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Technology Stocks : C-CUBE the next HUGE upside cable/internet play! (link)

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To: rocky haag who wrote ()3/29/1999 1:44:00 AM
From: VidiVici  Read Replies (1) of 18
 
The article that started this thread, so it's here in case Yahoo expires it...

biz.yahoo.com

==============================================================================

Thursday March 25, 2:03 pm Eastern Time

Company Press Release

C-Cube Delivers Set-Top Silicon for
U.S. Cable

Philips Selects C-Cube for Two-Way Cable
Deployment in its First Generation of Set-Top Boxes

MILPITAS, Calif.--(BUSINESS WIRE)--March 25, 1999--Digital video pioneer C-Cube
Microsystems (Nasdaq: CUBE - news) today announced that its technology has been selected to
enable two way cable deployment of the first open-architecture two-way digital set-top boxes in the
U.S.

The set-top boxes, which deliver digital video to standard television sets, will be built by Philips
(NYSE: PHG - news) as part of a groundbreaking cable installation by MediaOne®, third largest cable
operator in the U.S.

Philips selected C-Cube's AViA@TV digital video system-on-silicon to enable two way
communication via cable, so customers can access both advanced interactive services, entertainment
and information on the MediaOne network.

''Two-way interactivity over HFC (Hybrid Fiber/Coax) networks is critical for the MediaOne
deployment,'' said Jos Swillens, General Manager of Philips Digital Receivers. ''With C-Cube's
technology inside the box, we are able to meet the aggressive schedule and feature requirements of this
landmark initiative. We are delighted that MediaOne has chosen Philips and our group partner, to
deliver the first open system to the U.S. cable market. Philips is a leading consumer electronics
company with a strong brand and long-term commitment to open digital technology.''

The set-top boxes will be linked to cable head-end equipment built by DiviCom Corporation, a
C-Cube subsidiary. DiviCom has been selected to supply its open solution digital encoding and
distribution system as well as its Intersect set-top box controllers to MediaOne.

''Selecting an OpenCable platform for our Digital NexTV service required us to choose vendors that
could provide us with the right components for our system and meet our tight deadlines,'' said Joe
Wetzel, Vice President of Engineering for MediaOne. ''We are relying on the combination of Philips
and C-Cube to meet our aggressive requirements.''

C-Cube, along with other open architecture partners, has dedicated engineering resources for
development and documentation of the industry's changing OpenCable(TM) specification. As a result
of the OpenCable initiative, cable operators are no longer dependent upon a proprietary solution or a
single supplier for advanced system components such as consumer set top boxes. By utilizing
interoperability and open standards-based systems, component providers can deliver a wider range of
new choices to cable operators who are planning to migrate to open standards based digital cable
networks.

''With the MediaOne announcement, the ground rules in the U.S. cable market have changed,'' said
David Baillie, vice president and general manager of C-Cube's Consumer Network Products Business
Unit. ''Cable providers are actively looking to open standards-based solutions, which C-Cube is
pleased to be able to provide them.''

About AViA@TV Set-Top Solutions

Digital set-top manufacturers, such as Philips, are leveraging the unique capabilities of the C-Cube
AViA@TV platform to deliver set-top devices that support new network-intensive services through
two-way cable. The two-way HFC networking capability, of the AViA@TV system-on-silicon make it
the preferred solution for set-tops supporting Web surfing, 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.

''The announcement of MediaOne's digital cable system - with its robust customer features and flexible
open systems architecture - is a milestone for the U.S. cable industry,'' said Baille. ''By adopting the
industry's newest OpenCable standards, MediaOne is paving the way for US cable service providers
to take full advantage of the competition and innovation that is the hallmark of the digital video industry.
As a result, cable providers will be able to choose among the broadest range of leading-edge solutions
at the lowest possible costs.''

About Philips

Royal Philips Electronics of the Netherlands is one of the world's biggest electronics companies and
Europe's largest, with sales of US$33.9 billion in 1998. It is a global leader in color television sets,
lighting, electric shavers, color picture tubes for televisions and monitors, and one-chip TV products. Its
233,700 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.

About MediaOne

MediaOne, the nation's leading Broadband services company, provides entertainment, information, and
communications services to about five million customers. MediaOne Group (NYSE: UMG - news) is
one of the world's largest broadband communications companies, bringing the power of broadband and
the Internet to subscribers in the United States, Europe and Asia. The company also has interests in
some of the fastest-growing wireless communications businesses outside the U.S. For 1998, the
businesses that comprise MediaOne Group produced $7.1 billion in proportionate revenue.

About C-Cube Microsystems

C-Cube Microsystems Inc. is the industry leader in the development and delivery of highly integrated
digital video silicon and systems solutions. The C-Cube Semiconductor Division delivers highly
integrated digital video silicon and systems solutions for the communications and consumer electronics
markets, including digital set-top boxes, VCD, and DVD. DiviCom, a wholly owned subsidiary of
C-Cube, is a leading provider of open solutions for digital television. DiviCom products include
audio/video encoding, data broadcast solutions, network management systems, consulting and
integration services.

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. DiviCom is based in Milpitas and can be reached at
408/944-6700 or on the World Wide Web at divi.com.

Note to Editors: C-Cube and the C-Cube logo are registered trademarks of C-Cube Microsystems
Inc. All other trademarks and registered trademarks are property of their respective companies.

Contact:

C-Cube Microsystems
Melissa Malley, 408/490-8510 (Public Relations)
mmalley@c-cube.com
Steven Horwitz, 408/490-8561 (Investor Relations)
shorwitz@c-cube.com
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