Press Release

China Netcom Selects Redback Networks to Deliver New IPTV Network SmartEdge Service Gateway to Provide Edge Routing, Ethernet Aggregation and Subscriber Management for Advanced Broadband Services in Heilongjiang Communications

SAN JOSE, Calif., July 21, 2005 – Redback Networks Inc. (NASDAQ: RBAK), a leading provider of next-generation broadband networking systems, today announced that China Netcom’s Heilongjiang Communications Corporation is deploying a network of Redback SmartEdge® 800 Service Gateways to provide a new, scalable, converged platform for broadband access and advanced broadband services delivery in Harbin, the capital city of Heilongjiang province in North East China.

Heilongjiang Communications Corporation selected the Redback SmartEdge platform to build a dependable, next generation Smart Broadband Network capable of delivering new era broadband services such as IPTV and Video on Demand as well as advanced business services such as Virtual Private Networks over MPLS.

The SmartEdge Service Gateways’ comprehensive Quality of Service (QoS) features and multicast support enable Heilongjiang Communications Corporation to provide next generation broadband IP services without having to create multiple overlay networks on top of their broadband access infrastructure.

“Redback is pleased to help Heilongjiang Communications Corporation with the delivery of advanced broadband services. Heilongjiang Communications Corporation, together with Liaoning, Hebei, Shandong and Inner Mongolia is now the fifth major China Netcom subsidiary utilizing Redback equipment to build their broadband IP infrastructures,” said Simon Williams, Redback’s vice president of sales and operations for the Asia and Pacific region. “In choosing the SmartEdge Service Gateway platform, Heilongjiang is performing several Service Edge functions such as Ethernet Aggregation, Subscriber Management and Edge Routing from a single network node. Similarly, all business and consumer broadband services can be offered over a single converged broadband IP infrastructure without the need to create expensive service delivery overlay networks.”

“Heilongjiang Communications Corporation is a leading and advanced IPTV deployment,” said Marco Wanders, chief marketing officer for Redback Networks. “The SmartEdge Service Gateway platform is providing the service delivery and subscriber management functions that Heilongjiang requires while at the same time its’ high-density Gigabit Ethernet scalability enables their DSLAM’s to connect directly to the SmartEdge Service Gateway without the need for a separate Ethernet Aggregation layer.”

The Redback SmartEdge Service Gateway platform delivers the strength of Redback's advanced subscriber management capabilities with the SmartEdge platform's purpose-built hardware and software to provide subscriber management with dynamic policy enforcement, carrier-class IP routing, Ethernet Aggregation, ATM mediation, MPLS VPNs, multicast and advanced video capabilities and high performance Quality of Service (QoS).

Redback is working through one of its' Global Partners to implement the solution at Heilongjiang Communications Corporation.

About Redback Networks
Redback Networks Inc., a leading provider of next-generation IP broadband networking equipment, enables carriers and service providers to build Smart Broadband Networks that can deliver simplified, personalized and portable subscriber services to consumers and businesses. The company's carrier-class, consumer-scale SmartEdge Router and Service Gateway platforms combine subscriber management, IP edge routing and Ethernet aggregation functions. In conjunction with the NetOp™ Element and Policy Manager platforms they provide a powerful, flexible infrastructure for managing both residential and business users and deploying a variety of value-added services.

Founded in 1996 and headquartered in San Jose, Calif., with sales and technical support centers located worldwide, Redback Networks maintains a growing and global customer base of more than 500 carriers and service providers, including major local exchange carriers (LECs), inter-exchange carriers (IXCs), PTTs and service providers. For more information, visit Redback Networks at www.redback.com.

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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.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995

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, including statements regarding Redback Networks' expectations, beliefs, intentions or strategies regarding the future and including, without limitation, statements regarding whether the SmartEdge Service Gateway will provide a scalable, converged platform and the platform’s ability to provide advanced broadband services. All forward-looking statements included in this document are based upon information available to Redback Networks as of the date hereof, and Redback Networks assumes 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 Redback Networks' 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, Form 10-Q, Form 8-K, Redback’s Registration Statement on Form S-3 (File No. 333-114352), and amendments thereto, and the other reports filed from time to time with the SEC.