SeaChange, On Demand Group Deliver End-To-End IPTV Solution to Corvette Telecom

December 12, 2006 - Moscow-based broadband provider Corvette Telecom is launching a new IPTV service that is built on open technology and content services from SeaChange International, Inc. (Nasdaq: SEAC) and its subsidiary On Demand Group, Ltd.

Corvette’s IPTV service, branded “City TV,” will initially provide customers on its 300,000 homes-passed Moscow network with on-demand access to top-rated content, including Hollywood feature films and independent titles as well as music, children’s and lifestyle programming.

“Working with one organization to build our IPTV and video-on-demand platform allows us to rapidly and effectively deploy these services with the minimum execution risk,” said Dominic Reed, CEO, Corvette Telecom. “This product offering will allow us to continue the rapid growth of our subscriber base and bring a revolution in television viewing to Russia as we roll out the network to one million homes passed over the next two to three years.”

The foundation for City TV is SeaChange’s TV Platform, which debuted at IBC 2006 to put Europe’s network operators on the fast track to adding television to their “quad play”. The solution includes modular components to manage every aspect of IPTV, from on-demand and broadcast services to mobile video and other convergence applications. Like all SeaChange solutions, TV Platform is built on an architecture that is open to industry standards to enable incremental plug-and-play of third-party components and services. Operators can run with the individual TV Platform pieces (TV Business System and Axiom Core software; TV Navigator Four middleware, EPG and client applications; VOD storage and streaming; and content acquisition) to complete their infrastructure, or, like Corvette, roll out the entire suite for a turnkey business.

“Corvette’s application of SeaChange technology and On Demand Group services underscores the powerful value proposition that we are able to offer telcos, ISPs and network operators,” said Simone Sassoli, SeaChange’s Vice President of Broadband Networks, Europe, Middle East and Africa. “We provide a one-stop-shop and an open platform to build a business around revenue-generating services and applications that consumers want today.”

London based On Demand Group is providing Corvette with professional services in the form of content strategy and content acquisition. Building on its existing relationships with major Hollywood studios, On Demand Group is able to open avenues to popular content as a way to maximize the adoption of an operator’s services.
Tony Kelly, CEO, On Demand Group, added, “Together, On Demand Group and SeaChange uniquely provide everything operators need to plan, launch and grow IPTV rapidly. We set up the pipeline, present an array of services and fill it with hot content. The speed-to-market advantage that we provide allows Corvette to roll with a complete IPTV solution.”

Commenting on the choice of vendor partner, Peter Gerwe, Chairman, Corvette Telecom, said, “The combination of SeaChange’s expertise and On Demand Group’s operational know-how creates a flexible and comprehensive approach to technical implementation that is unbeatable. Our selection process took into account the proven, market-leading promotion of mass market video-on-demand services to NTL’s millions of U.K. subscribers. No one in the Russian market was able to match this living endorsement.”

About Corvette Telecom
Corvette Telecom (www.corvette-telecom.ru) is a leading Moscow broadband internet access provider servicing the residential sector over its own Fibre to the Building Network, providing 1Gb capacity to apartment blocks and up to 100mbs per user. Corvette has been operating in the Moscow market since 1998 and at the end of 2005 received funding from a group of private investors including Peter Gerwe, the founder of CTC / StoryFirst, Russia’s fourth largest broadcast TV station. Corvette is now actively expanding its network and customer base in Moscow and is developing a full range of triple play services.

About SeaChange and On Demand Group
SeaChange International (Nasdaq: SEAC) 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. With its Emmy-winning MediaCluster® technology, thousands of SeaChange systems are helping broadband, broadcast and satellite television companies to streamline operations, expand services and increase revenues. SeaChange is headquartered in Acton, Massachusetts and has product development, support and sales offices throughout the world.

On Demand Group (ODG) is a wholly-owned subsidiary of SeaChange specialising in the development and management of transactional television services. ODG provides its customers with end-to-end content solutions, combining services management and technology with speed to market. In 1998 ODG launched the Front Row television pay-per-view movie service over the U.K. cable network which became the largest pay-per-view movie service outside of the U.S. with, to date, more than 45 million paid viewings and over £115 million in revenue. In 2004 ODG formed FilmFlex, a video-on-demand movie service with Sony Pictures and The Walt Disney Company as joint venture partners, which was launched over U.K. cable networks in 2005.
Visit www.schange.com and www.ondemand.co.uk.