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Non-Tech : Amati investors
AMTX 2.055-4.6%Nov 12 3:59 PM EST

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To: Tango who wrote (6839)12/11/1996 2:51:00 PM
From: pat mudge   of 31386
 
Tango --

I was going to ask you opinion on the GTE presentation at the NYC show presently taking place and while checking the press release on their homepage found this. It hasn't hit AOL's Dow Jones Service yet. This one doesn't mention Amati, but it gives ADSL a nice boost.

Regards,

Pat

<<<
For more information, contact:
Rik Sandoval/Valerie Motis, 619-431-8801, GTE Corporation

GTE and Microsoft trials of high-speed modem translate to good news for online
gamers; GTE Interactive Media tests promising delivery techniques to push
envelope of online network entertainment.

-- CARLSBAD, Calif. -- GTE Interactive Media, a unit of GTE Corp., is currently conducting operational
studies to test new messaging protocols for online interactive entertainment and multiplayer games via a
revolutionary, high-speed modem technology.

The new modem technology, Asymmetrical Digital Subscriber Line (ADSL), is currently proving itself in
recently announced trials by GTE and Microsoft Corporation. In these trials, ADSL successfully
transmitted data at 10 times the speed of Integrated Services Digital Network (ISDN), which operates at
128 kbps, and about 50 times faster than a 28.8 kbps dial-up modem. GTE Interactive Media is planning
to combine this delivery system with its leading-edge interactive entertainment software to provide
fast-paced, immersive experiences to gamers everywhere.

With the widespread and rapid growth of the Internet over existing telecommunications networks, a
technical challenge has been to increase the amount of data that can be transmitted without incurring the
penalty of higher latency. With ADSL, consumers in selected markets will soon be able to use existing
telephone lines to benefit from easy-to-install, easy-to-use, lightning-fast Internet access for both business
and entertainment.

GTE Interactive Media is aggressively exploring ADSL and other technologies for use with multiplayer
gaming architectures. In recent tests, network professionals at GTE Interactive Media have delivered
entertainment product by way of cable modem, and in regional studies, ADSL is being used in conjunction
with high-speed, graphically intense games such as the company's award-winning flight simulator, EF2000,
to test messaging protocols. So far, ADSL looks promising. In contrast to cable modems, which require
multiple users to share bandwidth, ADSL provides dedicated bandwidth for high-speed local access.

"With ADSL, it looks like we are moving toward the right kind of pipe. We are just hammering out a way
of packaging the data that will maximize the increased flow," said Stephen Blumenfeld, vice president,
technology for GTE Interactive Media.

"GTE Interactive Media was founded on the vision of delivering high-quality, cutting-edge online
entertainment to the home," said Dick Robinson, president of GTE Interactive Media. "The one obstacle
has always been the issue of latency, the ability to deliver data at such a rate as to convey a satisfying,
immersive gaming experience to a number of online players in real time. When that problem is solved, the
possibilities will be wide open."

GTE Interactive Media's active exploration of new delivery techniques has positioned it to be a leader in
the new era of online network entertainment. "We are aware and have hands-on experience with
developing product to take advantage of new technology," Blumenfeld said. Current online efforts include
an ambitious project called SIEGE. The first multiplayer adventure/strategy CD-ROM game to link
gameplay elements and characters to the story line of a monthly comic book publication, SIEGE is
designed to create an online community. It will allow consumers to assume the identities of characters from
a new action comic book property and play out intricate scenarios in 3D environments over the Internet.
Revolutionary and action-packed as a stand-alone CD-ROM game and further enhanced by its unique
online capabilities, SIEGE is just one example of a product that could be "turbo-charged" with high-speed
data transmission.

ADSL service works by connecting a pair of modems to each end of a telephone line, with one modem
being located in the telephone company's central office and the other at the home of the user. ADSL also
maximizes the use of existing technology because it operates over twisted pair copper telephone lines,
streamlining installation and controlling expenses.

ADSL services are also significant in that they provide continuous Internet access rather than traditional
dial-up modem connections - an added bonus for services that would benefit from the "always connected"
nature of the technology, until now, only available in the Local Area Network (LAN) environments of
corporate networks. Today the cost for an ADSL modem pair is approximately $2,500; however, the cost
is predicted to drop to $500 over the next 18 months, meaning that consumers could purchase a single
ADSL modem for their home or office for $250, the cost of a 28.8 kpbs modem. According to GTE
officials, the monthly cost for this service may be between $40 to $100, depending on service class.

With revenues of $20 billion in 1995, GTE is one of the largest publicly held telecommunications
companies in the world. GTE is also the largest U.S.-based local telephone company and a leading
cellular-service provider -- with wireline and wireless operations that form a market area covering about
one third of the country's population.

GTE Interactive Media was founded in 1990 by GTE Corp. Based in Carlsbad, Calif., GTE interactive
Media is a world-wide developer, publisher and distributor of interactive entertainment software. Publishing
under the brand name GTE Entertainment, GTE Interactive Media has quickly established its presence in
the interactive entertainment market. Building on corporate technology and access to emerging networks,
GTE Interactive Media is poised to be a premier provider of online entertainment and multiplayer gaming. >>>

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