiran and NEC (AU).
With the advent of mass-market economies, low-cost chipset releases, and other factors, the price of ADSL products is expected to fall dramatically. It is projected that by the year 2000, more than $2 billion will be spent on ADSL services.
"Sumitomo is one of the world's leading trading companies, and as such, Amati is delighted to be working with them on this initiative," said James Steenbergen, President and CEO, Amati Communications. "We look forward to playing a pivotal role in bringing high-speed ADSL services to the Japanese market."
In addition to ADSL products, both Sumitomo Corporation of America and Sumitomo Corporation plan to handle Very High-Speed Digital Subscriber Line (VDSL) products in the near future. VDSL is being developed to permit transmission rates up to 60 Mbps over a single copper pair of wires. Sumitomo
Sumitomo Corporation of America (SCOA) is the largest wholly-owned subsidiary of Sumitomo Corporation, one of the world's leading traders and distributors of goods and services. As an integrated business enterprise, the firm has emerged as a major organizer of multi-national products, an expediter of ideas, an important international investor, and a powerful force for better global communication through its offices in 88 countries. SCOA works closely with its parent company, trading a wide spectrum of products and services between the U.S. and Japan, including leading high-technology products. For more information about Sumitomo, visit our website at sumitomocorp.co.jp.
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