Tut Systems Unleashes Third Wave of IPTV Deployments

Tut Systems Unleashes Third Wave of IPTV Deployments

Will Upgrade Four Astria(R) Content Processor IPTV Headends to MPEG-4 AVC

LAKE OSWEGO, Ore., March 16 /PRNewswire-FirstCall/ -- Tut Systems, Inc. (NASDAQ:TUTS), an industry leader enabling the delivery of next-generation data and video services over broadband networks, today announced that it has secured contracts to upgrade existing IPTV headends to MPEG-4 AVC compression technology. The contracts were awarded by triple play pioneers that previously deployed MPEG-2 technology. The upgrades represent the third phase of new technology in the rapidly growing IPTV market that originally deployed MPEG-2 over ATM, followed by MPEG-2 over IP, and now MPEG-4 AVC over IP. The robust architecture of Tut Systems' Astria content processor (CP) has enabled a seamless and cost-effective transition between each stage, all from a single platform.

The companies upgrading to MPEG-4 AVC include: Allendale Communications of Allendale, MI; Consolidated Communications of Mattoon, IL; MBO Corporation/MBO Video of Mannford, OK; and, as previously announced, Iowa Network Services of Des Moines, IA. The four companies will deliver an average of more than 130 channels of broadcast IPTV services utilizing Tut Systems' Astria CP with its market-leading MPEG-4 AVC encoding and transcoding solutions.

"Our MPEG-4 AVC headend will deliver improved picture quality while significantly lowering the bandwidth required to deliver standard and high definition video channels over our copper wires," said Mike Osborne, General Manager of Allendale Communications. "In the end, this will increase our revenues for our Digital TV service by delivering more channels per home, and a wider range of service offerings per customer."

"Consolidated's successful Digital Video Services (DVS) in Illinois was built around MPEG-2 technology from Tut Systems," stated Consolidated Communications' Vice President, Network Engineering, Tom White. "As we looked to invest in our IPTV infrastructure to offer High Definition, Digital Video Recording, and other high end services, Tut Systems' efficient and cost effective MPEG-4 AVC transcoding solution led us to select them for our next investment in IPTV technology."

"The extensive experience we have with our current Tut Systems' headend, combined with the advanced compression and reliability features available in the Astria CP with MPEG-4 AVC, made Tut Systems the right choice for our upgrade," said Howard Juul, Vice President of Network Planning at INS.

"Tut Systems offered an economical means to source MPEG-2 and MPEG-4 AVC content from a single headend location," stated MBO Videos' Vice President and General Manager, Gene Baldwin. "As we looked at the business case for adding advanced compression capabilities to our headend, it became clear that Tut's solution offered the lowest total cost of ownership in terms of capital, operational, and network management expenses."

"Since our first Triple Play deployments in 1999, Tut Systems has maintained a close partnership with each of our IPTV customers," said Sal D'Auria, Chairman and CEO of Tut Systems. "We are honored to continue our long-standing partnership with each of the companies upgrading their systems to the latest IPTV technologies and thank them for their commitment to blazing the trail in the IPTV marketplace."

The Industry's Leading IPTV Platform for Telcos More than 160 service providers across five continents deliver IPTV powered by Tut Systems digital headends. The Astria family of video processing platforms, which serves as the core of the company's digital headend solution, processes both analog and digital video streams from multiple satellite and local sources in a variety of formats. The Astria CP supports MPEG-2 and MPEG-4 AVC video compression, local ad insertion, forward error correction and provides real-time conditioning for distribution of video and audio over any ATM, IP, or RF broadband network. The Astria VSP provides the highest density, carrier class, single chassis product for the delivery of IP video over RF broadband access networks, including coax and FTTP (Fiber to the Premises).

About Allendale Communications

Allendale Communications has been serving Allendale, Michigan since 1910. The goal of Allendale Communications is to locally provide quality communication services to the residents and businesses in Allendale, Coopersville and Drenthe and serves most of Kent and Ottawa Counties with our Internet Service. For more information, visit www.altelco.net.

About Consolidated Communications

Founded in 1894, Consolidated Communications Holdings, Inc., (NASDAQ:CNSL) is a family of companies providing advanced voice, data, and video services to both business and residential customers. Services include local and long distance, dial-up and high-speed DSL Internet access, private line, carrier services, digital TV and VoIP. Serving markets in Illinois and Texas, Consolidated Communications operates the 15th largest independent local telephone company in the nation. Additional information about Consolidated Communications Holdings, Inc., and its products and services is available at www.consolidated.com.

About Iowa Network Services, Inc.

Iowa Network Services is privately owned by a group of 127 Independent Telephone Companies that serve 500,000 rural Iowans. Core network transport, broadcast video and Internet service via netINS are among the products offered by Iowa Network Services to telephone companies across the state of Iowa and to enterprise customers nationwide. For more information, visit www.IowaNetworkServices.com.

About MBO Video

MBO Video is a privately held company whose SONET network spans the state of Oklahoma. With more than 1,500 miles of fiber optics throughout Oklahoma and Arkansas, MBO established in 1997 a leadership position in the market upon completion of the first statewide redundant network that supported video distance learning applications. From there we have grown to provide integrated solutions with voice, data, long distance, video, Internet, cable and wireless applications. For more information, visit www.mbovideo.com.

About Tut Systems, Inc.

Tut Systems, Inc. delivers advanced content processing and distribution products as well as comprehensive system integration services for deploying next-generation data and video services over broadband networks. Service providers, content providers and government agencies worldwide use Tut Systems solutions to deliver broadcast-quality video over broadband networks.

Tut Systems is headquartered in Lake Oswego, OR with regional offices across North America, Europe and Asia. For more information visit www.tutsys.com or call 971-217-0400.

NOTE: Astria is a registered trademark of Tut Systems, Inc.

Source: Tut Systems, Inc.

CONTACT: Hilary Goetz of Tut Systems, +1-971-217-0441, or
hgoetz@tutsys.com

Web site: http://www.altelco.net/

Web site: http://www.mbovideo.com/

Web site: http://www.consolidated.com/

Web site: http://www.iowanetworkservices.com/

Web site: http://www.tutsys.com/

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