Entropic and CAIW Join Forces to Deploy Affordable Triple-Play Services in Europe

Tuesday, December 11th, 2007
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Entropic’s First European Deployment of Its Cost Effective c.LINK Access Technology

SAN DIEGO — Entropic Communications, Inc. (Nasdaq:ENTR), a leading provider of systems solutions to enable connected home entertainment, in conjunction with Dutch Cable Operator CAIW today announced the first deployment of Entropic’s c.LINK Access technology in Europe. CAIW, a technology deployment leader, selected Entropic’s c.LINK Access technology to cost effectively address the growing consumer demand for new services like IPTV. CAIW will begin rolling out high-performing triple-play services, based on Entropic’s c.LINK Access, to customers in the Netherlands beginning in 2008.

Delivering a Cost Effective Alternative to DOCSIS 3.0

Entropic’s c.LINK Access technology is a cost-effective alternative to DOCSIS 3.0, offering superior economic advantages in terms of capital investment and operating costs. c.LINK Access currently provides bandwidths greater than 175 Mbps, while the bandwidth of DOCSIS 3.0 is inherently limited at 100Mbps. In order for DOCSIS to reach the same bandwidth as Entropic’s c.LINK solution, significant capital investment and annual maintenance expenses are required, making DOCSIS an expensive and cumbersome triple play alternative.

“Compared to DOCSIS 3.0, our c.LINK Access technology is a lower cost, higher performing solution for delivering enhanced, broadband triple-play services,” commented John Graham, Vice President of Marketing for Entropic Communications. “Partnering with leading MSOs, such as CAIW, is part of our global strategy to work with the world’s leading cable operators to deploy our c.LINK Access solution.”

Growing Consumer Demand for Broadband Triple-play Services

More and more service providers are embracing broadband triple-play services as consumer demand for personalized interactive entertainment and purchasing convenience rises. According to the Yankee Group, triple-play services (voice, video, broadband internet access) have experienced significant growth in recent years — especially broadband internet access, which has shown a double-digit compound annual growth rate (CAGR) during the last 3 years. By joining forces with Entropic and deploying c.LINK Access technology, CAIW intends to cost-effectively address the growing demand for broadband triple-play services in the Netherlands beginning in 2008.

“c.LINK will be for cable networks what DSL was for telephone networks”, says Aart Verbree, CEO of CAIW. “This field test is intended to prove that it is possible to make far better use of the exceptionally large capacity of cable television networks and to do so in a cost-effective way. It will enable us to offer new and innovative integrated services to our customers and will make them enjoy the cable even more.”

Availability

With Entropic’s c.LINK Access technology, CAIW will initially offer 50Mbps broadband services to customers and will roll out additional services throughout 2008.

Entropic’s c.LINK Access is currently available on Entropic’s EN3230 and EN3211 chip-sets designed for customer-premise equipment (CPE).