CNS Taiwan Selects Harmonic for Major H.264 Digital Cable Headend Upgrade

Monday, June 15, 2009

Leading MSO in Taiwan to Expand Service Offering with Harmonic’s Compression, Stream Processing, Statistical Multiplexing, EdgeQAM and Network Management Solutions

Harmonic Inc. (NASDAQ: HLIT) today announced that China Network Systems Co., Ltd. (CNS), one of Taiwan’s largest cable video service providers with over 1 million television subscribers, has selected Harmonic’s advanced digital video solutions for an MPEG-4 AVC (H.264) network upgrade that enables CNS to substantially expand its high definition (HD) and standard definition (SD) digital service. CNS’ new H.264 offering will include 10 HD and 112 SD channels, scheduled to be launched later this year to subscribers in Taipei and other highly populated regions in northern and southern Taiwan. CNS also utilizes a range of Harmonic’s HFC transmission solutions in its cable infrastructure.

Harmonic’s comprehensive portfolio of digital video solutions provides CNS with unmatched video quality and bandwidth utilization, numerous operational efficiencies, and a very powerful and flexible platform to support new revenue-generating services. The extensive range of technologies selected by CNS for this project include: DiviCom Electra® 7000 HD and Electra 5400 SD encoders, ProStream™ 1000 stream processors with DiviTrackIP™ distributed statistical multiplexing, Broadcast NSG™ 9000 edgeQAMs, and NMX Digital Service Manager™.

“CNS’ vision is to upgrade and transform Taiwan’s cable television industry, and Harmonic’s highly innovative video processing technologies help CNS to achieve this goal,” said Y.W. Su, AVP, CNS. “Harmonic’s DiviCom Electra H.264 encoders allow us to offer our customers a state-of-the-art HD and SD channel lineup while optimizing bandwidth utilization and network resources. CNS’ investment in a H.264 video processing network provides a strong foundation for the future, enabling CNS to be a core player in the new digital home.”

“CNS’ network upgrade represents a major technical step forward for cable networks in Taiwan,” said Raymond Tse, Vice President of Asia Pacific Sales, Harmonic Inc. “Asia’s most prominent service providers, including CNS, continue to select Harmonic to enhance their competitiveness in a rapidly changing market. CNS is a long-standing customer of Harmonic’s HFC access technologies, and with this project, Harmonic is providing CNS with an end-to-end delivery infrastructure and H.264 technology that continues to distinguish itself throughout Asia.”

HwaCom Systems Inc., a Harmonic reseller in Taiwan, is providing local support and technical integration services for this upgrade. Harmonic will be displaying its industry-leading digital video solutions, including those deployed by CNS, at CommunicAsia 2009, booth #4L3-01, June 16 – 19, Singapore.

About Harmonic Inc.
Harmonic Inc. is a leading provider of versatile and high performance video solutions that enable service providers to efficiently deliver the next generation of broadcast and on-demand services including high definition, video-on-demand, network personal video recording and time-shifted TV. Cable, satellite, broadcast and telecom service providers can increase revenues and lower operational expenditures by using Harmonic’s digital video, broadband optical access and software solutions to offer consumers the compelling and personalized viewing experience that is driving the business models of the future.

Harmonic (NASDAQ: HLIT) is headquartered in Sunnyvale, California with R&D, sales and system integration centers worldwide. The Company’s customers, including many of the world’s largest communications providers, deliver services in virtually every country. Visit for more information.

Editor’s Note: Product and company names used herein are trademarks or registered trademarks of their respective owners.

This press release may contain forward-looking statements within the meaning of Section 27(A) of the Securities Act of 1933 and Section 21(E) of the Securities Exchange Act of 1934, including statements related to: expanding CNS’ service offering with Harmonic’s advanced digital video solutions, launching of an expanded digital service later this year, CNS’ vision to upgrade and transform Taiwan’s cable television industry, and CNS’ investment in a H.264 video processing network providing a strong foundation for the future.

Our expectations and beliefs regarding the capabilities of Harmonic’s advanced digital video solutions and the anticipated benefits for CNS may not materialize, and actual results could differ materially from those projected. The forward-looking statements contained in this press release are also subject to other risks and uncertainties, including those more fully described in Harmonic’s filings with the Securities and Exchange Commission including its recent Reports filed on Form 10-K and Form 10-Q. Harmonic does not undertake to update any forward-looking statements.