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Technology Stocks : C-Cube
CUBE 39.61+1.2%Jan 16 3:59 PM EST

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To: DiViT who wrote (38078)1/7/1999 2:06:00 PM
From: BillyG  Read Replies (2) of 50808
 
Philips Announces DVD-Video Recording Technology for Consumer Use (in 2000)
newsalert.com

CES99

LAS VEGAS--(BUSINESS WIRE)--Jan. 7, 1999--

Recorded discs will play on existing DVD-Video players

Philips Electronics today announced that it has developed technology for real-time recording of
DVD-Video discs. The recorded discs can be played back on existing DVD-Video players. The system
offers up to 4 hours record/playback time at DVD to VHS quality levels.

This breakthrough is achieved by using DVD+RW technology with 4.7 GB capacity. The technology offers
the performance required for real-time recording of off-air television, camcorder tapes and other
non-copyrighted video sources. DVD-Video quality level, including variable bitrate recording for optimal
quality, can be reached by using 'lossless linking,' a unique technology developed specifically for the
DVD+RW 4.7 GB format.

Adri Baan, Chairman and CEO of Philips Consumer Electronics division, stated that the technology offers
two unique advantages. "The recorded discs can be played back on existing DVD-Video players and
recordings can be made in real-time. There is no need for a lengthy, multi-step process on a PC."

Mr. Baan stated furthermore: "DVD-Video will become the mainstream video distribution format. The
Philips DVD-Video recorder technology is an answer to consumers' expectations: a DVD-Video player
compatible recording format. For any long-term successful format, it is essential that there are both home
recorded and published/pre-recorded discs and that these can be used in the same equipment. We firmly
believe that adding recording capabilities to DVD players will boost the appeal of the DVD system.
Increased sales of equipment and pre-recorded discs can therefore be expected."

Philips plans to introduce the first DVD-Video recording products in the year 2000, offering very high
picture quality and ease of use. The products will initially be aimed at the high-end segment of the video
recorder market. The Philips DVD-Video recording technology also offers easy-to-use editing facilities.
Editing of private camcorder material on conventional equipment generally requires two video devices.
Random access to the disc allows editing on a single DVD-Video recorder, bringing easy editing within
reach of the average consumer. For advanced editing, an interface to the PC will be provided.

4.7 GB DVD-Video recording technology is based on the recently announced DVD+RW 4.7 GB
technology. DVD+RW 4.7 GB was designed for compatibility with existing DVD-Video and DVD-ROM
equipment and for interchange between CE and PC platforms. DVD-Video recordings can also be played
back on PCs with DVD-ROM drives and MPEG2 decoding capabilities. Moreover, DVD+RW offers the
possibility to combine digital video and digital data in a single file system. This is required for multimedia
recording applications.

Philips acknowledges the rights of content owners and will consult with them. It is the intention that
Philips' DVD-Video recording equipment will comply with generally accepted methods to prevent illegal
copying and piracy.

About Philips

Royal Philips Electronics of the Netherlands is one of the world's largest electronics companies and
Europe's largest, with sales of over $39 billion in 1997. It is a global leader in color television sets, lighting,
electric shavers, color picture tubes for television and monitors, and one-chip TV products. Its 256,000
employees in more than 60 countries are active in the areas of lighting, consumer electronics, domestic
appliances, components, semiconductors, medical systems, business electronics, and IT services
(Origin). Philips is quoted on the NYSE, London, Frankfurt, Amsterdam and other stock exchanges.

News from Philips is located at www.news.philips.com. News about Philips can also be found on the U.S.
web site www.philipsusa.com.

Editor's Note: Please note that for your convenience, Philips has created the following rapid-response,
toll-free number for all Philips editorial inquiries: 1-800-210-9605.

TiVo is a trademark of TiVo, Inc.

CONTACT: Philips Media Relations Philips Media Relations
Marijke van Hooren Marty Gordon
Tel. +31 20 5977912 408/570-5694
Rinske Stege
Tel. +31 40 2734866

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