General Instrument's DigiCipher(R)II/MPEG-2 Equipment Chosen by Viacom To Launch The MTV 'Suite' of New Music Services SAN DIEGO, June 16 /PRNewswire/ -- General Instrument Corporation (NYSE: GIC) announced today that MTV Networks, a unit of Viacom Inc., has purchased GI's DigiCipher(R)II/MPEG-2 equipment for the launch of MTV Networks' ten-pack of digital services from MTV: Music Television, VH1 and Nickelodeon. MTV Networks' digital offerings will include a package of six music channels from their core music networks known as "The Suite from MTV & VH1" and is scheduled for launch in July, 1998. Nickelodeon's digital channels will include Noggin, an educational channel featuring programming from Nickelodeon and the Children's Television Workshop; Nickelodeon Games & Sports, which will feature classic kids-first game shows; and the East and West Coast feeds of Nickelodeon known as Nick Too. The Nick channels are scheduled for launch in January 1999. The 10-channel, fully redundant DigiCipher II encoder purchased for MTVN incorporates GI's System Release 6.3, which includes "Min/Max StatMux," a powerful new addition to GI's "Statistical Multiplexing" technology. "As the world's leading music and children's television programmer, MTV Networks' choice of DigiCipher II/MPEG-2 equipment highlights the extent to which GI's system has become widely adopted for delivery of digital signals to cable operators and other subscribers," said Thomas J. Lynch, Senior Vice President, General Manager, GI's Satellite Data Network Systems. "GI's DCII/MPEG-2 system is used by an overwhelming critical mass of digital programming services in North America and in other key markets around the world." There are more than 3,000 digital channels operating with GI encoders, and GI has shipped more than 3.5 million digital decoders, both satellite and cable. According to Marc Tayer, Vice President, Global Marketing for GI's Satellite Data Network Systems, the GI DigiCipher II/MPEG-2 encoders, such as those selected by MTV Networks, are fully interoperable with the massive digital cable roll-out now occurring. "GI has already installed more than 500 digital cable headends, passing more than 25 million cable subscribers," said Tayer. "In addition, GI has shipped more than one million interactive digital cable consumer set-tops to operators, delivering services on the interactive digital broadband networks. No other company is shipping commercial volumes of digital cable equipment." Statistical Multiplexing or "StatMux" allows increased digital video capacity by examining all the incoming video feeds as a group, and dynamically assigning compression bit rates based upon the complexity and motion in each feed. StatMux relies on the fact that, at any given time, there will be some feeds that have lots of motion, some with very little, and some that are "average." StatMux works by having all the channels that are included in the group report their compression demands to one decision maker - the Packet Multiplexer (PM). The PM considers all of the demands, decides on the bit rate to assign to each channel and then communicates that decision back to each channel. This "negotiation" for bit rate takes place about 35 times per video frame -- about 1,000 times per second -- to ensure that even the slightest change in scene complexity becomes part of the decision-making process. Min/Max StatMux is the next generation in GI's pioneering statistical multiplexing technology, providing superior MPEG-2 video performance. With Min/Max StatMux, programmers can establish upper and lower limits for their digital signals on a per channel basis. This not only improves video performance and consistency, but also facilitates the ability to work with GI's remultiplexers in the digital cable headends that are now rolling out nationwide with great momentum. General Instrument Corporation (NYSE: GIC) is the world leader in analog and digital systems that provide video, audio and high-speed Internet/data services over cable and satellite TV networks. This past December, GI announced that major cable operators expect to purchase at least 15 million of GI's advanced digital set-top terminals over the next 3-5 years at an estimated value of $4.5 billion. In January 1998, GI and Sony announced that they plan to form a strategic alliance to jointly develop technologies for digital cable TV devices and high definition television products. GI's cable and satellite TV operations have approximately 7,000 employees and annual sales of approximately $1.8 billion. Visit the General Instrument website at www.gi.com /CONTACT: Media, Greg LaBrache, Director, Communications, 619-404-3967, or glabrache@gi.com, or Dick Badler, VP, Corporate Communications, 215-323-1618, or dbadler@gi.com, or Investor, Dario Santana, VP, Investor Relations, 215-323-1213, dsantana@gi.com, all of General Instrument/ 16:18 EDT |