STMicroelectronics Leading-Edge Decoder Technology Powers New Set-Top Box in Brazil

Use of ST’s single-chip STi7100 decoder in Gradiente high-definition set-top box means next wave of TV technology will be available in Brazilian homes for Christmas 2007

Geneva — STMicroelectronics (NYSE: STM), one of the world’s largest semiconductor manufacturers and the worldwide leader for set-top box (STB) chips, today announced that leading Brazilian consumer manufacturer Gradiente’s new DHD800 high-definition (HD) set-top box – the first to offer full compliance with the new Brazilian SBTVD (Sistema Brasileiro de Televisão Digital) digital terrestrial TV standard – is based on ST’s industry-leading STi7100 single-chip HDTV decoder technology.

Digital terrestrial TV broadcasts in high definition are due to start on December 2, 2007 in Sao Paulo, with other major Brazilian cities such as Rio de Janeiro and Curitiba to follow in 2008. With an estimated 60 million households in Brazil, the emerging digital STB market is poised for rapid expansion following the launch of SBTVD broadcasting, with at least half a million STBs expected to retail in 2008.

Gradiente was founded in 1964 and is today one of the largest and most respected manufacturers of consumer electronics of the Brazilian market. “Digital terrestrial TV will bring consumers more channels and better sound and picture quality through their aerials, and the STi7100 platform, with its high level of integration, was the natural choice for our new set-top box product families,” said Moris Arditti, Vice President of Business Development for Gradiente. “We are proud that Gradiente, working with the local ST’s engineers, has developed a product that will be available in volume for Christmas 2007, ready for Brazil’s launch of the new digital terrestrial TV broadcasts.”

“Leveraging our market leadership and expertise in high-definition digital TV, we have been able to provide leading-edge technology support to contribute to the success of this exciting new STi7100-based set-top box and demonstrate our strong commitment to the Brazilian electronics industry,” commented Thierry Tingaud, ST’s Corporate Vice President and General Manager Emerging Markets Region. “This is a strong example of ST’s winning strategy to meet the needs of emerging and fast-growing markets, such as the set-top box market in Brazil, by offering a unique blend of market knowledge, cutting-edge technology and manufacturing capability, and world-class application engineering support.”