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USA Digital Radio, Digital Radio Mondiale To Collaborate on Worldwide Standard for Digital AM Radio.

Business Editors/High Tech Writers

COLUMBIA, Md.--(BUSINESS WIRE)--Jan. 24, 2000

USA Digital Radio Inc., a privately-held technology company owned by the largest radio broadcasters in the United States, and Digital Radio Mondiale (DRM), a global consortium from the broadcasting industry, today announced plans to work together in developing and promoting a worldwide standard for digital AM broadcasting.

Digital radio gives consumers a far superior sound quality -- and a crystal clear reception -- when they tune into their favorite radio stations. It can also deliver a range of new data services on a radio screen from identifying song titles and artists to scrolling local traffic, weather and news.

&uot;Our aim,&uot; says Peter Senger, chairman of DRM, &uot;is to ensure that a receiver bought anywhere in the world will work anywhere in the world. Just as important, is ensuring that the transition from analog to digital is as smooth and as low-cost as possible both for the industry and the billions of listeners around the globe. We warmly welcome the opportunity of working with USA Digital Radio. Developing a digital standard for the market worldwide has always been DRM's primary objective.&uot;

&uot;Our successful testing demonstrates the viability and superiority of our iDAB system,&uot; said Robert J. Struble, president and chief executive officer, USA Digital Radio. &uot;We are prepared to take the next steps toward global implementation and look forward to working with DRM in developing a universal digital radio standard.&uot;

Digital Audio Broadcasting (DAB) is a digital method of transmitting virtual CD-quality audio signals to radio receivers. iDAB is a broadcasting technology developed by USA Digital Radio that uses the current radio spectrum to transmit existing AM and FM analog simultaneously with new high-quality digital signals. This technology provides a unique opportunity for broadcasters and listeners to convert from analog to digital radio without service disruption while maintaining current dial positions of existing stations. Listeners who purchase digital radios would receive their favorite radio stations with superior sound quality free from static, hiss and noise, and with reduced interference. Additionally, listeners would have the capability to receive expanded auxiliary data services, such as station and program content, stock and news information, local traffic and weather, email and Internet access and much more.

About Digital Radio Mondiale

Digital Radio Mondiale (DRM) is an international consortium of broadcast industry organizations, which have come together to develop a standard for digital broadcasting in the AM bands below 30 MHz. DRM's aim is to bring affordable, digital quality sound and services to the world radio market.

The DRM consortium was formally established in March '98 and members include leading broadcasters, network operators, transmitter and receiver manufacturers, research bodies and regulatory groups, from all corners of the globe. Membership continues to grow rapidly, as more organizations see the benefit of high-quality, wide area coverage at low cost.

DRM has worked hard to ensure that the more modern transmitters can be adapted to carry the DRM standard, so further reducing the cost of implementing the new digital technology.

DRM has lodged its proposal for a digital standard with the International Telecommunication Union and aims to start broadcasting late next year, with receivers entering the marketplace at about the same time.

DRM members include:

Academy of Broadcasting Science of China (China); British Broadcasting Corporation (United Kingdom); Coding Technologies Sweden AB (Sweden); Comatlas (France); Continental Electronics Corporation (USA); Deutsche Telekom AG (Germany); Deutsche Welle (Germany); Deutschland Radio (Germany); Egyptian Radio and TV Union (Egypt); Fraunhofer Institute for Integrated Circuits (IIS), Erlangen (Germany); Harris Broadcast Corporation (USA); International Broadcasting Bureau (USA); Kymenlaakso Polytechnic (Finland); LSI Logic Europe (United Kingdom); Main Centre for Control of Broadcasting Networks / Voice of Russia (Russia); Merlin Communications International Ltd (United Kingdom); Micronas Intermetall GmbH (Germany); Motorola (USA); Norkring AS (Norway); Nozema (Netherlands); Radio Canada International (Canada); Radio France Internationale (France); Radio Nederland Wereldomroep (Netherlands); Radio Televisione Italiana (Italy); Retevision (Spain); Robert Bosch GmbH (Germany); Roke Manor Research Ltd (United Kingdom); Sangean America, Inc. (USA); Sony International Europe (Germany); Technisat (Germany); Technology for Communications International (USA); TeleDiffusion de France (France); Telefunken Sendertechnik GmbH (Germany); Teracom AB (Sweden); Thomcast (France)

Associate/Affiliate Members

Arab States Broadcasting Union (Tunisia); Asia Pacific Broadcasting Union (Malaysia); CCETT (France); Escuela Superior Politecnica del Litoral (Ecuador); European Broadcasting Union (Switzerland); Friedrich Ebert Stiftung (Germany); Institut fur Rundfunktechnik (Germany); International Telecommunication Union (Switzerland); National Association of Shortwave Broadcasters (USA); Radio New Zealand International (New Zealand); University of Ulm (Germany)

About USA Digital Radio, Inc.

USA Digital Radio is developing and marketing an IBOC DAB technology, called iDAB(TM), for AM and FM radio.

Owners of USA Digital Radio include fourteen of the nation's largest radio broadcasters, and other prominent media and investment companies: ABC, Inc., New York (NYSE:DIS); Allbritton New Media, Washington, DC; AMFM, Inc., Dallas, Texas (NYSE:AFM); Bonneville, Salt Lake City; CBS Corporation, New York (NYSE:CBS); Chase Capital Partners, New York, an affiliate of Chase Manhattan Corporation (NYSE:CMB); Citadel Communications Corporation, Las Vegas (NASDAQ:CITC); Clear Channel Communications, San Antonio (NYSE:CCU); ComVentures, Geneva, Switzerland; Cox Radio, Inc., Atlanta, Georgia (NYSE:CXR); Cumulus Media, Inc., Milwaukee (NASDAQ:CMLS); DB Capital Partners, New York; Emmis Communications, Indianapolis (NASDAQ:EMMS); Entercom Communications Corporation, Bala Cynwyd, Pennsylvania (NYSE:ETM); Flatiron Partners, New York; Gannett Company, Inc., Arlington, Virginia (NYSE:GCI); Grotech Capital Group, Timonium, Maryland; Hispanic Broadcasting Corporation, Dallas (NASDAQ:HBCCA); H &Q Venture Associates, San Francisco; J. H. Whitney &Co., Stanford, Connecticut; J& Seligman, New York; Radio One, Inc., Lanham, Maryland (NASDAQ:ROIA); Saga, Grosse Pointe, Michigan (AMEX: SGA); Sinclair Broadcast Group, Inc., Baltimore (NASDAQ:SBGI); TI Ventures, Dallas; Riggs Capital Partners, Washington, DC; Waller-Sutton Media Partners, New York; and Williams, Jones &Associates, New York.

USA Digital Radio's efforts include development agreements with several outside parties including Xetron Corporation, Cincinnati, Ohio; Fraunhofer Institut fur Integriete Schaltungen (IIS), Erlangen, Germany; BittWare Research Systems, Concord, New Hampshire; Nautel Limited, Nova Scotia, Canada; QEI Corporation, Williamstown, New Jersey; Broadcast Electronics, Quincy, Illinois; Kenwood Corporation, Tokyo, Japan; Texas Instruments, Dallas, Texas; Continental Electronics Corporation, Dallas, Texas; Andrew Passive Power Products, Gray, Maine; Energy-Onix, Valatie, New York; Orban, San Leandro, California; Shively Labs, Bridgton, Maine; Telos Systems/Cutting Edge, Cleveland, Ohio; Digital Radio Express, Milpitas, California; and Analog Devices, Inc. (ADI), Norwood, Massachusetts.

On December 15, 1999, USA Digital Radio filed a report with the National Radio Systems Committee (NRSC) and the Federal Communications Commission (FCC) summarizing the results of its laboratory and field tests conducted on its IBOC DAB system. The FCC began the regulatory approval process of IBOC DAB by issuing a Notice of Proposed Rulemaking on November 1, 1999.
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