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To: Black-Scholes who wrote (43504)	8/2/1999 3:00:00 PM
From: John Rieman	Read Replies (1) \| Respond to of 50808

Pace boxes moving into North America next year..................... cabledatacomnews.com Pace Plans U.S. Set-Top Play Current DOCSIS-Based Box Paves Way for Full OpenCable Solution Next Year August 1, 1999 Pace Micro Technology is undoubtedly the world's largest small-name set-top box player. The company is currently the top supplier of digital set-tops in Europe, edging out giant Royal Philips Electronics. Now, West Yorkshire, England-based Pace is setting its sights on North America. "Europe has been far and away the biggest volume for us, but the U.S. is the largest market in the world. It's a market we are now targeting heavily," said Neil Gaydon, president of the Americas, Pace Micro Technology. Pace was the first company to deliver a DVB-based digital cable set-top, supporting Stream's initial launch in Italy in 1996. Since then, Pace has shipped 2.5 million digital set-tops to cable, satellite and terrestrial broadcast operators worldwide. Pace was first to provide set-tops to U.K. satellite service BskyB and terrestrial broadcaster ONdigital. The company reached another milestone in July as U.K. MSO Cable & Wireless Communications began the first commercial deployment of a digital set-top with an imbedded DOCSIS 1.0 cable modem, called the Pace Di4100. "They've put boxes into paying customers hands, and we've been ramping up production. We're not in the massive volumes this month, but we are rolling out a steady stream," said Gaydon. While the use of a DOCSIS data channel is of great interest to North American operators, the DVB video front-end in the Di4100 is not compatible with most MSO's platforms. As a result, Pace must offer a new box based on the North American OpenCable standard to make serious inroads in the market. The company's goal is to deliver the Di5100 to the U.S. market as the Federal Communications Commission (FCC) mandate for retail set-top availability takes effect in July 2000.