Recent Highlights:

• Revenue of $30.8 Million
• GAAP Net Loss of $(3.7) Million or $(0.05) Per Share
• Cash and Cash Equivalents Increased to $39.7 Million

FREMONT, Calif., April 26, 2012 — Ikanos Communications, Inc. (NASDAQ: IKAN), a leading provider of advanced broadband semiconductor and integrated firmware products for the digital home, today announced its financial results for the fiscal first quarter of 2012 ended April 1, 2012.

“Ikanos completed the first quarter with revenue of $30.8 million and GAAP gross profit of 52%, while improving its cash position to $39.7 million.” said Dennis Bencala, chief financial officer and vice president finance of Ikanos.  “We continued to deliver our latest generation of communications processors to the market and made substantial progress on the design and development of our award winning NodeScale Vectoring products.”

Financial Highlights
Ikanos reports its financial results in accordance with U.S. generally accepted accounting principles (GAAP) and additionally on a non-GAAP basis. Non-GAAP net income (loss), non-GAAP gross profits, non-GAAP operating expenses and non-GAAP earnings per share, where applicable, exclude the income statement effects of stock-based compensation, restructuring charges, gains on sales of impaired securities (“Investment gain”) and  amortization of intangible assets. Ikanos has provided these measures because its management believes these additional non-GAAP measures are useful to investors for performing financial analysis as these additional measures highlight Ikanos’ recurring operating results. Ikanos’ management uses these non-GAAP measures internally to evaluate its operating performance and to plan for its future. However, non-GAAP measures are not a substitute for GAAP reporting. For a reconciliation of GAAP versus non-GAAP financial information, please see the attached schedules.

Fiscal First Quarter 2012 Results
Revenue for the first quarter of 2012 was $30.8 million compared to revenue of $31.7 million for the first quarter of 2011 and revenue of $35.4 million for the fourth quarter of 2011. GAAP gross profit for the first quarter of 2012 was 52% compared to a GAAP gross profit of 52% for the first quarter of 2011 and GAAP gross profit of 56% for the fourth quarter of 2011.

Non-GAAP gross profit for the first quarter of 2012 was 54% compared to a non-GAAP gross profit of 54% for the first quarter of 2011 and non-GAAP gross profit of 57% for the fourth quarter of 2011.

GAAP operating expenses for the first quarter of 2012 were $19.8 million, compared to operating expenses of $19.8 million for the first quarter of 2011 and operating expenses of $18.0 million for the fourth quarter of 2011.

Non-GAAP operating expenses for the first quarter of 2012 were $17.8 million, compared to non-GAAP operating expenses of $18.8 million for the first quarter of 2011 and non-GAAP operating expenses of $17.4 million for the fourth quarter of 2011.

GAAP net loss for the first quarter of 2011 was $(3.7) million, or a loss of $(0.05) per share on 69.3 million weighted average shares outstanding. This compares with a net loss of $(2.1) million, or a loss of $(0.03) per share on 68.2 million weighted average shares outstanding for the first quarter of 2011 and net income of $0.5 million, or earnings of $0.01 per share on 69.7 million weighted average shares outstanding for the fourth quarter of 2011.

Non-GAAP net loss for the first quarter of 2012 was $(1.2) million, or a loss of $(0.02) per share on 69.3 million weighted average shares outstanding compared to a non-GAAP net loss of $(1.8) million, or a loss of $(0.03) per share on 68.2 million weighted average shares outstanding for the first quarter of 2011, and to a non-GAAP net income of $1.6 million, or $0.02 per share, on 69.7 million weighted average shares outstanding in the fourth quarter of 2011.

Cash and cash equivalents at the end of first quarter of 2012 were $39.7 million compared to $34.8 million at the end of the fourth quarter of 2011.

Additionally, at the end of the first quarter of 2012 inventory was $7.8 million compared to $9.5 million at the end of the fourth quarter of 2011. Current liabilities at the end of the first quarter of 2012 were $19.7 million compared to $16.1 million at the end of the fourth quarter of 2011.

Outlook
Revenue is expected to be between $31 million and $33 million for the fiscal second quarter of 2012.

GAAP gross profit for the fiscal second quarter of 2012 is expected to be between 49% and 52%. Non-GAAP gross profit is expected to be between 50% and 53% for the second quarter of 2012.

GAAP operating expenses for the fiscal second quarter of 2012 are expected to be in the range of $20 million to $21 million. Non-GAAP operating expenses are expected to be in the range of $19 million to $20 million for the second quarter of 2012.

Restructuring Plan
As announced in February, the Company effectively completed its worldwide restructuring plan in the first quarter of this year. As a result of the restructuring plan the Company reduced headcount by approximately 15% and incurred a total pre-tax restructuring charge of $1.1 million in the first quarter. The restructuring charge included expenses related to severance payments to terminated employees and other exit-related costs arising from contractual and other obligations.

Recent Highlights and Product Updates
In broadband DSL, Ikanos’ patent-pending NodeScale Vectoring enabled products continue to outperform competing solutions in carrier lab trials around the world. Ikanos’ award winning technology delivers full vectoring performance and is capable of scaling to support the entire network – up to 384 ports and beyond. Additionally our new G.Vector capable Fusiv Vx185 and 183 family of products further increase realized data throughput performance levels, setting a new, higher bar for broadband DSL services.  These products provide the opportunity for carriers to deploy bandwidth rich, triple play applications to the market. We have now received our first production orders and expect to begin volume shipments of the Fusiv Vx185 and 183 in the second quarter of 2012.

First Quarter Conference Call
Management will review the first quarter financial results and its expectations for subsequent periods on a conference call on Thursday, April 26, 2012 at 1:30 p.m. Pacific Time. To listen to the call, please visit http://www.ikanos.com/investor/irevents/ and click on the link provided for the webcast or dial (888) 466-4587 or (719) 325-2327 and enter conference ID 9357342. The webcast will be archived and available for 90 days at http://www.ikanos.com/investor/irevents/.  A replay of the conference call will be accessible until July 25, 2012 by dialing (888) 203-1112 or (719) 457-0820 and entering conference ID 9357342.

About Ikanos Communications, Inc.
Ikanos Communications, Inc. (NASDAQ: IKAN) is a leading provider of advanced broadband semiconductor and integrated firmware products for the digital home. The company’s broadband DSL, communications processors and other offerings power access infrastructure and customer premises equipment for many of the world’s leading network equipment manufacturers and telecommunications service providers. For more information, visit www.ikanos.com.

© 2012 Ikanos Communications, Inc. All Rights Reserved. Ikanos Communications, Ikanos, the Ikanos logo, the Bandwidth without boundaries tagline, Fusiv, Ikanos Velocity and NodeScale Vectoring are among the trademarks or registered trademarks of Ikanos Communications. All other trademarks mentioned herein are properties of their respective holders.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995
This press release contains forward-looking statements that are subject to risks and uncertainties concerning Ikanos Communications, including statements regarding our outlook, such as our expected revenue, gross profits, operating expenses, and the benefits of non-GAAP measures, our restructuring plan, product testing and shipment, and anticipated benefits of our products. Actual events or results may differ materially from those described in this document due to a number of risks and uncertainties. These potential risks and uncertainties include, but are not limited to, macroeconomic conditions which may cause our customers to defer purchasing plans, our ability to deliver full production releases of our newer products and the acceptance of those products by our customers, the continued demand by telecommunications service providers for specific xDSL semiconductor products, the failure of service providers to implement deployment plans on schedule or at all, our continued ability to obtain and deliver production volumes of new and current products and technologies, our ability to generate demand and close transactions for the sale of our products, our ability to develop commercially successful products as a result of our current research and development programs, our ability to successfully execute our restructuring plan, and unexpected future costs, expenses and financing requirements. In addition, for a more extensive discussion of such risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see the section entitled “Risk Factors” in our Annual Report on Form 10-K  for the fiscal year ended January 1, 2012 filed with  the Securities and Exchange Commission (SEC) on February 23, 2012, as well as other reports that Ikanos files from time to time with the SEC. Ikanos is under no obligation to update these forward-looking statements to reflect events or circumstances subsequent to date of this press release.

To listen to the call, please visit http://www.ikanos.com/investor/irevents/ and click on the link provided for the webcast or dial 888-466-4587 or 719-325-2327  and enter conference ID 9357342. The webcast will be archived and available for 90 days at http://www.ikanos.com/investor/irevents/.  A replay of the conference call will be accessible until July 25th by dialing 888-203-1112 or 719-457-0820 and entering conference ID 9357342.

About Ikanos Communications, Inc.
Ikanos Communications, Inc. (NASDAQ: IKAN) is a leading provider of advanced broadband semiconductor and software products for the digital home. The company’s broadband DSL, communications processors and other offerings power access infrastructure and customer premises equipment for many of the world’s leading network equipment manufacturers and telecommunications service providers. For more information, visit www.ikanos.com.

© 2012 Ikanos Communications, Inc. All Rights Reserved. Ikanos Communications, Ikanos, and the Ikanos logo, are among the trademarks or registered trademarks of Ikanos Communications.

Recent Highlights:

• Fourth Quarter 2011 Revenue of $35.4 Million
• Fourth Quarter 2011 GAAP Net Income of $545 Thousand, or $0.01 Per Share
• Year End 2011 Cash and Cash Equivalents of $34.8 Million
• Continued Progress on NodeScale® Vectoring Including Successful Lab Trials
• First Production Orders for Fusiv® Vx185 and Fusiv Vx173

FREMONT, Calif., February 2, 2012 — Ikanos Communications, Inc. (NASDAQ: IKAN), a leading provider of advanced broadband semiconductor and software products for the digital home, today announced its financial results for the fourth quarter and fiscal year ended January 1, 2012.

“Ikanos’ fourth quarter revenue of $35.4 million along with higher than expected GAAP gross profit of 56% and positive earnings per share were driven by the sale of our broadband DSL chipsets and communications processors,” said Dennis Bencala, chief financial officer and vice president finance of Ikanos. “Ikanos finished the fiscal year with reduced operating expenses and positive annual cash flow.  In addition, we delivered initial samples of our latest communication processors to the market and made substantial progress on the design and development of our NodeScale Vectoring products.”

Financial Details

Ikanos reports its financial results in accordance with U.S. generally accepted accounting principles (GAAP) and additionally on a non-GAAP basis. Non-GAAP net income (loss), non-GAAP gross profits, non-GAAP operating expenses and non-GAAP earnings per share, where applicable, exclude the income statement effects of stock-based compensation, restructuring charges, prepaid royalty write-offs, gains on sales of impaired securities (“Investment gain”), one time severance expenses, amortization of intangible assets and asset impairments, fair value adjustment of the acquired inventory. Ikanos has provided these measures because its management believes these additional non-GAAP measures are useful to investors for performing financial analysis as these additional measures highlight Ikanos’ recurring operating results. Ikanos’ management uses these non-GAAP measures internally to evaluate its operating performance and to plan for its future. However, non-GAAP measures are not a substitute for GAAP reporting. For a reconciliation of GAAP versus non-GAAP financial information, please see the attached schedules.

Fourth Quarter 2011 Results

Revenue for the fourth quarter of 2011 was $35.4 million compared to revenue of $35.4 million for the third quarter of 2011 and revenue of $37.1 million for the fourth quarter of 2010. GAAP gross profit for the fourth quarter of 2011 was 56% compared to a GAAP gross profit of 50% for the third quarter of 2011 and GAAP gross profit of 46% for the fourth quarter of 2010.

Non-GAAP gross profit for the fourth quarter of 2011 was 57% compared to a non-GAAP gross profit of 52% for the third quarter of 2011 and non-GAAP gross profit of 47% for the fourth quarter of 2010.

GAAP operating expenses for the fourth quarter of 2011 were $18.0 million, compared to operating expenses of $19.9 million for the third quarter of 2011 and operating expenses of $18.6 million for the fourth quarter of 2010.

Non-GAAP operating expenses for the fourth quarter of 2011 were $17.4 million, compared to non-GAAP operating expenses of $18.8 million for the third quarter of 2011 and non-GAAP operating expenses of $17.4 million for the fourth quarter of 2010.

GAAP net income for the fourth quarter of 2011 was $0.5 million, or earnings of $0.01 per share on 69.7 million weighted average shares outstanding. This compares with a net loss of $(2.2) million, or a loss of $(0.03) per share on 68.8 million weighted average shares outstanding for the third quarter of 2011 and a net loss of $(1.4) million, or a loss of $(0.02) per share on 63.0 million weighted average shares outstanding for the fourth quarter of 2010.

Non-GAAP net income for the fourth quarter of 2011 was $1.6 million, or earnings of $0.02 per share on 69.7 million weighted average shares outstanding compared to a non-GAAP net loss of $(0.5) million, or a loss of $(0.01) per share on 68.8 million weighted average shares outstanding for the third quarter of 2011, and to a non-GAAP net income of $0.3 million, or $0.01 per share, on 63.8 million weighted average shares outstanding in the fourth quarter of 2010.

Cash, cash equivalents and short-term investments at the end of fiscal 2011 were $34.8 million compared to $36.3 million at the end of the third quarter of 2011 and $31.0 million at the end of fiscal year 2010.

Additionally, at the end of the fiscal 2011 inventory was $9.5 million compared to $13.3 million at the end of the third quarter of 2011 and $17.0 million at the end of fiscal 2010. Current liabilities at the end of the fiscal 2011 were $16.1 million compared to $21.4 million at the end of the third quarter of 2011 and $23.7 million at the end of fiscal year 2010.

Fiscal 2011 Results

Revenue for fiscal year 2011 was $136.6 million compared with $191.7 million reported for fiscal year 2010.

GAAP net loss for the year ended January 1, 2012 was $(7.5) million, or $(0.11) per share, on 68.7 million weighted average shares. This compares with a net loss of $(49.8) million, or $(0.88) per share, on 56.7 million weighted average shares for fiscal year 2010.

Non-GAAP net loss for the year ended January 1, 2012 was $(3.2) million, or $(0.05) per share, on 68.7 million weighted average shares outstanding. This compares with a net loss of $(9.7) million, or $(0.17) per share, on 56.7 million weighted average shares outstanding for fiscal year 2010.

Outlook 

Revenue is expected to be between $29 million and $31 million for the first quarter of 2012.

GAAP gross profit for the first quarter of 2012 is expected to be between 48% and 50%. Non-GAAP gross profit is expected to be between 49% and 51% for the first quarter of 2012.

GAAP operating expenses for the first quarter of 2012 are expected to be in the range of $20 million to $21 million. Non-GAAP operating expenses are expected to be in the range of $19 million to $20 million for the first quarter of 2012.

Restructuring Plan

In an effort to manage the Company’s operating expense to its projected revenue forecast, the Company has initiated a worldwide restructuring plan in the first quarter of this year which will result in approximately a 16% headcount reduction.  Although the restructuring plan is expected to result in approximately $5.0 million in annual operating expense reductions these cost savings are expected to be offset by new product tape-out expenses that will occur throughout 2012.

As part of the restructuring, the Company expects to incur a total pre-tax restructuring charge in the range of $1.25 million to $1.5 million in 2012. This charge will include expenses related to the severance for terminated employees and other exit-related costs arising from contractual and other obligations.

“Ikanos remains focused on delivering its next-generation broadband access products and technologies including NodeScale Vectoring and the new Fusiv family of communications processors,” said Bencala. “The restructuring plan will enable us to continue focusing our engineering resources on these new products which are gaining acceptance in the marketplace because of their superior performance over competing solutions.”

Product Updates

In March 2011, Ikanos introduced its latest generation of communications processors, the Fusiv Vx185 and Vx183 products. These products are NodeScale Vectoring compatible and include VDSL bonding technology for increasing both the data rates and reach of fiber-to-the-node networks. The Company has won a total of seven gateway design wins with the Vx185 and Vx183 and in the fourth quarter of 2011 received its first production orders for these products. Ikanos expects to begin volume shipments in the second quarter of 2012.

In September 2011, Ikanos announced its new Fusiv Vx175 and 173 products. These two dual-core communications processors are targeted for fiber and wireless broadband networks. The Company won its first service provider customer for deployment in a fiber-to-the-home (FTTH) gateway in the third quarter of 2011. That FTTH gateway design was completed in the fourth quarter of 2011 and Ikanos expects volume shipments later this year.

In broadband DSL, Ikanos’ patent-pending NodeScale Vectoring technology products continue to outperform competing solutions in lab trials around the world. Ikanos’ NodeScale Vectoring technology successfully completed nine trials as of the fourth quarter of 2011.  In each case, Ikanos showed significantly higher performance than competing offerings. Ikanos’ technology delivers full vectoring and is capable of scaling to support the entire network – up to 384 ports and beyond.

Fourth Quarter Conference Call

Management will review the fourth quarter financial results and its expectations for subsequent periods at a conference call on Thursday, February 2, 2012 at 1:30 p.m. Pacific Time. To listen to the call, please visit http://www.ikanos.com/investor/irevents/ and click on the link provided for the webcast or dial (877) 277-3221 and enter conference ID 41701964. The webcast will be archived and available for 90 days at http://www.ikanos.com/investor/irevents/.  A replay of the conference call will be accessible until May 2, 2012 by dialing (855) 859-2056 or (404) 537-3406 and entering conference ID 41701964.

About Ikanos Communications, Inc.
Ikanos Communications, Inc. (NASDAQ: IKAN) is a leading provider of advanced broadband semiconductor and software products for the digital home. The company’s broadband DSL, communications processors and other offerings power access infrastructure and customer premises equipment for many of the world’s leading network equipment manufacturers and telecommunications service providers. For more information, visit www.ikanos.com.

© 2012 Ikanos Communications, Inc. All Rights Reserved. Ikanos Communications, Ikanos, the Ikanos logo, the Bandwidth without boundaries tagline, Fusiv, Ikanos Velocity and NodeScale Vectoring are among the trademarks or registered trademarks of Ikanos Communications. All other trademarks mentioned herein are properties of their respective holders.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995

This press release contains forward-looking statements that are subject to risks and uncertainties concerning Ikanos Communications, including statements regarding our outlook, such as our expected revenue, gross profits, operating expenses, and the benefits of non-GAAP measures, our restructuring plan, product testing and shipment, and anticipated benefits of our products. Actual events or results may differ materially from those described in this document due to a number of risks and uncertainties. These potential risks and uncertainties include, but are not limited to, macroeconomic conditions which may cause our customers to defer purchasing plans, our ability to deliver full production releases of our newer products and the acceptance of those products by our customers, the continued demand by telecommunications service providers for specific xDSL semiconductor products, the failure of service providers to implement deployment plans on schedule or at all, our continued ability to obtain and deliver production volumes of new and current products and technologies, our ability to generate demand and close transactions for the sale of our products, our ability to develop commercially successful products as a result of our current research and development programs, our ability to successfully execute our restructuring plan, and unexpected future costs, expenses and financing requirements. In addition, for a more extensive discussion of such risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see the section entitled “Risk Factors” in Ikanos’ most recent Annual Report on Form 10-K and Quarterly Report on Form 10-Q, as well as other reports that Ikanos files from time to time with the Securities and Exchange Commission. Ikanos is under no obligation to update these forward-looking statements to reflect events or circumstances subsequent to date of this press release.

To listen to the call, please visit http://www.ikanos.com/investor/irevents/ and click on the link provided for the webcast or dial (877) 277-3221 and enter conference ID 41701964. The webcast will be archived and available for 90 days at http://www.ikanos.com/investor/irevents/. A replay of the conference call will be accessible until May 2, 2012 by dialing (855) 859-2056 or (404) 537-3406 and entering conference ID 41701964.

About Ikanos Communications, Inc.
Ikanos Communications, Inc. (NASDAQ: IKAN) is a leading provider of advanced broadband semiconductor and software products for the digital home. The company’s broadband DSL, communications processors and other offerings power access infrastructure and customer premises equipment for many of the world’s leading network equipment manufacturers and telecommunications service providers. For more information, visit www.ikanos.com.

© 2011 Ikanos Communications, Inc. All Rights Reserved. Ikanos Communications, Ikanos, and the Ikanos logo, are among the trademarks or registered trademarks of Ikanos Communications.

Ikanos Communications, Inc. (NASDAQ: IKAN), a leading provider of advanced broadband semiconductor and software products for the digital home, today announced the availability of a new whitepaper on the G.vector standard and successful implementation strategies for this breakthrough technology. The whitepaper outlines how full vectoring – not partial cancellation – can deliver the performance benefits of G.vector as well as drive maximum revenue from the new bandwidth-intensive services it enables.

Entitled “Raising the Bar: Full Vectoring More than Doubles Data Rates, Reach and Revenue Potential from Service Provider Networks,” the whitepaper is available now for download by visiting http://www.ikanos.com/2011-campaigns/the-case-for-full-cancellation/

Ikanos NodeScaleTM Vectoring
Ikanos NodeScale Vectoring is the only ITU G.vector system to use full vectoring. It eliminates the crosstalk that occurs on copper wire across an entire node – up to 384 ports. By identifying and canceling crosstalk interference, NodeScale Vectoring increases robustness and reliability, resulting in dramatically increased broadband throughput speeds up to 100 Mbps performance and beyond over existing copper networks. With NodeScale Vectoring, service providers can easily extend very high-speed Internet access and new critical services such as multiple high-definition television streams, distance learning, video conferencing, telemedicine, and more, without having to incur the high costs of installing complete fiber-to-the-home networks.

About Ikanos Communications, Inc.
Ikanos Communications, Inc. (NASDAQ: IKAN) is a leading provider of advanced broadband semiconductor and software products for the digital home. The company’s broadband DSL, communications processors and other offerings power access infrastructure and customer premises equipment for many of the world’s leading network equipment manufacturers and telecommunications service providers. For more information, visit www.ikanos.com.

(c) 2011 Ikanos Communications, Inc. All Rights Reserved. Ikanos Communications, Ikanos, the Ikanos logo, the Bandwidth without boundaries tagline, Fusiv, Fx, FxS, iQV, Ikanos Velocity and NodeScale Vectoring are among the trademarks or registered trademarks of Ikanos Communications. All other trademarks mentioned herein are properties of their respective holders.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995
This press release contains forward-looking statements that are subject to risks and uncertainties concerning Ikanos Communications, Inc., including statements regarding the benefits and performance of Ikanos’ products and software and anticipated benefits of the Ikanos’ products for its customers. Actual events or results may differ materially from those described in this document due to a number of risks and uncertainties. These potential risks and uncertainties include, but are not limited to, macroeconomic conditions which may cause Ikanos’ customers to defer purchasing plans, Ikanos’ ability to deliver full production releases of its newer products and the acceptance of those products by Ikanos’ customers, the continued demand by telecommunications service providers for specific xDSL semiconductor products, the failure of service providers to implement deployment plans on schedule or at all, Ikanos’ continued ability to obtain and deliver production volumes of new and current products and technologies, Ikanos’ ability to generate demand and close transactions for the sale of its products, Ikanos’ ability to develop commercially successful products as a result of its current research and development programs, Ikanos’ ability to successfully complete its restructuring plan, and unexpected future costs, expenses and financing requirements. In addition, for a more extensive discussion of such risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see the section entitled “Risk Factors” in Ikanos’ most recent Annual Report on Form 10-K, as well as other reports that Ikanos files from time to time with the Securities and Exchange Commission. Ikanos is under no obligation to update these forward-looking statements to reflect events or circumstances subsequent to date of this press release.

“Ikanos remains committed to offering our customers innovative and differentiated products,” said Dado Banatao, Chairman, interim president and CEO of Ikanos. “With eSilicon, we have a proven partner that can help Ikanos streamline its ability to bring these advanced products to market.”

Through this agreement, Ikanos will leverage a comprehensive manufacturing services offering from eSilicon including scheduling, production management, testing and other processes. The resulting efficiencies will allow Ikanos to focus its resources on new product development and increase the effectiveness of its logistics and operations functions. Ikanos will continue to manage all aspects of the customer interface, forecasting and ordering.

“eSilicon’s patented eSilicon Access® production management system was specifically implemented to make it easy and efficient to manage manufacturing operations,” said Jack Harding, president and CEO of eSilicon. “This allows our customers to focus their resources on architecting and designing their next-generation products and on bringing innovative solutions to end customers.

About Ikanos Communications
Ikanos Communications, Inc. (NASDAQ: IKAN) is a leading provider of advanced broadband semiconductor and software products for the digital home. The company’s broadband DSL, communications processors and other offerings power access infrastructure and customer premises equipment for many of the world’s leading network equipment manufacturers and telecommunications service providers. For more information, visit www.ikanos.com

About Value Chain Producers
A value chain producer (VCP) is a company that collaborates with foundries, IP and service providers, EDA suppliers, and package, assembly and test operations in designing and producing chips for fabless IC, IDM and OEM companies. VCPs optimize the economics of customer value chains and enable customers to focus on their product differentiation and market growth.

About eSilicon
eSilicon, the largest independent semiconductor VCP, delivers ASICs to OEMs and fabless semiconductor companies through a fast, flexible, lower-risk path to volume production by deploying its comprehensive suite of design-through-manufacturing services and custom IP offerings. eSilicon serves a wide variety of markets including the communications, computer, consumer and industrial segments. www.esilicon.com

eSilicon — Enabling Your Silicon Success™

###

 eSilicon and eSilicon Access are a registered trademarks, and the eSilicon logo and Enabling Your Silicon Success are trademarks, of eSilicon Corporation. Ikanos Communications, Ikanos, and the Ikanos logo are among the trademarks or registered trademarks of Ikanos Communications. All other trademarks mentioned herein are properties of their respective holders.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995

This press release contains forward-looking statements that are subject to risks and uncertainties concerning Ikanos Communications, including statements regarding its commitment to offering its customers innovative and differentiated products, the anticipated benefits of eSilicon’s services and its commitment to manage the management of customer interface, forecasting and ordering. Actual events or results may differ materially from those described in this document due to a number of risks and uncertainties. These potential risks and uncertainties include, but are not limited to, the success of our relationship with eSilicon, our ability to deliver full production releases of our newer products and the acceptance of those products by our customers, the continued demand by telecommunications service providers for specific xDSL semiconductor products, the failure of service providers to implement deployment plans on schedule or at all, our continued ability to obtain and deliver production volumes of new and current products and technologies, our ability to develop commercially successful products as a result of our current research and development programs, and unexpected future costs and expenses. In addition, for a more extensive discussion of such risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see the section entitled “Risk Factors” in Ikanos’ most recent Annual Report on Form 10-K and Quarterly Report on Form 10-Q, as well as other reports that Ikanos files from time to time with the Securities and Exchange Commission. Ikanos is under no obligation to update these forward-looking statements to reflect events or circumstances subsequent to date of this press release.

Recent Highlights:

• Revenue of $35.4 Million
• Non-GAAP Net Loss of $(0.5) Million, or $(0.01) Per Share
• Cash and Cash Equivalents Improve to $36.3 Million

FREMONT, Calif., October 27, 2011 — Ikanos Communications, Inc. (NASDAQ: IKAN), a leading provider of advanced broadband semiconductor and software products for the digital home, today announced its financial results for the third quarter of 2011, ended October 2, 2011.

“Ikanos delivered $35.4 million in revenue during the third quarter of fiscal 2011, within guidance,” said Dennis Bencala, chief financial officer of Ikanos. “Expenses for the third quarter were below forecast, and gross profit improved to 50% on a GAAP basis. These elements contributed to improving the Company’s cash position to $36.3 million.”

Financial Details
Ikanos reports its financial results in accordance with U.S. generally accepted accounting principles (GAAP) and additionally on a non-GAAP basis. Non-GAAP net income (loss), non-GAAP gross profits, non-GAAP operating expenses and non-GAAP earnings per share, where applicable, exclude the income statement effects of stock-based compensation, restructuring charges, prepaid royalty write-offs, gains on sales of impaired securities, one time severance expenses, amortization of intangible assets and asset impairments, fair value adjustment of the acquired inventory . Ikanos has provided these measures because its management believes these additional non-GAAP measures are useful to investors for performing financial analysis as these additional measures highlight Ikanos’ recurring operating results. Ikanos’ management uses these non-GAAP measures internally to evaluate its operating performance and to plan for its future. However, non-GAAP measures are not a substitute for GAAP reporting. For a reconciliation of GAAP versus non-GAAP financial information, please see the attached schedules.

Revenue for the third quarter of 2011 was $35.4 million compared to revenue of $34.1 million for the second quarter of 2011 and revenue of $41.5 million for the third quarter of 2010.

GAAP gross profit for the third quarter of 2011 was 50% compared to a GAAP gross profit of 48% for the second quarter of 2011 and GAAP gross profit of 31% for the third quarter of 2010.

Non-GAAP gross profit for the third quarter of 2011 was 52% compared to a non-GAAP gross profit of 50% for the second quarter of 2011 and non-GAAP gross profit of 35% for the third quarter of 2010.

GAAP operating expenses for the third quarter of 2011 were $19.9 million, which includes a research and development credit of $0.9 million, compared to operating expenses of $20.2 million for the second quarter of 2011 and operating expenses of $46.4 million for the third quarter of 2010.

Non-GAAP operating expenses for the third quarter of 2011 were $18.8 million, which includes a research and development credit of $0.9 million, compared to operating expenses of $19.4 million for the second quarter of 2011 and operating expenses of $20.2 million for the third quarter of 2010.

GAAP net loss for the third quarter of 2011 was $(2.2) million, or a loss of $(0.03) per share on 68.8 million weighted average shares compared to a net loss of $(3.8) million or $(0.06) per share, on 68.5 million weighted average shares for the second quarter of 2011 and a net loss for the third quarter of 2010 of $(33.3) million, or $(0.61) per share on 54.9 million weighted average shares.

Non-GAAP net loss for the third quarter of 2011 was $(0.5) million, or a loss of $(0.01) per share on 68.8 million weighted average shares compared to a non-GAAP net loss of $(2.5) million, or $(0.04) per share, on 68.5 million weighted average shares for the second quarter of 2011 and to a non-GAAP net loss of $(5.5) million, or $(0.10) per share, on 54.9 million weighted average shares in the third quarter of 2010.

Cash and cash equivalents at the end of the third quarter of 2011 were $36.3million compared to $34.9 million at the end of the second quarter of 2011. Additionally, at the end of the third quarter of 2011 inventory was $13.3 million compared to $11.4 million at the end of the second quarter of 2011. Current liabilities at the end of the third quarter of 2011 were $21.4 million compared to $21.4 million at the end of the second quarter of 2011.

Outlook
Revenue is expected to be between $34 million and $36 million for the fourth quarter of 2011.

GAAP gross profit for the fourth quarter of 2011 is expected to be between 52% and 54%. Non-GAAP gross profit is expected to be between 54% and 56% for the fourth quarter of 2011.

GAAP operating expenses for the fourth quarter of 2011 are expected to be in the range of $20 million to $21 million. Non-GAAP operating expenses are expected to be in the range of $19 million to $20 million for the fourth quarter of 2011.

Third Quarter Conference Call
Management will review the third quarter financial results and its expectations for subsequent periods at a conference call on October 27, 2011 at 1:30 p.m. Pacific Time. To listen to the call, please visit http://www.ikanos.com/investor/irevents/ and click on the link provided for the webcast or dial (877) 277-3221 and enter conference ID 15220497. The webcast will be archived and available for 90 days at http://www.ikanos.com/investor/irevents/. A replay of the conference call will be accessible until January 28, 2012 by dialing (855) 859-2056 or (404) 537-3406 and entering conference ID 15220497.

About Ikanos Communications, Inc.
Ikanos Communications, Inc. (NASDAQ: IKAN) is a leading provider of advanced broadband semiconductor and software products for the digital home. The company’s broadband DSL, communications processors and other offerings power access infrastructure and customer premises equipment for many of the world’s leading network equipment manufacturers and telecommunications service providers. For more information, visit www.ikanos.com.

© 2011 Ikanos Communications, Inc. All Rights Reserved. Ikanos Communications, Ikanos, the Ikanos logo, the Bandwidth without boundaries tagline, Fusiv, Fx, FxS, iQV, Ikanos Velocity and NodeScale Vectoring are among the trademarks or registered trademarks of Ikanos Communications. All other trademarks mentioned herein are properties of their respective holders.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995
This press release contains forward-looking statements that are subject to risks and uncertainties concerning Ikanos Communications, including statements regarding our outlook, such as our expected revenue, gross profits, operating expenses, and the benefits of non-GAAP measures. Actual events or results may differ materially from those described in this document due to a number of risks and uncertainties. These potential risks and uncertainties include, but are not limited to, macroeconomic conditions which may cause our customers to defer purchasing plans, our ability to deliver full production releases of our newer products and the acceptance of those products by our customers, the continued demand by telecommunications service providers for specific xDSL semiconductor products, the failure of service providers to implement deployment plans on schedule or at all, our continued ability to obtain and deliver production volumes of new and current products and technologies, our ability to generate demand and close transactions for the sale of our products, our ability to develop commercially successful products as a result of our current research and development programs, our ability to successfully execute our restructuring plan, and unexpected future costs, expenses and financing requirements. In addition, for a more extensive discussion of such risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see the section entitled “Risk Factors” in Ikanos’ most recent Annual Report on Form 10-K and Quarterly Report on Form 10-Q, as well as other reports that Ikanos files from time to time with the Securities and Exchange Commission. Ikanos is under no obligation to update these forward-looking statements to reflect events or circumstances subsequent to date of this press release.

Broadband World Forum, Paris, France – September 29, 2011 – SoftAtHome, a software provider of home operating platforms that help Service Providers and Operators deliver convergent applications for the digital home, and Ikanos Communications (NASDAQ: IKAN), a leading provider of advanced broadband semiconductor and software products, announced today that they are working together to bring a next-generation gateway platform to market. This new platform combines the latest capabilities of the SoftAtHome Operating Platform and Ikanos recently announced Fusiv® Vx185/175 communications processors to create a solution ideally suited for the performance and quality of service demands of next-generation home media gateways in a multiscreen environment.

“The combination of SoftAtHome and Ikanos power some of the world’s largest IPTV installations,” said Jonathan Black, director of product marketing, Ikanos. “We applied that experience to our latest generation products and created a combined solution that’s an ideal platform for the next-generation of advanced IPTV and multiscreen deployments.”

The combined solution takes unique advantage of the SoftAtHome Operation Platform’s streaming media management and graphical user interface and Ikanos’ broadband-optimized communications processor architecture. Together, the solution will deliver very high bandwidth capabilities and versatility for any network architecture including Fiber to the Node and Fiber to the Home deployments with bandwidth requirements of 100Mbps and beyond for visualizing multiple high-definition streams on multiple screens in the home. It will also help Service Providers dramatically improve the user experience for media sharing through DLNA thanks to a very high performance indexing of all home media and contents.

Ikanos’ native accelerator processors for Wi-Fi, USB and wired home networking technologies – including MoCA™, HomePNA™, HomePlug®, and G.hn – and SoftAtHome streaming media management ensure high QoS for content delivered wirelessly or via any existing wiring in the home. Thanks to the high processing power available on the Ikanos chipset, SoftAtHome can effectively embed a powerful web services interface for the development and deployment of remote services including a richer user interface with faster access to information.

Ikanos’ built-in SATA interface and SoftAtHome content management enables easily managed centralized storage of personal video, audio and games, along with centralized parental control, social address book, network attached storage, diagnosis tools or home automation services.

“SoftAtHome is delighted to expand its partnership with Ikanos,” said Michel Degland, CEO of SoftAtHome. “After deploying many joint solutions together, we are now collaborating on making the next generation home gateway the cornerstone of the home for the deployments of digital home services by Service Providers around the world.

About SoftAtHome
SoftAtHome is a software company backed by Orange, Sagemcom and Etisalat to deliver total convergence through an operating platform for the digital home environment. It fosters a new ecosystem made up of Service Providers, 3rd party application developers, integrators and hardware vendors to accelerate the advent of the digital home. The company is headquartered in France with development and sales teams in France and Belgium. For more information, visit us at www.softathome.com.

About Ikanos
Ikanos Communications, Inc. (NASDAQ: IKAN) is a leading provider of advanced broadband semiconductor and software products for the digital home. The company’s broadband DSL, communications processors and other offerings power access infrastructure and customer premises equipment for many of the world’s leading network equipment manufacturers and telecommunications service providers. For more information about Ikanos, visit www.ikanos.com.

© 2011 Ikanos Communications, Inc. All Rights Reserved. Ikanos Communications, Ikanos, the Ikanos logo, the Bandwidth without boundaries tagline, Fusiv, Fx, FxS, iQV, Ikanos Velocity and NodeScale Vectoring are among the trademarks or registered trademarks of Ikanos Communications. All other trademarks mentioned herein are properties of their respective holders.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995
This press release contains forward-looking statements that are subject to risks and uncertainties concerning Ikanos Communications, Inc., including statements regarding the benefits and performance of Ikanos’ products and software and anticipated benefits of the Ikanos’ products for its customers. Actual events or results may differ materially from those described in this document due to a number of risks and uncertainties. These potential risks and uncertainties include, but are not limited to, macroeconomic conditions which may cause Ikanos’ customers to defer purchasing plans, Ikanos’ ability to deliver full production releases of its newer products and the acceptance of those products by Ikanos’ customers, the continued demand by telecommunications service providers for specific xDSL semiconductor products, the failure of service providers to implement deployment plans on schedule or at all, Ikanos’ continued ability to obtain and deliver production volumes of new and current products and technologies, Ikanos’ ability to generate demand and close transactions for the sale of its products, Ikanos’ ability to develop commercially successful products as a result of its current research and development programs, Ikanos’ ability to successfully complete its restructuring plan, and unexpected future costs, expenses and financing requirements. In addition, for a more extensive discussion of such risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see the section entitled “Risk Factors” in Ikanos’ most recent Annual Report on Form 10-K, as well as other reports that Ikanos files from time to time with the Securities and Exchange Commission. Ikanos is under no obligation to update these forward-looking statements to reflect events or circumstances subsequent to date of this press release.

Fremont, Calif., September 20, 2011 — Ikanos Communications, Inc. (NASDAQ: IKAN), a leading provider of advanced broadband semiconductor and software products for the digital home, today announced that it has expanded its partnership with ASSIA, the leading provider of high-performance Dynamic Spectrum Management (DSM) software tools, to simplify the commercial deployment of service provider networks employing the latest ITU-T standard – G.Vector. The result is reliable 100 megabit per second (Mbps) performance over traditional copper telephone lines. By working together, Ikanos and ASSIA are creating an ecosystem for service providers around the world that enables new bandwidth-intensive services and streamlines “time to revenue” on vectored networks. A demonstration of the combination of Ikanos’ NodeScale™ Vectoring and ASSIA’s DSL Expresse® will be held at Broadband World Forum, September 27 to 29, in Paris, France.

“Over time, the vast majority of VDSL networks will be vector enabled, and Ikanos’ NodeScale Vectoring is the critical component for enabling these large, high-speed networks. In addition, ASSIA provides the ideal management interface for those networks,” said Kevin Fisher, vice president, advanced DSL technology, Ikanos. “Service providers around the world are demanding the ability to quickly, easily, cost-effectively and broadly deploy breakthrough vectoring technology. The combination of Ikanos and ASSIA technologies makes that a reality.”

Ikanos NodeScale Vectoring
Ikanos’ state-of the-art NodeScale Vectoring technology virtually eliminates the crosstalk that occurs on copper wire across an entire node – up to 384 ports. By identifying and canceling crosstalk interference, independent of binder, cable or chassis, NodeScale Vectoring, which is completely G.Vector compliant, increases robustness and reliability, resulting in dramatically increased broadband throughput speeds up to 100 Mbps performance and beyond over existing copper networks. With NodeScale Vectoring, service providers can easily extend very high-speed Internet access and new critical services such as multiple high-definition television streams, distance learning, video conferencing, telemedicine, and more, without having to incur the high costs of installing complete fiber-to-the-home networks.

“Ikanos NodeScale Vectoring chip is a clear market leader that has earned broad service-provider acceptance for large-scale high DSL performance,” said John Cioffi, CEO and Chairman of the Board, ASSIA. “ASSIA’s DSL Expresse software management products, which leverage state-of-the-art Dynamic Spectrum Management (DSM) technologies, enable service providers easy vectored DSL introduction and subsequent high-performance retention through rapid and continuous wide-scale surveillance and pre-emptive correction of high-speed copper-line noise and line changes at the vectored DSL’s very high data rates.”

ASSIA Software Solutions
ASSIA enables DSL service providers to attain the levels of performance and stability required for next-generation services, such as IPTV, while leveraging existing copper infrastructure. Its flagship product, ASSIA DSL Expresse®, helps extend the rate and reach of DSL systems and is used by major telecommunication service providers around the world to deliver affordable, high-speed broadband services. ASSIA DSL Expresse is the industry’s first DSL management platform to incorporate DSM Level 2, a next-generation technology for DSL network optimization pioneered by ASSIA, and debut DSM level 3 capabilities as part of the joint Ikanos – ASSIA demonstration at BBWF.

Joint Demonstration at Broadband World Forum
Broadband World Forum is the premier event for the telecommunications industry. Ikanos and ASSIA will showcase their joint solution for NodeScale Vectored networks at the event from September 27 – 29, 2011. Companies interested in scheduling a private demonstration should submit a request online at: http://www.ikanos.com/products/sales-inquiry/.

Ikanos and ASSIA Shortlisted for InfoVision Awards at Broadband World Forum
Ikanos NodeScale Vectoring and ASSIA DSL Express have been shortlisted for Broadband World Forum’s InfoVision Awards. These awards were designed to showcase the products that offer the most significant new prospects for increasing revenue, managing costs, improving quality, and increasing satisfaction in the industry.

About Ikanos Communications, Inc.
Ikanos Communications, Inc. (NASDAQ: IKAN) is a leading provider of advanced broadband semiconductor and software products for the digital home. The company’s broadband DSL, communications processors and other offerings power access infrastructure and customer premises equipment for many of the world’s leading network equipment manufacturers and telecommunications service providers. For more information, visit www.ikanos.com.

About ASSIA
ASSIA Inc. is the leading provider of high-performance software tools for Dynamic Spectrum Management of DSL networks. ASSIA’s products enable DSL service providers to realize dramatic speed and reach improvements, lowering operating and capital expenses, generating incremental revenue, and opening new business opportunities in the broadband-enabled home. ASSIA has more than 45 million lines under contract worldwide with top-tier service providers and is backed by strategic investors, including AT&T, Mingly China Growth Fund, SFR Development, Sandalwood Partners, Sofinnova Partners, Stanford University, Swisscom Ventures, T-Ventures, and Telefonica. For more information, visit www.assia-inc.com.

© 2011 Ikanos Communications, Inc. All Rights Reserved. Ikanos Communications, Ikanos, the Ikanos logo, the Bandwidth without boundaries tagline, Fusiv, Fx, FxS, iQV, Ikanos Velocity and NodeScale Vectoring are among the trademarks or registered trademarks of Ikanos Communications. All other trademarks mentioned herein are properties of their respective holders.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995
This press release contains forward-looking statements that are subject to risks and uncertainties concerning Ikanos Communications, Inc., including statements regarding the benefits and performance of Ikanos’ products and software and anticipated benefits of the Ikanos’ products for its customers. Actual events or results may differ materially from those described in this document due to a number of risks and uncertainties. These potential risks and uncertainties include, but are not limited to, macroeconomic conditions which may cause Ikanos’ customers to defer purchasing plans, Ikanos’ ability to deliver full production releases of its newer products and the acceptance of those products by Ikanos’ customers, the continued demand by telecommunications service providers for specific xDSL semiconductor products, the failure of service providers to implement deployment plans on schedule or at all, Ikanos’ continued ability to obtain and deliver production volumes of new and current products and technologies, Ikanos’ ability to generate demand and close transactions for the sale of its products, Ikanos’ ability to develop commercially successful products as a result of its current research and development programs, Ikanos’ ability to successfully complete its restructuring plan, and unexpected future costs, expenses and financing requirements. In addition, for a more extensive discussion of such risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see the section entitled “Risk Factors” in Ikanos’ most recent Annual Report on Form 10-K, as well as other reports that Ikanos files from time to time with the Securities and Exchange Commission. Ikanos is under no obligation to update these forward-looking statements to reflect events or circumstances subsequent to date of this press release.