Alliance To Develop Cyberspace Technologies for Film and Video Industries; Pacific Bell, Alcatel and Dolby team up to accelerate development of digital video and audio transport systems.

SAN FRANCISCO--(BUSINESS WIRE)--April 6, 1995--Three companies serving the video and audio production industry have joined forces to launch the entertainment world into Cyberspace.

Under the alliance, Pacific Bell, Alcatel Network Systems and Dolby Laboratories have announced plans to develop digital video and audio transport systems. Plans include development of the first turnkey CD quality audio transmission service on the public telecommunications network and commercial a offering by Pacific Bell and Alcatel of Pacific Bell's high-definition Cinema of the FutureSM. Cinema of the Future is an electronic method for transporting motion pictures, live performances and sporting events to theaters and other venues.

The video and audio network systems that the companies will develop will reduce production costs and will allow creative people in the entertainment industry to work together, regardless of their locations.

Pacific Bell, Alcatel and Dolby already have collaborated on some projects, including Dolby's six-channel CD audio, which enhances Pacific Bell's Component Digital Video Service.

Dolby, a pioneer in high-quality audio; Pacific Bell, an innovator in real-time, high-quality video transport; and Alcatel, the originator of SDVN(TM) (Switched Digital Video Network), will demonstrate their first jointly designed applications at the National Association of Broadcasters '95 Exhibition.

NAB Demonstrations

At the NAB show, the three companies will demonstrate an "editing session" in which the video playback machine can be controlled remotely while participants consult via videoconference. Dolby's six-channel CD-quality audio using Dolby Digital Audio Coding will enhance Pacific Bell's Component Digital Video Service, an all digital video transport system that minimizes degradation of video by providing a direct digital hand-off from editing equipment. The demonstration will use Alcatel's codecs and video routers to compress the component digital signal and route it to its destination. The video used in the demonstration will originate at Skywalker Sound, a division of Lucasfilm, in Northern California.

Component Digital Video Service from Pacific Bell offers producers and directors the ability to make creative and business decisions from one location while their editors and support personnel are at another. Dolby's improved audio capability ensures that the transmission system can accurately convey the nuances of sound so that sound mixes can be accurately evaluated remotely.

An added benefit of the application is that the signals for remote control of the playback machine, the videoconference, and the video and audio signals share the same circuit. This capability makes it possible even at long distances for participants to interact with the same flexibility and control they would have if in the same room. It also eliminates delays due to parcel post, customs and personnel travel.

Com-Net Industries, Pacific Bell's joint marketing affiliate, will distribute the Dolby Digital Audio Coding and the remote machine control equipment.

HDTV Telecast

In another demonstration, Pacific Bell and Alcatel will show fiber-optic transport of live and stored High Definition Television (HDTV) programming using multiple channels of Dolby Digital Audio Coding technology, similar to that incorporated in the proposed digital U.S. HDTV standard. The live telecast will originate at a major Hollywood film studio. Stored video for the demonstration will originate at an EMC Corp. file server in Pacific Bell's technology laboratory at San Ramon, California.

In another effort, Pacific Bell is testing Media ParkSM, a virtual production studio that puts a variety of film industry resources at the fingertips of California's entertainment, marketing and multimedia companies.

Communications that cross the boundaries of Pacific Bell's service areas in California will be handled by Vyvx.

Pacific Bell is a subsidiary of Pacific Telesis Group, a diversified telecommunications corporation based in San Francisco.

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Note to Editors: At NAB, Dolby's exhibit will be in Booth No. 16567 and Alcatel's in Booth No. 18084 in the main exhibit hall. Pacific Bell's exhibit will be in Booth No. 109 at Multimedia World in the Las Vegas Hilton.

CONTACT: Pacific Bell

Scott E. Smith, 415/542-0597

Alcatel

Michael Newsom, 214/996-7896

Dolby

Eileen Tuurim, 415/558-0374