CLI announces Magnitude MPEG-2 products available for broadcast of digital video; Magnitude encoder systems enhance "fast moving" digital broadcasting.

LAS VEGAS--(BUSINESS WIRE)--April 10, 1995--Compression Labs Incorporated (CLI) (NASDAQ/NMS:CLIX) today announced the addition of MPEG-2(a) compliance and general availability of its Magnitude family of products for digital broadcast of entertainment and information programs over telephone, cable and satellite networks. The successful Magnitude products, which consist of a modular encoder and a choice of decoders, spearheaded the implementation of MPEG and are today used in the first real applications of MPEG-based digital broadcasting. The addition of MPEG-2 will further enhance the quality of video broadcast to viewers' television sets making Magnitude a top choice for those operators requiring the interoperability resulting from compliance to an international standard.

Jim Lakin, vice president of sales and marketing, CLI Broadcast Products Group, said, "The addition of MPEG-2, combined with the video quality of the real-time encoding capabilities -- plus the successes already realized in the U.S., Africa, Australia, South America, and Taiwan -- will make Magnitude the broadcast system of choice for the digital broadcast market."

A key feature of the Magnitude encoder system specifically enhances the video quality of the digital broadcast of fast-moving events, such as basketball or other sporting functions. This feature, known as statistical multiplexing, is the ability to dynamically allocate needed bandwidth from one video channel to another depending on the picture complexity. During fast-moving sporting events, it often becomes necessary to borrow encoding bits from one channel to the other in order to accommodate all the motion and ensure a high-quality picture. Magnitude statistical multiplexing ensures that this adjustment occurs dynamically, when it is needed, resulting in high-quality broadcast.

Magnitude, including its statistical multiplexing feature and an international application of PAL(b) real-time video encoding for digital broadcast over telephone lines (E-1), will be demonstrated at this year's NAB 95 conference in Las Vegas, April 10-13.

Magnitude enables programmers, satellite operators, cable operators and telephone operating companies to economically deliver real-time television broadcast and non-realtime video-on-demand services over twisted pair, coaxial cable, optical fiber and satellite. The system reduces the bandwidth required to transmit video by six to sixty times depending on the complexity of the program content and the transmission method. Magnitude is used today throughout the world for direct broadcast satellite, for cable head-end delivery via satellite, and for transmission over telephone wires.

CLI, "The First Name in Video Communications," is a leading designer and manufacturer of products for digital video communications. Using its core technology, compressed digital video, the company provides a broad range of group and desktop videoconferencing products, as well as broadcast products for the entertainment, business television and distance learning markets.

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Notes:

(a) MPEG-2 is the accepted standard for digital video compression

for broadcast, multimedia and consumer electronics

applications that has been defined by the Moving Pictures

Experts Group of the International Standards Organization 

(ISO).

(b) PAL - Phased Alternate Line. PAL is the broadcasting standard

used primarily in Europe, Australia and some Latin American and

Asian countries.

CONTACT: CLI

Joyce Strand, 408/922-4610 (public relations)

Mia Bradway, 408/428-6735 (public relations)

Susan DeMaio, 408/922-5523 (investor relations)

or

The Benjamin Group

Daniel McKean or Anne Hohenberger, 408/559-6090