News Release

Australia's first IP-based digital TV network deployed on Cisco networking solution

SP Telecommunications, Cisco and TANDBERG Television provide
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Sep 13, 2002

SP Telecommunications, Cisco and TANDBERG Television provide next generation network to NBN TV

SYDNEY, Australia - September 13, 2002 - Cisco Systems, the worldwide leader in networking for the Internet, has teamed with SP Telecommunications and TANDBERG TV to create Australia's first Internet Protocol-based digital streaming television network.

SP Telecommunications will use the Cisco-based IP network to stream digital television signals to its customer, Newcastle Television broadcaster, NBN Television. NBN is one of Australia's largest regional television broadcasters, servicing more than 1.7 million people in regional areas between Sydney and Brisbane.

By taking advantage of the inherent flexibility of IP, NBN will be able to carry six streams of real-time digital programming, at 25Mbps each, between its studios in Newcastle, and to its transmission sites. SP Telecommunications also carries contribution services in excess of 90Mbps over the IP network from the national Channel Nine Television network to NBN.

NBN Managing Director, Mr Denis Ledbury said: "The use of IP based technology is more efficient, cost effective and scalable than traditional technology and systems currently adopted by broadcasters."

Mr Steve Legge, Group Engineering and Operations Manager, SPT, said there were clear efficiency gains from deploying an IP network.

"Given the demand for IP services from corporate, government and wholesale customers, it makes sense to deploy an IP network that can deliver the full range of services that customers require over a single platform," Mr Legge said.

At the core of SP Telecommunication's network are Cisco 3600, 7200 and 7500 Series routers, Catalyst 2950 and 3550 Intelligent Ethernet Switches, all managed using VPN (Virtual Private Networking) Solution Centre and monitored via Cisco Information Centre.

Cisco IOS Multiprotocol Label Switching (MPLS) is a standard feature within the network, bringing together the intelligence of routing with the performance of switching. MPLS enables customers to build highly scalable VPNs with end-to-end quality of service by providing traffic management and other services.

Cisco Australian Service Provider Manager of Regional Sales, Mr Peter Papaioannou, said: "SP Telecommunications is a good example of a telecommunications carrier creating commercial opportunities by deploying a converged IP network capable of supporting video, data and voice traffic."

In addition to digital TV distribution, the SP Telecommunications IP network is being used to provide high-speed data, voice and video connectivity services to corporate, government and wholesale customers, including the provision of secure IP-based Virtual Private Network (IP VPN) services. Health and Education industry customers are also benefiting from improved bandwidth available from the SP Telecommunications IP network.

To provide the network, Cisco worked with digital broadcast solutions provider TANDBERG Television.

About SP Telecommunications

SP Telecommunications Limited (ASX: SOT) is a new Australian telecommunications carrier listed on the Australian Stock Exchange. SOT designs, builds, operates and maintains its own broadband network delivering services to the eastern seaboard of Australia. SP Telecommunications is a subsidiary of Washington H Soul Pattinson and Co. Ltd (ASX: SOL), the diversified Australian investment company. See www.sptel.com.au.

About SP Telecommunications and