On-Demand Services for FiOS TV Customers Powered by SeaChange System

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NEW YORK - Amid all the industry talk about future IPTV services, Verizon FiOS TV customers are already using Internet protocol technology every time they order on-demand movies or navigate the service's interactive programming guide.

Internet protocol TV uses the same rules or protocols to deliver video that the Internet uses to transmit data. Verizon's IP-based video-on-demand service is powered by the SeaChange IP Video System, the most widely used media platform for on-demand television, with capabilities to support interactive advertising, games-on-demand and other new applications. Verizon is also using conventional broadcast technology to deliver scheduled programming for its fiber-optic FiOS TV service.

SeaChange's IP Video System automates the entire FiOS TV on-demand service from content intake right down to set-top applications. In Verizon deployments, the SeaChange system works in conjunction with advanced Motorola set-tops in the first and only combined broadcast and IP system.

"The combination of IP and conventional broadcast technology gives customers the services they want today and positions us to deliver more IP-based services in the future," said Paul Lacouture, president-Network Services Group for Verizon. "We chose SeaChange for their industry-leading platform and depth of expertise. They were the natural choice to make FiOS TV a platform for innovation, customer choice and convenience."

Said Bill Styslinger, president and CEO of SeaChange, "FiOS TV is an exciting new offering. Verizon is the first telecommunications company to deploy our technology on such a wide scale, and we look forward to working with them to bring exciting new interactive services to their customers."

Featuring more than 330 channels and thousands of hours of on-demand movies and other programming, FiOS TV is available to Verizon customers in parts of the Dallas-Fort Worth area; Herndon, Va.; and Temple Terrace, Fla., and will launch soon in other states where Verizon is building its fiber-to-the-premises network.

Drawing on the abundant capacity of Verizon's all-fiber network, FiOS TV delivers superior TV service, with stunning pictures and sound, a rich library of on-demand programming and an easy-to-navigate interactive programming guide. FiOS TV already offers more than 20 channels of high-definition programming and will offer more as it becomes available.

Verizon's all-fiber network also supports a high-speed Internet service with current download speeds of up to 30 Mbps, and a high-quality voice service.

"Verizon's current approach of using IP for video-on-demand gives us an excellent path to migrate to IPTV when it's more mature," Lacouture said. "Our FiOS TV customers benefit by having a terrific alternative to cable today and the promise of many more feature-rich services in the future."

SeaChange International (Nasdaq: SEAC), headquartered in Maynard, Mass., provides digital video systems that are changing television. Its powerful server and software systems enable television operators to provide new on-demand services and to gain greater efficiencies in advertising and content delivery. For more information visit www.seachange.tv

Verizon Communications Inc. (NYSE: VZ), a Dow 30 company, is a leader in delivering broadband and other communication innovations to wireline and wireless customers. Verizon operates America's most reliable wireless network, serving 49.3 million customers nationwide, and one of the nation's premier wireline networks, serving home, business and wholesale customers in 28 states. Based in New York, Verizon has a diverse workforce of nearly 215,000 and generates annual revenues of more than $71 billion from four business segments: Domestic Telecom, Domestic Wireless, Information Services and International. For more information, visit www.verizon.com.

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