NDS Announces New DRM Capabilities, Securely Extending pay-TV Operators' Reach Into a Range of New Platforms & Devices.

LONDON -- NDS Group plc (Nasdaq:NNDS) (Brussels:NNDS):

Highlights:

--NDS VideoGuard(R) security solution extended to include Digital Rights Management (DRM) capabilities, creating an integrated service and content protection solution that is capable of protecting multi-platform service revenues and valuable content distributed over any type of network to any type of device.

--VideoGuard now supports DRM, as well as conditional access (CA) through a unified CA/DRM headend that allows pay-TV operators to extend their existing services to PCs, mobile phones, personal multimedia players (PMPs) and storage media.

--Content usage rights and business models can be extended beyond the settop box (STB), ensuring that operators continue to generate revenues from content that consumers transfer between devices and user domains.

--NDS will be demonstrating VideoGuard's new DRM capabilities at its stand (1.171) at IBC 2006, with a range of solutions for "Enabling and Securing Content Anytime, Anywhere On Any Device."

NDS, the leading provider of technology solutions for digital pay-TV, today announced the addition of new DRM capabilities to its VideoGuard solution, enabling pay-TV operators to securely provide content across any platform to any type of device.

The solution has been designed to address today's consumer viewing habits, with a focus on ensuring that subscribers can access their desired content when they want to watch it over whatever network and device they choose to watch it on. Consumer electronics (CE) manufacturers that integrate their products with VideoGuard can enrich their offering by giving users access to premium content on their devices using customizable business models.

The additional components of VideoGuard include a unified CA and DRM headend, a Trusted Secure Kernel, which is a security agent that is integrated within CE devices, and a Trusted Secure Player that will be integrated into PCs. The solution also includes a VideoGuard Key, a portable storage device containing robust hardwarebased CA and DRM that enables consumers to securely view and transfer content between a range of devices, including PCs, mobile devices and STBs.

Commenting on VideoGuard's new DRM capabilities, Joseph Deutsch, NDS Vice President Product Marketing, said, "Digital convergence is turning TV operators and service providers into multi-platform service providers, seeking to provide content over a wide variety of networks to a range of devices. As the industry's leading conditional access solution, NDS VideoGuard(R) conditional access systems already secure service revenues of more than $30 billion, and are used by more than 64 million subscribers. By expanding VideoGuard's capabilities to support both Conditional Access and DRM, NDS is now enabling any service provider to give consumers the freedom to watch what they want, when they want, where they want.

NDS's VideoGuard also utilizes SVP (Secure Video processor) technology as part of its security foundation to protect content and enforce the business rules set by the pay-TV operator. As SVP enabled devices come to market in 2007, NDS will also capitalize on these secure embedded capabilities to offer further enhancements.

VideoGuard enabled products are in the process of being deployed and are currently available on PMPs and mobile devices, with PC availability expected to become available in early 2007.

NDS will be demonstrating VideoGuard's new DRM capabilities at its stand (1.171) at IBC 2006. At the exhibition, visitors will be able to see how VideoGuard DRM enables:

--PC-based pay-TV to provide a full TV offering, including EPG and PVR functionality

--VOD services to be delivered to a PC

--Content transfer from a PVR to PMP & mobile phones

--Content transfer between PVRs

--Content transfer between PMPs and mobile phones

About NDS

NDS Group plc (Nasdaq:NNDS) (Brussels:NNDS), a News Corporation company, secures and enables content anytime, anywhere on any device. See www.nds.com for more information about NDS.

Cautionary Statement Concerning Forward-looking Statements

This document contains certain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on management's views and assumptions regarding future events and business performance as of the time the statements are made. Actual results may differ materially from these expectations due to changes in global economic, business, competitive market and regulatory factors. More detailed information about these and other factors that could affect future results is contained in our filings with the Securities and Exchange Commission. The "forward-looking statements" included in this document are made only as of the date of this document and we do not have any obligation to publicly update any "forward-looking statements" to reflect subsequent events or circumstance, except as required by law.