Megacable Selects Microsoft TV, Digital Latin America and Motorola Broadband to Deploy Interactive Digital TV Services

REDMOND, Wash., HORSHAM, Pa., and CORAL SPRINGS, Fla., July 8, 2003 — Digital Latin America (DLA), Microsoft®
TV and Motorola, Inc. (NYSE
) Broadband Communications Sector today announced they plan to deploy a variety of digital services with Megacable, one of the largest cable operators in Mexico. Under the joint technology and marketing agreements, Megacable intends to launch the new services to a majority of its subscribers in the third quarter of 2003 in Guadalajara. Megacable will roll out DLA’s content, Microsoft TV Interactive Program Guide (IPG) and Microsoft TV Advanced software across Megacable’s subscriber base on thin-client and advanced set-tops from Motorola.

DLA’s broad digital content will enable Megacable to provide a variety of digital content including pay-per-view channels, digital music channels and Infocast channels.

Megacable also plans to use Microsoft TV Advanced software to deliver an IPG, music services, pay-per-view (PPV), e-mail, Web browsing, instant messaging, chat and PC bridging offerings to subscribers. The new digital TV services will be some of the most-advanced in the world and will be deployed on Motorola’s DCT5000 set-tops. Megacable plans to add video-on-demand (VOD) services in 2004.

Microsoft TV IPG also will be deployed to Megacable subscribers across Motorola DCT1000 set-tops. Microsoft TV IPG is a fast, easy-to-use guide that integrates television, PPV and VOD listings, and services in one seamless experience. Microsoft TV IPG is validated for Motorola’s DCT1000, DCT1700 and DCT2000 series set-tops. Microsoft TV Advanced software and Microsoft TV IPG both provide English- and Spanish-language support.

Motorola’s infrastructure technology and digital set-tops will enable Megacable to better serve the multiple and varying needs of its subscribers. Tiered service support for VOD, PPV, IPG and other compelling interactive digital services will be enabled by Motorola MediaCipher®
conditional access technology and offered through the Motorola DCT1000 and DCT5000 set-tops.

“Megacable is the proven leader in analog video services and high-speed data transmission. Thanks to our relationships with Microsoft, Motorola and DLA, this new platform will help Megacable position itself as a leader in television and interactive digital services,”
said Enrique Yamuni, chief executive officer of Megacable.

By deploying this wide range of services, we are able to take TV to the next level and offer the most compelling viewer experience.

Megacable is on track to accomplish its objectives. We updated our entire infrastructure with fiber-optic nodes and two-way functionality. This made Megacable the first operator in Mexico and Latin America to provide Internet and data transmission services, and we will implement VoIP services in the near future.

“Now we are adding data services like Internet, e-mail and messenger into our digital TV offering and are confident these new applications will be a success,”
Yamuni said.

“Megacable continues to prove it is a progressive cable operator, now taking a lead to bring digital content and services to Mexico. DLA is excited to broaden Megacable’s offering, thanks to our relationships with Microsoft TV and Motorola,”
said Mike Pulli, chief executive officer of DLA.

“The range of services being rolled out by Megacable shows what Microsoft TV software can enable with ease and flexibility,”
said Tim Fritzley, vice president of sales and solutions for Microsoft TV at Microsoft Corp.
“Once again, we are pleased to be working with DLA and Motorola to provide Megacable with a seamless digital TV package that will help it bring exciting new programming and services to its subscribers.”

“Motorola is proud to be supporting Megacable’s deployment of innovative tiered digital services, alongside DLA and Microsoft,”
said Bick Remmey, corporate vice president and general manager for Latin America at Motorola.
“We look forward to helping keep Megacable’s customers entertained, informed and connected via the compelling services our digital technology enables.”

About Megacable

With around 450,000 subscribers in 34 cities, Megacable operates one of Mexico’s largest cable television systems, a 96 percent two-way HFC network. Megacable also provides Internet access in 15 Mexican cities through its trademark, Meg@Red to more than 115,000 home and business subscribers, with two-way broadband access not using dial-up or telephony, making it the largest broadband service provider in Latin America and undisputed leader in the implementation of new applications via HFC networks. In the near future, Megacable plans to launch its telephony services to its subscribers, which are under tests with the authorization of the Mexican government using IP technology. For more information, visit .

About DLA

Digital Latin America (DLA), based in Coral Springs, Fla., is the only integrated digital content and service provider that enables cable operators in Latin America and the Caribbean to enhance their current subscriber offering by adding digital services in a cost-effective manner. With DLA, systems can provide subscribers with a suite of digital programming and services including the best Latin American premium channels, exclusive pay-per-view movies and events, an interactive program guide, digital music channels, Infocast, a promotional channel and interactive applications such as e-mail, Internet access, games, news and information services. Digital Latin America, LLC ( ), is a joint venture between Hicks, Muse, Tate and Furst Inc.; Liberty Media Corp. (NYSE: L, LMC.B) through its wholly owned subsidiary, Liberty Media International Inc.; and Motorola, Inc.

About Motorola Broadband Communications Sector

The Motorola Broadband Communications Sector provides a scalable, integrated end-to-end system for the delivery of broadband services that keeps consumers informed, entertained and connected. Its technology enables network operators and retailers to create and execute on new business opportunities by providing innovative products and services to the home. Customer-responsive design and manufacturing expertise further contribute to the company’s position as the world’s leading supplier of digital cable set-tops and cable modems. More information about the Motorola Broadband Communications Sector can be found at .

About Motorola

Motorola, Inc. (NYSE
), is a global leader in wireless, automotive and broadband communications. Sales in 2002 were $27.3 billion. Motorola is a global corporate citizen dedicated to ethical business practices and pioneering important innovations that make things smarter and life better, honored traditions that began when the company was founded 75 years ago this year. For more information, please visit .

About the Microsoft TV Platform

Microsoft TV is a family of standards-based, client and server software products that enables the delivery of new digital TV services through cable, terrestrial and satellite networks across a variety of TV devices including the full range of set-top boxes. The Microsoft TV platform provides value to network operators by enabling new revenue-generating services including video on demand, interactive program guides, digital video recording, enhanced programming, e-mail and instant messaging. More information about Microsoft TV can be found at

About Microsoft

Founded in 1975, Microsoft (Nasdaq
) 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 is a registered trademark of Microsoft Corp. in the United States and/or other countries.

MOTOROLA and MediaCipher are registered in the U.S. Patent and Trademark Office.

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

Note to editors: If you are interested in viewing additional information on Microsoft, please visit the Microsoft Web page at on Microsoft’s corporate information pages. Web links, telephone numbers and titles were correct at time of publication, but may since have changed. For additional assistance, journalists and analysts may contact Microsoft’s Rapid Response Team or other appropriate contacts listed at .

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