SOURCE: Procera Networks

Procera Networks

August 09, 2011 06:00 ET

Tier-1 Customer Win and Follow-On Order Fuel Continued Growth for Procera Networks

Planned R&D Spending and a Larger Sales Force Will Strengthen Advantage in Intelligent Policy Enforcement

FREMONT, CA--(Marketwire - Aug 9, 2011) - Procera Networks, Inc. ("Procera") (NYSE Amex: PKT), the intelligent policy enforcement company, today announced a new European Tier-1 operator win with an initial $2 million order as well as a follow-on $2 million order from an existing Tier-1 operator in North America. These events are the latest in a string of significant progress and further evidence of Procera's rapid growth, as recently reported in the company's Q2 earnings announcement. The combination of a growing network intelligence market and a technologically superior product has driven Procera's success and will continue to foster the company's strong market position and planned worldwide expansion in R&D and sales and marketing.

The new Tier-1 win, an eastern European national telco operator, serves more than 3 million fixed-line subscribers; the follow-on order is from a major North American cable network operator. In both cases, the operators cited the scalability of the PacketLogic™ solution and the service creation capabilities as reasons for choosing Procera. Both operators are closely managing capital expenditures, and the network analytics and sophisticated intelligent policy enforcement Procera provides have enabled them to increase their competitiveness to subscribers through intelligent pricing plans and better Quality of Experience for applications like over-the-top video. The revenue from these orders is expected to be recognized during the second half of 2011.

Procera's customers include mobile, cable and fixed-line operators in multiple geographic markets.

According to industry research firm Infonetics, the market for standalone deep packet inspection (DPI) products is expected to reach $2.1 billion worldwide by 2015, with skyrocketing consumer demand for bandwidth-intensive mobile data driving the wireless industry to invest heavily in network intelligence.

"In the past quarter alone, Procera has secured 20 new service provider customers, including a Tier-1 mobile operator in the APAC region, and our revenues are targeting to grow approximately 75% percent in 2011. This success comes on the heels of the other two major Tier-1 wins in eastern Europe and North America," said James Brear, president and CEO for Procera Networks.

Procera also has 15 other direct Tier-1 trials in progress. "We firmly believe the growing momentum we're experiencing is a clear and direct indication of operators recognizing the real business advantage that Procera Networks PacketLogic network intelligence platforms provide. Operators are using the intelligence and control gained from Procera's technology to reduce costs and introduce innovative new services that are allowing them to differentiate themselves and drive additional revenue," said Mr. Brear.

Procera has further expanded its technology advantage and ability to provide best-in-class packet processing solutions by doubling its R&D team over the past 12-months and will continue to hire during the remainder of 2011, while adding new regional value added resellers around the globe.

Procera's PacketLogic network intelligence platforms are comprised of the newest generation policy enforcement technology. They deliver the scalable performance and real-time analytics necessary for network operators to differentiate themselves by assuring subscribers a baseline quality of service and an improved quality of experience through new services. PacketLogic platforms are based on DPI technology via the company's proprietary Datastream Recognition Definition Language (DRDL™).

For more information on Procera Networks or to purchase PacketLogic solutions, please visit www.proceranetworks.com.

About Procera Networks, Inc.
Procera Networks, Inc. delivers Intelligent Policy Enforcement (IPE) solutions, leveraging advanced Deep Packet Inspection (DPI) technology, designed to enable carriers, services providers and higher education institutions to improve the quality and lifetime of their networks, better monetize their infrastructure investments, control hazards, and create attractive services for their users by making qualified business decisions based on granular user and traffic intelligence. Procera's core product suite, the PacketLogic line of platforms, is an engine that drives the PCC (Policy and Charging Control) ecosystem, by enforcing advanced network and service policies.

Cautionary Note Regarding Forward-Looking Statements
This press release contains forward-looking statements, including statements relating to Procera's expectations regarding the completion of the public offering. Any statements in this release that are not historical or current facts are forward-looking statements. All forward-looking statements in this release are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors that may cause our actual results, performance or achievements to be materially different from any future results, performances or achievements expressed or implied by the forward-looking statements. These risks and uncertainties include, without limitation, risks and uncertainties related to market conditions and satisfaction of customary closing conditions related to the public offering. There can be no assurance that Procera will be able to complete the public offering on the anticipated terms, or at all. Additional risks and uncertainties are described in the "Risk Factors" section of our prospectus supplement and accompanying prospectus, forming a part of the registration statement on Form S-3, and other required reports, as filed with the SEC, which are available free of charge on the SEC's website at www.sec.gov or on our website at www.proceranetworks.com. Given these risks and uncertainties, investors should not place undue reliance on forward-looking statements as a prediction of actual results. These forward-looking statements speak only as of the date hereof, and we undertake no obligation to update, amend or clarify any forward-looking statement for any reason.