Company Press Release
  PairGain's xDSL Solutions to be Commercially Deployed by U S WEST Communications as Megabit Services Are Rolled Out in Phoenix
  TUSTIN, Calif.--(BUSINESS WIRE)--Oct. 29, 1997-- 
  U S WEST Communications Becomes First Company in the Nation to 
  Offer Full-scale DSL Services; Choose PairGain's EtherPhone 
  to Deploy MegaBit Services to its Residential and 
  Business Customers 
  PairGain Technologies Inc. (NASDAQ:PAIR) Wednesday announced that its xDSL solutions will be deployed by U S WEST Communications to support the nation's first large scale commercial rollout of DSL services in Phoenix. 
  U S WEST has selected PairGain's EtherPhone products to deliver a new package of integrated high-power data services that will allow U S WEST's business and residential customers fast and reliable access to the Internet, all over a standard telephone line. 
  PairGain's EtherPhone solutions will enable U S WEST to deliver its customers with advanced DSL transport to the Internet or their corporate networks at speeds up to 25 times faster than 28.8 analog modems. The MegaBit Services offering is unique because it lets customers always stay connected to the Internet or other data networks over a dedicated portion of their existing phone line, with no dial-in required. Customers simply open their Internet browser software, and can make or receive phone calls over the same line simultaneously while surfing the Internet. 
  ''We are extremely pleased to have been chosen as the DSL vendor for the rollout of MegaBit Services by our partner U S WEST,'' said Chuck Strauch, PairGain's chairman and chief executive officer. ''Previously, DSL services were limited to select businesses, now U S WEST has opened the doors for a wide range of end users to access the power of the Internet easily and inexpensively.'' 
  PairGain's EtherPhone product line allows service providers to deploy advanced data offerings, such as Internet browsing and corporate network access, to their business and residential customers in telecommuting, remote office and work-at-home environments. The products allow high-speed data and voice (lifeline POTS) over a single phone line. 
  The EtherPhone product line consists of several central office and subscriber end devices that run at up to 704 kbps bidirectionally for data and video applications, with simultaneous support of a voice connection over one copper telephone line. 
  U S WEST's MegaBit Services DSL offering will be available in a phased rollout in the Phoenix metro area. The service will be rolled out in other cities within U S WEST's 14 state region in coming months. 
  U S WEST has carefully designed package options to meet the varied needs of all of its Internet and data network customer,s with prices ranging from $40 per month for access speeds of 192 kbps, to $125 per months for speeds of up to 704 kbps, plus installation. PairGain's EtherPhone products will be used to deploy all levels of service. 
  PairGain designed its EtherPhone products with flexibility in mind, knowing that its service provider customers' requirements would vary significantly. The voice circuit is encoded into one 64 kbps time slot (DSO). The remaining time slots are used to deliver n x 56/64 kbps Ethernet data, allowing service providers the flexibility of varying access speeds according to customer needs. 
  U S WEST Communications provides a full range of telecommunications services, including wireline, wireless PCS and data networking, to more than 25 million customers in 14 western and midwestern states. The company is one of two major groups that make up U S WEST, a company in the connections business, helping customers share information, entertainment and communications services in local markets worldwide. US WEST's other major group, U S WEST Media Group, is involved in domestic and international cable and telephone, wireless communications, and directory and information services. U S WEST !NTERPRISE is the data networking arm of U S WEST Communications. 
  PairGain Technologies, the xDSL (high-speed Digital Subscriber Line) market leader, designs, manufactures and markets communications systems that allow telephone companies, PTTs, other service providers and organizations with private networks to more efficiently and quickly deploy high-speed data, video and voice services to end users over the existing infrastructure of copper telephone lines. 
  PairGain's HiGain, PG-Plus, PG-Flex, Megabit Access and campus area network products are marketed under the trademark, CopperOptics, indicating their ability to provide fiber optic quality transmission over the ''last mile'' in both public and private networks worldwide. 
  NOTE: Except for the historical information contained herein, the matters discussed in the announcement are forward-looking statements which involve risks and uncertainties, including but not limited to economic, competitive, governmental and technological factors affecting the company's operations, markets, products, services and prices and other factors discussed in the company's filings with the Securities and Exchange Commission.  |