Company Targets One of Optical Communications Industry’s Fastest-Growing Segments

San Jose, California, February 9, 2006 – JDSU today launched a new strategic initiative and expanded product portfolio to meet the growing demand for Agile Optical Networks (AON), one of the optical communications industry’s fastest-growing segments.  JDSU is partnering with communications equipment manufacturers worldwide to address this market with its new AON product family, the most comprehensive and innovative of its kind in the industry.

“The Agile Optical Network can deliver benefits such as greater service delivery flexibility and reduced network deployment risks, substantively changing the financial paradigm of new network rollouts,” said Daryl Inniss, vice president, Communications Components, for Ovum-RHK.  “The market for optical networking modules is rapidly transitioning from fixed to agile solutions – the agile optical networking module penetration of the overall segment is expected to grow from 20 percent in 2004 to more than 60 percent in 2008.”

The Agile Optical Network addresses the economic and competitive realities of today’s communications industry, which is driven by the surge in IP-based triple-play and enterprise service deployment.  An Agile Optical Network is a dynamically reconfigurable DWDM network designed to accelerate triple-play service deployment and enable advanced wavelength applications at significantly reduced cost.  JDSU offers the industry’s broadest portfolio of optical communications solutions required to build and maintain an Agile Optical Network. 

“The widespread availability of affordable broadband and continued migration to all-IP networks have profoundly changed the way we communicate, creating new growth opportunities for our industry,” said Kevin Kennedy, JDSU’s chief executive officer.  “The deployment of the AON is a strategic imperative for every network provider in the world planning to deploy triple-pay services.”

"JDSU’s AON strategy addresses the most critical networking challenges that have emerged as consumer broadband goes mainstream and enterprise traffic growth continues to accelerate,” said Steve Alexander, chief technology officer at Ciena.  “These challenges call for optical communication innovation that replaces slow, manual processes with solutions that enable simplified, dynamic network configuration and automated service provisioning.  We look forward to continued partnership with JDSU to deliver the agile networking solutions our customers are seeking.”

“In order to capitalize on growing adoption of broadband voice, data and video services, our customers are seeking optical solutions that cost-effectively simplify network management and speed service delivery,” said Patrick Leisching, head of Siemens’ Optical System Development Department.  “Greater agility is a key requirement for the network of the future.”      

JDSU Introduces AON Portfolio

JDSU today introduced an end-to-end portfolio of AON-enabling solutions, including Agile Optical Switches, Agile Transmission Modules and Agile Optical Amplifiers as well as the industry’s leading portfolio of test and measurement solutions for optical networks.

Agile Optical Switches

JDSU’s portfolio of Agile Optical Switches feature reconfigurable optical add/drop multiplexer (ROADM) modules and subsystems for all network applications, including a planar lightwave circuit (PLC)-based ROADM and Wavelength Blockers, which provide the blocking and attenuation functions of a ROADM and reduce the number of required O-E-O (optical-electrical-optical) conversions in long-haul and metro networks.

In a separate announcement issued today, JDSU introduced two new products to its Agile Optical Switch portfolio: the Wavelength Selective Switch (WSS) and 40-Channel PLC ROADM.  JDSU leads the market in the delivery of ROADM-enabling solutions and has shipped more than 4,500 units from its Agile Optical Switch portfolio to date.

Agile Transmission Modules

JDSU is leading the market’s transition to tunable transponders, a key technology for the successful deployment of Agile Optical Networks.   Unlike fixed transponders, which are unable to adjust to changing traffic patterns, JDSU’s tunable transponders are able to “tune” wavelengths, adjusting to changing network bandwidth requirements, ensuring more efficient use of network capacity, lowering inventory by reducing the number of transponders needed in a network and providing for more cost-effective network planning.  The flexibility enabled by JDSU’s transponders is expected to be critical to the successful and rapid deployment of next generation, IP-based voice, data and video services which are driving new network operational challenges for communications service providers.

Agile Optical Amplifiers

JDSU’s Agile Optical Amplifiers are key elements of the Agile Optical Network by adjusting the “gain” – or power levels – of amplified optical signals on the fly, ensuring reliable transmission that supports the quality delivery of advanced triple-play services.

JDSU recently completed a joint study with Siemens to evaluate the impact of optical power changes, or “transients,” on DWDM network performance.  The study successfully measured performance degradation caused by uncontrolled transients and demonstrated JDSU’s amplifier platform to effectively control and mitigate its effect.

T&M for the AON

JDSU provides a comprehensive set of test and measurement solutions required for the cost-effective and reliable deployment of Agile Optical Networks and the delivery of IP-based triple play services.  JDSU’s test solutions for the AON complement the company’s full range of T&M capabilities.  They give network operators independent visibility into network configurations at the wavelength and data services level, enabling them to measure and analyze photonic layer optical network performance characteristics and simplify installation and maintenance.

The modular, multi-function designs of JDSU’s T&M instruments for the AON allow equipment manufacturers and service providers to significantly reduce capital expenses.  They include the MTS Optical Spectrum Analyzers, which identify, isolate and validate transmitted optical wavelengths in an AON network; chromatic dispersion (CD), polarization mode dispersion (PMD) and 10G Ethernet modules for the MTS/T-BERD 8000 platform; SmartClass Optical Handhelds to verify power levels in an AON; and the Swept Wavelength System, enabling equipment manufacturers to design, manufacture and qualify leading-edge AON network infrastructure.

JDSU’s Agile Optical Network portfolio will be on display at OFC/NFOEC 2006, booth number 2323 in the Anaheim (CA) Convention Center on March 7-9.  For more information on JDSU’s AON portfolio, please visit www.jdsu.com/aon.

About JDSU
JDSU (NASDAQ: JDSU; and TSX: JDU) is committed to enabling broadband & optical innovation in the communications, commercial and consumer markets. JDSU is the leading provider of communications test and measurement solutions and optical products for telecommunications service providers, cable operators, and network equipment manufacturers.  Furthermore, JDSU is a leading provider of innovative optical solutions for medical/environmental instrumentation, semiconductor processing, display, brand authentication, aerospace and defense, and decorative applications.  More information is available at www.jdsu.com.

The statements contained in this press release that are not purely historical are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Act of 1934. Such forward-looking statements include, but are not limited to, (a) any expectations or beliefs regarding the installation, use or growth of agile optical networks or the market therefore, or the size or growth of the market for agile optical modules or similar products; (b) any expectations or beliefs regarding the criticality or importance of the agile optical network or the products described in this release to current or future network infrastructures and the delivery of triple-play or other communications services; and (c) any statement or implication that the products described in this press release (i) will be successfully introduced or marketed, (ii) will be qualified and purchased by our customers, or (iii) will perform to any particular specifications or performance or reliability standards. Such forward-looking statements involve risks and uncertainties that, if realized, could materially impair the Company's results of operations, business, and financial condition. These risks and uncertainties include the following, among other things:  (a) our current visibility as to customer demand levels, future market growth and the timing, extent, location, requirements and nature of network build-outs and technology transitions, is extremely limited; (b) the timing, extent, location, requirements and nature of network technology transitions is extremely unpredictable and development cycles are generally very long; and (c) the products may not (i)  perform as expected without material defects, (ii) be manufactured at acceptable volumes, yields, and cost, (iii)  be qualified and accepted by our customers, and (iv) successfully compete with products offered by our competitors, and d) factors discussed from time to time in reports filed by the Company with the Securities and Exchange Commission. The forward-looking statements contained in this news release are made as of the date hereof, and the Company does not assume any obligation to update or qualify any of the statements made herein. Source: JDS Uniphase Corporation.

Contacts
Media: Jim Monroe, Public Relations, 240-404-1922 or jim.monroe@jdsu.com
Investors: Jacquie Ross, Investor Relations, 408-546-4445 or investor.relations@jdsu.com