First Nuclear Power Plant in Taiwan Selects Optibase for Real Time Video Streaming System; System Enables Display of Visual Informative Data.

Business Editors/High-Tech Writers

HERZLIYA, Israel & TAIPEI--(BUSINESS WIRE)--Nov. 17, 2003

The First Nuclear Power Plant in Taiwan "Chin Shan" has selected Optibase, Ltd. (Nasdaq:OBAS), a provider of streaming media solutions, to enable the live delivery of video content to over 400 of the plant's employees.

The Chin Shan power station employs over 400 employees in Taipei County. In order to facilitate internal communications and convey information regarding weather forecasts, power cuts, advertorial and training content, the plant's management decided to install a video delivery system that would stream live video to employees' desktops and to twelve 42" Plasma TV monitors located throughout the plant.

The video streaming system had to meet several requirements set by Chin Shan: The video had to be of the highest quality. In addition, the system had to support real-time insertion of subtitles and overlay of power data within the video signal. The system also needed to enable scheduled streaming and offer central control and management. After an intense selection and testing process, Chin Shan, working with CDRPro, Optibase's partner in Taiwan for system integration, chose a solution based on Optibase's MGW 2000 streaming server and InfoValue's QuickVideo software.

The MGW 2000 is an MPEG-1 and MPEG-2 streaming server that combines with QuickVideo software to form a complete end-to-end streaming solution. The QuickVideo Multicast software package delivers TV-like video broadcasts to PCs and set-top boxes utilizing standard IP multicast technology. In the Chin Shan project, QuickVideo Multicast controls six live MPEG-2 streams encoded at 6 Mbps. Nine PCs record the live streams in real-time. The streams are indexed and annotated by QuickVideo Archive video asset management software. Chin Shan employees can easily browse video content, which is streamed on-demand to their desktops using the QuickVideo OnDemand software package.

"We are delighted to take part in this innovative streaming project which greatly enhances the quality and scope of internal communications by delivering live TV directly to employees' desktops," said Adam Schadle vice president of sales, Optibase. "The combination of MGW 2000 and QuickVideo software creates a powerful end-to-end streaming solution optimized for enterprise networks."

About Optibase

Optibase, Ltd. (Nasdaq:OBAS) provides high-quality, cost-effective products that enable the preparation and delivery of MPEG-based digital media over broadband networks. Optibase has created a breadth of product offerings used in applications, such as: video-on-demand; real-time video streaming; digital video archiving; distance learning; and business television. Headquartered in Israel, Optibase operates through its fully-owned subsidiary in Mountain View, California and offices in Europe, Japan and China. Optibase products are marketed in over 40 countries through a combination of direct sales, independent distributors, system integrators and OEM partners. QuickVideo products are manufactured by InfoValue Computing Inc., a leading streaming software provider. For further information, please visit www.optibase.com.

About Chin Shan

Taiwan's First Nuclear Power Station, equipped with two nuclear units each rated at 636Mwe in capacity, is located in a natural valley in a low populated neighborhood in the northern tip of Taiwan. Prime consideration was given to safety and health, environmental impact, population growth, and suitability of location upon its construction.

About CDR Pro

Founded in 1993, CDRPro is a leading player in the Digital Media Creation & Streaming market in Taiwan focusing on VCD/DVD Publishing Systems (Authoring and Encoding), integration of Video On Demand, e-learning systems and CD/DVD Duplicators.

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This news release contains forward-looking statements concerning our marketing and operations plans. These statements involve a number of risks and uncertainties including, but not limited to, risks related to the evolving market for digital video, competition, our ability to manage growth and expansion, general economic conditions and other risk factors. For a more detailed discussion of these and other risks that may cause actual results to differ from the forward looking statements in this news release, please refer to Optibase's most recent annual report, its Registration Statement on Form F-1 filed with the United States Securities and Exchange Commission and other filings with the SEC.