Coventive Licenses and Deploys Espial's Evo IPTV Middleware and Applications on its Multimedia Set-top Box

Monday, August 13th, 2007

Ottawa, Canada – Espial® Group Inc. (TSX: ESP), a leading provider of IPTV middleware and applications, today announced that Coventive K.K., an international system integrator and set-top box manufacturer, has signed an agreement to license Espial’s Evo® Client.

Evo Client, along with the modular components and applications of the Evo IPTV Service Platform, enable content-rich applications and Internet-on-TV services for subscribers. As a global leader, Espial has shipped more than one million Evo subscriber licenses worldwide.

Coventive selected Evo Client to power its multimedia set-top boxes. Leveraging Evo’s small footprint and open architecture, Coventive was able to integrate the middleware into its highly-reliable STB that adopts the latest System on a Chip (SOC) design. This combination enables low power consumption and board minimization; important features for operators and system integrators alike.

“We were impressed with Espial Evo’s small footprint and fast application performance so we could create a customized experience for our customers,” said Toshihiko Kumashiro, CEO, Coventive. “The Evo Future-Proof Framework ensured we were able to finish our integration quickly and provide a robust solution to our customers.”

Coventive has ported Espial’s IPTV middleware and applications to its set-top box for use with a Japanese service provider of Broadband Video on Demand (VoD) service. Available later in August 2007, this solution provides VoD capabilities to major hotels and hospitals throughout Japan . By using Espial’s SkinTones™ Development Kit, the service provider is able to customize the user interface and create new user experiences for its viewers.

“Coventive is an important partner for Espial in the high-growth Japanese television market,” said Shoji Nishimura , Espial’s Country Manager, Japan . “This licensing agreement will help to expand Espial’s market presence with subscribers and service providers alike.”

For more information about the Evo IPTV Service Platform, please visit www.espial.com or jp.espial.com.

About Espial

Espial provides IPTV middleware and applications that enable superior quality of experience, fast application performance, carrier-grade scalability, and open extensibility, all at a lower total cost of ownership. Espial’s Evo ® IPTV Service Platform, which can be purchased as modular components or as part of a pre-integrated client-server solution, includes Evo Client, Evo Server, Evo Browser, Evo BML Browser, Evo Future-Proof Framework™ (FPF), Evo SkinTones™ and applications such as Electronic Program Guide, Video on Demand, Digital Video Recorder, Content Portal, Games, and Triple Play.

About Coventive K.K.

Coventive K.K. is an embedded system solution company that delivers customized Linux-based application associating to broadband set-top box appliance in the server and embedded system markets. And Coventive KK provides total engineering services by collaboration with world class manufactures from conceptual design prototype to million units mass volume productions. The company is one of the leading edge embedded system development companies in Asia , with offices in Yokohama Japan and Taipei, Kaohsiung in Taiwan.

To learn more about Coventive, please visit www.coventive.co.jp