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To: John Rieman who wrote (35717)9/4/1998 4:01:00 PM
From: BillyG  Read Replies (1) | Respond to of 50808
 
-CISCO SYSTEMS: Pace and Cisco to deliver Europe's first integrated
multimedia set-top boxes

M2 PRESSWIRE-4 September 1998-CISCO SYSTEMS: Pace and Cisco to deliver Europe's first integrated multimedia
set-top boxes for digital television, Internet data and telephony (C)1994-98 M2 COMMUNICATIONS LTD

Pace Micro Technology and Cisco Systems have announced an alliance to develop a new generation of multimedia set-top
boxes that will deliver integrated cable-based digital television, Internet data and telephony services to homes across Europe.

These new consumer appliances, expected to begin limited rollout in late 1998, will be the first on the European market to
integrate both digital television and Internet technologies within one compact system, enabling the delivery of dynamic new
information, communications and interactive entertainment services to the home.

Under the Alliance, Pace will license Cisco NetWorks Internet technologies to provide high speed Internet Protocol
(IP)-based communication functionality for Pace's next- generation digital receiver/decoders for the consumer and small
office/home office (SOHO) markets. The two companies will jointly develop a range of set-top-boxes, including a product for
Voice telephony over IP. Pace is Europe's leading manufacturer of digital set-top boxes, used to decode cable and satellite
broadcast services. Cisco Systems is the worldwide leader in networking for the Internet.

The new generation of set-top boxes developed by Pace and Cisco will be the world's first products based on the new
International Telecommunications Union (ITU) J.112 or Data-over-Cable Service Interface (DOCSIS) Multimedia Cable
Network System (MCNS) standard. ITU J.112 provides an open, standards-based solution for broadband connectivity to
the home, while ensuring equipment interoperability.

The speed and network capabilities of these solutions will enable interactive entertainment, Internet services, home Local Area
Network connectivity as well as exciting, new communication services. This development is expected to broadly differentiate
cable from other non-interactive wireless and satellite delivery systems.

Cable & Wireless Communications, Europe's leading integrated communications company, is the first company to order the
combined Cisco-Pace solution, which they will deploy throughout their UK digital cable network.

Noel Leslie, Head of Digital Television at Cable & Wireless said: "Cable & Wireless Communications is actively supporting
the adoption of open, IP-based standards. This alliance between two important market leaders provides the impetus towards
interoperability based on IP protocols, not only in the UK market, but throughout Europe."

Commenting on the alliance with Cisco, Malcolm Miller, Pace's chief executive, says: "We are at the dawning of the digital
volution, an age where the Internet, information technology, broadcasting and new media will converge on a single consumer
device. The digital receiver decoder will become the platform for this convergence. Integrating Cisco's Internet technology and
expertise alongside Pace's expertise in consumer devices for digital television, will ensure we maintain our position at the
forefront of the digital revolution."

Charles Giancarlo, senior vice president of Global Alliances at Cisco, added: "The combination of Cisco's Internet technology
and Pace's digital expertise in a single consumer device will provide a platform for the Internet to dramatically impact the way
we work live, play and learn. Cable & Wireless Communications' decision to adopt the Cisco-Pace end-to-end IP solution
over other delivery systems will give it a clear competitive advantage."

Notes to editors

About Pace

Pace Micro Technology plc is one of Europe's leading manufacturers of satellite television receivers, and was the firs.,
manufacturer to start volume shipments of digital decoders working to the MPEG-2 (Moving Picture Experts Group)
standard. Pace has already manufactured over 6 million analogue and more than 1,500,000 digital set-top boxes. The
company operates in over 80 countries worldwide, through a combination of Pace subsidiaries, distributors and joint ventures.
Pace's head office is in Shipley, West Yorkshire. The company's shares are traded on the London Stock Exchange. For
further information, please visit pacemicro.com.

About Cisco Systems

Cisco Systems, Inc. (NASDAQ:CSCO) is the worldwide leader in networking for the Internet. Information is available at
cisco.com.

CONTACT: Vanessa Magnani/Stephanie Forrest, Firefly Communications Tel: +44 (0)171 381 4505 e-mail:
sforrest@firefly.co.uk Henriette Borch, Cisco Systems Tel: +44 (0)181 756 8000 e-mail: hborch@cisco.com WWW:
cisco.com

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