Planar External-Cavity (PLANEX) Laser
Delivers 80 km 10 Gbps Transmission in Small Form Factor
For Industry's Lowest Cost-Per-Port

Santa Clara, CA, December 15, 2004 - RIO, Inc. (Redfern Integrated Optics) has demonstrated a new type of directly modulated laser, based on Planar External-Cavity (PLANEX) Laser technology, offering a new low-cost choice for small form factor 10 Gbps optical interfaces that reliably achieve 80 km transmission distances over standard single mode fiber without the need for dispersion compensation.

RIO's proprietary design approach uses a Planar Lightwave Circuit (PLC) with an integrated Bragg grating and a high-performance low-cost gain chip (or SOA - Semiconductor Optical Amplifier) to form the laser cavity. The gain chip functions as an optical amplifier and the Bragg grating acts as both a partially reflecting mirror and a wavelength locker. This enables the laser to output a controlled chirp waveform at a very well defined and stable wavelength. The direct modulation approach also reduces complexity and cost while providing output power as well as power dissipation advantages over externally modulated lasers.

According to Radu Barsan, President and CEO of RIO Inc., "Currently the high cost and/or limited performance of lasers used in 10Gbps pluggable transceivers and transponders is inhibiting the growth of extended reach and DWDM 10Gbps deployments. By taking advantage of well developed fabrication processes of optical components on silicon wafers to produce the PLC component of the ECL, RIO is able to improve transmission performance while simultaneously driving down component costs."

Until now, externally modulated lasers have been the only viable solution for transmission in the 1550nm band for implementing extended reach and DWDM optical networks at 10Gbps. Externally modulated lasers using a DFB laser with a Lithium Niobate modulator are large, expensive and require a high power driver. Monolithic or hybrid integrated electroabsorption modulated lasers (EMLs) are expensive, especially for distances up to 80 km, and prohibitively expensive for narrow grid DWDM. EMLs have limited output power, which can increase the need for additional erbium-doped fiber amplifiers (EDFAs) or more expensive EDFAs. External modulation also dissipates more power than direct modulation, because the laser is turned on to full power at all times and the external modulator consumes additional power to operate. The production yield difficulties associated with the monolithic combination of laser and modulator on the same chip means that EMLs will be only marginally capable of meeting volume and cost requirements for SONET and DWDM performance.

In contrast, RIO's ECL technology offers significant manufacturing cost reduction. Unlike DFB and EML manufacturing, where the wavelength decision must be made at the early stage of wafer processing, the ECL wavelength is set during the packaging process, using pre-tested PLC components. It is thus possible to increase packaging yield and, as a result, reduce overall cost. In addition, postponing the wavelength decision until the packaging step significantly reduces the lead time for DWDM ECLs.

RIO's PLANEX technology has been implemented in the smallest TOSA formats specified by the XFP and XMD MSAs for 40km and 80km. At the 40km distance, RIO's ECL approach offers a better than 30% cost advantage over comparable EML devices. RIO's scalable and high-yield manufacturing approach provides even greater cost benefits for 80 km and DWDM applications. The technology is truly a "platform" technology, in that it can scale to multiple applications with minimum incremental investments.

An overview whitepaper on the underlying technology and implementation of RIO's PLANEX-based optical interfaces can be requested by contacting the Company.

About RIO Inc.
RIO Inc. is an industry leader in the development of new semiconductor and optical transmission technologies that enable transceivers to deliver telecom-grade performance with datacom economics. RIO is headquartered in Santa Clara, CA, with PLC wafer fabrication facilities in Sydney, Australia.
For more information, please visit www.rio-inc.com.

For More Information, contact
Radu Barsan, President and CEO
408-970-3500 ext.350

Jim Hunt
Phone: 253-857-7242
Email: jimhunt@sitmark.com