Milestones Strengthen Thomson’s Leading Position in Delivery of High Performance Triple-Play Cable Terminals

DECEMBER 14, 2006 - Thomson (Euronext 18453; NYSE:TMS) has delivered today its three-millionth digital cable TV set-top box and ten-millionth cable modem. These milestones strengthen Thomson’s position as one of the leading providers of digital cable set-top boxes and modems on a worldwide basis. With these products operators can offer consumers the real triple play experience including interactive services such as video on demand, high-speed Internet access, voice over IP and more.

The worldwide market for cable modems, advanced gateways and set-top boxes is expected to grow by 20% in 2007, to about 4 billion euros, lifted by the digitalization efforts of many cable operators facing strong competition from other operators, and by the inclusion of revenue-enhancing features such as PVRs and High-Definition capabilities.

Reaching this three-millionth cable set-top box milestone, Thomson has succeeded in doubling the volume of digital decoders delivered each year over the last two years. The company has extended its product range since 2005 to include interactive, double and triple play decoders as well as MPEG-4 High Definition set-top boxes, with advanced functionalities such as Personal Video Recorders. These products have been deployed to over twenty different customers, including UPC, TV Cabo, E-Vision and Kabel Deutschland in EMEA, Net Serviços in Latin America, StarHub and Dalian Cable TV in Asia.

With this ten-millionth cable modem mark, Thomson continues to deliver large volumes of cable modems to its clients, from entry-level to more advanced products such as voice over IP modems (EMTA) designed to support all data and telephony services. In this area as well, Thomson has developed strong relationships with over 50 clients such as Comcast in the United States, Cogeco in Canada, and Numéricâble or Ono in Europe.

“These milestones of three million set-top boxes and ten million modems shipments validate our strategy of delivering high performance, cutting-edge solutions to help our clients meet the ever-evolving demands of their subscribers and further strengthens our position as one of the leading global providers of set-top boxes and modems worldwide,” said Frédéric Kurkjian, Vice President of Thomson’s Cable Premises Systems.

About Thomson — Leader In Digital Video Technologies

Thomson (Euronext Paris: 18453; NYSE: TMS) provides technology, services, and systems to help its Media & Entertainment clients — content creators, content distributors, and users of its technology — realize their business goals and optimize their performance in a rapidly-changing technology environment. The Group is the preferred partner to the Media & Entertainment Industries through its Technicolor, Grass Valley, RCA, and Thomson brands. For more information: http://www.thomson.net.

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