Scientific-Atlanta and Microsoft Sign Development and Cooperation Agreement for Internet Protocol Television Solutions

CHICAGO — June 7, 2005 — Scientific-Atlanta Inc. and Microsoft Corp. have entered into an agreement to collaborate on the development of Scientific-Atlanta advanced encoders that will be compatible with the Microsoft® TV Internet Protocol Television (IPTV) Edition software platform. These encoders will support MPEG4 part 10 and VC-1, the proposed SMPTE (Society of Motion Picture and Television Engineers) standard video codec based on Windows Media® Video 9, to deliver integrated IP television (IPTV) services. As a result of the agreement, broadband network operators will be able to use Microsoft and Scientific Atlanta products to offer live and on-demand television programming at lower data rates than today’s current delivery systems while maintaining broadcast-quality video. 

“Our goal is to accelerate the availability of IPTV services for network operators worldwide, and that includes ensuring we have a world-class ecosystem of technology partners like Scientific-Atlanta that support and bring added value to our software platforms on behalf of our joint customers,” said Phil Corman, director of worldwide partner development for the Microsoft TV Division. “Interoperability with an experienced video leader such as Scientific-Atlanta provides broadband operators with great price-performance economies of scale as they launch IPTV services.”

Microsoft TV IPTV Edition is a comprehensive software platform that allows broadband providers to deliver compelling digital TV services using their existing IP networks. Leading broadband operators worldwide are conducting trials or planning to deploy IPTV services based on the Microsoft TV IPTV Edition platform.

The combination of Scientific-Atlanta’s leadership in the delivery of broadband and digital video entertainment, and Microsoft’s leadership in digital TV software can help IPTV service providers reduce both deployment costs and time-to-market as they roll out IPTV to consumers.

“Combining our encoder and integration experience with the power of the Microsoft TV IPTV Edition software platform will help enable broadband operators to enjoy the benefits of a seamless, integrated system,” said Paul Connolly, vice president and general manager of emerging businesses at Scientific-Atlanta. “This advanced video network platform will help broadband operators deliver a next-generation TV viewing experience that complements voice and data services.”

About Scientific-Atlanta

Scientific-Atlanta, Inc. (NYSE: SFA – is a leading supplier of digital content contribution and distribution systems, transmission networks for broadband access to the home, digital interactive set-tops and subscriber systems designed for video, high-speed Internet and voice over IP (VoIP) networks, and worldwide customer service and support.

“Forward-looking statements,” as defined in the Private Securities Litigation Reform Act of 1995, may be included in this news release. A variety of factors could cause Scientific-Atlanta’s actual results to differ from the anticipated results expressed in such forward-looking statements. Investors are referred to Scientific-Atlanta’s Cautionary Statements (Exhibit 99.1 to the Company’s most recent Form 10-Q), which statements are incorporated into this news release by reference.

About the Microsoft TV Platform

The Microsoft TV platform is a family of software solutions that help network operators create and deliver new digital TV services that delight consumers. Designed to help cable providers and telecommunications companies derive more value from their digital video and network infrastructure investments, the Microsoft TV family supports a full range of services including interactive program guides, digital video recording, high-definition TV, on-demand programming and Internet Protocol TV (IPTV) services. The Microsoft TV platform works across a full range of set-top boxes and TV devices. More information about Microsoft TV can be found at

About Microsoft

Founded in 1975, Microsoft (Nasdaq “MSFT”) is the worldwide leader in software, services and solutions that help people and businesses realize their full potential.

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