LONDON August 31, 1998 Pace Micro Technology Plc and Cisco Systems, Inc. today announced an alliance to develop a new generation of multimedia set-top boxes and infrastructure solutions that will deliver integrated cable-based digital television, Internet data and telephony services for broadcasters and homes across the world. The first of these new consumer products is expected to begin limited rollout in late 1998 with Cable and Wireless Communications. The set-top products will be the first on the market to integrate both digital television and International Telecommunications Union (ITU) J.112 standards within one compact system, enabling the delivery of dynamic new information, communications and interactive entertainment services to the home.
Pace is Europe's largest manufacturer of digital set-top boxes used to decode cable, satellite and terrestrial broadcast services. Under the alliance, Pace will license Cisco NetWorks Internet technologies to provide high-speed Internet Protocol (IP)-based communication functionality for Paces next-generation digital receiver/decoders for consumer markets. The two companies will jointly develop a range of set-top boxes including product that provide Ethernet and voice telephony-over-IP gateway functionality.
The new generation of set-top boxes developed by Pace and Cisco will be the first products in deployment to embed ITU J.112 or Data-over-Cable Service Interface Specifications (DOCSIS) functionality. ITU J.112 and DOCSIS define an open, standards-based solution for broadband connectivity to the home, while ensuring multivendor equipment interoperability. The speed and network capabilities of these solutions support new interactive entertainment, synchronous programming, Internet services such as e-mail and Web applications, residential local area network (LAN) connectivity, video-on-demand and exciting new multimedia communication capabilities. This development is expected to broadly differentiate cable from other non-interactive wireless and satellite delivery systems.
Cable and Wireless Communications, Europe's leading integrated communications company, is the first company to order the combined Cisco/Pace solution, which it will initially deploy throughout its UK digital cable network.
According to Noel Leslie, Head of Digital Television for Cable and Wireless, "Cable and 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 revolution, an age where the Internet, information technology, broadcasting and new media will converge on a single consumer device. We believe we have created a next-generation appliance combining the best globally available technologies and standards. We will support DVB and ITU J.112 in our European rollouts in addition to offering a single box compliant with OpenCable, PacketCable and DOCSIS standards for our North American customers. Our new systems employ a next-generation processor, ASIC and graphic engines to efficiently run application environments including Sun Microsystems Personal Java and Oracles NCI with the opportunity to support Microsofts CE in the future."
Charles Giancarlo, senior vice president of Global Alliances at Cisco added, "The combination of Ciscos Internet and broadband technologies and Paces digital expertise in a single consumer device will provide a platform for the Internet that will dramatically impact the way we work, live, play and learn. Cable and Wireless Communications decision to adopt the Cisco/Pace end-to-end, IP solution over other delivery systems will give it a clear competitive advantage."
"Cisco's collaboration with Pace will help us continue to support world class, standards-based solutions," said Paul Bosco, general manager of Cisco's Cable Products and Solutions Business Unit. "The commercial deployment of these solutions will demonstrate that hybrid-fiber coaxial broadband infrastructures can cost-effectively deliver new cross platform bundles of branded information, communications and entertainment services required to capture new revenue and win subscribers in competitive markets worldwide. We are excited to be working with Pace and Cable and Wireless on the first European rollout of these new services."
About Pace
Pace Micro Technology plc is one of Europe's leading manufacturers of satellite television receivers, and was the first 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. Paces head office is in Shipley, West Yorkshire. The companys shares are traded on the London Stock Exchange.Cisco Systems
Cisco Systems, Inc. (NASDAQ:CSCO) is the worldwide leader in networking for the Internet. athttp://www.cisco.com.Cisco IOS is a trademark, and Catalyst, Cisco, Cisco Systems, Lightstream and the Cisco Systems logo are registered trademarks of Cisco Systems, Inc. in the U.S. and certain other countries. All other trademarks mentioned in this document are the property of their respective owners.
