SOURCE: IBM

April 16, 2007 11:00 ET

Network Ten Signs Major Digital Video Deal With IBM

Solution Enhances National Broadcaster's Ability to Reach New Media Audiences

LAS VEGAS, NV and SYDNEY, AUSTRALIA -- (MARKET WIRE) -- April 16, 2007 -- Australian national commercial television broadcaster Network Ten (TEN) has chosen IBM (NYSE: IBM) to implement a digital content management system to store and manage its television video and audio content.

IBM's hardware, software and services integrated with a media asset management system from Ardendo will enable TEN's producers and journalists to assemble, edit and mix digital video and audio assets enterprise-wide.

Kerry Kingston, chief operating officer, Network Ten, said, "Having launched Australia's most compelling brands in digital media, 'Australian Idol' and Big 'Brother,' we are now building infrastructure to enable us to progressively market our content via new, open technology platforms."

"The solution we are building with Network Ten will fundamentally change the way they produce and manage content," said Dominic Stone, Media and Entertainment solutions executive, IBM Australia / New Zealand. "By having more of their assets available in a digital form, TEN will be better positioned to capitalize on the opportunities presented by today's rapidly changing media marketplace."

IDC's Consumer Research has found that digital television viewer numbers in Australia are steadily rising, accompanied by increasing broadband penetration. "Accompanied by an increasing residential broadband penetration, we expect a growing demand for additional broadcast and online services, such as media downloads, interactivity, specialist channels and video streaming," said Sophie Lo, IDC's Analyst for Consumer Digital Markets.

A recent IBM report, titled "Navigating the Media Divide," also indicates that new forms of media will grow at a compound annual rate of 23 percent in the next four years, nearly five times that of traditional media businesses.

IBM will provide Network Ten with a central video archive solution based on IBM System Storage (200TB of disk) as well as a backup archive (1 Petabyte of LT03 tape). The solution also includes Tivoli Storage Manager software running on Linux-based IBM System x3550 and IBM System x3650 servers. IBM Services include project management, hardware and software implementation, and application workflow implementation.

"The move to digital television and high definition formats and the need to more cost effectively manage content in digital form has motivated broadcasters to adopt standards-based information technology solutions," said Steve Canepa, vice president, Media and Entertainment Industry at IBM. "Network Ten joins a series of major television broadcasters, such as BBC, China Central Television, and Seoul Broadcasting System, who are working with IBM to transform the production environment."

The agreement was signed in Q1 2007.

For more information on IBM, please visit www.ibm.com

For more information on Network Ten, please visit www.tencorporate.com.au

About Network Ten

Network Ten (TEN) is one of Australia's three national commercial free-to-air television broadcasters. TEN is highly profitable and maintains the best operating margins in its sector through its 'seriously different business model': clear differentiation from competitors, targeted demographics, careful expenditure, and focus on profitability and returns to shareholders. With distinct programming and some of the biggest, 'must-watch' events on television, TEN has won every ratings year since 2001 in the 16-39 demographic and won the 2006 ratings year in the U.S. benchmark 18-49 demographic for the first time.

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