**Exhibit10.37**

**[*] = CERTAIN CONFIDENTIAL INFORMATION CONTAINEDIN THIS DOCUMENT, MARKED BY BRACKETS, HAS BEEN OMITTED AND FILED SEPARATELYWITH THE SECURITIES AND EXCHANGE COMMISSION PURSUANT TO RULE 24B-2 OF THESECURITIES EXCHANGE ACT OF 1934, AS AMENDED.**

**AMENDMENTNO. 2toTELOGY SOFTWARE LICENSE AGREEMENT**

**between**

**DITECH COMMUNICATIONS CORPORATION**

**and**

**TEXASINSTRUMENTS INCORPORATED**

THIS AMENDMENT NO. 2 (this “Amendment”) to theTelogy Software License Agreement effective as of April 16, 2002 (the “MasterAgreement”), as amended on the 21st of May, 2003 (“Amendment No. 1”), by andbetween Ditech Communications Corporation, having a place of business at 825East Middlefield Rd., Mountain View, CA 94043, (“Licensee”) and TexasInstruments Incorporated (“TI”), having a place of business at 12500 TIBoulevard, Dallas, TX 75243-4136 (Texas Instruments, together with itswholly owned subsidiary Telogy Networks, Inc. and other Texas Instrumentssubsidiaries is referred to herein as “Telogy”), is hereby entered into as ofthis 23  day of March, 2006 (“Amendment No. 2Effective Date”).

**WHEREAS**, Licensee and Telogy have previously enteredinto the Master Agreement, whereby Telogy is licensing to Licensee certainSoftware for use in Licensee’s Products; and

**WHEREAS**, the Parties entered into an Amendment No. 1under which  Licensee was provided accessto by Telogy and Licensee  gained accessto selected portions of the Software for Licensee’s internal use anddevelopment of Licensee’s Products and to allow Licensee to differentiateLicensee’s Products;

**WHEREAS,**the Licensee now desires to license fromTelogy additional Telogy Software as set forth in Exhibits A-2 and A2/R12(“ Specified New Software”) for use in Licensee’s products, and selected sourcecode of certain Specified New Software as listed in Exhibits A-2 andA2/R12 to allow Licensee’s acceleration of product development, and Telogy iswilling to provide such Specified New Software on the terms herein. Forconvenience of reference, Exhibits A-2 and A-2/R12 are sometimesreferred to together as “Exhibit A-2”;

**NOW THEREFORE**,the Parties hereby agree as follows:

1.             Definitions.

(a)            DSP Software. Section 1.13 is amended toread in its entirety:

“DSP Software” means thevarious computer programs (including Voice Software and Echo CancellationSoftware) licensed under this Agreement as set forth on Exhibit A and Exhibit A-2attached hereto which operate on TI digital signal processors together withrelated documentation and all updates, upgrades, enhancements, releases anddevelopments of such computer programs. The parties understand that the DSPStarter Kit is provided in object code form.

Telogy Amendment No. 21

----

 

(b)                                 NewDefinition for Defined Standards for  SpecifiedNew Software

Solely with respect to theSpecified New Software set forth in Exhibit A-2, the term DefinedStandards shall mean the following industry standards in place of those setforth in Section 1.1 of the Master Agreement, and shall be used todetermine the Parties’ rights and obligations relating to indemnificationsolely with respect to such  SpecifiedNew Software.

Defined Standards for Specified New Software:

[*]

Licensee understands andagrees that in respect of the distribution and implementation of publishedindustry standards in the Specified New Software that are not in the list ofDefined Standards above, including those published industry standardsapplicable to the wireless codecs listed in Exhibit A2/R12, (i) pursuantto Section 6(r) of the Master Agreement, Licensee is responsible forsecuring any applicable essential third party intellectual property rights andpaying any fees payable to third parties based on such Specified New  Software’s adherence to such non-listed industrystandards, and (ii) pursuant to Section 8.4(ii), Licensee isresponsible for indemnifying TI in the event a third party brings an actionagainst TI for Licensee’s use and distribution of such Specified New Software, allegingthat TI has contributed to or induced Licensee to infringe on a third partypatent based on the Specified New Software’s adherence to such non-listedindustry standards, in accordance with the terms of Section 8.4.

(c)                                  MCU Software. Section 1.14 is amended to read in itsentirety:

“MCU Software” means thevarious computer programs (including Voice Software and Echo CancellationSoftware) licensed under this Agreement as set forth in Exhibit A, Exhibit A-1,and Exhibit A-2 hereto which operate on TI digital signal processorsand/or on microprocessors, together with related documentation and all updates,upgrades, enhancements, releases and developments of such computer programs. MCUSoftware includes without limitation the Licensed Source Code and LicensedObject Modules defined below. The parties understand that the MCU Starter Kitis provided in source and object code form, the Licensed Source Code isprovided in source code form, and the Licensed Object Modules are provided inthe form of build files and object code files.

 (d)          Licensed Source Code. Thefollowing definition is amended to read in its entirety:

1.16  “LicensedSource Code” means the portions of the source code and documentation of theEcho Cancellation Software identified in Exhibit A1 and the source codeportions of the Diagnostics identified in Exhibit A2.

Telogy Amendment No. 22

----

 

(e)           Exhibit A2.The attached Exhibit A-2 is added as Exhibit A2 to the MasterAgreement.

2.             Delivery and License.

(a)           Deliveryof Licensed Source Code and DSP Software. A new Section 2i is added tothe Master Agreement, reading as follows:

i.              Delivery of Licensed Source Code and DSP Software.Within ten (10) days after the Amendment No. 2 Effective Date, Telogywill deliver to Licensee in electronic form one copy of the Licensed SourceCode and DSP Software for the current release of the Software identified in Exhibit A-2.

3.                                 Licensed Products. 

Exhibit B to the MasterAgreement is revised to add the products listed in Exhibit B2 attachedhereto (collectively the “New Product”), which may be updated by Licensee fromtime to time in writing.

4.           Term.

Thelicense term for the Software licensed under this Amendment shall continue fromthe period commencing on the Effective Date  and continuing to and including December 31,2007. In the event Licensee request to extend this term beyond December 31,2007, TI shall consider such request in good faith and shall not unreasonablywithhold its consent to such extension.

5.           Extending Royalty Free LicenseGrant for ECAN Software Use on Certain Platforms.

TIagrees to extend, through December 31, 2007, the royalty free licensegrant to Licensee for use of the Echo Cancellation Software on the TI platformsdesignated [*] digital signal processors (collectively, the “Legacy Processors”).Licensee understands and acknowledges that this royalty free license is basedon Licensee’s projections that it will use the Echo Cancellation Software on nomore than [*] Legacy Processors through December 31, 2007. The partiesagree that if Licensee uses the Echo Cancellation Software on [*] additionalLegacy Processors, management shall sit down and discuss in good faith anappropriate fee for the use of the Echo Cancellation m Software on the amountof Legacy Processors exceeding the [*] Legacy Processors entitled to a royaltyfree Echo Cancellation Software license.

6.           Amendment and Agreement.

All terms used in thisAmendment shall have the meanings as defined in the Master Agreement, asamended by Amendment No. 1, unless specifically defined otherwise in thisAmendment. Except for those terms and conditions modified by this Amendment,all terms and conditions of the Master Agreement, as amended by Amendment No. 1,shall continue unchanged and in full force and effect. In the event of anyconflict between the terms and conditions of the Master Agreement, as amendedby Amendment No. 1, and those of this Amendment, the terms and conditionsof this Amendment shall govern.

Telogy Amendment No. 23

----

 

IN WITNESS WHEREOF, EACH OFTHE PARTIES HERETO HAS EXECUTED THIS AMENDMENT, OR HAS CAUSED THIS AMENDMENT TOBE DULY EXECUTED ON ITS BEHALF, AS OF THE EFFECTIVE DATE SET FORTH ABOVE.
| **DITECH COMMUNICATIONS CORPORATION** | ** ** | **TELOGY NETWORKS, INC.** |
|---------------------------------------|------------|---------------------------|
| ** **                            | ** ** | ** **                |
| ** **                            | ** ** | ** **                |
| By /s/ William  J. Tamblyn            |       | By /s/ Timothy J. Carlson |
| (Signature)                           |       | (Signature)               |
| William J.  Tamblyn                   |       | Timothy J. Carlson        |
| (Printed Name)                        |       | (Printed Name)            |
| EVP/CFO                               |       | Corporate Secretary       |
| (Title)                               |       | (Title)                   |
|                                  |       |                      |
| **TEXAS  INSTRUMENTS INCORPORATED**   | ** ** | ** **                |
|                                  |       |                      |
| By /s/ Timothy  J. Carlson            |       |                      |
| (Signature)                           |       |                      |
| Timothy J. Carlson                    |       |                      |
| (Printed Name)                        |       |                      |
| Senior Counsel                        |       |                      |
| (Title)                               |       |                      |

 

Telogy Amendment No. 24

----

 

**Exhibit A-2**

**I. Licensed Source Code**

Licensed Source Codeshall include the complete source code for [*].

 

 

**II. DSPSoftware shall include the following:**

Allbuild files and object code files for the following:

[*]

**III. Documentation**

The documentation shallinclude the documentation relating to the Licensed Source Code described in Section Iabove.

Telogy Amendment No. 25

----

 

**Exhibit B2**

**Additional Licensee Products**

BVP Flex

Quad 2T1

Quad 2E1

QVP (including to benamed product variants)

PVP (included in certain to be named product configurations)

 

Telogy Amendment No. 26

----

**Exhibit A2 R15**

 
| Lee House                   | ** ** | **Date:** |   | February 14, 2006 |
|-----------------------------|------------|-----------|--------|------------------------|
| VP Engineering              |       |      |   |                   |
| Ditech Communications Corp. |       |      |   |                   |
|                        | ** ** | **Ref #** |   | 04-WJJ006-15           |

 
| ITEM                                     | ** ** | **Part  Number** | ** ** | **Description** | ** ** | **Qty**              | ** ** | **Unit  Price**     | ** ** | **Extended  Price** | ** ** |
|------------------------------------------|------------|------------------|------------|-----------------|------------|----------------------|------------|---------------------|------------|---------------------|------------|
| **STARTER KITS (one time fees)**         | ** ** |
| 1                                        |       | [*]              |       |            |       |                 |       |                |       |                |       |
|                                     |       |             |       |            |       |                 |       |                |       |                |       |
|                                     | ** ** | ** **       |       | ** **      |       |                 |       |                |       |                |       |
| 2                                        |       | [*]              |       |            |       |                 |       |                |       |                |       |
|                                     |       |             |       |            |       |                 |       |                |       |                |       |
|                                     | ** ** | ** **       |       | ** **      |       |                 |       |                |       |                |       |
| **SOFTWARE SUPPORT ANNUAL FEES**         | ** ** |
| 3                                        |       | [*]              |       |            |       |                 |       |                |       |                |       |
|                                     |       |             |       |            |       |                 |       |                |       |                |       |
|                                     |       |             |       |            |       |                 |       |                |       |                |       |
| 4                                        |       | [*]              |       |            |       |                 |       |                |       |                |       |
|                                     | ** ** | ** **       | ** ** | ** **      | ** ** | ** **           | ** ** | ** **          | ** ** | ** **          | ** ** |
| **TRAINING AND EVALUATION KITS**         | ** ** |
| 5                                        |       | [*]              |       |            |       |                 |       |                |       |                |       |
|                                     |       |             |       |            |       |                 |       |                |       |                |       |
|                                     |       |             |       |            |       |                 |       |                |       |                |       |
| 6                                        |       | [*]              |       |            |       |                 |       |                |       |                |       |
|                                     |       |             |       |            |       |                 |       |                |       |                |       |
|                                     |       |             | ** ** | ** **      | ** ** | ** **           | ** ** | ** **          | ** ** | ** **          | ** ** |
|                                     |       |             |       |            |       |                 |       |                |       |                |       |
| **ESSENTIAL PATENT INDEMNIFICATION**     | ** ** |
| 7                                        |       | [*]              |       |            |       |                 |       |                | ** ** | ** **          | ** ** |
|                                     |       |             |       |            |       |                 | ** ** |                | ** ** | ** **          | ** ** |
|                                     |       |             | ** ** | ** **      | ** ** | ** **           | ** ** | ** **          | ** ** | ** **          | ** ** |
| **SILICON & SOFTWARE LICENSES** | ** ** |
|                                     |       |             | ** ** | ** **      |       | For  all  Quantities |       | Ditech  Unit  Price |       |                |       |
| 8                                        |       | [*]              | ** ** | ** **      |       |                 |       |                |       |                |       |
|                                     |       |             |       |            |       |                 |       |                |       |                |       |
|                                     |       |             |       |            |       |                 |       |                |       |                |       |
|                                     |       |             |       |            |       |                 |       |                |       |                |       |
|                                     |       |             |       |            |       |                 |       |                |       |                |       |
|                                     |       |             |       |            |       |                 |       |                |       |                |       |
|                                     | ** ** | ** **       |       | ** **      |       |                 |       |                |       |                |       |
|                                     | ** ** | ** **       |       | ** **      |       |                 |       |                |       |                |       |
|                                     |       |             |       |            |       |                 |       |                |       |                |       |
|                                     | * *   | * *         | * *   | * *        | * *   | * *             | * *   | * *            | * *   | * *            | * *   |
| 9                                        |       | [*]              | ** ** | ** **      |       |                 |       |                |       |                |       |
|                                     |       |             |       |            |       |                 |       |                |       |                |       |
|                                     |       |             |       |            |       |                 |       |                |       |                |       |
|                                     |       |             |       |            |       |                 |       |                |       |                |       |
|                                     |       |             |       |            |       |                 |       |                |       |                |       |
|                                     |       |             |       |            |       |                 |       |                |       |                |       |
|                                     | ** ** | ** **       | ** ** | ** **      | ** ** | ** **           | ** ** | ** **          | ** ** | ** **          | ** ** |
|                                     | ** ** | ** **       | ** ** | ** **      | ** ** | ** **           | ** ** | ** **          | ** ** | ** **          | ** ** |
| 9                                        |       | [*]              |       |            |       |                 |       |                |       |                |       |
|                                     |       |             |       |            |       |                 |       |                |       |                |       |
| 10                                       |       | [*]              |       |            |       |                 |       |                |       |                |       |
|                                          |            |                  |            |                 |            |                      |            |                     |            |                     |            |  |  |  |  |  |  |  |  |

 

Page 1

----

 
| **SK: Starter Kit Software License:** A license to use the Telogy Software at  the specified location.

**SS: Annual Standard Software Support  Services:**  Provides services including customer assistance (problem troubleshooting and  software installation/configuration), release updates (quality improvements  and software fixes), support for customer hardware design review, and  hardware diagnostics checkpoint.

**EK: Evaluation Kit:** Provides hardware platform plus Network  Impairment Simulation Software for Internal Lab evaluation only.

**TS: Training****:** Three day classroom instruction at  applicable TI facility for up to eight (8) students. |   | **IN: Indemnification:** Upfront portion of the fee for the  Indemnification of Essential  Patents, as defined in the License Agreement.

**LU: Software License Units:** The License to include and distribute  Telogy Software in Licensee’s products. The Software License charges are per  channel for both the DSP and the MCU Software. Quoted prices are based on annual  volume commitments.

**LC: Software License Units:** Same as LU above, but includes Software  Essential Patent Indemnification, as defined in the License Agreement.

**TNETV: Bundled Chipset:** Includes Silicon and Telogy Software  License. Software Indemnification of Essential Patents (as defined in the  License Agreement) and Third-Party Licenses are included only if noted.  Essential Patent Indemnification is denoted by the use of “I” in the TNETV  Part Number. |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

 
| Lee House                                        | ** ** | **Date:**  | February 14, 2006 |
|--------------------------------------------------|------------|------------|------------------------|
| Ditech  Communications Corp.                     | ** ** | **Ref #**  | 04-WJJ006-15           |
| 825 E.  Middlefield Road Mountain View, CA 94043 | Table 1    | ** ** | ** **             |

 
| Item              | ** ** | **Availability**             | ** ** | ** **                  | ** ** | ** ** |
|-------------------|------------|------------------------------|------------|-----------------------------|------------|------------|
| ** **        | ** ** | **54x and 55x unless noted** | ** ** | **Definition per contract** |
| ** **        | ** ** | **Source CODE**              | ** ** | **Object code**             | ** ** | **MCU**    | ** ** | **DSP** |
| **Test Software** |       |                         |       |                        |       |       |   |   |
| [*]               |       |                         |       |                        |       |       |   |   |
|              |       |                         |       |                        |       |       |   |   |
|              |       |                         |       |                        |       |       |   |   |
|              |       |                         |       |                        |       |       |   |   |
|              |       |                         |       |                        |       |       |   |   |
|              |       |                         |       |                        |       |       |   |   |
|              |       |                         |       |                        | ** ** | ** ** |   |   |
|              |       |                         |       |                        |       |       |   |   |
|              |       |                         |       |                        | ** ** | ** ** |   |   |
|              |       |                         |       |                        |       |       |   |   |
|              |       |                         |       |                        |       |       |   |   |
|              |       |                         |       |                        | ** ** | ** ** |   |   |
|              |       |                         |       |                        |       |       |   |   |
|              |       |                         |       |                        | ** ** | ** ** |   |   |
|              |       |                         |       |                        |       |       |   |   |
|              |       |                         |       |                        |       |       |   |   |
|              |       |                         |       |                        |       |       |   |   |
|              |       |                         |       |                        |       |       |   |   |
|              |       |                         |       |                        |       |       |   |   |
|              |       |                         |       |                        |       |       |   |   |
|              |       |                         |       |                        | ** ** | ** ** |   |   |
|              |       |                         |       |                        |       |       |   |   |
|              |       |                         |       |                        |       |       |   |   |
|              |       |                         |       |                        |       |       |   |   |
|              |       |                         |       |                        |       |       |   |   |
|              |       |                         |       |                        |       |       |   |   |
|              |       |                         |       |                        |       |       |   |   |
|              |       |                         |       |                        |       |       |   |   |
|              |       |                         |       |                        |       |       |   |   |
|              |       |                         |       |                        |       |       |   |   |
|              |       |                         |       |                        |       |       |   |   |
|              |       |                         |       |                        |       |       |   |   |
|              |       |                         |       |                        |       |       |   |   |
|              |       |                         |       |                        |       |       |

 

Page 2

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| Item                                                                 | ** ** | **Availability**                                   | ** ** | ** **                  | ** ** | ** ** |
|----------------------------------------------------------------------|------------|----------------------------------------------------|------------|-----------------------------|------------|------------|
| ** **                                                           | ** ** | **54x and 55x unless noted**                       | ** ** | **Definition per contract** |
| ** **                                                           | ** ** | **Source CODE**                                    | ** ** | **Object code**             | ** ** | **MCU**    | ** ** | **DSP** |
| Drivers                                                              |       |                                               |       |                        |       |       |   |   |
| [*]                                                                  |       |                                               |       |                        |       |       |
|                                                                 |       |                                               |       |                        |       |       |   |   |
|                                                                 |       |                                               |       |                        |       |       |
|                                                                 |       |                                               |       |                        |       |       |
| **Tone/Signaling**                                                   |       |                                               |       |                        |       |       |   |   |
| [*]                                                                  |       |                                               |       |                        |       |       |   |   |
|                                                                 |       |                                               |       |                        |       |       |   |   |
|                                                                 |       |                                               |       |                        |       |       |   |   |
|                                                                 |       |                                               |       |                        |       |       |   |   |
|                                                                 |       |                                               |       |                        |       |       |   |   |
|                                                                 |       |                                               |       |                        |       |       |   |   |
|                                                                 |       |                                               |       |                        | ** ** | ** ** |   |   |
|                                                                 |       |                                               |       |                        |       |       |   |   |
|                                                                 |       |                                               |       |                        | ** ** | ** ** |   |   |
|                                                                 |       |                                               |       |                        |       |       |   |   |
|                                                                 |       |                                               |       |                        |       |       |   |   |
|                                                                 |       |                                               |       |                        | ** ** | ** ** |   |   |
|                                                                 |       |                                               |       |                        |       |       |   |   |
|                                                                 |       |                                               |       |                        | ** ** | ** ** |   |   |
| Packetizer/Network                                                   |       |                                               |       |                        | ** ** | ** ** |   |   |
| Packetizer for all codecs above                                      |       | Not available outside of  Telogy standard product. |       |                        |       | x          |
| Configurable voice packetization rates                               |       | Not available outside of  Telogy standard product. |       |                        |       | x          |
| RTP                                                                  |       | Not available outside of  Telogy standard product. |       |                        |       | x          |
| Bundle format, interleave format, header free format                 |       | Not available outside of  Telogy standard product. |       |                        |       | x          |
| RTP/UDP/IP Header Compression                                        |       | Not available outside of  Telogy standard product. |       |                        |       | x          |
| RTCP                                                                 |       | Not available outside of  Telogy standard product. |       |                        |       | x          |
| CALEA, Media Forking                                                 |       | Not available outside of  Telogy standard product. |       |                        |       | x          |
| CAS/CCS Signaling support                                            |       | Not available outside of  Telogy standard product. |       |                        |       | x          |
| Complete AAL2/AAL5 support including CRC on all  channels, AAL2 BLES |       | Not available outside of  Telogy standard product. |       |                        |       | x          |
| Adaptive Jitter Buffer                                               |       | Not available outside of  Telogy standard product. |       |                        |       | x          |
| Announcement Playout/Server                                          |       | Not available outside of  Telogy standard product. |       |                        |       | x          |
| Conference Bridging                                                  |       | Not available outside of  Telogy standard product. |       |                        |       | x          |
| Packet Playout unit (lost packet compensation)                       |       | Not available outside of  Telogy standard product. |       |                        |       |       |
|                                                                 |       |                                               |       |                        |       |       |

 

Page 3

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| Item                                                                  | ** ** | **Availability**                                   | ** ** | ** **                  | ** ** | ** ** |
|-----------------------------------------------------------------------|------------|----------------------------------------------------|------------|-----------------------------|------------|------------|
| ** **                                                            | ** ** | **54x and 55x unless noted**                       | ** ** | **Definition per contract** |
| ** **                                                            | ** ** | **Source CODE**                                    | ** ** | **Object code**             | ** ** | **MCU**    | ** ** | **DSP** |
| Custom Header Generation and stripping                                |       | Not available outside of  Telogy standard product. |       |                        |       | x          |
| Supports CPS and SSCS layer functions                                 |       | Not available outside of  Telogy standard product. |       |                        |       | x          |
| Supports SSSAR and SSTED                                              |       | Not available outside of  Telogy standard product. |       |                        |       |       |
| Protocol transcoding between VoIP and VoATM                           |       | Not available outside of  Telogy standard product. |       | x                           |       |       |
| VAD and CNG                                                           |       | Not available outside of  Telogy standard product. |       | x                           |       |       |
| Encryption                                                            |       | Not available outside of  Telogy standard product. |       | x                           |       |       |
| Network Channel Switching (support of packet to  packet applications) |       | Not available outside of  Telogy standard product. |       | x                           |       |       |
| Digital Carrier Services, ISDN                                        |       | Not available outside of  Telogy standard product. |       | x                           |       |       |
| Synch-mode PPP ISDN (HDLC-Framed PPP)                                 |       | Not available outside of  Telogy standard product. |       | x                           |       |       |
| HDLC Framing Service (V.120)                                          |       | Not available outside of  Telogy standard product. |       | x                           |       |       |
| V.110                                                                 |       | Not available outside of  Telogy standard product. |       | x                           |       |       |
| 56k Rate Adaptation                                                   |       | Not available outside of  Telogy standard product. |       | x                           |       |       |
|                                                                       |            |                                                    |            |                             |            |            |  |  |

 

 

Page 4

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| Ditech Communications Corp. |      | February14, 2006 |
|-----------------------------|-----------|------------------|
|                        | **Ref #** | 04-WJJ006-15     |

 

**TERMS and CONDITIONS of SALE**
| **1.0**    | ** ** | **Distribution**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
|------------|------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|       |       | Texas Instruments will establish Licensee  as a direct customer for Starter Kit, Annual Support, Training, Software  Indemnification, and Evaluation Kits. All order entry for TNETV bundled  chipsets (Bundled Silicon and Software License Units) will take place through  TI. The Software License Agreement will be between Licensee and TI under the  Telogy Software Agreement, as amended, dated April 16, 2002.                                                                                                                                                                                                                                                                                                                                                                                           |
|       |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
| **2.0**    | ** ** | **Payment Terms**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
|       |       | *All direct payments to Texas Instruments have  payment terms of **Net 30**** **days from  date due. Pricing set forth in this Exhibit A-2 are “not to exceed  prices.” Such “pricing cap” is valid for the Initial Term.*                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
|       |       | *** ***                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| **3.0**    | ** ** | **Delivery**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| ** ** |       | Texas Instruments shall deliver to Licensee any  applicable Starter Kits and Evaluation Kits within 5 days after acceptance of  order, FCA Germantown, Maryland. All taxes and duties are the responsibility  of the Licensee.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| ** ** |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
| ** ** |       | Supplier shall notify Ditech Communications if at  any time it determines it is unable to fulfill an order or any of the  conditions or requirements of the order. Such notification shall be oral  followed by written confirmation within seven (7) days of receipt of the  order. In the absence of such notification, the order shall be deemed  accepted seven (7) days after the suppliers receipt of the order.                                                                                                                                                                                                                                                                                                                                                                                            |
| ** ** |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
| ** ** |       | Supplier may not deliver product more than two  (2) days prior to the agreed upon delivery date without Ditech  Communications prior written authorization. Supplier agrees to meet the  following delivery lead times:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| ** ** |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
| ** ** |       | Forecasted Demand: Two (2) weeks lead time  (only if purchased direct or thru contract manufacturer)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| ** ** |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
| ** ** |       | Upsides to Forecasted Demand: Six (6) weeks  lead time for 50% upside of the next four (4) weeks forecasted demand -  if Ditech and contract manufacturer utilize EDI JIT supplier managed program.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
| ** ** |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
| ** ** |       | On a monthly basis, a six month, non-binding,  rolling forecast shall be provided by Ditech Communications or its Contract  Manufacturer acting on Ditech’s behalf for planning purposes only, and not as  any commitment of such forecast.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
| ** ** |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
| ** ** |       | Supplier’s EDI/JIT liability terms with the contract  manufacturer shall be enforceable by supplier on the contract manufacturer -  independent of the terms between Ditech and the contract manufacturer.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| ** ** |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
| **4.0**    | ** ** | **Software Licenses**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
|       |       | Licensee understands and acknowledges that Licensee  may not ship Software for which Licensee has not purchased a License Unit  from Texas Instruments as part of a TNETV bundled chipsets.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
|       |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
|       |       | All TNETV bundled chipset products purchased by  Ditech include silicon and the software license royalties for Telogy  software. Hence, no additional or separate software licensing fee is due from  Ditech for such products. TNETV bundled chipset products purchased by Ditech  also include Essential Patent Indemnification (as defined in the License  Agreement). Essential Patent Indemnification is denoted by the use of “I” in  the TNETV Part Number.                                                                                                                                                                                                                                                                                                                                           |
|       |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
| **5.0**    | ** ** | **Annual Software Support**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
|       |       | Annual fees for Software Support apply to Software  items identified on the face hereof.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
|       |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
|       |       | Licensee may designate up to four  (4) individuals as points of contact with Customer Support. Completion  of an approved Texas Instruments training class is a prerequisite for each  contact. Each contact will have on-line access to proprietary data of both  Licensee and Texas Instruments. As such, Licensee must notify Texas Instruments  in writing within three (3) business days, should a designated contact  need to be removed from the on-line access list.                                                                                                                                                                                                                                                                                                                                      |
|       |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
| **6.0**    | ** ** | **TNETV Parts**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| ** ** |       | TNETV Pricing in Item 8 requires that Ditech make a  good faith effort to use TI’s solutions for the Power, Clock and Connectivity  products on any new designs and redesigns of boards using the TNETV Parts. To  this end, TI shall provide full cooperation and engineering assistance during  the design and implementation phases. However, in cases where it is determined  by Ditech that it is not possible to use or it no longer wishes to use TI  products, TI requests that they be given the reasons why TI products were not  or are no longer being used and be given the ability to offer an alternative  solution (so long as no adverse impact to Ditech’s respective project occurs  (e.g., in costs, pricing, schedules, etc.)), w/in 2 weeks of Ditech’s notice  to TI of its decision. |
| ** ** |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
| ** ** |       | Notwithstanding anything to the contrary herein, the  parties understand the decision to use or continue to use TI products  described in the preceding is at Ditech’s sole discretion.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| ** ** |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
| ** ** |       | Prices of TNETV bundled chipsets shown are valid for  the Initial Term.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |

 

 

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