Cable Innovator, Videotron, Selects PowerTV's Interactive Software Solution To Gain Early Market Lead

PowerTV, a market leader of software for digital interactive cable television, and Videotron LtÈe, a subsidiary of Le Groupe Videotron LtÈe serving more than 1.5 million subscribers, today announced a multi-year software licensing agreement. Per the agreement, Videotron will use PowerTV's operating system and applications enabling middleware to offer the SofaSOFTô suite of Web-based enhanced television (eTV) applications to their cable subscribers in Canada. This signifies the first completely integrated launch of PowerTV applications in North America, and initially includes SofaMAILô, e-mail software, SofaSURFô, Web browsing software, SofaNEWSô, interactive news-on-demand software, and SofaCHATô, chat service. These applications will provide consumers with the ability to watch TV and - at the same time - send e-mail, surf the Internet, receive local and national news, and chat with friends and family. The applications will be offered to this market in French and English. MichËle Giroux, Vice President of new product implementation for Videotron, commented, ""As we planned our launch of interactive services for digital cable television, PowerTV quickly rose to the top due to their vision and innovation in this industry, combined with their core strengths, focus, and knowledge of the solid business fundamentals required to make the dream a reality."" PowerTV is a leader in the market for system software deployments for digital interactive cable television, with over 1.3 million units shipped to cable operators to date. Its applications have been field-tested and network certified to ensure reliability and fast time-to- market for cable operators. Partnering with PowerTV enables Videotron to enter the market with a complete package of eTV solutions that puts them far ahead of competitors; in fact, market deployments are slated to begin in the second quarter of this year. Bow Rodgers, Chief Operating Officer of PowerTV, said: ""We are proud to announce our strategic partnership with one of the most innovative cable operators in North America. Videotron has recognized PowerTV as the leader in interactive two-way digital cable software, and by adopting our platform, Videotron can truly deliver digital interactive enhanced television to their subscribers."" Videotron has long been a pioneer in the interactive cable industry, beginning with its launch of Videoway over ten years ago. Videoway was the first-ever successful attempt by any North American cable operator to provide interactive television services to large numbers of consumers. This includes video games, television guides, TVcommerce, regional and national news and weather, and multiple camera angles for sports broadcasts. Today's announcement accelerates Videotron's launch into digital interactivity, with PowerTV as the enabling software. These eTV services will soon be made available to Videotron's 300,000+ Videoway subscriber base. Videotron will utilize both Scientific-Atlanta's Explorerô, 2000 family of digital set-tops and navigator. PowerTV's set-top operating system and HTML middleware runs these advanced digital interactive devices, with PersonalJavaô, functionality as an option. The addition of PowerTV's SofaSOFT applications forms a complete system of seamlessly integrated interactive programming. PowerTV is unique in that it provides the complete spectrum of software solutions for the set-top, and is designed specifically for the cable market. Its software components can also be ""modularized"" to run independently on other systems. The company also sponsors the most extensive active developer network, PowerPartners ô, to foster the development of third party applications industry-wide. Said Giroux: ""What impressed me was that PowerTV offers the most comprehensive software solution in the industry. It is based fully on industry-recognized standards, and the platform is field-tested. This alliance will enable us to continue to offer new services to our customers for years to come."" About VideotronVideotron (Le Groupe VidÈotron ltÈe) is a leader in the field of telecommunications, cable television, Internet services, television production, broadcasting, e-commerce and remote surveillance services. The largest Cable company in Quebec and second largest in Canada, Videotron provides broadband cable television and Internet services to over 1.6 million households. Celebrating its 35th anniversary this year, Videotron has 5,000 employees and its shares are listed on the Montreal and Toronto Stock Exchanges under the ticker symbol VDO. About PowerTVPowerTV, Inc. (www.powertv.com) is a leading developer of systems software solutions, applications and services for digital interactive cable television. PowerTV's product line includes the only operating system on the market specifically designed for the unique needs of digital cable set-top boxes and a middleware layer that includes an HTML engine and support for PJava. In addition, PowerTV has developed an Internet-leveraged applications platform, the SofaSOFT line of interactive applications and a family of technical and marketing services to support PowerTV products. PowerTV is located in Cupertino, California and can be accessed over the Internet at its home page address: www.powertv.com. PowerTV and SofaSOFT, SofaMAIL, SofaNEWS, SofaSHOP, SofaCHAT, SofaSURF, and PowerPartners are trademarks or registered trademarks of PowerTV, Inc. in the United States and in other countries.