Korea’s KT Launches Mega TV On-Demand Service

SEOUL, August 6: Korean broadband operator KT has announced
the commercial launch of its online on-demand platform Mega TV, with content
protection solutions being provided by NDS, delivering programming from the terrestrial
TV broadcasters KBS, MBC and SBS.

NDS VideoGuard conditional access will be deployed
throughout the KT IPTV network to provide end-to-end content protection.
VideoGuard is deployed in more than 72 million homes worldwide, and facilitates
an extensive range of pay-TV business models, such as multiple channel
packages, tiering, pay-per-view purchase of programs from the electronic
program guide (EPG), impulse pay-per-view and other services.

KT is now initially offering Mega TV in Seoul, Gwa-Cheon,
Dong-Tan and other selected cities in Kyung-Ki province. The new Mega TV
service will offer a multitude of video-on-demand programming services, and a
range of interactive TV services, including an electronic program guide (EPG)
developed by NDS. Many genres of programming are available, including movies,
sports, culture, animation, documentaries, drama, and educational content.
Research conducted during the Mega TV pilot phase revealed that 84 percent of
target customers want to acquire the service when it becomes available.

Megapass is the flagship high-speed broadband service
provided by KT, currently providing broadband services to over 6.5 million
subscribers. As a launch promotion, KT will offer Megapass and Mega TV packages
to subscribers. KT has announced that the company plans to attract 300,000 Mega
TV subscribers by the end of this year. KT also continues to invest heavily in
capital expenditure and is scheduled to complete the build-out of nationwide
FTTH broadband network by 2010.

Young-Hui Lee, the senior VP of KT, commented: "KT
takes great pride in figuring among the world's leading broadband operators,
and we continue to innovate through value-added services. Mega TV is the most
recent example of KT deploying world-leading technology to offer new services
to our customers. NDS technology is vital in delivering the quality and variety
of services that are integral to our long-term business plans.”