Infonet Invests $2.5 Million in BroadEdge; BroadEdge's Satellite-Based Broadband, Streaming Media to Be Enabled by Infonet

Business Wire, Sept 25, 2000

Business Editors & High-Tech Writers

EL SEGUNDO, Calif.--(BUSINESS WIRE)--Sept. 25, 2000

Infonet Services Corp.(NYSE:IN) (FSE:IN), a leading provider of global communications services for multinationals, today announced that it has become the first outside investor in BroadEdge (www.broadedge.net), a new satellite-based broadband access provider offering high-quality streaming media content.

Infonet invested $2.5 million in the new company and will offer the broadband and streaming media services to its multinational customers while also supporting two-way communications via its Internet Protocol (IP) terrestrial data network.

BroadEdge has developed a proprietary and innovative service that enables satellite delivery of broadcast-quality streaming media at a low level of latency, allowing live interactive events to be made available via the Internet.

Since BroadEdge's network bypasses the public Internet and delivers content directly via uncongested satellite links, users experience full-screen, full-motion VCR-quality video content and full CD-quality music.

"At Infonet, we consider satellite-based broadband a key enabler for the consumption of media-rich content," said Jose Collazo, chairman, president and chief executive officer of Infonet. "We continue to make investments in innovative, technologically advanced companies like BroadEdge as another way to extend Infonet's market reach and to acquire advanced technology, resulting in new services for our multinational clients."

BroadEdge will offer global satellite-based broadband Internet services to small businesses, corporation branch offices and consumers. The company will leverage the broadcast nature of satellites to combine IP-based streaming video with high-speed conventional Web browsing.

"Live auctions, game shows, celebrity interviews, distance learning and corporate presentations -- all with full remote user participation -- are just a few of the real-world applications this service will allow," said Collazo.

Infonet's vice president of business development, Ken Felderstein, and Infonet's director of broadband solutions, Jan Stevens, will join BroadEdge's board of directors.

BroadEdge's chairman is Emil Youssefzadeh, the CEO of STM Wireless(R) Inc. (Nasdaq:STMI). STM is also a shareholder in BroadEdge. BroadEdge's CEO, Scott Spector, managed JVC's U.S. Broadcast Division, which supplies major systems to broadcasters and media entertainment companies.

"We're pleased to have Infonet as our key strategic partner," said Spector. "Infonet has over 30 years in the global communications business, so we couldn't have become associated with a stronger and more experienced company to help BroadEdge become a leader in the broadband access space."

BroadEdge services will be offered to consumers in the more than 30 million U.S. households outside of metropolitan areas that are not served by cable or ADSL. A larger market exists in Europe, Asia and Latin America. The BroadEdge service will be commercially available in the United States and Latin America by winter 2000 and will be offered in Europe and Asia by the first half of 2001.

About Infonet

Infonet(R) Services Corp. is a world leader in providing value-added global communications services to multinational enterprises. Over two million remote access subscribers make Infonet a world leader in Dial IP services. The company numbers more than 2,600 multinational corporations among its client list.

Infonet provides Internet, intranet, ATM, remote access, electronic commerce-enabling services and integrated voice/data solutions, plus a full suite of messaging and collaborative products and services. Infonet's services are supported locally in more than 60 countries and territories around the world. The World Network(R) from Infonet is accessible terrestrially from more than 180 countries and via satellite worldwide.

Infonet trades publicly on the New York and Frankfurt stock exchanges under the ticker symbol "IN." News and information are available at www.infonet.com.

Safe Harbor Statement: Infonet may have made forward-looking statements in this release. These projections are based on information available to the company as of the date of this release. Risk factors investors should take into account that might affect results include: strength of the market for Infonet products and services, competition, and the timely transitioning of new business opportunities to Infonet's network. Investors should refer to risk factors elaborated on in Infonet's 10K and other recent filings made with the U.S. Securities and Exchange Commission. These documents are available through the investor relations portion of Infonet's Web site at www.infonet.com.