Pace Micro Technology Enters Chinese Market; First Deal Signed with Galaxy Satellite Broadcasting Ltd in Hong Kong.

SINGAPORE -- Pace Micro Technology (LSE:PIC), the leading dedicated innovator of technology solutions for the payTV industry, has today signed an agreement with Galaxy Satellite Broadcasting Ltd (Galaxy) to supply subscribers of SuperSUN, the payTV service of Galaxy in Hong Kong, with Pace's latest Asia-Pacific set-top box, the DC235.

Designed specifically for the Asia-Pacific audience, the DC235 - which was first launched at BroadcastAsia 2004 - offers advanced technology with an entry-level price, enabling broadcasters such as SuperSUN to take advantage of the growing digital TV market in the Asia Pacific region.

Utilising MPEG-2 decoding technology, the DC235 enables SuperSUN to offer superb audio and visual quality in an easy-to-use format. The DC235 can be 'self-installed' by the end-consumer in minutes - once plugged in to the TV, this clever set-top box automatically scans for all available channels, making it ready for use immediately.

Despite being entry-level, the DC235 boasts a range of features to meet most consumers' needs, including a multi-lingual electronic programme guide (EPG) and RCA phono outputs to enable hi-fi system and AV amplifier connectivity, for easy integration into a home audio or theatre system.

A key feature of the DC235 for SuperSUN is the ability to incorporate its own front-end, specific software and applications onto Pace's common hardware design, giving this payTV operator a truly tailored solution.

The DC235 can also be adapted for satellite or terrestrial front ends, and can be integrated with any CA or middleware. Galaxy has chosen MediaHighway Core(TM) middleware and NDS Videoguard CA for their deployment.

Jeremy Roberts, Director of Engineering of SuperSUN commented: "This concept is ideal for us as it allows us to deploy our digital service at a price that is right for our customers, with a product that they can rely on and with all the features we want to incorporate. Thanks to Pace's extensive expertise in the digital cable market, it was clear to us that they were the perfect partner to work with for the roll-out of our digital TV service."

Sandy Barblett, Regional Director of Pace Micro Technology commented: "Since the conception of digital TV, Pace has led the way in the digital cable market in Europe and America. We are pleased that this heritage is now opening up new opportunities for us in the Asia-Pacific market. We launched digital cable with Foxtel the leading Australian payTV operator last year and this agreement with SuperSUN demonstrates how Pace is going to be a key technology partner to operators in Asia Pacific."

Sue Taylor, Vice President of NDS commented: "This is our first deployment of our MediaHighway Core(TM) middleware with Pace in this region. We have worked together on a number of deployments for major pay TV operators across the rest of the world and we believe that our strong relationship will provide the added value that Galaxy is looking for in their digital roll-out."

Shipments of the DC235 are due to commence in September 2005.

About Pace Micro Technology

Pace Micro Technology plc (LSE:PIC) is a leader in digital television technology. The Company's primary focus is the development of innovative set-top box solutions for operators, broadcasters, telecommunications companies and retail markets worldwide.

Pace's head office is in Shipley West Yorkshire, with further offices in the USA, Hong Kong, Germany and France. For further information, please visit Pace's web site at www.pacemicro.com.

About SuperSUN

SuperSUN is a pay TV service operated by Galaxy Satellite Broadcasting Limited (GSB), aiming at providing the most original and local-flavored programming to the entire family. SuperSUN brings to the audience a unique mix of quality local programming and top-notch entertainment from around the world. The service now has a total of 35 channels. By end of June 2005, it will be increased to 40 channels. The service will have six exclusive Chinese channels supplied by TVB as well as two exclusive Chinese movie channels and a wide range of news, movies, and entertainment programs from leading local and international content providers. SuperSUN is currently transmitted via satellite through existing SMATV and CABD networks into set-top boxes of individual homes. It will also start transmitting its service via broadband network through the cooperation with Hutchison Global Communications Limited. For more information, please visit www.supersun.com.hk.

About Galaxy Satellite Broadcasting Limited

Galaxy Satellite Broadcasting Limited (GSB) is a wholly owned subsidiary of Television Broadcasts Limited, Hong Kong's prominent premium content provider and broadcaster. GSB has been providing uplink / downlink and broadcasting services for channel providers and telecommunication companies in the Asia Pacific region since 2000. It was awarded a license to operate a new subscription television service for Hong Kong in the same year.