News Release

SUGAR LAND, Texas, April 2, 2015 (GLOBE NEWSWIRE) -- Applied Optoelectronics, Inc. (Nasdaq:AAOI), a leading provider of fiber-optic access network products for the cable broadband, internet datacenter, and fiber-to-the-home markets, today announced its partnership with Harmonic to develop a remote DOCSIS optical node for their distributed CCAP-ready NSG^TM EXO platform.

The Harmonic NSG™ EXO system is a high-performance cable edge device for the delivery of video, data and voice services over coax. Compact and cost-effective, the NSG™ EXO moves a service provider's RF requirements out of the head-end or hub and places them deep in the fiber network, simplifying head-end design and operation by resolving space and power constraints, lowering capital and operational expenses, and providing service flexibility. The ability to leverage standard DOCSIS back-office provisioning and DOCSIS cable modems, while supporting a mix of FTTx and coax customers over the same network, allows service providers and premise owners to utilize a single device to deliver triple-play services to dense pockets of coax infrastructure, such as multiple dwelling units (MDUs), office buildings, college campuses and hospitality locations.

AOI is developing and manufacturing the optical node, which is expected to begin shipping to Harmonic in the second quarter of 2015.

"We couldn't be more pleased to be working with a top tier customer like Harmonic for the deployment of this next generation product," said Joshua Yeh, Senior Vice President of AOI's Network Equipment Module Business Unit. "By leveraging 15 years of manufacturing experience and laser capabilities, we will be able to quickly ramp up to mass production and address the growing bandwidth demand these products address."

"AOI's long history of developing Cable TV HFC products combined with their ability to bring products quickly to the market and their vertical integration make them the ideal partner to bring our NSG™ EXO platform to the market," said Nimrod Ben-Natan, SVP & GM, Edge and Access BU. "With data consumption continuing to grow, this platform can utilize our Distributed Access Architecture solution to use the existing fiber network to overcome the bandwidth limitations of DSL and avoid the upgrade cost of FTTx."

About Applied Optoelectronics

Applied Optoelectronics Inc. (AOI) is a leading developer and manufacturer of advanced optical products, including components, modules, and equipment. AOI's products are the building blocks for broadband fiber access networks around the world, where they are used in the CATV broadband, internet datacenter, and fiber-to-the-home markets. AOI supplies optical networking lasers, components and equipment to tier-1 customers in all three of these markets. In addition to its corporate headquarters, wafer fab and advanced engineering and production facilities in Sugar Land, TX, AOI has engineering and manufacturing facilities in Taipei, Taiwan and Ningbo, China. For additional information, visit www.ao-inc.com.

CONTACT: Media Enquiries:

         Willis Chen

         281/295-1807

         wchen@ao-inc.com

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