NDS and ADB Co-operate to Develop Digital Set-top Box Technology for China.

Business/High Tech Editors

SINGAPORE--(BUSINESS WIRE)--June 7, 2000

NDS Group plc (NASDAQ/EASDAQ:NNDS), a News Corporation company (NTSE:NWS), and Advanced Digital Broadcast (ADB) of Taiwan announced today at BroadcastAsia 2000, that they are co-operating to jointly develop digital set-top box technology specifically for digital broadcasting and broadband services in China.

NDS is a leading supplier of open conditional access software and interactive systems for the secure delivery of entertainment and information to digital TVs, set-top boxes, personal computers and mobile devices. NDS has worked with a number of Chinese partners on technology transfer projects, and with this alliance NDS is continuing its on-going commitment to localizing its full product range for China.

ADB is the Asia-Pacific region's leading provider of digital interactive TV set-top boxes (STBs). With operations headquarters in Taipei, ADB is also a leading designer of broadcast system software solutions for satellite, cable and MMDS pay-TV operators.

ADB and NDS will undertake co-development and research projects in conjunction with Chinese partners to further China's set-top box technology. The initial strategy will focus on delivering full broadcasting and broadband functionality to cable TV viewers in the China market.

The two companies, with a longstanding working relationship in Asia and in the rest of the world, will develop their technology and expertise to provide a range of reference designs for China's STB requirements.

"This new relationship between ADB and NDS is based on our past history of working together to provide winning formulas" says ADB president and CEO Andrew Rybicki. "NDS, with its extensive work with set-top box manufacturers, and ADB bring together complementary core competencies. We will work with Chinese CE (consumer electronic) manufacturers to speed their time to market with new set-top boxes and enhanced TV viewing services."

"NDS anticipates that business resulting from this co-operation could grow quickly," says Sue Taylor, Vice President Asia Pacific of NDS. "NDS and ADB have worked together on many projects around the world, and we are well-suited to bring the best-of-breed set-top box technology to Chinese manufacturers."

About ADB

Advanced Digital Broadcast, Ltd. ranks in the top 10 among the world's suppliers of digital set-top boxes and software solutions for digital interactive television. Since its start-up in 1996, ADB has shipped close to 1.5 million IRD units to customers in Australia, Israel, Hong Kong, the Middle East, South Africa, Spain, Thailand, Taiwan and the U.S.

ADB's compact set-top boxes for digital pay-TV reception (satellite, cable and wireless) feature single-chip, software-driven architecture with extreme reliability (average decoder failure rate is well below 0.5% for every 100,000 boxes that have been in the market for 12 months). The products are available with a wide choice of Conditional Access (CA) and Application Program Interfaces (API).

ADB also offers an extensive range of interactive applications. These include multi-language Electronic Program Guides, Impulse Pay-Per-View systems, Stock Market and Trading Applications, e-commerce services and TV Internet browsing.

Headquartered in Taipei, Taiwan, Advanced Digital Broadcast, Ltd. employs 180 staff in offices in Taiwan, Poland, Australia, South Africa and Spain, in the U.K., and in the U.S. Among this number, more than 120 work as development engineers in the company's Software and Customer Support Engineering facilities in Zielona Gora, western Poland, and in ADB's Advanced Interactive Application Development Center in Sydney, Australia.

About NDS

NDS (Nasdaq/Easdaq "NNDS") is a leading supplier of open conditional access software and interactive systems for the secure delivery of entertainment and information to digital TVs, set-top boxes, personal computers and mobile devices. The company also develops e-security solutions for broadband Internet multicasting applications.

NDS systems enable broadcasters, content providers and enterprises on the leading edge of the convergence of TV and the Internet to profit from digital TV and interactive services, including integrating and delivering Internet and TV content, data broadcasting and e-commerce transactions. A portfolio of services including consulting, systems design and integration, support and maintenance complements NDS' systems and technologies.

NDS customers provide services to over 50 percent of the world's digital satellite subscriber base, and more than 16.8 million viewers of pay television currently use NDS technologies. NDS, headquartered in the United Kingdom, has offices worldwide, employs over 1,000 people, and continues to make a major commitment to R&D with over 400 employees at research centers in Israel, the United Kingdom and China. More information can be found at http://www.nds.com. NDS' largest shareholder is News Corporation (NYSE "NWS", "NSW.A"), a global media and entertainment company.

The statements contained in this release which are not historical facts may constitute forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. These statements relate to the plans, projections or future performance of NDS, which involve certain risks and uncertainties, including risk of market acceptance, the effect of economic conditions, possible regulatory changes, technological developments, the impact of competitive pricing and the ability of NDS and its commercial partners to develop systems and solutions which meet the needs of the broadcasting industry in a timely and cost-efficient manner, as well as certain other risks and uncertainties which are detailed in NDS' filings with the SEC.

Company or product names have been used for identification purposes only and may be the trademarks or registered trademarks of their respective companies.