ADC's Homeworx Cable Telephony System Activated by MediaOne for Los Angeles Network
MINNEAPOLIS--(BUSINESS WIRE)--May 4, 1998--
MediaOne(TM) turns up telephone service to L.A. subscribers over
ADC's Homeworx(TM) cable telephony system
ADC Telecommunications, Inc. (NASDAQ: ADCT; www.adc.com), announced today that MediaOne(TM), one of the nation's leading broadband services providers, has begun delivering telephone service over the Homeworx(TM) cable telephony system to subscribers served by MediaOne's Los Angeles network.
MediaOne's Los Angeles hybrid fiber/coax (HFC) network is expected to ultimately pass nearly one million homes with the ability to provide telephony service over the Homeworx platform; MediaOne is integrating this telephony service into its existing video transport infrastructure.
"ADC's experience in developing and deploying the infrastructure for broadband services delivery is extremely beneficial as we turn up telephone service over cable to our L.A. subscribers," said Greg Braden, vice president, telephony, for MediaOne corporate. "We expect this launch to be equally as successful as the Atlanta network launch, where subscriber take rates have exceeded expectations."
"MediaOne has set aggressive goals for delivering integrated services to customers in a timely and cost-effective manner, and the Homeworx system is enabling them to achieve -- and even exceed -- those goals in network locations across the country," said William J. Cadogan, chairman and CEO of ADC Telecommunications. "We are pleased to continue to partner with MediaOne, providing equipment and customer support as it expands its network and service offerings."
In December of 1997, ADC announced that MediaOne had selected the Homeworx platform for delivering telephony service over cable in selected network locations. The contract was estimated at a potential value of up to $100 million over the subsequent three years.
ADC's Homeworx HFC platform, based on orthogonal frequency division multiplexing (OFDM) technology, is a full-featured, high-performance transport system that integrates both voice and high-speed data in a single common platform. The Homeworx platform includes a host digital terminal located at the headend or distribution hub, and integrated services units for placement at or near the customer premises, depending on whether it is serving an individual residence or multi-tenant building. The Homeworx HFC platform accommodates delivery of current services such as telephony and Internet connection, while providing expansion for future interactive services.
ADC's Homeworx cable telephony system has also been selected by SNET in Connecticut in the U.S., NetCom's Tele2 subsidiary in Sweden, Binariang in Malaysia, and Optus in Australia. The Homeworx telephony system also is in field trial at several locations around the world.
MediaOne, a unit of U S WEST Media Group (NYSE:UMG) provides more than 5 million subscribers in 19 states with entertainment, information, and communications services. U S WEST Media Group, one of America's largest broadband communications companies, is involved in domestic and international cable and telephony, wireless communications, and directory and information services. For 1996, U S WEST Media Group had proportionate pro forma revenue of $8.1 billion. Media Group is one of two major groups owned by parent company U S WEST, Inc. The other major group is U S WEST Communications, which provides telecommunications services in 14 western and Midwestern states. U S WEST has proposed splitting the two groups into separate public companies by year-end 1998, pending shareowner and other approvals. Further information is available at www.mediaone.com.
ADC Telecommunications, Inc. (NASDAQ: ADCT) is a leading global supplier of voice, video and data systems for telephone, cable television, Internet, broadcast, wireless and private communications networks. ADC's systems enable local access and high-speed transmission of communications services from providers to consumers and businesses over fiber-optic, copper, coaxial and wireless media. Headquartered in Minneapolis, Minnesota, ADC has approximately 6,000 employees around the world and annual sales of $1.2 billion. For more information on ADC, visit our web site at adc.com. -0- Homeworx is a trademark of ADC Telecommunications, Inc.
"Safe Harbor" statement under the Private Securities Litigation Reform Act of 1995: Any forward-looking statements contained herein reflect the current expectations or beliefs of ADC's management. The company cautions readers that actual future results could differ materially from those in forward-looking statements depending on the outcome of certain factors including the risks and uncertainties identified in Exhibit 99 to the company's Report on Form 10-K for the fiscal year ended October 31, 1997.
CONTACT:
Lynne High -- Marketing
Communications
ADC Telecommunications
(612) 946-3136
lynne-high@adc.com
or
Mark Borman -- Investor Relations
ADC Telecommunications
(612) 946-3338
mark-borman@adc.com
or
Dave Wood
MediaOne
(303) 858-3404
dwood@mediaone.com
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