NXP’s IP-STB platform enables 1&1 to deliver high quality, affordable, next generation entertainment services to consumers

DECEMBER 14, 2006 - NXP Semiconductors today announced that 1&1 Internet AG has selected TeleGent’s Internet Protocol (IP) set-top box (STB) solution based on NXP’s Nexperia™ STB810 platform to drive widespread adoption of TV content distributed over internet protocol in Germany. In line with 1&1’s vision to bundle innovative products at competitive prices, NXP’s IP-STB solution offers the advantage of an interactive, personalized TV experience, allowing consumers to play back thousands of unique and on-demand videos.

With more than 2 million DSL customers 1&1 is the second largest Internet Service Provider in Germany. The set-top box will be offered with 1&1’s Triple Play product 3DSL and to all customers of the recently successfully launched video on demand portal Maxdome, which is a 50/50 commercial agreement between SevenSenses, the Digital TV Company of Germany’s leading public listed TV network ProSiebenSat.1-Group, and its strategic partner 1&1 Internet.

"Globally, IPTV subscriber revenue will reach more than $27 billion by 2010, and Europe is expected to be a significant contributor to this growth with a market value of $10 billion by then," said Mark Kirstein, vice president Multimedia Content & Services, iSuppli. "However, in order for the IPTV market to reach its full potential, consumers need devices that are easy-to-use and enable a smooth transition from traditional TV to IPTV. NXP offers advanced technology solutions to providers of IP-STBs for a more personalized, seamless experience."

"TeleGent’s Nexperia based IP-STB solution offers us the perfect fit of innovation and reliability and will deliver our customers a feature-rich set-top box," said Andreas Gauger, CEO, 1&1 Internet AG. "It will widen 1&1’s range of high quality video-on-demand hardware at unbeatable price points."

"NXP is committed to helping consumer electronics companies deliver a rich, vibrant media entertainment experience on their devices," said Guus Frericks, vice president, Business Line STB and Home Media Devices, NXP Semiconductors. "NXP is working closely with leaders such as Microsoft, 1&1 and TeleGent to offer consumers a truly superior IPTV experience with higher quality video programming on demand, more compatibility, upgrade options and content protection at lower total costs of ownership."

"NXP’s support for Windows CE and digital rights management (DRM), combined with the advanced Nexperia PNX8950 home entertainment engine and the latest AV codecs, enables TeleGent to offer rapid system development of IP-STBs with features such as high-quality video streaming," says Christof Winker, CEO, TeleGent. "The industry needs more consumer-centric partnerships like ours with 1&1 and NXP to help drive the adoption of new technologies and devices, such as IPTV."

The NXP Nexperia STB810 solution offers comprehensive and easy-to-use Linux and Windows CE software environments, which add to the solution’s flexibility and enable a fast time-to-market. The solution also supports multiple video formats including SD H.264, MPEG4-ASP, WM9 up to 720p at 24fps, and MPEG-2 up to 1080i. In addition, the NXP Nexperia STB810 solution also provides advanced features such as video telephony, picture quality improvement, time-shift recording, DVD playback, storage and personal video recording.

NXP is driving innovation in the IP-STB market to make it the digital gateway of choice for both consumers and service providers. This fact has been realized by the company’s successes in implementing IP-STB in various emerging markets around the world. Ultimately, NXP’s innovations will create an entirely new, interactive TV experience for the end user.

About 1&1 Internet AG

With more than 2 million DSL customers 1&1 is the second largest Internet Service Provider in Germany. 1&1 Internet AG is a subsidiary of United Internet, a profitable public company with over 6,000 employees and a market cap of about $3 billion. 1&1 was established in 1992 and its global community is some 6.1 million customer contracts strong.

About TeleGent

TeleGent GmbH was founded in October 2003 as a Technology Spin-Off of 4MBO AG. In August 2004, the company went under control of list management crew and was renamed to TeleGent. The Headquarter is based in south of Germany, in black forest. The core business of TeleGent is, to bring a eHome revolution to everyone’s living room. We develop new ideas, concepts and technologies that make life easier and your home more interactive. Therefore we do provide the first and only single chip based WinCE Set-Top-Box reference platforms world wide.

About NXP Semiconductors

NXP Semiconductors is a top 10 semiconductor company founded by Philips more than 50 years ago. Headquartered in the Netherlands, the company has 37,000 employees working in 20 countries across the world. NXP creates semiconductors, system solutions and software that deliver better sensory experiences in mobile phones, personal media players, TVs, set-top boxes, identification applications, cars and a wide range of other electronic devices. News from NXP is located at www.nxp.com/news.