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SCIENTIFIC-ATLANTA ANNOUNCES SALE OF END-TO-END DIGITAL COMPRESSION SATELLITE ADVERTISING DELIVERY AND INSERTION SYSTEM

SCIENTIFIC-ATLANTA ANNOUNCES SALE OF END-TO-END DIGITAL COMPRESSION
 SATELLITE ADVERTISING DELIVERY AND INSERTION SYSTEM
 -- Mediatech To Be First Customer --
 ATLANTA, April 13 /PRNewswire/ -- Scientific-Atlanta (NYSE: SFA) and Mediatech today announced plans to install the industry's first operational digital compression satellite delivery and insertion system for TV advertising.
 The delivery and insertion system will be based on Scientific- Atlanta's Vector Quantization (VQ) approach to digital video compression. Mediatech, headquartered in Chicago, is the industry leader in ad duplication and distribution services.
 Under the terms of a working arrangement between the two companies, Scientific-Atlanta will provide an end-to-end satellite digitally compressed ad delivery, storage and insertion system designed to reduce time and costs for television advertising distribution while achieving significant improvements in video quality. The system is based on existing Scientific-Atlanta satellite transmission, conditional access and digital compression technologies, although certain aspects of the system remain to be finalized.
 In making the announcement, Scientific-Atlanta Chairman and CEO William E. Johnson said: "Digital compression is the cornerstone of the ability of the media industry to deliver more efficiently the highest possible quality commercials and syndicated programming. The marketplace has been anticipating breakthroughs in signal compression, transmission and storage of television commercials -- and we believe this is it. This system will represent entry into a major new market for Scientific-Atlanta equipment, and we are especially pleased that Mediatech, with its almost 20 years of innovation and leadership position in the ad delivery marketplace, will be helping to develop and will be using our new system."
 Mediatech Chairman Tom Baur said: "We are dedicated to excellence at Mediatech. Our products are in a highly competitive and demanding environment, and they have to be the finest that exist. The Scientific-Atlanta approach is a vast improvement over existing technology. We expect it to reduce cycle time from overnight to the speed of light, and therefore save money at distribution and broadcast sites, increase ad revenues for our customers while preseving studio quality images end to end all the way from production to broadcast. I couldn't be more pleased."
 Scientific-Atlanta's digital ad insertion system will provide a number of benefits:
 -- The equipment is designed to coexist with and augment existing station hardware used for ad insertion. Thus, a decision to use Scientific-Atlanta's digital system would not invalidate previous hardware choices.
 -- Because delivery would be in a digital mode, the high quality of the original image is maintained throughout the delivery process.
 -- Satellite delivery allows simultaneous receipt by all authorized receive sites, replacing today's mechanical duping of video tapes and their distribution by express mail or analog transmission.
 -- Digital storage in an on-site mass digital storage device means that ads can be retrieved locally, reviewed electronically and broadcast instantaneously at one or more TV stations.
 -- The mass digital storage device would instantaneously convert stored material to the format used by each TV station, thus allowing cost-effective hybrid analog/digital broadcast systems. As analog equipment becomes obsolete over time or is replaced, a digital system can be gradually implemented.
 -- The digital storage device and PC-based controller will be designed to provide internal authentication of all parameters of an ad as it is being received by satellite. The system will automatically request retransmission if quality, length or other parameters are not met. The transmission will contain all necessary information for routing and logging, including source, sponsor, title, length, target stations and purchased time slots. It will also automatically verify and log usage, including start and end times, and continuously monitor quality related data during local transmission.
 -- Once an ad has run its term, it can be archived locally in the system with an easy to use library management system.
 -- VQ provides powerful intra-frame compression which permits rapid scene changes and cuts without hesitation or artifacts. Single frame editing is particularly important in commercials which employ many flash cuts.
 -- Scientific-Atlanta's system incorporates SEDAT(TM) (Spectrum Efficient Digital Audio Technology) system, the de facto standard in the radio broadcast industry for distribution of programming to affiliates.
 Bob Luff, Scientific-Atlanta's vice president of broadband strategic operations, said: "The system we are announcing today builds on our expertise in the development of digital compression and our long-standing leadership in domestic and international satellite delivery systems. The system will greatly reduce distribution time, and hence costs, from ad production to commercial airing over local broadcast, cable television and radio systems at a time when ad dollars are more tightly managed than ever."
 Another area of focus is the delivery of syndicated and other programming to the broadcast industry. The Scientific-Atlanta VQ compression technology supports as many as four to 10 programs simultaneously per satellite transponder which is a significant factor in lowering distribution cost. The same equipment and network will be used to deliver programming as well as ads.
 The combined efficiencies of the Scientific-Atlanta VQ digital compression technology and mass digital storage devices will also allow economic high-quality digital video archival and library management systems. Such systems would allow stations to digitally store "on-line" entire video libraries in VQ compressed form and access any part of a library by simple PC keyboard commands.
 The Scientific-Atlanta system will provide an added benefit to cable operators currently supporting multiple channel ad insertion by reducing the space required for hardware by at least 25 percent. Twelve channels of random access ad insertion equipment with 200 minutes of total ad storage capacity will fit in four feet of rack space in a cable headend. By comparison, analog hardware requires a six-foot rack of equipment for each channel.
 Mediatech is the country's largest duplicator and distributor of video commercials, corporate communication materials, and syndicated programs by the conventional method of distribution, and via satellite. Its headquarters are in Chicago, with operating divisions in New York City and Los Angeles.
 Scientific-Atlanta, Inc. is a world leader in cable television electronics, satellite-based communications networks and electronic instrumentation for industrial, telecommunications and government applications.
 -0- 4/13/92
 /CONTACT: Bob Meyers of Scientific-Atlanta, 404-903-4608; or Bob Semmer or Red Quinlan of Mediatech, 312-828-1146/
 (SFA) CO: Scientific-Atlanta, Inc.; Mediatech ST: Georgia IN: CPR SU:


BN-BR -- AT012 -- 7928 04/13/92 16:27 EDT
COPYRIGHT 1992 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1992 Gale, Cengage Learning. All rights reserved.

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