Press Release

ECI Telecom Introduces Policy Management Platform that Lowers Cost of Provisioning Business & Residential IP Networks

ShadeTree Management Suite speeds service deployment while reducing complexity

PETAH TIKVA, ISRAEL - November 7, 2005 - ECI Telecom (NASDAQ: ECIL) today introduced its ShadeTree™ Management Suite (ShadeTree MS), giving broadband service providers the ability to easily deploy both residential and business services with a minimum of operational overhead. A powerful, open service provisioning and policy management system, ShadeTree MS reduces the time and costs associated with deploying both Layer 2 and Layer 3 VPNs and on-demand, triple play services. By offering subscriber self-management, automating the configuration of network elements, simplifying service definition, and accelerating new service deployment, ShadeTree MS allows carriers to lower the costs of adding new services to their portfolios.

As providers transition from delivering static business services to dynamic residential services, they need management capabilities that allow them to easily create new service bundles as well as respond quickly to service changes requested by customers. ShadeTree MS provides these capabilities in a non-intrusive, modular package.

"Network operators are transforming their networks so they can provide access-agnostic, on-demand, and personalized services. This transformation is being achieved by developing advanced subscriber management systems that incorporate presence and industry standard interfaces, connecting network elements to a broad service infrastructure ecosystem, enabling ease of VPN management, and providing the same subscriber management capabilities on Ethernet networks that are currently available on today's ATM-based DSL networks," said Mark Seery, VP of IP Service Infrastructure at Ovum-RHK. "Enabling network operators to make this transformation are the goals of ECI's new ShadeTree MS."

ShadeTree MS is designed to minimize overhead by integrating non-intrusively with existing services and applications on the network. By allowing services to be consolidated across the broadband service platform and the Authentication, Authorization and Accounting (AAA) system, ShadeTree MS reduces operator error and lowers the cost of deployment and maintenance. The product also ensures network consistency through verified service configuration in both the network and the underlying system protocols.

"With the increased pressure on service providers to generate incremental revenue from new services, it's important to have a system that offers fast provisioning, good policy management, and subscriber control capabilities - without adding operational overhead," said Mark Shlanta, Chief Executive Officer of SDN Communications, South Dakota's largest communications network. SDN selected ECI's edge routers and its management platform to deliver enhanced IP services to customers.

"Network operators need to increase their average revenue per user via new residential services while lowering operational costs through streamlined systems," said Steve Vogelsang, Vice President of Marketing for ECI Telecom's Data Networking Division. "The ShadeTree MS is the all-in-one solution for broadband providers to save money while offering their subscribers reliable next-gen services."

ShadeTree MS modules include: ShadeTree MS Server, VPN Provisioner, Service Creator, and Subscriber Manager. The software, which runs on ECI's ST™-series service edge routers, will be available in early Q1, 2006.

About ECI Telecom
ECI provides advanced telecommunications solutions to leading carriers and service providers worldwide. By translating a deep understanding of their needs into innovative, technologically advanced solutions, ECI enables its customers to increase the value of the infrastructure of their networks and reduce operating expenses. ECI's platforms provide carriers and service providers with carrier-grade solutions for easily introducing new revenue-generating services.

ECI provides innovative IP service delivery solutions to the converged telecom networks encompassing broadband access gateways, service edge routers, optical transport, core IP/MPLS routers, NGN VoIP and multimedia applications and services. ECI maintains a global sales, marketing and customer support network, as well as a host of strategic channel relationships worldwide.

Certain statements contained in this release may contain forward-looking information with respect to plans, projections or future performance of the Company. By their nature, forward-looking statements involve certain risks and uncertainties including, but not limited to, product and market acceptance risks, the impact of competitive pricing, product development, commercialization and technological difficulties and other risks detailed in the company's filings with the Securities and Exchange Commission.

Investor Relations:

Jay Kalish,VP Investor Relations, Tel: International access code +972-3-926-6255
jay.kalish@ecitele.com


Media Relations:

Karen Gershon, Corporate Communications, Tel: International access code +972-3-926-8341
karen.gershon@ecitele.com

Fran Bosecker, PR@vantage, Tel: +1-212-532-5740 fbosecker@pr-vantage.com