ACTV Names Art Cohen Senior Vice President of Advertising & E-commerce.

NEW YORK--(BUSINESS WIRE)--March 18, 1999--

Joins Leading Digital Media Company to Capitalize on Proprietary

Technology and Growing Convergence of Television & the Internet

ACTV, Inc. (NASDAQ: IATV), a digital media company, today announced the appointment of Art Cohen, one of the ad industry's most experienced and respected proponents of interactive and addressable advertising, as senior vice president of advertising and e-commerce, a new position. In his new role, Cohen will be charged with applying ACTV's technologies to dramatically enhance the effectiveness of television and online advertising.

"Art will play a key role in accelerating our growth as ACTV's complementary technologies offer video programmers, advertisers and others a cost-effective and powerful means of creating one-to-one relationships with consumers," said David Reese, president and chief operating officer, ACTV, Inc. "The addition of one of the industry's top ad executives is reflective of our commitment to aggressively pursue this significant opportunity."

ACTV is a leader in interactive digital television with its proprietary "Individualized Television" programming capabilities, and a pioneer in TV-Internet convergence with its patented and proven HyperTV(TM) software application. Using its proprietary technologies, ACTV will offer advertisers the first effective turn-key solution for reaching consumers in two major new media markets -- digital television and TV-Internet convergence platforms.

Cohen will continue to serve as president of The Addressable Advertising Coalition, whose members have included True North Communications, BBDO, DMB&B, Young & Rubicam and others. The Coalition's mission is to advance the development of addressable advertising by creating an awareness of the benefits of highly targeted, customized advertising and program content for TV and the Internet.

Cohen has been involved in the convergence arena for many years, and has been in advertising management positions with a variety of leading edge media companies. Most recently, Cohen was vice president of advertising for Your Choice TV, an innovator in time-shifted programming jointly owned by Discovery Communications and Liberty Media. Previously, Cohen was involved with the introduction of AT&T's WorldNet Internet service and with the launch and publication of CMP Media's Interactive Age, the first convergence and Internet magazine. Beginning in the mid-1980's, Cohen served as vice president of sales for Turner Broadcasting, developing the company's business-to-business and corporate advertising structure.

"As marketers, offering consumers a chance to interact with television and Internet content is not enough. We need to offer a way to provide intelligent interactivity. ACTV has developed a superior, proprietary method for achieving that goal," said Cohen. "ACTV's addressable advertising solutions engage consumers in ways that redefine the way we think of electronic media. We will provide marketers with a highly targeted, enriched environment for advertising in the new digital television, Internet, and broadband world."

Michael J. Pohl, president and CEO of SkyConnect, commented: "By incorporating ACTV's proprietary technology into our ad insertion system, we will work together to make the advent of digital cable a profitable experience for cable operators and advertisers. We're glad to see ACTV, whose technology is already integrated into General Instrument's digital set-top terminals, throwing their support and leadership behind an addressable advertising initiative." Earlier this week it was announced that SkyConnect was being acquired by nCUBE.

Reese concluded, "We've spent the past few years refining and perfecting `Individualized Television' and HyperTV, waiting for a viable marketplace to develop. Today, digital cable and broadband technology are proliferating, and recent surveys show that millions of people are creating their own convergent media experiences. Our patented and proven methods, bolstered by our key strategic partnerships, position ACTV at the forefront of digital television and TV-Internet convergence."

ABOUT HYPERTV & "INDIVIDUALIZED TELEVISION"

HyperTV, the company's patented software application, represents a core breakthrough for TV-Internet convergence. HyperTV enables television programmers and advertisers to -- simultaneously, directly and in real time -- "push" to consumers compelling Internet content that directly corresponds to a video program. Using ACTV's patented and proven methods, HyperTV permits the simultaneous and synchronized delivery of streamed video and Web URLs (Uniform Resource Locators) to users. HyperTV also has a database capability that captures valuable permission-based marketing information, such as consumer demographics and preferences.

Today, HyperTV users can watch video on a standard television set while viewing synchronized web content and interacting with other users via their computer. Showtime Networks recently announced results of a January 1999 survey that found nearly one in five U.S. households exhibit convergent behavior by simultaneously viewing television and accessing the Internet. Based on the survey there are already more than 18 million convergent households in the U.S., an increase of more than 80% since December 1997, and that number is expected to grow rapidly. As broadband technology and digital cable become pervasive, users will be able to enjoy a HyperTV experience with video, synchronized web content and chat simultaneously delivered to a TV set.

ACTV's "Individualized Television" digital programming capabilities take traditional television programming into the digital age by allowing viewers to switch seamlessly among multiple, real-time feeds of video, audio and data. Using a standard digital set-top box and remote control, "Individualized Television" can enhance a variety of television genres, including sporting events, news, game shows, music, children's programming and advertising.

For sporting events, ACTV's "Individualized Television" offers more than 60 viewing options like Star Cam, an isolated camera focused on a featured player; instant replay on-demand; in-depth statistics; scoring summaries; and relevant video feature stories and interviews all at the touch of a button.

ABOUT ACTV, INC.

Whether it's for the rapidly emerging digital television platform, the Internet or a convergent TV-Internet experience, New York-based ACTV, Inc. uses its proprietary and patented software applications to dramatically enhance any television or video-based program. ACTV is committed to improving the television and Internet experience for consumers by enabling the creation of more compelling content, while allowing programmers, advertisers and others to create valuable one-to-one relationships with consumers.

ACTV has relationships with many of the dominant players in the Internet, television and digital technology fields, including: Liberty Media Group (NYSE: LMG.A, LMG.B); AT&T Broadband & Internet Services (formerly Tele-Communications, Inc.; NYSE: T); General Instrument Corporation (NYSE: GIC); Scientific-Atlanta, Inc. (NYSE: SFA); Sun Microsystems (NASDAQ: SUNW); FOX Sports Net; TCI Music's The Box Music Network (NASDAQ: TUNE, TUNEP); TV Guide Networks, Inc. (NASDAQ: TVGIA), SkyConnect, Inc.; Cablevision's Rainbow Sports; and The Sarnoff Corporation. Earlier this year, ACTV Entertainment and Liberty Media Corporation formed a joint venture, LMC/IATV Events, LLC. ACTV Entertainment and HyperTV Networks, Inc. are subsidiaries of ACTV, Inc. For more information, visit ACTV's Web site at http://www.actv.com.