TELUS Selects iMagicTV To Enable Broadband Video Services

Business Wire, Dec 17, 2002

Business Editors/High-Tech Writers

SAINT JOHN, New Brunswick--(BUSINESS WIRE)--Dec. 17, 2002

iMagicTV Signs Trial Agreement With Largest Telecom Provider

In Western Canada to Offer Broadband Television Over DSL

iMagicTV (NasdaqSC: IMTV and TSX: IMT), a provider of software products that enable telephone companies and other service providers to deliver interactive media services over broadband networks, today announced that iMagicTV and TELUS, Canada's second largest phone company, have entered into a trial license agreement for development and testing of iMagicTV software, prior to a commercial launch of TELUS' digital TV service. Under the terms of the agreement, iMagicTV is supplying TELUS with its leading Media Manager 5.0 platform and its broadband entertainment applications, DTV Manager, Movie Manager and DVR Manager along with maintenance and support services. The software will enable TELUS to offer consumers digital TV services, an interactive program guide, video-on-demand, pay-per-view and other interactive information services.

"Delivering digital TV services to our customers represents a significant new opportunity for TELUS to expand our competitive service offerings," said James Goliath, Vice President of Multimedia Solutions at TELUS. "After a thorough evaluation of middleware solutions we selected iMagicTV based on their experience, responsiveness and their market-proven technology. iMagicTV has worked closely with us to incorporate the features that we felt were critical for a major telco carrier and our customers."

"Working closely with a large service provider such as TELUS has enabled us to evolve our platform to be the most feature rich and scalable solution available in the market today. We are pleased that TELUS has selected our new 5.0 platform and we are excited to be collaborating with them as a partner as they execute on their previously announced video strategy," said Gerry Pond, President and Chief Executive Officer of iMagicTV. "We have high expectations for the TELUS video services."

About iMagicTV

iMagicTV (NasdaqSC: IMTV and TSX: IMT) provides software products and related services that enable telephone companies and other service providers to deliver multi-channel digital television and interactive media services to their subscribers over a broadband network infrastructure. iMagicTV's software can be deployed over high-speed broadband networks including ADSL, VDSL, wireless, Ethernet and Fiber to the Home (FTTH) technologies.

Incorporated in 1997, iMagicTV maintains its global headquarters in Saint John, New Brunswick, Canada, its European headquarters in Cambridge, U.K. and its Asia Pacific headquarters in Singapore. For more information, visit www.imagictv.com.

About TELUS

TELUS (TSX: T, T.A; NYSE: TU) is the largest telecommunications company in Western Canada and the second largest in the country. The company provides subscribers with a full range of telecommunications products and services including data, Internet Protocol, voice and TELUS Mobility wireless services across Canada. TELUS is a premier founding supporter of Canada's bid to host the 2010 Winter Games in Vancouver and Whistler. For more information about TELUS, please visit www.telus.com.

Cautionary Note Regarding Forward-looking Statements Under the Private Securities Litigation Reform Act of 1995: Certain statements in this press release constitute forward-looking statements. The words "will," "plan," "anticipate," "expect," "intend," "believe" and similar expressions referring to the future or events to occur in the future are intended to identify forward-looking statements. Statements regarding iMagicTV's projections or strategies also constitute forward-looking statements. Forward-looking statements reflect current views with respect to future events and are based on information currently available to the party making the statement. These statements are not guarantees of future results, performance or achievement and are subject to certain risks, uncertainties and assumptions, including those matters specifically discussed herein, general economic conditions, conditions in the telecommunications industry, and matters discussed in iMagicTV's filings with the U.S. Securities and Exchange Commission (SEC) annual report, available on their website. These and other factors may cause actual results, performance or achievements to differ materially from any future results, performance or achievements that may be expressed or implied by such forward-looking statements. iMagicTV l does not undertake any obligation to update any forward-looking statement contained in this release.