Press Release

Redback Introduces Next-Generation SmartEdge Service Gateway with 4x Performance & Integrated High Density Ethernet Aggregation New 10 GigE and 10 & 20 Port GigE Cards With New Software Features for Assuring Quality of Experience for Video and Voice 

SAN JOSE, Calif., May 23, 2005 – Redback Networks Inc. (NASDAQ: RBAK), a leading provider of next-generation broadband networking systems, today announced the next-generation version of its flagship SmartEdge® Service Gateway platform. The next-generation version, accomplished with hardware cards and a software upgrade to current generation systems, brings an important generational leap in new features and a performance breakthrough of four times the throughput and processing power over its current systems, already known for high user capacity, and bandwidth and services per subscriber.

The performance breakthrough stems from Redback’s new Broadband IP Engine processing chip powering new 10 Gigabit Ethernet and 10 and 20 port Gigabit Ethernet I/O cards. These new cards integrate carrier-class Ethernet Aggregation with advanced IP routing, and subscriber and session management. The leap in performance and new features enable the SmartEdge Service Gateway to scale for future demands of high definition television, IP telephony, next-generation gaming, video calls, video email, and other applications. The ability of the next-generation SmartEdge Service Gateway platform to consolidate network elements brings significant operational and capital savings to broadband service providers and ensures end-to-end quality that providers are struggling to offer in an economically feasible manner.

“Today Redback takes a giant step forward in advancing the SmartEdge Service Gateway platform with breakthrough performance, the ability to converge multiple strategic network elements into a single platform, and innovative, new features for delivering individualized, high quality video, voice and data,” said Kevin DeNuccio, president and chief executive officer, Redback Networks. “While other vendors will be forced to launch entirely new platforms, we have been able to once again offer the most competitive set of technical and economic value on a platform that has been selected and operationally proven by many of the largest carriers around the world. The next-generation SmartEdge Service Gateway platform gives the service provider the ability to re-think its broadband network and build for future advantage rather than the norms of the past.”

“We look forward to utilizing the new, advanced software features in Redback’s SmartEdge Service Gateway and the powerful Ethernet traffic modules which take advantage of their new Broadband IP Engine,” said MS Choi, Internet Planning Division, KT Network Service Group. “As we continue to expand our broadband network, it is critical for us to be able to scale its performance for greater bandwidth, more users and new services and network processing.”

New Performance and Scalability Milestone
The performance breakthrough comes through new 10 Gigabit Ethernet and 10 and 20 port Gigabit Ethernet I/O cards for SmartEdge Service Gateway systems. These cards increase throughput and packet processing power by a factor of four. They also enable service providers to provision and secure individualized services for subscribers or businesses. Service providers can offer a large number of completely separate Virtual LANs (VLANs) for business customers, ensuring security and privacy. Wire-speed interfaces on the 10 Gigabit Ethernet and 10 port Gigabit Ethernet further ensure high quality delivery of video, voice and data.

Integrating Carrier-Class Ethernet Aggregation for Network Convergence
With the new Gigabit Ethernet cards, the SmartEdge Service Gateway platform now combines carrier-class, high-density Ethernet aggregation with advanced IP routing and subscriber and session management in a single system for significantly lowering capital and operational costs, ensuring end-to-end quality in delivering video, voice and data and providing a single control point for operations. Integrating the multiple network functions eliminates the need for redundant systems and dramatically reduces the carrier’s time to market with lower costs.

New Multicast Level Reliability
The SmartEdge Service Gateway platform extends its array of features and architectural implementations to ensure high reliability for video, gaming and other streaming traffic with the addition of Multicast Level Reliability. Multicast Level Reliability extends the current capability of Session Level Reliability to ensure that all multicast video traffic can seamlessly failover to a redundant card without interruption of any kind.

Advanced, Wire-Speed Quality of Service
The SmartEdge Service Gateway platform can perform full, hierarchical Quality of Service (QoS) at wire speed to ensure high quality delivery of video, voice calls, gaming and other applications according to set policies and customer profiles or specific application requirements. By properly managing bandwidth, the SmartEdge Service Gateway platform can prevent adverse conditions, such as latency, jitter and packet loss in streaming movies, video conferences, gaming sessions and voice calls. It can also enable service providers to offer Quality of Experience levels to customers and assurances to content providers.

In-Service, Interruption-Free Service Updates
The SmartEdge Service Gateway platform enables the updating of software without interrupting the system’s overall operation. In-service updates can be applied to each module or protocol individually without affecting the operation of any other modules or protocols. The system fully maintains state during the installation, including maintaining all active subscriber sessions. Once the installation is completed, the updated module automatically refreshes itself with the latest connection information. The SmartEdge Service Gateway platform enables maintenance windows and upgrades with zero downtime, a capability known primarily in circuit-switched PSTN telephone networks.

Current SmartEdge Service Gateway customers can upgrade their systems simply by adding new cards and upgrading the system software—without requiring a new hardware chassis or “fork lift upgrade” of the overall system and thereby preserving customer investments. The new version of software and the new I/O cards will become available this summer.

About Redback Networks
Redback Networks Inc., a leading provider of next-generation broadband networking equipment, enables carriers and service providers to build Smart Broadband Networks that can deliver simplified, personalized, portable subscriber services to consumers and businesses. The company's carrier-class, consumer-scale SmartEdge Router and Service Gateway platforms for Consumer IP combine subscriber management systems and edge routing and, in conjunction with the NetOp™ Element and Policy Manager platform, provide a powerful, flexible infrastructure for managing both subscribers and 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 Network’s expectations, beliefs, intentions or strategies regarding the future and including, without limitation, statements regarding the ability of SmartEdge Service Gateway systems to scale for future demands of high definition television, IP telephony, next-generation gaming, video calls and email, and other applications; its ability to consolidate network elements for significant operational and capital savings; its ability to ensure end-to-end quality and provision and secure individualized services for subscribers or businesses; its ability to eliminate the need for redundant systems and dramatically reduce a carrier’s time to market with lower costs; its ability to ensure all multicast video traffic can seamlessly failover to a redundant card without any kind of interruption and in-service updates can be accomplished without interrupting the system’s overall operation. 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 Network’s 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 and the other reports filed from time to time with the SEC.