Bell Canada and Microsoft to Trial Internet Protocol TV Using Bell ExpressVu Digital TV Service

REDMOND, Wash., AND NAVI MUMBAI, India, Oct. 9, 2003 — Microsoft Corp. and Reliance Infocomm Ltd. today announced that the two companies plan to work together to jointly create, test and deliver next-generation Internet Protocol (IP)-based television services using an upcoming IPTV solution being developed by Microsoft® TV. This new technology is designed to enable Reliance Infocomm to leverage its nationwide high-speed infrastructure to deliver a unique set of next-generation television services that take full advantage of its state-of-the-art network. The new relationship also will enable the companies to test the benefits to Indian households of leading Microsoft technologies such as Windows Media® 9 Series, Microsoft .NET and Microsoft Windows Server™
2003.

“We are happy to be working with Microsoft to create and test a solution that will help Reliance Infocomm offer our customers a variety of services for a rich TV experience,” said Amit Khanna, official spokesperson, Reliance Infocomm. “This understanding highlights the strategic relationship between Reliance Infocomm and Microsoft to provide next-generation broadcast TV and video-on-demand services to our Indian consumers.”

“Microsoft TVs IPTV solution allows Reliance Infocomm to maximize the value of its network,” said Moshe Lichtman, corporate vice president of the Microsoft TV Division. “Reliance Infocomm has the strategic vision to look to the future and next-generation TV services. Reliance Infocomm clearly recognizes the value that software can add to the IPTV and advanced video services market, and we are pleased to kick off our new IPTV efforts by announcing this alliance with one of Indias largest private-sector enterprises.”

Microsofts planned IPTV solution will enable telephone and cable companies to deliver engaging, high-quality video content and services to their subscribers using two-way broadband networks. The IPTV solution is designed to combine industry and Microsoft innovations to better support the services that pay-TV operators offer today, including standard- and high-definition channels, on-demand programming, and interactive program guides, with enhanced features such as instant channel changing. The solution also will enable new next-generation services that include picture-in-picture functionality using multiple video streams. A prototype of the new Microsoft TV solution is being demonstrated for the first time at ITU Telecom World 2003 in the Microsoft booth in Hall 4, Stand 4100.

About Reliance Infocomm

Reliance Infocomm Ltd. is a member of Reliance Group, Indias largest business enterprise and amongst the top 500 enterprises in the world. Reliance Infocomm has established a pan-India, high-capacity, integrated (wireless and wireline) and convergent (voice, data and video) digital network, to offer services that will span the entire Infocomm value chain infrastructure, services for enterprises and individuals, applications and consulting. Reliance IndiaMobile, its mobile service commercially launched on May 1, 2003, is already on course to become the largest mobile service provider in India with over 4.3 million subscribers.

The Reliance Group founded by Dhirubhai H. Ambani (19322002) is Indias largest business house with total revenues of Rs 80,000 crore (US$ 16.8 billion), cash profit of over Rs 9,800 crore (US$ 2.1 billion), net profit of over Rs 4,700 crore (US$ 990 million) and exports of Rs 11,900 crore (US$ 2.5 billion). The groups activities span exploration and production (E & P) of oil and gas, refining and marketing, petrochemicals (polyester, polymers and intermediates), textiles, financial services and insurance, power, telecom, and infocom initiatives. Reliance has emerged as Indias Most Admired Business House, for the third successive year in a TNS Mode survey for 2003.

About the Microsoft TV Platform

Microsoft TV is a family of standards-based client and server software products and related developer tools that help network operators create digital TV services which delight subscribers and derive more value from digital TV investments. Microsoft TV enables the delivery of new services such as video on demand, on-demand storefronts, interactive program guides, managed content services, digital video recording, enhanced programming, e-mail, instant messaging and more, across a full range of set-top boxes and TV devices. More information about Microsoft TV can be found at http://www.microsoft.com/tv/.

About Microsoft

Founded in 1975, Microsoft (Nasdaq “MSFT”) is the worldwide leader in software, services and Internet technologies for personal and business computing. The company offers a wide range of products and services designed to empower people through great software
any time, any place and on any device.

Microsoft, Windows Media and Windows Server are either registered trademarks or trademarks of Microsoft Corp. in the United States and/or other countries.

The names of actual companies and products mentioned herein may be the trademarks of their respective owners.

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