SBC Communications Announces Joint Venture to Launch Home Entertainment Service For SBC / Dish Network, SBC Yahoo! DSL Customers

Business Wire, Jan 3, 2005

--Remote Access. Through any Web-connected computer, customers will have the ability to remotely program their set-top box to record satellite entertainment, download movies on demand, and access their photos and personal music collection through the SBC Yahoo! user experience. Customers will also be able to access files on computers connected to their home networks. In the future, customers will be able to enjoy remote access using a Cingular wireless phone.

The home entertainment service is separate from, but complements, the recently announced plans to deliver advanced next-generation television services called IPTV over the SBC fiber network, an initiative dubbed Project Lightspeed. Customers will not need access to the fiber network to subscribe to the home entertainment service.

The 2Wire set-top box at the heart of the service already has been recognized as an Innovations 2005 Design and Engineering Showcase honoree in the Home Data Networking category by the Consumer Electronics Association.

SBC Media Solutions LLC will develop and market the set-top box. Cholerton has been appointed chief executive officer of the new company. Brian Hinman, 2Wire president and CEO, will assume the role of president, SBC Media Solutions.

"The strength of the SBC-2Wire relationship has helped us champion the advancement of broadband and home networking to families and small businesses everywhere," said Hinman. "We're working with SBC companies to bring broadband connectivity beyond the PC to TV."

About SBC

SBC Communications Inc. is a Fortune 50 company whose subsidiaries, operating under the SBC brand, provide a full range of voice, data, networking, e-business, directory publishing and advertising, and related services to businesses, consumers and other telecommunications providers. SBC holds a 60 percent ownership interest in Cingular Wireless, which serves more than 46 million wireless customers. SBC companies provide high-speed DSL Internet access lines to more American consumers than any other provider and are among the nation's leading providers of Internet services. SBC companies also now offer satellite TV service. Additional information about SBC and SBC products and services is available at www.sbc.com.

About 2Wire

2Wire is a provider of broadband service platforms for the DSL market. 2Wire's suite of solutions offers DSL providers an integrated "triple play" of data, voice and media services. 2Wire's products and services include the award-winning HomePortal(R) residential gateways, the MediaPortal(TM) digital entertainment services platform and a robust Component Management System (CMS) for service management and provisioning. 2Wire's products are distributed exclusively by the major DSL service providers including SBC Internet Services, British Telecom plc and Telefonos de Mexico, S.A. de C.V. With headquarters in San Jose, Calif, 2Wire was founded in July 1998 by Brian L. Hinman, a co-founder of PictureTel Corporation (formerly NASDAQ: PCTL) and Polycom, Inc. (NASDAQ: PLCM).