MATISSE NETWORKS NAMED A RED HERRING 100 WINNER

Award Recognizes the 100 Private Technology Firms in North America Driving the Future of Technology

Mountain View, CA—May 22, 2006— Matisse Networks, the first company to commercialize an optical burst switching solution for high bandwidth Ethernet metropolitan aggregation networks, today announced that it has been selected as a winner of the annual “Red Herring 100 North America” award by Red Herring magazine. This list of 100 privately held companies in North America recognizes those that play a leading role in innovating the technology business.

“With venture capital flowing again, we’re seeing a lot of innovative new companies taking on the established players with disruptive technologies and innovative business plans,” said Joel Dreyfuss, Editor-in-Chief of Red Herring. “The Red Herring 100 North America companies, among them Matisse Networks, are pushing and breaking the boundaries of the technology business and we are excited to report on their success stories.”

Matisse Networks’ patented optical burst switching solution allows service providers deploying triple play and enterprises building metro Ethernet backbones to realize significant capital and operational expense savings as they scale Ethernet metropolitan aggregation networks beyond 10Gbps.

“We are honored to be named to such a select group” said Sam Mathan, chief executive officer, Matisse Networks. “Red Herring’s selection further validates our product and market strategy in the fastest growing segment of optical networking – Ethernet metropolitan area aggregation networks.”
 
Red Herring ’s lists of top private companies are an important part of the renowned magazine’s tradition of identifying new and innovative technology firms and entrepreneurs. Companies like Google and eBay were spotted in their early days by Red Herring editors as some that would change the way we live and work.

After receiving more than 1,000 submissions and nominations, Red Herring’s editorial staff rigorously evaluated Matisse Networks and the other contenders through a careful analysis of financial data and subjective criteria, including quality of management, execution of strategy, and dedication to research and development. The Red Herring 100 North America companies are at the forefront of the technologies that are changing our lives in profound ways.

About Matisse Networks
Matisse Networks is named after Henri Matisse, the famous painter known as the “Master of Color”. Like the painter, Matisse Networks is mastering the colors of light to pioneer the field of optical burst switching. Backed by leading venture capital firms Menlo Ventures, Walden International and Woodside Fund, Matisse Networks is privately held and headquartered in Mountain View California. Matisse Networks has been named to both the Network World “Top 10 Startups to Watch” and the “Red Herring 100 Private Companies”. Additional information on Matisse Networks is available at http://www.matissenetworks.com.

About Red Herring Spring 2006
Red Herring Spring 2006 will assemble 300 of the continent’s most innovative and successful CEOs, investors, and corporate developers and feature a dynamic group of over 100 speakers that are pushing and breaking the boundaries of the business of technology. Themed “The Pursuit of Disruption,” it will be held May 23-25 in Monterey, California. Please contact Michael Felber at 650.428.2900 or email mfelber@redherring.com to request an invitation to attend the event. More information is available online at www.herringevents.com/rhspring06.

About Red Herring Magazine
Red Herring magazine is a sophisticated insider's guide to the business of technology, featuring unparalleled insights on the emerging technologies driving the economy, from the Internet to wireless communications and digital entertainment. Red Herring's journalists report on how innovation and entrepreneurship are transforming business and how the business of technology is transforming the world, providing readers with a deep understanding of venture capital and capital markets. Recognized as an essential resource in today's fast-changing business world, Red Herring gets the right answers before anyone else even thinks to ask the questions. More information on Red Herring is available on the Internet at www.redherring.com.

Matisse Networks is the trademark of Matisse Networks Inc. All other trademarks are the property of their respective holders.