[October 20, 2016]

Menara Networks Announces Successful Upgrade of Algar Telecom Network in Brazil To 100 Gbps

Menara Networks, a wholly owned subsidiary of IPG Photonics Corporation, and Algar Telecom, a leading provider of Video, Data, Voice and Mobile services to residential, business and carrier customers in Central & Southern Brazil, today announced the successful upgrade of Algar's IPoDWDM network to 100 Gbps using Menara's industry-leading Full C-Band Tunable 100G CFP.

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The 100 Gbps deployment is an important step to ensure that Algar Telecom's customers continue to enjoy services with the highest throughput, quality and reliability in the São Paulo metro area and other Brazilian markets as they continue to migrate critical business operations to the cloud. "Upgrading our core network to 100 Gbps was seamless and surprisingly simple using Menara Networks DWDM 100 Gbps CFPs," said Melissa Kfouri Marino, IT Director of the Algar Telecom. "After considering competing DWDM 100 Gbps offers we selected Menara's solution because it was the only one that did not require the installation of a separate transponder shelf which afforded us significant space and power savings. We now have a proven blueprint to roll out 100 Gbps to other Brazilian markets and give our customers the performance edge they need."

"We are delighted to be part of the growth and success of Algar Telecom as it continues its expansion in Brazil," said Siraj Nour ElAhmadi, Menara Networks' General Manager. "By eliminating the need for separate transponder systems that plague competing offers, our DWDM 100 Gbps solution delivers on our promise of 'Networks made Simple!' that has been ingrained in every product development we have undertaken since our inception. Our DWDM 100 Gbps solution is seamlessly deployable over existing 10G DWDM infrastructure affording tremendous cost savings and faster service velocity to our customers. The DWDM CFP is 100% MSA compliant and is compatible with all MSA major routers and switches."

Menara Networks is a vertically integrated provider of IP/Ethernet DWDM transport solutions that greatly simplifies optical networking. Menara DWDM 100 Gbps turnkey solution is optimized for Data Center Interconnection and Metro applications and is deployed by network and datacenter operators in Europe, North America and South America.

About IPG Photonics (News - Alert) Corporation

Founded in 1990, IPG pioneered the development and commercialization of optical fiber-based lasers for use in diverse applications, primarily materials processing, as well as telecommunications, medical and advanced applications. Fiber lasers have revolutionized the industry by delivering superior performance, reliability and usability at a lower total cost of ownership compared with conventional lasers, allowing end users to increase productivity and decrease operating costs. IPG has its headquarters in Oxford, Massachusetts, and has additional plants and offices throughout the world. For more information, please visit www.ipgphotonics.com.

About Menara Networks

Menara Networks develops innovative products and solutions that greatly simplify today's layered optical transport networks. Leveraging the company's proprietary high speed ICs and its extensive expertise in optical networking and system design, Menara portfolio of OTN XFP, SFP+ and CFP modules provide optical networks with superior performance and improved service velocity while drastically reducing floor space, power consumption and overall network cost. The company's unique solutions continue to save carriers CapEx dollars and eliminate the need for footprint, heat, and power associated with DWDM transponders in central offices and data centers around the world. For more information, visit www.menaranet.com. Menara Networks is a subsidiary of IPG Photonics Corporation, the world leader in high-power fiber lasers and amplifiers.

About Algar Telecom

Algar Telecom, a telecommunication company that is part of the Algar group, has been in the market for over 60 years, and its two main goals are: maintaining a close relationship with its customers, and offering high quality services.

The company provides ultra-high-speed Internet access, quality mobile services, cable TV with special channels, voice, data, Internet, IT and infrastructure services, outsourcing, video and consultant media. For this reason, it is constantly investing in updating its network, corporate governance, and in developing the best relationship channels by using applications and social media, as well as a team of expert consultants, to design the best solutions in an advisory and exclusive service for companies of any size.

A high level of satisfaction is the result of the company's culture, based on having dialogues and building sustainable relationships.

As a company in constant expansion, Algar Telecom currently has more than 3,700 associates (as they call their employees), and is present in all Brazilian main regions. It has over 19 thousand miles of optical fiber serving 1.3 million customers in the states of São Paulo, Minas Gerais, Rio de Janeiro, Goiás, Mato Grosso do Sul, Parana, Santa Catarina and Rio Grande do Sul, as well as the Federal District.

Safe Harbor Statement

Information and statements provided by IPG and its employees, including statements in this press release, that relate to future plans, events or performance are forward-looking statements. These statements involve risks and uncertainties. Any statements in this press release that are not statements of historical fact are forward-looking statements. Factors that could cause actual results to differ materially include risks and uncertainties, including risks associated with the strength or weakness of the business conditions in industries and geographic markets that IPG serves, particularly the effect of downturns in the markets IPG serves; uncertainties and adverse changes in the general economic conditions of markets; IPG's ability to penetrate new applications for fiber lasers and increase market share; the rate of acceptance and penetration of IPG's products; inability to manage risks associated with international customers and operations; foreign currency fluctuations; high levels of fixed costs from IPG's vertical integration; the appropriateness of IPG's manufacturing capacity for the level of demand; competitive factors, including declining average selling prices; the effect of acquisitions and investments; inventory write-downs; intellectual property infringement claims and litigation; interruption in supply of key components; manufacturing risks; government regulations and trade sanctions; and other risks identified in IPG's SEC (News - Alert) filings. Readers are encouraged to refer to the risk factors described in IPG's Annual Report on Form 10-K (filed with the SEC on February 26, 2016) and its periodic reports filed with the SEC, as applicable. Actual results, events and performance may differ materially. Readers are cautioned not to rely on the forward-looking statements, which speak only as of the date hereof. IPG undertakes no obligation to update the forward-looking statements that may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.

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