Pace Selects C-Cube's AViA@tv Technology to Drive Digital Set-Top Box for NTL's Two-Way Digital Cable Service (DiviCom is supplying compression and transmission equipment.)
MILPITAS, Calif.--(BUSINESS WIRE)--Nov. 30, 1998--C-Cube Microsystems (Nasdaq:CUBE), the leading provider of digital video silicon solutions, announced today that NTL (Nasdaq:NTLI) has initially selected the new AViA@tv based set-top box from Pace Micro Technology for NTL's innovative new two-way digital cable network currently under development.
AViA@tv is C-Cube's revolutionary new set-top silicon platform that brings PC-quality web access to affordable digital video consumer set-top devices. With this platform, NTL can deliver high-fidelity audio/video services as well as interactive data services, including web browsing, e-mail, chat, pay-per-view, games and home shopping.
NTL is a leading telecommunications service provider offering residential cable telephony and television services to 25 percent of the United Kingdom, covering more than 5.2 million homes. Pace is the only manufacturer today to hold contracts to manufacture set-top receivers for all three digital broadcast media in the United Kingdom: cable, satellite, and terrestrial.
"Pace is at the forefront of digital cable deployment," said Malcolm Miller, Pace's chief executive.
"Leading service providers such as NTL choose Pace because of our proven capability to deliver high technology solutions. We have already launched digital with 18 broadcasters worldwide and are the only manufacturer to hold contracts to manufacture set-top boxes for all three digital TV platforms in the United Kingdom: cable, satellite and terrestrial. Working with C-Cube, we will be able to deliver the world's first DVB-RC implementation to support NTL's value-added services with a platform that will meet their requirements for two-way digital services. Working with C-Cube we will be able to support NTL's value-added services with a platform that will meet their requirements for two-way digital services."
Pace will leverage C-Cube's unmatched set-top technology to bring a heightened level of entertainment and communication services to NTL cable subscribers through the set-top box. C-Cube's expertise in video and communication applications, combined with its forward-looking graphics capabilities, provides a solid platform for Pace's interactive digital cable device.
"Interactive services should simplify as well as enhance consumer entertainment," said Jeremy Thorp, Group Managing Director for Digital Services at NTL. "C-Cube's technology addresses our requirements for two-way digital cable as well as consumer-friendly graphical interfaces that will entice new subscribers."
"Europe is taking a giant step forward in the roll out of full-service digital networks," said David Baillie, vice president and general manager of C-Cube's Consumer Network Products (CNP) Business Unit. "We are pleased to be working with one of the industry's leaders in addressing the diverse demands of Europe's two-way digital cable market."
Digital broadcasting for NTL's cable system will be performed using DiviCom compression and transmission systems providing DVB-C and DVB-RC compatible television and data channels to and from the set-top box. DiviCom is a wholly-owned subsidiary of C-Cube.
About AViA@tv Set-Top Solutions
Digital set-top manufacturers, such as Pace, are leveraging the unique capabilities of C-Cube's AViA@tv platform to deliver forward-looking set-top devices that support new network-intensive services through two-way cable.
The advanced graphics capabilities of AViA@tv make it the preferred solution for set-tops supporting HTML content display, picture-in-graphics (PIG) and interactive electronic program guides. By enabling set-top manufacturers to offer these advanced functions, C-Cube is bringing a new level of entertainment value to consumers.
About Pace Micro Technology
Pace Micro Technology is one of Europe's leading manufacturers of satellite television receivers, and was the first manufacturer to start volume shipments of digital decoders working to the MPEG-2 (Moving Picture Experts Group) standard. Pace has already manufactured over 6.5 million analogue and nearly 2 million digital set-top boxes.
The company operates in over 80 countries worldwide. Pace's head office is in Shipley, West Yorkshire. The company's shares are traded on the London Stock Exchange. For further information, please visit our web site at pacemicro.com.
NTL
NTL is the United Kingdom's leading integrated communications company, offering alternative telecommunications solutions, broadcast and transmission services. NTL is listed on Nasdaq and EASDAQ and has its head office in Farnborough. NTL provides transmission and broadcast services for the whole of ITV, Channel 4, S4C, Channel 5 and most United Kingdom independent radio stations.
The NTL group operates the United Kingdom's most successful cable telephony and television company under the NTL CableTel brand from six regional businesses passing more than 2.2 million households and over 140,000 business customers. NTL is at the forefront of digital broadcast and telecommunications development, ensuring NTL business and consumer customers will be amongst the first to benefit from digital technology.
About C-Cube Microsystems
C-Cube Microsystems Inc. is the industry leader in the development and delivery of highly integrated digital video silicon solutions that address the communication and consumer markets. DiviCom, a leading provider of compression systems and networking solutions for digital television, is a wholly owned subsidiary of C-Cube.
C-Cube is headquartered in Milpitas, with offices in North America, Europe and Asia. Its stock is traded on the Nasdaq under the symbol CUBE. C-Cube can be reached at 408/490-8000 or on the World Wide Web at c-cube.com.
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Actual results could differ materially from those projected in such statements as a result of economic conditions, market conditions, competitive pressures, varying consumer demand for digital video and interactive digital services, unforeseen delays and difficulties in the integration of various hardware and software products, the completion of the NTL Super Headend, and the commencement of broadcasting and data services as discussed in this press release. In addition to the foregoing risk factors, readers are encouraged to consider the risk factors described in C-Cube's 10-Ks, Form 10-Qs and other reports filed with the Securities and Exchange Commission. The Company assumes no obligation to update such forward-looking statements.
Note to Editors: C-Cube and the C-Cube logo are registered trademarks of C-Cube Microsystems Inc.
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CONTACT:
C-Cube Microsystems
Melissa Malley, 408/490-8510 (Public Relations)
mmalley@c-cube.com
or
Nick Kormeluk, 408/490-8052 (Investor Relations)
nick.kormeluk@c-cube.com
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