Next Level and PixStream Partner to Help Telephone Companies Offer TV Services Over Their Existing Copper Wire Networks
[fac: Are the telcos about to revisit their previous false starts in this realm, similar to what they experienced during the mid-nineties? Or, do new technologies make video services from the central office delivered to the residence over twisted pair a more plausible prospect at this time?]
Partnership Highlighted by Two Customer Wins, Bell Canada and ExOp of Missouri
ROHNERT PARK, California/WATERLOO, Canada--(BUSINESS WIRE)-- March 17, 2000-- Next
Level Communications, Inc. (NASDAQ: NXTV) announced today that it is partnering with PixStream
Incorporated, a leading developer of video head-end solutions for telephone companies, to provide
telephone companies with equipment to offer TV services to their customers over existing copper wire
networks using VDSL technology. Recently, the two companies have been working with Bell Canada,
Canada's largest communications company, to trial broadband services to over 100 customers in a 45
story, 430-unit condominium apartment building.
"We are delighted that PixStream and Next Level have teamed up to provide our customers with
state-of-the-art broadcast TV, Internet and telephone services on a single integrated system using our
existing network," said Clayton Mangione, director of technology development for Bell Canada. "Thanks
to PixStream video networking systems and the Next Level VDSL platform, Bell Canada has developed a
cost-effective, time-effective way of delivering a full suite of Digital TV and High Speed Internet services
to its customers."
Next Level and PixStream are also in the process of deploying a video networking solution for ExOp of
Missouri, Inc., an affiliate of Utilicorp Communications Services, Inc., a local telephone exchange
company serving rural Missouri. "Next Level and PixStream are providing ExOp with the expertise that
we need to introduce broadcast TV services to our customers," said Tom White, President, ExOp. "We
see broadcasting national TV and simulcasting local TV content and Internet video streaming services with
standard telephone services as an integral part of our bundled service strategy. With the help of Next
Level and PixStream we are competitively delivering these bundled services over one copper pair to the
customer home."
"We predict that the number of residences passed with video over DSL services will reach 75 million by
2005," said Michelle Abraham, Senior Analyst covering Multimedia Broadband Services, Cahners In-Stat
Group. "Telcos are facing incredible pressures as they compete head-to-head with cable operators for
data, voice and video services. Nearly all telcos will look to video over DSL solutions and bundled service
discounts as a way to keep residential customers and increase revenues."
PixStream video networking systems act as complete video head-ends by aggregating video signals from a
number of sources, providing any necessary video processing and adapting the signals to any network
infrastructure. In both the Bell Canada and ExOp deployments, the PixStream video networking systems
are located in the central office, where entire satellite transponders of video content are received and
adapted to the service provider's network. Each PixStream video networking system can redistribute more
than 144 channels of video and music content. Using PixStream VDSmanager software, the complete
video head-end can be monitored using the service provider's existing network management systems.
"PixStream is pleased to have developed a relationship with Next Level, a leader in development of VDSL
technologies," said Ralph Calistri, president and CEO of PixStream. "We strive to be a company that is
easy to partner with, and Next Level has a range of products that easily integrate with our solutions for
helping telephone companies deliver TV services."
Next Level's interactive DSL broadband system allows integrated voice, data and video services to be
distributed over standard telephone wires to Next Level's N3 Residential Gateways located within the
home. The N3 Residential Gateway is a single set-top box that provides the connection to multiple
appliances in the home, including telephones, PCs and TVs. Offering the most complete set of services
from a single platform, the N3 Residential Gateway allows multiple TV's to independently tune to
hundreds of digital video channels, provides a separate high-speed DSL port for Internet connection and
displays telephony features such as caller ID and message waiting. US WEST and Bell Canada are
currently deploying these systems in the Phoenix, Arizona and Toronto, Canada areas.
"The collaboration of Next Level's interactive DSL broadband system and PixStream's compact modular
video networking solutions are just what the telcos are looking for. These systems will provide telcos with
the ability to offer voice, data and video services over their existing copper wire networks and, in turn,
generate more revenue from their customers," said Peter Keeler, president and CEO of Next Level. "The
successful deployment of Bell Canada's system proves that our products integrate well together and we
are looking forward to future deployments with PixStream."
About Next Level:
Next Level is a technology leader in ATM/IP Optical Transport, Networking and Interactive DSL
Broadband Systems for the delivery of voice, data and video services for communications companies.
nlc.com.
About PixStream Incorporated:
PixStream develops, manufactures, and globally markets hardware and software solutions that enable
network service providers and enterprises to reliably distribute and manage digital video. Using PixStream
solutions, high quality video and audio can be transported efficiently over broadband networks, optimizing
bandwidth and enabling customers to introduce leading edge video services and applications. Major
service providers around the world including Bell Canada, ExOp of Missouri Inc., Kingston Vision,
NBTel and QuebecTel have chosen PixStream for their video networking solutions. Founded in 1996,
PixStream is based in Waterloo, Canada and has offices in Canada, the United States, and Europe. More
information is available at pixstream.com.
This release contains "forward-looking" statements within the meaning of Section 21E of the Securities
Exchange Act of 1934, as amended. Forward-looking statements are generally preceded by words
including, without limitation, "will," "plans," "expects," "believes," "anticipates" or "intends." Investors are
cautioned that all forward-looking statements in this release involve risks and uncertainties that could
cause actual results to differ materially from current expectations. Factors that realistically could cause
results to differ materially from those projected in the forward-looking statements are set forth in "Risk
Factors" in our Registration Statement on Form S-1 (registration no. 333-85999).
Trademarks
Next Level Communications, the NLC logo, NLevel3, NLevel3 - The Unified Access Platform, BDT,
USAM, BNU, N3 Residential Gateway and ETHERset are trademarks or registered trademarks of Next
Level Communications in the United States and other countries.
Contact:
Editorial Contacts for Next Level:
Julie Carlson
Director, Marketing Comms
Next Level Communications
Tel (707) 584-6565
email: jcarlson@nlc.com
or
Editorial Contacts for PixStream:
Jacqui Murphy
Director of Communications
Tel (519) 884-4196
email: jmurphy@pixstream.com
or
Investor Relations for Next Level
Kimberly Polan or Stephanie Sorrentino
Sard Verbinnen & Co.
Tel (212) 687-8080
email: kpolan@sardverb.com
or
Investor Relations for PixStream
Tim Jackson, Chief Financial Officer
Tel (519) 884-4196
email: tjackson@pixstream.com |
