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To: DiViT who wrote (25519)	11/20/1997 9:06:00 PM
From: John Rieman	Respond to of 50808

LU doesn't make MPEG2 encoder chips, yet. The best chip they have is a MPEG1 codec for video conferancing(don't tell them about VCD!). This was LUs 1st deployment of their MPEG2 encoding system. It sounds like IBM encoders, but they never say............................. GTE Selects AT&T Network Systems to build video networks; General Instrument chosen to provide set-top box March 7, 1996 IRVING, TEXAS. GTE today named AT&T Network Systems its prime contractor and systems integrator to build its video dialtone networks, using General Instrument's next-generation set-top boxes, in GTE's three initial sites: Ventura County, Calif.; Pinellas and West Pasco Counties (St. Petersburg/Clearwater, Fla.); and Honolulu. The multi-year contract, valued at about $200 million for the first phase of construction, sets in motion GTE's aggressive plans to deliver broadcast and cable programming over its network in these areas to 500,000 homes in 1995-1996, and to some 900,000 homes by the end of 1997. Construction will begin as soon as GTE receives Federal Communications Commission (FCC) approval, which is expected soon. GTE ultimately plans to deliver video programming nationwide to some seven-million residents in 66 markets in the next 10 years. As GTE's systems integrator, AT&T Network Systems will be the major network equipment supplier for GTE's video networks through AT&T hybrid fiber-coaxial cable architecture. In addition, GTE has selected General Instrument (GI) as a subcontractor with AT&T Network Systems to provide next-generation analog and digital set-top terminals and headend equipment for the video dialtone networks. "The strategic relationship we've established with AT&T Network Systems combines the best of two great companies: GTE's experience in video and strength in the marketplace with AT&T's leadership in technology and end-to-end network solutions," said Bob Calafell, vice president - video services for GTE Telephone Operations. GTE's video dialtone network will include high-capacity fiber optic lines from GTE central offices to neighborhood nodes, serving up to 500 homes each. Coaxial cable will connect to set-top boxes in the homes to provide both analog and high-capacity digital services. "With today's announcement," Calafell said, "GTE is nearing the home-stretch in its plans to provide customers with television and cable programming this year. What we're undertaking will change the face of telephone business for years to come." "GTE is taking the concept of the information superhighway and turning it into reality," said Steve Smith, vice-president of a new division within AT&T Network Systems devoted solely to GTE. "While we are extremely pleased to be selected by GTE as the systems integrator, the real winners -- in the end -- will be GTE customers." GTE's head-end network architecture will debut AT&T's MPEG-2 video encoders in its first application in a telephone company's video network. The MPEG-2 encoder is a key element in the delivery of compressed digital video via cable and direct satellite. Another unique feature of GTE's video dialtone network will be the use of hybrid analog/digital set-top boxes from GI -- improving overall picture quality, and, with the MPEG-2 encoder, dramatically increasing the number of channels available to subscribers. "Having worked on defining and developing other telco video networks, we are gratified by GTE and AT&T's selection of GI's network equipment. We value our relationship with GTE and AT&T in bringing advanced services to GTE's customers in the first of these important markets," said Richard S. Friedland, president and chief operating officer of General Instrument. The video systems provided by AT&T Network Systems for GTE's video dialtone network will be produced by AT&T at its Merrimack Valley (Mass.) and Atlanta (Ga.) manufacturing facilities. GTE Telephone Operations, a part of GTE Corp., is the largest local telephone company, providing voice, video, and data products and services through more than 22 million access lines in portions of the United States, Canada, South America, the Caribbean and the Pacific. GTE Corporation is the fourth-largest publicly owned telecommunications company in the world. AT&T Network Systems is a worldwide manufacturer and marketer of quality products and services, including switching, wireless, transmission, cable and computer-based operations systems. General Instrument Corporation is a world leader in developing technology, systems and product solutions for the interactive delivery of video, voice, and data.