Next Generation Video Transmission Service Announced by IBM

On-demand customer control for video ordering, distribution, bandwidth

LAS VEGAS, NV, April 15, 1996 . . . IBM today announced a new network-based
video transmission service called IBM Video Services that revolutionizes
the way TV and cable networks, sports organizations or any commercial
video users schedule and distribute video. The service raises the
broadcast industry to the next technological level of video distribution
by making ordering video as simple, fast and cost-effective as making a
phone call.

IBM Video Services, to be offered with a business partner TXMedia, Inc.,
will provide enhanced customer control, service and bandwidth for
point-to-point and point-to-multipoint video distribution.

Customers will be able to log on to a PC at their site whenever they want
to schedule or receive video feeds and manage the entire process right
from the desktop. IBM Video Services literally gives the industry
finger-tip control over video broadcast distribution.

The service uses advanced asynchronous transfer mode (ATM) switching
technology and is delivered through the IBM Global Network. It is driven
by an intelligent network that manages all of the operational aspects of
transmitting video. This is an example of IBM's network-computing
strategy, which allows people to receive, use and share applications and
services across worldwide voice and data networks.

"IBM Video Services is a stepping stone that moves the industry further
into the digital future," said Rick Selvage, general manager, media and
entertainment, IBM telecommunications and media industry solutions unit
(ISU). "While it is evolutionary in scope, it is revolutionary in the
infrastructure that it will provide for a sweeping array of enhanced
broadcast services. It literally elevates the broadcast industry to the
next level of maturity in terms of editing, archiving and retrieval, as
well as ease and simplification of transmission and distribution."

Scott Beers, president of TXMedia, added, "We are excited about our
relationship with IBM that brings a highly reliable, cost-effective and
customer-controlled product to the video transmission marketplace. We will
make the transmission of a video event as easy as making a phone call. It
gives customers the ultimate method of video transport."

Among the first customers using IBM Video Services is Keystone
Communications Corporation, one of the largest value-added broadcasting
transmission providers in the world, which provides professional sports'
broadcast rightsholders with thousands of hours of event transmission
yearly. Keystone has committed 50,000 hours of usage to the network.

"The IBM and TXMedia offering catapults our industry into the next
generation of transmission methods," said Peter Marshall, President of
Keystone. "We look forward to being among the first on the network because
it will keep us in the forefront of the industry with new technology that
will enhance our existing satellite and terrestrial transmission
resources. The bottomline is that Keystone's customers will benefit from
the most current technology available for the applications they require.
Assuring this is our primary business goal."

With IBM Video Services, IBM brings the expertise of its telecommunications
and media industry unit, as well as its worldwide global network, and its
experience in managing international multi-user networks. IBM also will
provide technology, including encoders/decoders, ATM switches and media
servers, network management, and its solution development capability.

TXMedia, Inc. offers its broadcast transmission knowledge and experience
along with the management expertise of its successful New York
customer-controlled video hub called "The Switch". This video switching
center, co-owned and operated with Keystone Communications, has 62
customers and over 300 inputs and outputs. In addition, TXMedia brings
broadcast operations and production experience, as well as broadcast
systems integration, existing customer relationships and extensive
knowledge of the broadcast and entertainment industry.

The service will be available later this year with a roll out of up to 41
U.S. cities by 1997 and an additional 18 international cities in 1998.

The IBM Global Network is one of the world's largest providers of
integrated data, voice and video services, with more than 25,000 customers
in over 850 cities and 100 countries around the world. Its networking
solutions include value-added telecommunications services, internet access
and navigation services, subscription access to network-enabled
application services, complete end-to-end network outsourcing.

The IBM Telecommunications and Media ISU offers a wide range of solutions
for the telecommunications, cable TV, wireless, broadcasting, publishing,
advertising and entertainment industries.

For more information, contact IBM Video Services representatives at
212-336-5881.

Please Note: Questions about the content or currency of this press release
should be directed to your local IBM representative.
 
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