Document:

<PAGE>   1
                                                                 EXHIBIT 10.9

                                    CONTRACT

1.  ANDA Networks, Inc., a corporation duly organized and existing under the
    laws of United States of America, being registered in the state of Delaware,
    and having it's corporate headquarters at 2921 Copper Road, Santa Clara,
    CA95051, hereinafter referred to as ANDA.

2.  Wuhan Snow City Communications, Ltd., a corporation duly organized and
    existing under the laws of the People's Republic of China, having its
    registered office at B1-101, HuaLeDaSha, HongShan District, Wuhan 430074,
    hereinafter referred to as WSCC.

3.  WSCC is responsible for design the STM-1/[***]* interface module for ANDA's
    UAP 1000/2000, the total design payment is $[***]* USD.

4.  Specification of the STM-1/[***]* module, refer to appendix A.

5.  Rights and Obligations

5.1.  All Intellectual property concerning the developed products belong to
      ANDA, and ANDA shall pay the payments according to the development
      progress.

5.2.  During the process of the development, ANDA must provide the necessary
      technology support and relevant documents that are necessary for the
      project development.

5.3.  WSCC is responsible for product design and test. ANDA is responsible for
      providing all components needed in the PCB, manufacturing of the PCB and
      mounting of the components on the PCB, and providing the test bench for
      the design (UAP 1000 test systems).

5.4.  For the duration of the development ANDA will loan the relevant software
      development tools and test instruments to WSCC.

5.5.  For the convenience of test and verification, ANDA will provide two sets
      of UAP systems and WSCC shall pay the unburdened cost of goods (COGS),
      plus any associated shipping, handling and import costs.

5.6.  WSCC shall provide their best efforts to support ANDA in resolution of any
      technical problems related to ANDA's integration and verification of the
      STM1/[***]* boards.

6.  Confidential agreements

  ANDA and WSCC must keep all technical documents concerning the products that
WSCC has developed secret during the development, and also for a minimum period
of three years after the development contract is completed. Neither ANDA nor
WSCC can provide the products information to any third part without the
permission of the other party. The exception to this would be if a third party
subsequently acquires either party. In this case, the intellectual property and
confidentiality shall be transferred to the acquiring party.

Schedule

7.1.  [***]*, sign the Contract between ANDA and WSCC,  initial payment
      becomes due to WSCC in the amount of $[***]* USD (Payment transfer
      dependent on WSCC providing relevant account information).

* CONFIDENTIAL TREATMENT REQUESTED. CONFIDENTIAL PORTION HAS BEEN FILED
  SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.

                                       1
<PAGE>   2

7.2.  [***]*, ANDA Confirms the STM-1 technical specifications and provides the
      description of Backplane Pins, PCB dimensions, [***]* reference design,
      TDM bus interface reference design, board reset circuit reference design,
      [***]* reference code, [***]* development platform and the associated
      [***]* development platform, and ANDA [***]* driver to WSCC.

7.3.  [***]*, WSCC will have  completed the circuit  design, FPGA design,
      software design, and provided a [***]* Upon completion of these
      milestones, ANDA shall pay the amount of $[***]* USD. At this time WSCC
      shall start the PCB layout.

7.4.  [***]*, design review will be held in Wuhan. Prior to the design review,
      ANDA shall provide the [***]* between STM-1 module and system module of
      UAP2000/1000. After the design review, WSCC shall provide the Gerber and
      the associated files necessary for PCB fabrication and assembly, and also
      the [***]* documents to ANDA. Upon completion of these milestones, ANDA
      shall then pay the amount of $[***]* USD to WSCC.

7.5.  [***]*, complete [***]* and software design. Begin  board testing,
      software and hardware integration.

7.6.  [***]*, complete STM-1 module testing, begin [***]* and software design
      for [***]*. Upon completion of these milestones, ANDA shall pay the amount
      of $[***]* USD to WSCC.

7.7.  [***]*, provides all design documents of STM-1 to ANDA and begin [***]*
      board testing. ANDA is responsible for system testing and verification
      testing. Upon completion of these milestones, ANDA shall pay the amount of
      $[***]* USD to WSCC.

7.8.  [***]*, complete [***]* board testing and provides all design documents of
      [***]* to ANDA. ANDA shall pay the amount of $[***]* USD to WSCC.

7.9.  STM-1 and [***]* projects are finished successfully.

7.10. Payments  from ANDA to WSCC  shall be made to WSCC's nominated agent in
      Hong Kong in USD.

8.  Force Majeure

8.1.  The parties agree that the failure or delays in performance by either
      Party caused by force majeure shall be excusable. This provision shall
      not, however, release such Party from using its best efforts to avoid or
      remove such causes, and each Party will continue in its obligations with
      utmost dispatch whenever such causes are removed. Any Party claiming such
      excuse for failure or delay in performance shall give prompt written
      notice thereof to the other Party.

8.2.  For the purpose of this Agreement, force majeure shall mean all events
      which are unforeseen, or if foreseen, unavoidable, and that which prevent
      total or partial performance by a Party. Such events shall include but not
      be limited to floods, droughts, typhoons, earthquakes, natural disasters,
      or acts of war.

9.  Effective date

    The date the contract is signed shall be the effective start date of this
agreement.

10.  If there is anything not taken into consideration in this contract, ANDA
     and WSCC will sign an additional contract.

* CONFIDENTIAL TREATMENT REQUESTED. CONFIDENTIAL PORTION HAS BEEN FILED
  SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.

                                       2
<PAGE>   3

<TABLE>
<CAPTION>
<S>                                                 <C>
ANDA Networks, Inc.                                 Wuhan Snow City Communications, Ltd.

Graham Hunt                                         Qin Yi

Director, Marketing                                 General Manager

Signature:                                          Signature:

Date: December 5th, 1999                            Date: December 5th, 1999
</TABLE>

                                       3
<PAGE>   4

Appendix A

1. Specifications

-    All functions shall be implemented in a single board and designed for
     ANDA's UAP1000/2000.

-    Each board provides a STM-1/[***]* optical interface and works in either
     [***]* or [***]*.

-    Support of STM-1 mode,  and can be  reconfigured  to [***]* mode by
     updating design of [***]* and software.

-    Supports 1+1 protection in TM mode and [***]* in ADM mode when two boards
     are used in UAP1000/2000.

-    Both protections are implemented in TDM bus through TDM bus Tri-state
     output.

-    Line rate: [***]*; Maximum capacity: [***]* channelized or [***]*
     channelized.

-    Provides S1.1 and L1.1 Optical interface compatible with [***]*.

-    [***]* and [***]* meets [***]* requirements.

-    Support of Bit Asynchronous Floating Mode operation. Mapping path is
     [***]* or [***]*.

-    Add/drop interface use ANDA's TDM/19M bus. Bus width is 32 bit and Support
     for [***]* or [***]* channelized interface.

-    Used [***]* cross connect circuits between [***]* bus and [***]* Mapping
     for DS0 grooming.

-    Elastic buffers are used for [***]* frame phase alignment.

-    System clock is synchronized to reference clocks from backplane.
     STM-1/[***]*  Module will provide reference clock to backplane.

-    The STM-1/[***]* module shall be managed from the craft interface on the
     system module. The system module will convert craft commands into ANDA IBC
     messages.

-    The STM-1/[***]* module shall be managed by SNMP via the Ethernet interface
     on the System Module. The [***]* will be implement by the System Module.
     The STM-1/[***]* module will implement the [***]*.

-    Power supply: [***]*; [***]*: [***]*.

-    Power consumption TBD W.

-    Operation temperature: [***]*.

* CONFIDENTIAL TREATMENT REQUESTED. CONFIDENTIAL PORTION HAS BEEN FILED
  SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.

                                       4

<PAGE>   5

2.  Functional Diagram

                                   [***]*

3.  Application

                                   [***]*

* CONFIDENTIAL TREATMENT REQUESTED. CONFIDENTIAL PORTION HAS BEEN FILED
  SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.

                                       5<PAGE>   1
                                                                  EXHIBIT 10.10

                         SOFTWARE DEVELOPMENT AGREEMENT

        Effective August 30, 1999, Trigon Technology Group ("Developer") and
ANDA Networks (the "Company") agree to the following terms and conditions for
the development by Developer for ANDA of the UAP 2000 [***]* and, should ANDA
exercise its option herein, the UAP 2000 [***]*, so that the [***]* and/or the
[***]* may be embedded in the Company's UAP 2000 family of products to provide a
network management interfaces for the UAP 2000 family of products.

1. Development.

        a. [***]*. Developer agrees to use diligent efforts to develop the UAP
2000 [***]* (as defined in Exhibit A) (the "[***]*") based on Developer's [***]*
code-named "[***]*" (the "[***]*") at the price and in accordance with the
specifications and pursuant to the schedule specified in the Statement of Work,
attached as Exhibit B (the "[***]* SOW").

        b. [***]* Option. Developer hereby grants ANDA the option to have
Developer undertake and complete development of the UAP 2000 [***]* (as defined
in Exhibit A) ("[***]*"), pursuant to the terms and conditions of this
Agreement, at the price and in accordance with the specifications and schedule
specified in the Statement of Work attached as Exhibit B (the "[***]* SOW").
This option shall remain valid until January 31, 2000. The rights and
obligations contained herein regarding the [***]* are conditioned upon the
Company exercising such option.

        c. ANDA's Development Obligation. The Company shall endeavor to timely
provide Developer with the items and assistance specified in applicable SOW. Any
dates or time periods relevant to performance by Developer hereunder shall be
extended day-for-day with any delays in completion by the Company of the
Company's tasks specified in the applicable SOW, including payment according to
the payment schedule.

        d. Key Development Personnel. The parties agree that Developer's
employee, [***]*, shall perform a substantial role in the development of the
[***]* and the [***]*, and that [***]* continued work in such development is a
material term and condition of this Agreement. Developer shall use diligent
efforts to keep [***]* employed by Developer and have [***]* work prioritized to
the development of the [***]* and the [***]*.

2. Changes. Developer agrees to accept any reasonable change to the applicable
SOW proposed by the Company. In the event that Company proposes a change,
Developer shall provide Company an estimate of the cost to Developer of making
such change. Should Company choose to implement the change, Company agrees to
bear any extra expense and pay (at Developer's standard time and materials
rates) for any additional work required by such change up to the amount of
Developer's estimate.

                                       1

* CONFIDENTIAL TREATMENT REQUESTED. CONFIDENTIAL PORTION HAS BEEN FILED
  SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.
<PAGE>   2

3. Milestones, Acceptance. When Developer has completed a Deliverable (as
defined in Section 5 ("Project Schedule") of the applicable SOW), Developer will
deliver it to the Company. The Company will accept or reject the Deliverable
within ten (10) days after delivery.

If the Company rejects the Deliverable, Developer will promptly correct the
failures in any rejected Deliverable. When it has made the necessary
corrections, Developer will again deliver the Deliverable to the Company and the
acceptance/rejection/correction provisions above shall be reapplied until the
Deliverable is accepted; provided, however, that upon the third or any
subsequent rejection or if the corrections are not made within twenty (20) days
of the initial rejection, Company may terminate this Agreement by fifteen (15)
days written notice unless the Deliverable is accepted during the notice period.

4. Payment. The Company shall make payments to Developer in accordance with
Section 7 ("Pricing") of the applicable SOW. Each payment will be made in U.S.
dollars in and from the United States and will be made no later than 15 days
after the date of ANDA's acceptance of the Deliverable specified in SOW for
which payment is due.

5. Ownership.

        a. [***]* shall [***]* its [***]*, [***]* and [***]* in its [***]* in
the [***]* and the [***]* developed by Developer under this Agreement. "[***]*"
shall mean all [***]*, [***]*, [***]*, [***]* and all other [***]* throughout
the [***]*.

6. License. Developer hereby grants to Company, subject to the royalty payments
set forth in the SOW, the following license rights:

        a. a perpetual, irrevocable, nonexclusive, non-sublicenseable worldwide
license to use, copy, modify, and prepare derivative works of the [***]* and the
[***]* source codes, solely for Company's internal business purposes and to
support the UAP 2000 family of products;

        b. a perpetual, irrevocable, nonexclusive, worldwide license to copy,
use, modify, prepare derivative works of, sublicense, and distribute, as
embedded in the UAP 2000 family of products, the [***]* and [***]* object code
and derivative works thereof.

Any license of copyright hereunder includes all rights of paternity, integrity,
disclosure and withdrawal and any other rights that may be known as or referred
to as "moral rights" (collectively "Moral Rights"). To the extent such Moral
Rights cannot be licensed under applicable law and to the extent the following
is allowed by the laws in the various countries where Moral Rights exist, the
party granting the license hereby ratifies and consents to any action consistent
with the terms of this Agreement that would violate such Moral Rights in the
absence of such ratification/consent. The party granting the license will
confirm any such ratifications and consents from time to time as requested by
the other party.

In the event Developer licenses the [***]* or the [***]* to any third party, and
the terms of such license are more favorable than those between Developer and
Company, Developer agrees to

* CONFIDENTIAL TREATMENT REQUESTED. CONFIDENTIAL PORTION HAS BEEN FILED
  SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.

                                       2

<PAGE>   3

amend such license terms with Company, to ensure that Company receives terms
that are at least as favorable as those provided to any third party licensee.

7. Confidentiality. Each party agrees that all code, inventions, algorithms,
know-how and ideas and all other business, technical and financial information
they obtain from the other are the confidential property of the disclosing party
("Proprietary Information" of the disclosing party). Except as expressly and
unambiguously allowed herein, the receiving party will hold in confidence and
not use or disclose any Proprietary Information of the disclosing party and
shall similarly bind its employees in writing. The receiving party shall not be
obligated under this Section 6 with respect to information the receiving party
can document:

            (1) is or has become readily publicly available without restriction
through no fault of the receiving party or its employees or agents; or

            (2) is received without restriction from a third party lawfully in
possession of such information and lawfully empowered to disclose such
information; or

            (3) was rightfully in the possession of the receiving party without
restriction prior to its disclosure by the other party; or

            (4) was independently developed by employees or consultants of the
receiving party without access to such Proprietary Information.

8. Limited Liability.

        a. NOTWITHSTANDING ANYTHING ELSE IN THIS AGREEMENT OR OTHERWISE AND
EXCEPT UNDER THE INDEMNITY PROVISIONS HEREIN, NEITHER PARTY SHALL BE LIABLE OR
OBLIGATED UNDER ANY SECTION OF THIS AGREEMENT OR UNDER ANY CONTRACT, NEGLIGENCE,
STRICT LIABILITY OR OTHER LEGAL OR EQUITABLE THEORY (I) FOR ANY AMOUNTS IN
EXCESS IN THE AGGREGATE OF THE FEES PAID BY COMPANY TO DEVELOPER HEREUNDER OR
(II) FOR ANY COST OF PROCUREMENT OF SUBSTITUTE GOODS, TECHNOLOGY, SERVICES OR
RIGHTS OR (III) FOR LOSS OR CORRUPTION OF DATA OR INTERRUPTED USE.

        b. EXCEPT UNDER SECTION 7, NEITHER PARTY SHALL BE LIABLE WITH RESPECT TO
ANY SUBJECT MATTER OF THIS AGREEMENT UNDER ANY CONTRACT, NEGLIGENCE, STRICT
LIABILITY OR OTHER LEGAL OR EQUITABLE THEORY FOR ANY INCIDENTAL OR CONSEQUENTIAL
DAMAGES.

        c. Sections 8.a and 8.b will not limit liability for bodily injury of a
person.

9. Export Control. Each party shall comply with all applicable export laws,
restrictions, and regulations of any United States or foreign agency or
authority and will not export or re-export, or authorize the export or re-export
of any product, technology or information it obtains or learns

                                       3
<PAGE>   4

pursuant to this Agreement (or any direct product thereof) in violation of any
such laws, restrictions or regulations.

10. Warranties and Disclaimer.

        a. Developer represents and warrants to the Company that: (i) Developer
has not assigned, transferred, licensed, pledged or other wise encumbered the
[***]* or [***]* or underlying technology or intellectual property rights with
respect thereto in a manner inconsistent with the terms of this Agreement or
agreed to do so, (ii) Developer has full power and authority to enter into and
perform this Agreement, (iii) Developer is not aware of any actual or potential
violation, infringement or misappropriation of any third party's rights (or any
claim or potential claim thereof) by the [***]* or [***]* (or inherent in the
development, use or production thereof), (iv) neither Developer's entering nor
performing this Agreement will violate any right of or breach any obligation to
any third party under any agreement or arrangement between Developer and such
third party, (v) to the best of the Developer's knowledge, no licenses,
permissions or releases of third party rights are necessary for Developer's
development of or Company's production or distribution of the [***]* or [***]*
in accordance with the terms of this Agreement, (vi) all copyrightable matter
licensed or assigned hereunder has been or will be created after the effective
date of this Agreement by persons who were employees of the Developer at the
time of creation and no third party has or will have "moral rights" or rights to
terminate any assignment or license with respect thereto, (vii) the work under
this Agreement will be performed in a professional and workman-like manner and
shall conform to the specifications set forth in the applicable SOW; (viii)
Developer has and will obtain agreements with its employees and contractors
sufficient to allow it to provide Company with the assignments and licenses
provided for herein.

        b. Company represents and warrants that (i) it has the right, power and
authority to enter into this Agreement and to fully perform its obligations
under this Agreement and (ii) the making of this Agreement by it does not
violate any agreement existing between it and any other party.

        c. EXCEPT FOR THE WARRANTY MADE HEREIN, DEVELOPER AND COMPANY MAKE NO
WARRANTIES TO ANY PERSON OR ENTITY WITH RESPECT TO THE [***]* OR [***]*, ANY
DELIVERABLE OR ANY SERVICES OR LICENSES AND DISCLAIM ALL IMPLIED WARRANTIES,
INCLUDING WITHOUT LIMITATION WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A
PARTICULAR PURPOSE. DEVELOPER AND COMPANY MAKE NO WARRANTY REGARDING FREEDOM
FROM BUGS OR UNINTERRUPTED USE.

11. Indemnity. Developer agrees to, and shall, indemnify, defend and hold
harmless the Company, its affiliates and their respective directors,
shareholders, officers, agents, employees, successors and assigns from and
against any and all claims, suits, damages, costs, expenses (including
reasonable attorneys' fees and expenses) and other liabilities arising from, in
connection with or related in any way to, directly or indirectly, (a) any breach
of any of the representations or warranties made by it under this Agreement; (b)
any negligent act or omission of it, its directors, officers, agents, employees
or subcontractors; or (c) any claim that anything

* CONFIDENTIAL TREATMENT REQUESTED. CONFIDENTIAL PORTION HAS BEEN FILED
  SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.

                                       4

<PAGE>   5

Developer provides to Company pursuant to this Agreement infringes any third
party Intellectual Property Right. Company shall promptly notify Developer of
any such claim.

12. Termination.

        a. If either party should materially breach a material provision of this
Agreement, the other party may terminate this Agreement upon thirty (30) days'
notice unless the breach is cured within the notice period or, if the breach
cannot reasonably be so cured, diligent efforts to effect such cure are
commenced during that period and are continued until the cure is completed,
which shall be within a reasonable time.

        b. The Company may terminate this Agreement at any time upon fifteen
(15) days' written notice in the event that [***]* is no longer continuing to
perform development services at the level contemplated by Section 1(d), unless
such non-continuation is due [***]* physical inability (e.g. by virtue of
sickness) to perform services. In the event Company terminates the Agreement
pursuant to this section, at Company's option,

        c. Developer shall refund 50% of the amounts paid by Company to
Developer, and Company shall return all copies of the [***]* and keep the rest
of the delivered Deliverables, and Company shall have no further payment
obligations under this Agreement;

        d. Developer shall deliver unfinished Deliverables to Company, Developer
shall assign to Company all right title and interest in and to the unfinished
Deliverables, and shall license to Company, under reasonable terms, any
Developer Intellectual Property Rights necessary to complete the development of
the [***]* and the [***]* as contemplated under this Agreement. In the event of
such termination, Company shall no longer be liable for payments not yet due
under the applicable SOW, and Company shall pay Developer a reduced licensing
royalty to reflect the loss of value to the Company, to be mutually agreed upon
by the parties, for software based upon the unfinished Deliverables embedded in
Company's UAP 2000 family of products.

        e. Sections 5 through 15 of this Agreement, any accrued rights to
payment and any remedies for breach of this Agreement shall survive termination.

        f. This Agreement will remain in effect until the [***]* and or the
[***]* are completed by Developer and accepted by Company, or until this
Agreement is terminated in accordance with the express terms of this Agreement.

13. Publicity and Press Releases. Except to the extent necessary under
applicable laws, the parties agree that no press releases or other publicity
relating to the substance of the matters contained herein will be made without
joint approval.

14. Relationship of the Parties. Notwithstanding any provision hereof, for all
purposes of this Agreement each party shall be and act as an independent
contractor and not as partner, joint venturer, or agent of the other and shall
not bind nor attempt to bind the other to any contract.

* CONFIDENTIAL TREATMENT REQUESTED. CONFIDENTIAL PORTION HAS BEEN FILED
  SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.

                                       5

<PAGE>   6

15. Assignment. Neither party shall have any right or ability to assign,
transfer, or sublicense any obligations or benefit under this Agreement without
the written consent of the other (and any purported assignment will be void),
except that a party may assign and transfer this Agreement and its rights and
obligations hereunder to any third party who succeeds to substantially all its
business or assets.

16. Notice. All notices under this Agreement shall be in writing, and shall be
deemed given when personally delivered or three days after being sent by prepaid
certified or registered U.S. mail to the address of the party to be noticed as
set forth herein or such other address as such party last provided to the other
by written notice.

17. Miscellaneous.

        a. The failure of either party to enforce its rights under this
Agreement at any time for any period shall not be construed as a waiver of such
rights.

        b. No changes or modifications or waivers are to be made to this
Agreement unless evidenced in writing and signed for and on behalf of both
parties.

        c. In the event that any provision of this Agreement shall be determined
to be illegal or unenforceable, that provision will be limited or eliminated to
the minimum extent necessary so that this Agreement shall otherwise remain in
full force and effect and enforceable.

        d. This Agreement shall be governed by and construed in accordance with
the laws of the State of California and the United States without regard to the
conflicts of laws provisions thereof. The sole jurisdiction and venue for
actions related to the subject matter hereof shall be the state and U.S. federal
courts located in Santa Clara County, California. Both parties consent to the
jurisdiction of such courts and agree that process may be served in the manner
provided herein for giving of notices or otherwise as allowed by California
state or U.S. federal law. Headings herein are for convenience of reference only
and shall in no way affect interpretation of the Agreement.

        e. The rights and remedies of a party set forth herein with respect to
failure of the other to comply with the terms of this Agreement (including,
without limitation, rights of full termination of this Agreement) are not
exclusive, the exercise thereof shall not constitute an election of remedies and
the aggrieved party shall in all events be entitled to seek whatever additional
remedies may be available in law or in equity.

        f. No liability or loss of rights hereunder shall result to either party
from delay or failure in performance (other than payment) caused by force
majeure including, without limitation, acts of God, fire, flood, war, government
action, compliance with laws or regulations, strikes, lockouts or other serious
labor disputes, or shortage of or inability to obtain material or equipment.

        g. This Agreement supersedes all proposals or prior agreements, oral or
written, and all other communications between the parties relating to the
subject matter hereof. If any of the

                                      6
<PAGE>   7

terms of this Agreement conflict with terms of the SOW, the terms of this
Agreement shall govern.

        h. Each party recognizes and agrees that the warranty disclaimers and
liability and remedy limitations in this Agreement are material bargained for
bases of this Agreement and that they have been taken into account and reflected
in determining the consideration to be given by each party under this Agreement
and in the decision by each party to enter into this Agreement.

        i. The parties recognize and agree that "TIME IS OF THE ESSENCE" with
respect to completion, delivery and correction of development hereunder.

                                           DEVELOPER

                                           By _________________________________

                                           Address:____________________________
                                           Address:____________________________

                                           COMPANY

                                           By _________________________________

                                           Address:____________________________
                                           Address:____________________________

                                       7
<PAGE>   8

                                    EXHIBIT A

1)      UAP 2000 [***]* - This software implements the [***]*, which is [***]*
        in the UAP 2000 device for providing an external [***]* interface.

2)      UAP 2000 [***]* - This software implements the [***]* for the ANDA UAP
        2000 product. It will be a stand-alone [***]* based system operating
        external to the UAP 2000 device.

* CONFIDENTIAL TREATMENT REQUESTED. CONFIDENTIAL PORTION HAS BEEN FILED
  SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.
<PAGE>   9

                                    EXHIBIT B

                            STATEMENT OF WORK ("SOW")

<PAGE>   10

                                ANDA NETWORKS UAP

                                [***]* & [***]*

                                STATEMENT OF WORK

                                   VERSION 1.2

                                   May 3, 1999

* CONFIDENTIAL TREATMENT REQUESTED. CONFIDENTIAL PORTION HAS BEEN FILED
  SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.
<PAGE>   11
--------------------------------------------------------------------------------

RELATED PUBLICATIONS

[1] Provisioning an NE, Anda Networks, September, 1998.

[2] Provisioning Menu, Anda Networks, September, 1998.

[3] Anda [***]* Functional Requirement Specification, Trigon Technology Group,
    September, 1998.

[4] Managed Object Attributes, Anda Networks, September, 1998.

[5] Anda TL1 Message Reference Guide, Version 0.5, Anda Networks, April, 1999.

--------------------------------------------------------------------------------
(C) COPYRIGHT 1998 TRIGON TECHNOLOGY GROUP
--------------------------------------------------------------------------------

* CONFIDENTIAL TREATMENT REQUESTED. CONFIDENTIAL PORTION HAS BEEN FILED
  SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.
<PAGE>   12

                                                               TABLE OF CONTENTS
================================================================================

TABLE OF CONTENTS

<TABLE>
<CAPTION>
<S>                                                                                                       <C>
     0.    PREFACE.........................................................................................1
             a.  Document Structure........................................................................1
             b.  Document Version History..................................................................1
             c.  Acronyms..................................................................................1

PART I - INTRODUCTION .....................................................................................1

     1.    INTRODUCTION....................................................................................2

     2.    PRICING.........................................................................................3

PART II - [***]* ..........................................................................................4

     0.    PREFACE.........................................................................................5
             a.  Document Structure........................................................................5
             b.  Document Version History..................................................................5
             c.  Acronyms..................................................................................5

     1.    INTRODUCTION....................................................................................6
             a.  General System Description................................................................6
                     i.   General Operation................................................................6

     2.    PROPOSED ARCHITECTURE...........................................................................8
             a.  Design Philosophy.........................................................................8
             b.  Overview..................................................................................8
                     i.   System Requirements .............................................................9
                    ii.   Functional Modules ..............................................................9
                   iii.   Advantages .....................................................................10
                    iv.   System Reliability .............................................................10
                     v.   Extensibility and Growth........................................................10

     3.    FUNCTIONAL REQUIREMENTS........................................................................11
             a.  Development Environment..................................................................11
                     i.   Hardware........................................................................11
                    ii.   Software........................................................................11
             b.  Anda's Interface.........................................................................11
             c.  [***]* Interface Module..................................................................11
             d.  Configuration Module.....................................................................12
             e.  Performance Module.......................................................................13
             f.  Fault Module.............................................................................13
             g.  Audit Trail Module.......................................................................13
             h.  Database Interface.......................................................................14
             i.  Logger Module............................................................................14

     4.    PROJECT ACTIVITIES.............................................................................15
             a.  Requirements Analysis....................................................................15
             b.  Requirements Review......................................................................15
</TABLE>

--------------------------------------------------------------------------------

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                                       i

<PAGE>   13

                                                               TABLE OF CONTENTS
================================================================================

<TABLE>
<CAPTION>
<S>                                                                                                       <C>
           c.  Design...................................................................................15
           d.  Design Review............................................................................16
           e.  Implementation and Unit Testing..........................................................16
           f.  Integration with UAP.....................................................................16
           g.  Test Plan................................................................................16
           h.  System Test..............................................................................17

     5.    PROJECT SCHEDULE...............................................................................18

     6.    ASSUMPTIONS....................................................................................19

     7.    PRICING........................................................................................20

PART III - UAP 2000 [***]* ...............................................................................21

     0.    PREFACE........................................................................................22
             a.  Document Structure.......................................................................22
             b.  Document Version History.................................................................22
             c.  Acronyms.................................................................................22

     1.    INTRODUCTION...................................................................................23
             a.  General System Description...............................................................23
                     i.    General Operation .............................................................23

     2.    PROPOSED ARCHITECTURE..........................................................................26
             a.  Design Philosophy........................................................................26
             b.  Overview.................................................................................26
                     i.   System Requirements ............................................................27
                    ii.   Functional Modules .............................................................27
                   iii.   Advantages .....................................................................27
                    iv.   System Reliability .............................................................28
                     v.   Extensibility and Growth........................................................28

     3.    FUNCTIONAL REQUIREMENTS........................................................................29
             a.  Development Environment..................................................................29
                     i.   Hardware........................................................................29
                    ii.   Software .......................................................................29
             b.  Anda's Interface.........................................................................29
             c.  [***]* ..................................................................................29
                     i.   High Level View of [***]* ......................................................31
             d.  [***]* specification.....................................................................31
             e.  [***]* Gateway...........................................................................32
                     i.   [***]* Access Interface ........................................................32
                    ii.   Security Administration ........................................................32
                   iii.   Performance Monitoring .........................................................32
                    iv.   Logger .........................................................................32
                     v.   Database Module ................................................................33
                    vi.   Report Generation ..............................................................33
                   vii.   Protocol Conversion ............................................................33

     4.    PROJECT ACTIVITIES.............................................................................34
             a.  Requirements Analysis....................................................................34
             b.  Requirements Review......................................................................34
</TABLE>

--------------------------------------------------------------------------------

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                                       ii

<PAGE>   14

                                                               TABLE OF CONTENTS
================================================================================

<TABLE>
<CAPTION>
<S>                                                                                                       <C>
             c.  Design...................................................................................34
             d.  Design Review............................................................................35
             e.  Implementation and Unit Testing..........................................................35
             f.  Test Plan................................................................................35
             g.  System Test..............................................................................35
             h.  Onsite Integration.......................................................................35

     5.    PROJECT SCHEDULE...............................................................................36

     6.    ASSUMPTIONS....................................................................................37

     7.    PRICING........................................................................................38
</TABLE>

--------------------------------------------------------------------------------
                                      iii
<PAGE>   15

LIST OF FIGURES

<TABLE>
<S>                                                                         <C>
Figure 1. [***]* Architecture................................................. 8

Figure 2.  [***]* Architecture................................................27

Figure 3. High Level View of [***]*...........................................31
</TABLE>

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<PAGE>   16
                                                                               1
================================================================================
0. PREFACE

This section describes the organization, version history, acronyms used within
the document.

--------------------------------------------------------------------------------
a. DOCUMENT STRUCTURE

This document is organized into sections as defined below:

       PREFACE          This section describes the document structure,
                        conventions, and references used to develop this
                        document.

       PART I           Introduction - This section describes the purpose of the
                        document.

       PART II          [***]* - This part describes the statement of work for
                        the UAP 2000 [***]*.

       PART III         [***]* - This part describes the statement of work for
                        the UAP 2000 [***]*.

--------------------------------------------------------------------------------
b. DOCUMENT VERSION HISTORY

--------------------------------------------------------------------------------
c. ACRONYMS

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<PAGE>   17
                                                                               1
================================================================================

                              PART I - INTRODUCTION

<PAGE>   18
                                                                               2
================================================================================

1.   INTRODUCTION

This document describes the TTG statement of work, for the development of the
following network management systems, for the management of the ANDA Networks
UAP 2000 product line ("UAP 2000" is used in the rest of this document to refer
to the UAP 2000 product line).

1.   UAP 2000 [***]* - This software implements the [***]* , which is embedded
     in the UAP 2000 device for providing an external [***]* based management
     interface. Part II of this document provides a detailed description of the
     [***]* and the associated delivery and pricing schedules.

2.   UAP 2000 [***]* - This software implements the [***]* for the ANDA UAP 2000
     product. It will be a stand-alone [***]* based system operating external to
     the UAP 2000 device. Part III of this document provides a detailed
     description of the [***]* and the associated delivery and pricing
     schedules.

This proposal provides ANDA Networks the flexibility to have independent
development schedule for the two interfaces. The schedule for the [***]*
will be as described in this proposal. The schedule for [***]* will be decided
at a later date. The break down of the [***]* development given in this proposal
is for reference only. The dates of delivery for various items in the [***]*
will be adjusted depending on the start date chosen in the future.

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                                                                               3
================================================================================

2.   PRICING

The total price for the development of the [***]* and the [***]* will include
NRE and royalties. The total NRE is $[***]*. The royalty schedule is stated
later in this section. The [***]* project will start with the initial project
payment by [***]*. Anda shall have the option to commit to the [***]* project
later and the quote for the NRE cost of the [***]* project shall remain valid
till January 31, 2000.

The following table shows the breakdown of price between the two interfaces.

<TABLE>
<CAPTION>
         INTERFACE                                       NRE COST
         ---------                                       --------
<S>                                                      <C>
[***]*                                                   $[***]*
[***]*                                                   $[***]*
TOTAL COST                                               $[***]*
</TABLE>

All pre-approved travel and living expenses incurred for the development and
delivery of above two interfaces will be billed to ANDA Networks at cost.

Royalties

In addition to the development of the [***]*, Trigon will license to Anda its
[***]* which is currently under development. Anda will use the [***]* and commit
engineering resources to adapt the [***]* to work with Anda's [***]*, as
outlined in the Statement of Work for the [***]*.

For each system shipped by Anda ,or Anda's OEMs, with one or more copies or
licenses of the [***]* or one or more copies of the [***]* ("[***]*") derived
from Trigon's [***]*, Anda will pay a royalty to Trigon, according to the
following declining royalty schedule:

<TABLE>
<CAPTION>
System no.        [***]* per copy fee     [***]* per copy fee
----------        -------------------     -------------------
<S>               <C>                     <C>
1 - 50            $[***]*                 $[***]*
51 - 100          $[***]*                 $[***]*
101 - 500         $[***]*                 $[***]*
501 - 1000        $[***]*                 $[***]*
1001 - 2000       $[***]*                 $[***]*
2001 - 5000       $[***]*                 $[***]*
5001 - 10000      $[***]*                 $[***]*
</TABLE>

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<PAGE>   20
                                                                               4
================================================================================

                                PART II - [***]*

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<PAGE>   21
                                                                               5
================================================================================

0.   PREFACE

This section describes the organization, version history, acronyms used within
the document.

--------------------------------------------------------------------------------
a. DOCUMENT STRUCTURE

This part of the document is organized into sections as defined below:

        PREFACE         This section describes the document structure,
                        conventions, and references used to develop this
                        document.

        SECTION 1       Introduction

        SECTION 2       Proposed Architecture - This section describes the
                        architecture being proposed for the project.

        SECTION 3       Functional Requirements - This section briefly
                        outlines work involved in the project.

        SECTION 4       Project Activities - This section describes the
                        different phases in the implementation of the project.

        SECTION 5       Project Schedule - This section lists implementation
                        time of each component.

        SECTION 6       Assumptions - This sections lists the assumptions made
                        in this proposal.

        SECTION 7       Pricing - This section provides the pricing for the
                        implementation of the project.

--------------------------------------------------------------------------------
b. DOCUMENT VERSION HISTORY

--------------------------------------------------------------------------------
c. ACRONYMS

<PAGE>   22
                                                                               6
================================================================================

1.      INTRODUCTION

This document provides a statement of work for the development of [***]* to be
embedded into the ANDA Networks UAP 2000 product. The purpose of this document
is to identify

-    the scope of project
-    the work involved in the implementation of the [***]*
-    Time Estimates and
-    Pricing

Providing a [***]* Interface to ANDA UAP product is a joint effort between ANDA
and TTG. This document mainly focuses on the responsibilities of TTG with a few
references to the responsibilities of ANDA.

The remaining part of this section provides a general description of the agent
solution that will be developed for Anda by TTG.

--------------------------------------------------------------------------------
a. GENERAL SYSTEM DESCRIPTION

[***]* provides a [***]* based network management interface to the UAP 2000.
[***]* Systems developed by customers of ANDA Networks can interact with UAP
2000 product using [***]*. This will provide high degree of flexibility for
developers of network management systems and also provide ANDA the advantage of
having a leading edge network management interface. The purpose of the [***]* is
to manage both [***]* and other extended features (such as [***]*, [***]*,
[***]*, and [***]*) offered by the UAP 2000 product. The [***]* will be
developed using the [***]* ([***]*).

The remainder of this section outlines various major components and functions
provided by the [***]*. More detailed description is provided in the following
sections of the documents.

i. GENERAL OPERATION

(1) SYSTEM

[***]* will be embedded into the UAP 2000 product and can be accessed using the
services offered by any [***]* platform. [***]* will come up as part of the
general start up sequence of the UAP 2000. [***]* supported by the UAP 2000 will
be distributed to customers of ANDA Networks.

(2) [***]*

The [***]* does not have any [***]*.

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                                                                               7
================================================================================

(3) SOFTWARE UPDATES

The software will be designed so that individual objects (functions) may be
added into the system without the need for a complete replacement of the
platform software, or re- installation. It is desirable to allow software to be
added to the system without a system-wide outage.

(4) SECURITY

The [***]* will provide [***]* authentication.

(5) SYSTEM ADMINISTRATION

[***]* will provide API for integration with ANDA local craft interface for the
purpose of administration of the [***]*. Administration will include
configuration of tracing, logging, usage of threads, semaphores, database etc.

(6) DATABASE

The [***]* shall provide hooks for integration with ANDA's database of choice.
API will also be provided for different modules in the UAP to access information
stored in the [***]* database.

(7) AUDIT TRAIL

The [***]* will store information about all operations performed for the
purposes of audit. The [***]* shall provide hooks for the purpose of routing the
audit trail records to a device (printer, disk, etc.) of choice.

(8) ALARM MANAGEMENT

[***]* includes the ability to generate alarms corresponding to faults and
troubles detected in the UAP 2000 product. [***]* will provide API for
integration with UAP alarm subsystem. [***]* shall create log records for all
alarms raised. [***]* will also provide capability to the network management
system for applying [***]* for the [***]* generated and logged by the UAP
product. The [***]* will also provide the network management system with the
capability to set up alarm severity assignments for various alarms that can be
raised by the [***]*. [***]* shall also maintain counters of different types of
outstanding alarms.

(9) PERFORMANCE MANAGEMENT

[***]* includes the capability to collect performance management information.
API will be provided for the integration with UAP performance data collection
software. The [***]* will have the capability to collect alarms and record them
at different granularity periods. Performance data will be available to network
management systems on a daily, hourly and minute basis. Threshold crossing
alerts will also be generated by the [***]*. The [***]* will provide API to
interface with the UAP local craft for the administration of the granularity
periods, number of intervals and threshold values for performance management.

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                                                                               8
================================================================================

2.   PROPOSED ARCHITECTURE

This section briefly describes the architecture being proposed for the
implementation of [***]*.

--------------------------------------------------------------------------------
a.    DESIGN PHILOSOPHY

The [***]* will be implemented using the [***]*. It will be designed to allow
the external interfaces to be modified easily as the needs of the customer
change, and standardized interfaces are developed. The core functionality will
be shielded from the external interfaces via strictly defined and maintained
APIs, and interaction between functional sections of the system is also
structured so that enhancements to one feature or function will have predictable
and limited impact to all other areas of the system. The NE specific functions
and databases will be isolated from the main system and be easy to test and
configure to minimize maintenance over the product lifetime.

--------------------------------------------------------------------------------
b.    OVERVIEW

The system architecture for this approach is shown in Figure 2.

                                     [***]*

                         FIGURE 1. [***]* ARCHITECTURE

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                                                                               9
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i. SYSTEM REQUIREMENTS

The System requirements for this approach are:

-    The [***]* will co-exist with the [***]* and other [***]* on the
     system board.

-    The amount of RAM and flash required for the [***]* software and database
     will be determined at a later stage.

-    Database should be provided by ANDA. The [***]* will define hooks to
     interface to the database of ANDA's choice.

ii. FUNCTIONAL MODULES

The main functional modules in the system are:

-    [***]* INTERFACE MODULE: This module provides the [***]* Interface to the
     external management systems. [***]* requests will be received by this
     module and forwarded to other modules in the [***]* for execution.
     Responses, alarms and threshold violation alerts will be received from
     different modules and forwarded to external network management systems.

-    PERFORMANCE MODULE: This module maintains the performance management data
     collected by the [***]*. This module will compute the data for different
     granularity periods periodically. New performance data is reported to this
     module by other modules outside of the [***]* in the UAP using the API
     provided by the [***]*. As new data is received this module will perform
     the necessary aggregations and determine threshold violations. Any
     threshold violations determined will be reported to the external management
     systems and also logged within the [***]*.

-    LOGGER MODULE: This module maintains different kinds of audit trails/logs
     for different operations performed by [***]*. This will be useful for
     report generation.

-    DATABASE INTERFACE: This module involves updating the database with
     application data, performance data, log data, configuration data.

-    FAULT MODULE: This module receives alarms and notifications from other UAP
     subsystem via the API, stores them in the local database and forward them
     to the external management systems. This module supports the capability for
     external management systems to:

     -    setup filters for alarms to be reported

     -    assign severity levels for various alarms that can be raised by the
          UAP

     -    setup filters for alarms that should be logged to the database for
          later retrieval.

-    CONFIGURATION MODULE: This module receives configuration data for the
     various configurable entities in the UAP (Interface Groups, DS1s per
     interface group etc.) and stores them in the local database. The
     configuration information is reported to the other modules in the UAP using
     the API shown in Figure 2.

-    AUDIT TRAIL MODULE: This module receives a copy of all requests received by
     the [***]* and logs them in the database for the purpose of auditing.

-    INTEGRATION API: This module provides the API for integration with other
     modules in the UAP. It also defines the hooks described in the previous
     sections.

Please refer to Section 6 for the list of assumptions.

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                                                                              10
================================================================================

iii. ADVANTAGES

-    Flexible architecture

-    Scalable

-    Open [***]* interface allows any application to interface with the [***]*

iv. SYSTEM RELIABILITY

It should be noted that the initial versions of the software will not comply the
reliability expectations stated below.

Reliability is a very important aspect of this system. The system is assumed to
be operating 24 hours a day, and 7 days a week. The basic architecture and
improved CPU should assume that maintenance and upgrades could be done without a
system outage. The [***]* will be offered in redundant configurations. Users
should not be required to take any action when a system switch-over occurs,
although it may be acceptable to suspend operator activity until the [***]* is
stabilized. The operator will NOT need to login to regain control of the system.

v. EXTENSIBILITY AND GROWTH.

The [***]* will be designed so that the system can be easily extended to
support future enhanced services of the UAP 2000 product.

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                                                                              11
================================================================================

3.   FUNCTIONAL REQUIREMENTS

This section describes the work involved in the implementation of the [***]*
solution.

--------------------------------------------------------------------------------
a. DEVELOPMENT ENVIRONMENT

The following are the hardware and software requirements for the development
environment:

i. HARDWARE

-    [***]* workstation

-    UAP 2000

ii. SOFTWARE

-    C++ development environment

-    [***]* development environment

-    [***]* software from [***]*

--------------------------------------------------------------------------------
b. ANDA'S INTERFACE

ANDA Networks will perform the integration of the [***]* with the database and
other modules in the UAP.

--------------------------------------------------------------------------------
c. [***]* INTERFACE MODULE

The [***]* Interface shall have the following functionality:

-    [***]* Interface shall support the following generic functionality.

     -    Login and Logout by network management systems.

     -    Capability for multiple network management systems to login and
          perform operations at the same time.

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                                                                              12
================================================================================

-    [***]* Interface shall provide [***]* for the following configuration
     management functions:

     -    Configuration of resources for the [***]* interface.

     -    Configuration of resources for the [***]* interface (and [***]* or
          [***]* if available by 12/15/99).

-    [***]* Interface shall provide [***]* for the following performance
     management functions:

     -    Provisioning of the number of intervals for which data is kept in the
          [***]*.

     -    Provisioning of the length of intervals of each granularity supported
          by the [***]* (daily, hourly and minutes).

     -    Provisioning of threshold values for various performance parameters
          collected by the [***]*.

     -    Retrieval of information provisioned for performance management.

     -    Retrieval of current and historical performance data stored in the
          [***]*.

     -    Retrieval of threshold violation logs stored in the [***]*.

     -    Registration of [***]* Applications interested in receiving
          performance reports.

-    [***]* Interface shall provide [***]* for the following fault management
     functions.

     -    Provisioning of filters for the purpose of reporting selective alarms.

     -    Provisioning of alarm severity assignments for the purpose of
          determining severity of faults and troubles detected by the [***]*.

     -    Provisioning of filters for the purpose of selective logging of alarms
          raised in the [***]*.

     -    Retrieval of information provisioned for fault management.

     -    Retrieval of alarm records stored in the [***]*.

     -    Purging of alarm records stored in the [***]*.

     -    Registration of Network Management Applications interested in
          receiving alarm reports.

--------------------------------------------------------------------------------
d. CONFIGURATION MODULE

The configuration module shall provide following functionality:

-    Configuration of [***]* interface groups

-    Configuration of DS1's on the IG facing side

-    Configuration of DS1's on the CP side

-    State Management for the CRVs created by IG

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                                                                              13
================================================================================

-    State Management of DS1's

-    Capability to invoke protection switching of facilities supporting
     protection.

-    Provisioning of facilities used for [***]* and management of states of
     these facilities.

--------------------------------------------------------------------------------
e. PERFORMANCE MODULE

The performance module shall support the following functionality:

-    Collection of performance information (counters) for various quantities
     such as Code Violations, Errored Seconds etc.

-    Generation of threshold crossing alerts based on threshold configuration
     setup by network management systems.

-    Maintain history information of all performance data collected.

-    Maintain performance information for the following granularities: daily,
     hourly and minutes.

-    Maintain historical information as follows: last eight daily intervals,
     last 24 hourly intervals and last 12 fifteen minute periods.

--------------------------------------------------------------------------------
f. FAULT MODULE

The fault module shall support the following functionality:

-    Receive fault information from other UAP modules and forward to network
     management systems.

-    Log all alarms raised in the local database.

-    Use filters setup by network management systems for forwarding alarms and
     storing in the local database.

-    Use the alarm severity assigned for various alarms by the network
     management systems, while raising alarms.

-    Manage the states of the resources (objects) in the system on the
     occurrence of alarms.

--------------------------------------------------------------------------------
g. AUDIT TRAIL MODULE

The audit trail module shall support the following functionality:

-    Keep an audit trail of all requests received by the [***]*.

-    Keep an audit trail of all possible responses by the [***]*.

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                                                                              14
================================================================================

-    Keep an audit trail of operations denied by the [***]*.

-    Keep an audit trail of invalid operations received by the [***]*.

-    Keep an audit trail of network management systems login and logout
     activities.

--------------------------------------------------------------------------------
h. DATABASE INTERFACE

The database interface shall support the following functionality:

-    Convert the data model defined for the [***]* into objects in the
     database.

-    Provide interface to access objects both through the [***]* Interface and
     directly using API.

-    Provide hooks for integration with the storage medium and database of
     ANDA's choice.

--------------------------------------------------------------------------------
i. LOGGER MODULE

The logger module provides the following functionality:

-    Provide capability to log program errors into files.

-    Provide capability to log program traces into files.

-    Provide capability to control the generation of program traces and program
     logs.

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<PAGE>   31
                                                                              15
================================================================================

4. PROJECT ACTIVITIES

This section outlines the activities involved in the project development.

--------------------------------------------------------------------------------
a. REQUIREMENTS ANALYSIS

This involves identifying requirements for the [***]*. This will be based
on specifications supplied by Anda. The following items will be considered:

-    Features supported by UAP for [***]*, [***]* and other services including
     [***]* and [***]*.

-    Description of the features in terms of objects, attributes and operations.

-    Database storage.

-    Tracing and logging of [***]* and [***]*

-    [***]*

-    Performance management

A detailed Requirements Document shall be produced by the end of this phase.

--------------------------------------------------------------------------------
b. REQUIREMENTS REVIEW

This phase involves:

-    Review the requirements drafted by TTG.

-    Establish common understanding between TTG and Anda regarding the
     functionality of the [***]*.

If necessary, this will be done in the form of a meeting between TTG and Anda
representatives.

--------------------------------------------------------------------------------
c. DESIGN

TTG shall prepare a detailed design for the [***]* that involves the
following:

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                                                                              16
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-    Identification of software components of the [***]*.

-    Identify the APIs and hooks to be provided by ANDA.

-    Document the data model in the modeling language (OMG Meta Object
     Definition Language, OMG MODL) supported by [***]*.

--------------------------------------------------------------------------------
d. DESIGN REVIEW

This phase involves:

-    Review the design document drafted by TTG.

-    Establish a common understanding between TTG and Anda, of the system
     design.

--------------------------------------------------------------------------------
e. IMPLEMENTATION AND UNIT TESTING

This phase involves:

-    Implementation of the components specified in the design document.

-    Unit testing of the above implementation.

-    System Integration

--------------------------------------------------------------------------------
f. INTEGRATION WITH UAP

The [***]* software developed by TTG will be integrated with other modules
in the UAP by ANDA. TTG shall provide the necessary documentation. Technical
support over the phone to ANDA engineers to support the integration shall also
be provided as part of this project.

TTG shall also provide consultation services, if necessary, during this phase.
The cost estimates for such services are not addressed in this proposal.

--------------------------------------------------------------------------------
g. TEST PLAN

ANDA shall prepare the test plan to test the [***]* based on the
requirements and design documents.

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                                                                              17
================================================================================

h. SYSTEM TEST

ANDA shall execute the test plan and report any troubles to TTG. All the
troubles reported in the process shall be fixed by TTG.

<PAGE>   34
                                                                              18
================================================================================

5.   PROJECT SCHEDULE

The following are the project deliverables from TTG:

-    Requirements Specification
-    Requirements Review Report
-    Design Specification
-    Design Review Report
-    Software after Unit Testing

ANDA is responsible for the following items:

-    [***]* Integration with UAP.
-    Test Plan
-    System Test

The following are the various tasks and completion dates assuming that the
project starts on [***]* with the deposit of the first project payment.

<TABLE>
<CAPTION>
              Task                                    Completion Date
              ----                                    ---------------
<S>                                                   <C>
REQUIREMENTS ANALYSIS                                     [***]*
REQUIREMENTS REVIEW                                      [***]*
DESIGN                                                   [***]*
DESIGN REVIEW                                            [***]*
IMPLEMENTATION AND UNIT TESTING                          [***]*
ONSITE INTEGRATION                                      TBD BY ANDA
TEST PLAN                                               TBD BY ANDA
SYSTEM TEST                                             TBD BY ANDA
</TABLE>

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  SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.
<PAGE>   35
                                                                              19
================================================================================

6.   ASSUMPTIONS

The following assumptions are made in this proposal.

1.   Providing a [***]* Interface to UAP is a joint development effort by ANDA
     and TTG.

2.   The [***]* is implemented using the [***]*.

3.   TTG shall only develop Corba Interface to UAP. A separate quote shall be
     provided by TTG if any other interfaces such as SNMP, TL1 are desired.

4.   ANDA will integrate the [***]* software with the database.

5.   ANDA will integrate the [***]* software with the other modules in the
     UAP.

6.   ANDA will document and execute the system test plan for the [***]*.

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<PAGE>   36
                                                                              20
================================================================================

7.   PRICING

The total NRE cost for the implementation of the UAP [***]* is $[***]*.

The payment schedule for the above amount is shown in the following table.

<TABLE>
<CAPTION>

-----------------------------------------------------------------------------------------------
     PROJECT STATE                DATE            PERCENTAGE OF TOTAL           AMOUNT
                                                         COST
-----------------------------------------------------------------------------------------------
<S>                             <C>               <C>                          <C>
Project Start                     [***]*                  30%                   $[***]*
-----------------------------------------------------------------------------------------------
Requirements Review               [***]*                  30%                   $[***]*
-----------------------------------------------------------------------------------------------
Design Review complete            [***]*                  20%                   $[***]*
-----------------------------------------------------------------------------------------------
Corba Agent Delivered             [***]*                  20%                   $[***]*
to ANDA for integration
-----------------------------------------------------------------------------------------------
</TABLE>

One user license for the [***]* will also be provided to ANDA as part of the
[***]* delivery.

All pre-approved (by ANDA) travel and living expenses during the project will be
billed to ANDA at cost as incurred.

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  SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.

<PAGE>   37
                                                                              21
================================================================================

                           PART III - UAP 2000 [***]*

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  SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.
<PAGE>   38
                                                                              22
================================================================================

0.   PREFACE

This section describes the organization, version history, acronyms used within
the document.

--------------------------------------------------------------------------------
a.   DOCUMENT STRUCTURE

This part of the document is organized into sections as defined below:

        PREFACE          This section describes the document structure,
                         conventions, and references used to develop this
                         document.

        SECTION 1        Introduction - This section describes the purpose of
                         the document.

        SECTION 2        Proposed Architecture - This section describes the
                         architecture being proposed for the project.

        SECTION 3        Functional Requirements - This section briefly
                         outlines work involved in the project.

        SECTION 4        Project Activities - This section describes the
                         different phases in the implementation of the project.

        SECTION 5        Project Schedule - This section lists implementation
                         time of each component.

        SECTION 6        Assumptions - This sections lists the assumptions made
                         in this proposal.

        SECTION 7        Pricing - This section provides the pricing for the
                         implementation of the project.

--------------------------------------------------------------------------------
b.   DOCUMENT VERSION HISTORY

--------------------------------------------------------------------------------
c.   ACRONYMS

<PAGE>   39

                                                                              23
================================================================================

1.   INTRODUCTION

This part of the document is a proposal for Anda's [***]* project. The purpose
of this document is to identify

-   the scope of project
-   the work involved in the implementation of the [***]*
-   Time Estimates and
-   Pricing

The remaining part of this section provides a general description of [***]*
solution that will be developed for Anda by TTG.

--------------------------------------------------------------------------------
a.    GENERAL SYSTEM DESCRIPTION

[***]* is a software product that shall support Anda Access Network Elements. It
provides OAM&P (operations, administration, maintenance & provisioning) to
Anda's [***]* and ATM access network elements. It supports the TL1 based
interface to Anda [***]*, and supports a [***]*-based interface to the upper
management systems. The [***]* can be scaled to support multiple network
elements in future The [***]* is designed around a core set of features and
functions that are standardized across multiple [***]* products, giving it a
predictable and comprehensive set of features.

The remainder of this section outlines various major components and functions
provided by the [***]*. More detailed description is provided in the following
sections of the documents.

i.    GENERAL OPERATION

ii.   SYSTEM

[***]* may be operated either from a PC-based [***]*, or a web browser. The
[***]* shall support multiple operators. It operates using NT based
communications server, and utilizes a [***]*.

iii.  [***]*

The operator [***]* will be developed to provide a clear and consistent product
image and operation to the Anda's end customer.

The operators of the [***]* will operate with the aid of various graphical
screens that will be designed to minimize operator training requirements, while
at the same time the operator will be allowed to directly access functionality
using system menus and the computer keyboard.

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                                                                              24
================================================================================

iv.   UPLINK

The uplink supported initially is [***]*.

v.    SOFTWARE UPDATES

The software will be designed so that individual applications may be added into
the system without the need for a complete replacement of the platform software,
or re- installation. It is desirable to allow software to be added to the system
without a system-wide outage.

vi.   SECURITY

[***]* will provide all access security functions and operator logging functions
for a distributed management system. The operators will each have individual
passwords. It is assumed that the system will be operating on a secure intranet
LAN. Internet firewall security must be provided with a separate product.

vii.  SYSTEM ADMINISTRATION

[***]* will provide the tools and functions that allow the [***]* system to be
administered. This involves operating security functions, updating topology
information, performing database backups, examining logfiles, etc. Our goal is
to perform all system administration without the need for a system shutdown.

viii. TOPOLOGY

The basis for all operation and functionality of the [***]* system is the
concept of the topology view. The [***]* is represented on the operator screen
as a series of icons and lines. The topology view will allow navigation of all
the managed objects contained in the [***]*.

ix.   REPORT GENERATION

One of the goals of the [***]* is to provide the operator with specific
information on the network configuration, the network status, and network
capacity. Reports are used to allow the operator to pass information to other
groups or individuals, to confirm actions or network changes, and to archive
specific information on the network or customer. [***]* will be designed with a
reporting subsystem that is used to define, generate, and display reports for
the operator. Standard reports will be pre-defined, but the operator may add
additional customized reports as desired.

Reports can be displayed on the operator screen, output to a specified printer,
or saved into a file on either the [***]* server, or on the operator terminal.

x.    ALARM MANAGEMENT AND LOCALIZATION

[***]* includes the ability to process and display alarm and event information
that is received from the network elements. The events are captured and stored
in the [***]* database and may be retrieved at any time. The [***]* can [***]*
before they are [***]* to the [***]*, thus [***]* the [***]* of [***]* sent to
the [***]*. If the operator has the [***]*, [***]* of the [***]* will [***]* to
indicate the severity of the [***]*. The [***]* is also [***]* onto a [***]* of
[***]*,

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<PAGE>   41
                                                                              25
================================================================================

which [***]* the [***]* of [***]* that have been received for each category.
Reports will be available that [***]*, as well as details for the event record.

xi.   PERFORMANCE MANAGEMENT

The [***]* provides a set of functions that can collect [***]* from the [***]*,
and store that information into a database for later reporting. The [***]* can
be exported to external applications as desired to provide analysis and graphing
capabilities. Detailed performance studies can be conducted to allow the
operator to [***]* the [***]* of [***]* over any 15 minute interval.

xii.  [***]* MANAGEMENT

[***]* will provide complete management of all [***]*, including the following:

- Current alarm [***]*,
- Event history [***]*,
- System event [***]*,
- Performance history [***]*,

Allows the performance information to be stored in the [***]* and later output
as a report or a histogram.

-   Operator [***]*,
-   Message [***]*,

The capacity of the raw message [***]* will be designed to accommodate the
messages from one full day of [***]* operation.

-   SW download status.

Each stage of the download and activation process should be logged, so if any
faults occur, the operator can analyze the problem.

xiii. DATABASE

The [***]* will provide comprehensive database functionality. The database
module will be able to store the necessary information in a persistent storage
(database). This module will also provide capability to backup and restore the
database. It also provides a database monitoring function in order to detect %
usage of database and other necessary statistics.

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<PAGE>   42

                                                                              26
================================================================================

2.   PROPOSED ARCHITECTURE

This section briefly describes the architecture being proposed for the
implementation of [***]*.

--------------------------------------------------------------------------------
a.  DESIGN PHILOSOPHY

The system architecture for the [***]* will be implemented using distributed
object oriented techniques to allow feature and capacity enhancements to be
developed with minimum impact to the core functionality of the [***]*. It will
be designed to allow the external interfaces to be modified easily as the needs
of the customer change, and standardized interfaces are developed. The core
functionality will be shielded from the external interfaces via strictly defined
and maintained APIs, and interaction between functional sections of the system
should also be structured so that enhancements to one feature or function will
have predictable and limited impact to all other areas of the system. The [***]*
specific functions and databases will be isolated from the main system and be
easy to test and configure to minimize maintenance over the product lifetime.

--------------------------------------------------------------------------------
b.  OVERVIEW

The system architecture for this approach is shown in Figure 2.

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<PAGE>   43

                                                                              27
================================================================================

                                   [***]*

                FIGURE 2. [***]* ARCHITECTURE

In this approach the [***]* is combination of pure [***]* based front-end and a
[***]* server, which communicates with the [***]* using a [***]* interface.

i.  SYSTEM REQUIREMENTS

The System requirements for this approach are:

-   A PC with [***]* with [***]* Environment

-   A [***]* workstation

-   Object Design's [***]*  Database

ii.  FUNCTIONAL MODULES

The main functional modules in the system are:

-   [***]*: This module is the [***]* for the [***]*. [***]* is used to send
    [***]* commands to the [***]* gateway which in turn are sent to the RDT.
    This access interface can be used by any other [***]* client.

-   SECURITY MODULE: This module provides a simple user management functionality
    to the system. This involves maintaining:

        -  user ids and password

        -  permitted privileged operations per given user

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                                                                              28
================================================================================

-   PERFORMANCE MODULE: This module does the performance monitoring function

-   LOGGER MODULE: This module maintains different kinds of audit trails/logs
    for different operations performed by [***]*. This will be useful for report
    generation.

-   DATABASE INTERFACE: This module involves updating the database with
    application data, performance data, log data, security data.

-   FAULT MODULE : This module receives alarms and notifications from the
     [***]*, stores them in the local database and forward them to the [***]*
     for display

-   CONFIGURATION MODULE: This module receives configuration requests from the
    [***]*, formats the data and forwards them to the [***]*.

-   REPORTING MODULE: This module receives report generation requests from the
    [***]* and generates reports using the data from the local database.

-   PROTOCOL CONVERSION AND ROUTING: This module performs the necessary
    conversion between the internal data and the TL1 data. The converted data is
    then routed to the [***]*.

Please refer to Section 6 for the list of assumptions.

iii. ADVANTAGES

-   [***]*

-   Scalable

-   Open [***]* interface allows any application to interface with the [***]*
     via the [***]* Gateway

iv.  SYSTEM RELIABILITY

It should be noted that the initial versions of the software will not comply the
reliability expectations stated below.

Reliability is a very important aspect of this system. The system is assumed to
be operating 24 hours a day, and 7 days a week. The basic architecture and
improved CPU should assume that maintenance and upgrades could be done without a
system outage. The element managers in the system will also be offered in
redundant configurations, so the total system behavior must be defined. Users
should not be required to take any action when a system switch-over occurs,
although it may be acceptable to suspend operator activity until the [***]* is
stabilized. The operator will NOT need to login to regain control of the system.

v.   EXTENSIBILITY AND GROWTH.

The [***]* will be designed so that the system can be easily extended to support
[***]*.

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<PAGE>   45
                                                                              29
================================================================================

3.   FUNCTIONAL REQUIREMENTS

This section describes the work involved in the implementation of [***]*
solution.

--------------------------------------------------------------------------------
a.  DEVELOPMENT ENVIRONMENT

The following are the hardware and software requirements for the development
environment:

i.  HARDWARE

-   [***]* workstation

ii.  SOFTWARE

-   C++ development environment

-   [***]* or [***]* development environment

-   [***]*

-   [***]*

--------------------------------------------------------------------------------
b.  ANDA'S INTERFACE

The TL1 message set defined in [5] shall be used for communication between the
[***]* and the [***]*.

--------------------------------------------------------------------------------
c.  [***]*

The [***]* shall have the following functionality:

-   [***]* shall support User login and logout

-   [***]* shall provide the security management functionality

-   Each [***]* session shall allow operations on ONLY ONE [***]*

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<PAGE>   46
================================================================================

-   [***]* has a console that displays the alarms coming in from the [***]*.

-   [***]* shall have functionality to generate reports

-   [***]* shall have functionality to view performance statistics

-   [***]* has a menu which supports the operations shown in the table below

<TABLE>
<CAPTION>

------------------------------------------------------------------------------------------
           OBJECT                             OPERATIONS                    # OPERATIONS
------------------------------------------------------------------------------------------
<S>                           <C>                                           <C>
[***]*                        exit                                               1
------------------------------------------------------------------------------------------
[***]*                        create, modify, delete, view                       4
------------------------------------------------------------------------------------------
[***]*                        create, modify, delete, view, change               5
                              password
------------------------------------------------------------------------------------------
[***]*                        create, modify, delete, view                       4
------------------------------------------------------------------------------------------
[***]*                        create, modify, delete, view, remove,              12
                              restore, diagnose, diagnose-line-unit,
                              apply-patch, remove-patch, boot-processor,
                              restart-processor
------------------------------------------------------------------------------------------
[***]*                        create, modify, delete, view, roll,                7
                              remove, restore
------------------------------------------------------------------------------------------
[***]*                        create, modify, delete, view, remove,              6
                              restore
------------------------------------------------------------------------------------------
[***]*                        create, modify, delete, view, remove,              6
                              restore
------------------------------------------------------------------------------------------
[***]*                        create, modify, delete, view, remove,              9
                              restore, operate-loopback,
                              release-loopback, fault-loopback
------------------------------------------------------------------------------------------
[***]*                        create, modify, delete, view, remove,              12
                              restore, diagnose, exercise,
                              activate-ext-entity, deact-ext-entity,
                              boot-processor, restart-processor
------------------------------------------------------------------------------------------
[***]*                        create, modify, delete, view                       4
------------------------------------------------------------------------------------------
[***]*                        create, modify, delete, view, remove,              6
                              restore
------------------------------------------------------------------------------------------
[***]*                        create, modify, delete, view, remove,              6
                              restore
------------------------------------------------------------------------------------------
[***]*                        create, modify, delete, view, remove,              6
                              restore
------------------------------------------------------------------------------------------
[***]*                        create, modify, delete, view                       4
------------------------------------------------------------------------------------------
[***]*                        create, modify, delete, view, remove,              6
                              restore
------------------------------------------------------------------------------------------
[***]*                        create, modify, delete, view,                      16
                              change-to-split-full, change-to-monitor,
                              disconnect-test-access, remove, restore,
                              connect-monitor-access,
                              loop-around-to-diagnose-TAP,
                              release-loop-around,
                              connect-full-splitting-access,
                              connect-full-split-out-access,
                              change-to-split-out, change-to-split-in
------------------------------------------------------------------------------------------
[***]*                        create, modify, delete, view, remove,              9
                              restore, initialize-and-restore, diagnose,
                              connect-loop-around-access
------------------------------------------------------------------------------------------
[***]*                        create, modify, delete, view                       4
------------------------------------------------------------------------------------------
[***]*                        create, modify, delete, view,                      10
                              protection-switch, exercise-protection,
                              switch-protection-release,
                              lockout-of-protection,
                              release-lockout-of-protection,
------------------------------------------------------------------------------------------
</TABLE>

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  SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.

<PAGE>   47
                                                                              31
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<TABLE>
<CAPTION>

<S>                           <C>                                                <C>
------------------------------------------------------------------------------------------
                              protection-bridge
------------------------------------------------------------------------------------------
[***]*                        create, modify, delete, view                       4
------------------------------------------------------------------------------------------
[***]*                        create, modify, delete, view,                      9
                              change-to-split-full, change-to-monitor,
                              disconnect-test-access, remove, restore
------------------------------------------------------------------------------------------
[***]*                        create, modify, delete, view,                      9
                              initialize-and-remove, diagnose,  remove,
                              restore, connect-loop-around-access
------------------------------------------------------------------------------------------
[***]*                        create, modify, delete, view                       4
------------------------------------------------------------------------------------------
[***]*                        create, modify, delete, view, remove,              7
                              restore, operate-termination
------------------------------------------------------------------------------------------
                                                         TOTAL OPERATIONS       170
------------------------------------------------------------------------------------------
</TABLE>

i.  HIGH LEVEL VIEW OF [***]*

The following is the view of [***]* provided to the operator:

-   Upon startup the operator shall be prompted for user-id and password
-   Upon successful login a console window appears on the screen
-   The layout of the console window shall be as shown below

                      FIGURE 3. HIGH LEVEL VIEW OF [***]*

-   The main menu (AREA-1) provided in the console supports all the operations
    stated above
-   Operator shall be able to navigate through the [***]* by mouse clicks in
    AREA-3
-   Console will be updated with all the alarms arriving from the [***]*. This
    may be accomplished by changing the component colors in the navigation area.

-   At each point the navigation area shall provide a pop-up menu with all the
    permitted operation for that particular component currently being viewed
-   All the textual messages shall be displayed in AREA-4.
-   AREA-2 will be used to display various charts and graphs containing vital
    statistics such as performance, throughput, etc.,
-   More sub screens will be displayed as needed to take the necessary input
    from the operator.

--------------------------------------------------------------------------------
c.  [***]* SPECIFICATION

A [***]* interface shall be used for communication between the [***]* and the
uplink systems. A well-defined [***]* interface containing operations to perform
various [***]* functions shall be provided. The GUI clients shall use the same
[***]* interface.

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                                                                              32
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--------------------------------------------------------------------------------
d.  [***]* GATEWAY

The [***]* Gateway shall contain the following sub-components:

-   [***]* Access Interface

-   Security Administration

-   Performance Monitoring

-   Logger

-   Database Module

-   Report Generation

-   Protocol Conversion

i.  [***]* ACCESS INTERFACE

This module shall provide the [***]* server functionality. It provides a
IDL/IIOP interface to any client willing to perform manager role operations on
the [***]*. This interface is used by the [***]* described above.

ii.  SECURITY ADMINISTRATION

This module shall provide the functionality to:

-   create, modify and delete users who can access [***]*

-   create, modify and delete [***]* which are used to create users

-   [***]* management

-   [***]* management and

-   [***]* evaluation

iii.  PERFORMANCE MONITORING

This module shall maintain various statistical parameters that are used to
measure the performance of the system.

iv.  LOGGER

This module shall maintain detailed audit trails or logs through out the life of
the system. The logs shall be maintained as simple text files. The files shall
stay on the system until they are manually purged.

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<PAGE>   49

                                                                              33
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v.  DATABASE MODULE

This module shall be responsible for updating the [***]* database with all the
necessary data. The [***]* database shall maintain data that is needed to
generate detailed reports. This module shall also be responsible to maintain a
persistent store of the application data that is needed for [***]*. Other
important functions of this module shall be [***]*, [***]* and [***]*. [***]*
includes utilities to obtain [***]* like [***]* usage of the database, etc.

vi.  REPORT GENERATION

This module shall perform the task of report generation. The reports generated
shall be placed in simple text files.

vii.  PROTOCOL CONVERSION

This module shall perform the translation of incoming [***]* data into
appropriate TL1 messages. The translated TL1 messages shall be transmitted to
the [***]*. Upon receiving responses from the [***]*, the TL1 responses shall be
translated back into [***]* response messages.

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<PAGE>   50

                                                                              34
================================================================================

4.   PROJECT ACTIVITIES

This section outlines the activities involved in the project development.

--------------------------------------------------------------------------------
a.  REQUIREMENTS ANALYSIS

This involves identifying requirements for the Anda [***]*.
This will be done in the form of a meeting between TTG and Anda. The following
items will be considered:

        -  interface between Anda's [***]* and the [***]*

        -  the attributes, actions and notification in each managed object class
           implemented by Anda

        -  the relevant [***]* for each [***]* from the [***]*

        -  database storage

        -  tracing and logging of [***]* and [***]*

        -  report generation

        -  protection switching

        -  performance management

A detailed Requirements Document shall be produced by the end of this phase.

--------------------------------------------------------------------------------
b.  REQUIREMENTS REVIEW

This phase involves:

-   Review the requirements drafted by TTG.

-   Establish common understanding between TTG and Anda regarding the
    functionality of the [***]*.

This will be done in the form of a meeting between TTG and Anda representatives.

--------------------------------------------------------------------------------
c.  DESIGN

TTG shall prepare a detailed design for the [***]* that involves the following:

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                                                                              35
================================================================================

-   Identification of software components of the [***]*.

-   Identify/clarify the APIs provided by the Anda managed resource
    communication interface.

-   Mapping [***]* operations to resource operations.

--------------------------------------------------------------------------------
d.  DESIGN REVIEW

This phase involves:

-   Review the design document drafted by TTG.

-   Establish a common understanding between TTG and Anda, of the system design.

--------------------------------------------------------------------------------
e.  IMPLEMENTATION AND UNIT TESTING

This phase involves:

-   Implementation of the components specified in the design document.

-   Unit testing of the above implementation.

-   System Integration

--------------------------------------------------------------------------------
f.  TEST PLAN

TTG shall prepare detailed plan to test the [***]* implementation. This test
plan shall be reviewed to establish a common understanding between TTG and Anda.

--------------------------------------------------------------------------------
g.  SYSTEM TEST

TTG shall execute the test plan and all the troubles reported in the process
shall be fixed.

--------------------------------------------------------------------------------
h.  ONSITE INTEGRATION

[***]* implemented by TTG shall be integrated with Anda's [***]*. The
integration test plan shall be executed in Anda lab to verify the software.

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<PAGE>   52

                                                                              36
================================================================================

5.   PROJECT SCHEDULE

The following are the project deliverables.

-   Requirements Specification
-   Requirements Review Report
-   Design Specification
-   Design Review Report
-   Software after Unit Testing
-   Software after System Integration
-   Test Plan
-   System Test
-   Onsite Integration

The following are the various tasks and completion dates assuming that the
project starts on [***]*.

(These dates should be pushed out 7 months assuming that Anda may elect to start
the [***]* project on [***]*. For other start dates, the schedule will have to
be determined at a later time.)

----------------------------------------------------
             Task                 Completion Date
----------------------------------------------------
REQUIREMENTS ANALYSIS                [***]*
----------------------------------------------------
REQUIREMENTS REVIEW                  [***]*
----------------------------------------------------
DESIGN                               [***]*
----------------------------------------------------
DESIGN REVIEW                        [***]*
----------------------------------------------------
IMPLEMENTATION AND UNIT TESTING      [***]*
----------------------------------------------------
SYSTEM INTEGRATION                   [***]*
----------------------------------------------------
TEST PLAN                            [***]*
----------------------------------------------------
SYSTEM TEST                          [***]*
----------------------------------------------------
ONSITE INTEGRATION                   [***]*
----------------------------------------------------

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<PAGE>   53

                                                                              37
================================================================================

6.   ASSUMPTIONS

The following assumptions are made in this proposal.

1.  The [***]* will be implemented on a [***]* workstation.

2.  Oracle database will be used for the storing of information on the [***]*.

3.  The [***]* local database will store only alarm and performance records.

4.  [***]* Function will provide only alarm display. Alarm correlation and root
    cause analysis are not implemented.

5.  Reports can be generated on alarm and performance records only. Examples:
    report of all alarms generated since yesterday, behavior of the [***]* etc.

6.  Reports [***]* will be stored as simple text files.

7.  No performance graphs will be supported.

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<PAGE>   54

                                                                              38
================================================================================

7.   PRICING

The total NRE cost for the implementation of the Anda [***]* is $[***]*. The
royalty schedule is covered in the Introduction of the document.

The payment schedule for the above amount is shown in the following table.

<TABLE>
<CAPTION>

-----------------------------------------------------------------------------------------------
     PROJECT STATE                DATE            PERCENTAGE OF TOTAL           AMOUNT
                                                         COST
-----------------------------------------------------------------------------------------------
<S>                               <C>             <C>                          <C>
Project Start                      TBD                    50%                  $[***]*
-----------------------------------------------------------------------------------------------
System Integration                 TBD                    30%                  $[***]*
-----------------------------------------------------------------------------------------------
On-site Integration                TBD                    20%                  $[***]*
-----------------------------------------------------------------------------------------------
</TABLE>

All pre-approved travel and living expenses will be billed to ANDA at cost as
incurred.

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Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00013-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00013-of-00352.parquet"}]]