Cisco Works With NET to Expand Presence in the Brazilian Video Market

NET and Cisco Collaborate to Deliver Next Generation High- Definition Set-Top Boxes Enabling Innovative New Consumer Experiences

SÃO PAULO, Brazil – Cisco Systems (NASDAQ: CSCO) today announced an agreement to expand its set-top box presence in the Brazilian video market working with Net Serviços (BM&FBOVESPA: NETC3 and NETC4; Nasdaq: NETC; and Latibex: XNET), the largest cable service provider in Latin America servicing more than 11 million households.

Initial deployment plans will be for the Cisco 4682DVB HD Digital Interactive Media Server, which supports the delivery of high-definition video and audio programming. Cisco’s technology enables NET to offer Brazilian consumers new and innovative interactive services through the incorporation of DOCSIS broadband modem technology built into the Cisco set-top box.

The new interactive Media Center will be customized to deliver NET’s complete set of video services, including HDTV, 3DTV, video-on-demand, electronic programming guides, and interactive games. The USB 2.0 port within the set-top box enables connectivity to peripheral consumer electronic devices, creating new ways for consumers to expand their enjoyment of photos and MP3 audio. Future enhancements planned for joint development include digital video recording capabilities.

The supply of the set-top box equipment is scheduled to start in the first quarter of 2011, and will be available thereafter to NET subscribers who order NET triple-play services. The products to be sold to NET will be manufactured in Brazil. Cisco will provide NET with a fully customized product.