ZNYX NETWORKS Expands Presence in Fastest Growing Telecommunication Market in World; Forms ZNYX Networks International and Opens New Branch Office in Shenzhen, China

SHENZHEN, China--(BUSINESS WIRE)--Sept. 5, 2006--ZNYX NETWORKS Inc. (ZNYX), a pioneer and world leader in embedded networking solutions for Modular platforms, today announced expanded presence in the Chinese telecommunication market with the formation of ZNYX Networks International and the opening of a new branch office in Shenzhen, China.

"The ZNYX Shenzhen, China branch office will provide our Chinese customers with the day-to-day local support, engineering and sales services required by the rapidly growing market. We are dedicated to providing our Chinese customers with quality and unmatched local support," said Connie Austin, President and CEO of ZNYX Networks. "With our complete line of high-quality AdvancedTCA(R) switches and standards-based integrated solutions, ZNYX is committed to working with the leading Chinese Telecommunications Equipment Manufacturers to create exceptional value-added solutions for their partners."

Walter Allen, ZNYX Networks International General Manager, will lead the Shenzhen branch office located at ZNYX Networks (Shenzhen) Co. Ltd., W409, IER Bldg., South Area, Hi-Tech Industrial Park, Shenzhen, China. "The new ZNYX Shenzhen branch office is dedicated to supporting key customers and strategic distribution partners. The staff of the ZNYX Shenzhen branch is well seasoned in the telecommunications sales and support infrastructure, bringing key engineers and sales personnel to each and every account," said Mr. Allen.

"ZNYX is extremely customer-focused and has been providing high-quality, mission-critical hardware and software solutions into the Chinese market for several years. ZNYX is committed to bringing face-to-face corporate support into China to strengthen existing relationships, build new relationships, and participate directly with key Chinese partners," said Connie Austin, President and CEO of ZNYX Networks.

About ZNYX Networks

ZNYX Networks is the leading global provider of embedded Ethernet solutions -- high availability switch blades and scalable network elements -- for CarrierClass(TM) systems. Equipment manufacturers and systems integrators use ZNYX Networks technologies to create solutions with continuous service, high-performance, scalability and strict compliance to telecommunications standards. The ZNYX Networks family of hardware, software, and professional services provides design engineers with a significant "time to market" advantage by leveraging pre-built and pre-tested modular embedded network elements. These modular building blocks are designed in strict compliance with open, forward-looking industry standards such as PICMG3.x (ATCA) and IETF ForCES.

ZNYX is also a member with the Intel(R) Communications Alliance, a community of communications developers and solution providers committed to the development of modular, ATCA standards-based solutions on Intel technologies.

Privately held, ZNYX Networks is headquartered in Fremont, California, with advanced research centers in Santa Barbara, San Francisco and Ottawa, Canada. Sales and professional service offices are in North America, Europe and Asia. For more information, see www.znyx.com, e-mail sales@znyx.com or phone (510) 249-0800.

OpenArchitect(R), OpenArchitect(R)/HA(TM) and CarrierClass(TM) are trademarks of ZNYX Networks, Inc. Other company or product names may be trademarks of their respective holders