Press Release

China-Based Satellite Broadcaster Expands Service With Harmonic's Digital Headend Systems

June 19, 2002
SINGAPORE, Jun 19, 2002 (BUSINESS WIRE) --

CBSat Uses High Powered DiviCom(R) MV50 Video Encoding Solutions to Deliver Additional DTV Channels

Harmonic Inc. (Nasdaq:HLIT) today announced that it has completed an expansion of the headend facility for China Broadcasting Film Television Satellite Co., Ltd (CBSat) which offers service throughout China. CBSat is using DiviCom(R) MV50 encoders, featuring advanced video compression and noise reduction capabilities, and multiplexing systems to deliver up to 30 additional channels of digital television. Harmonic also provided integration services for the headend expansion project.

Headquartered in Beijing and partially owned by CCTV China Central Television, China's state-run television system, CBSat is China's only Direct-to-Home broadcasting service. CBSat and Harmonic established a strong relationship in 1999 when CBSat selected DiviCom encoders and multiplexers for its initial satellite broadcast service.

According to CBSat, Harmonic's advanced digital video compression systems have played an integral role in their success by delivering high quality digital television services within the constraints of satellite bandwidth. Today, CBSat chose Harmonic again because of their excellence in product and technology, as well as their outstanding integration and support services.

"Now, with more than 50 channels of television, CBSat's capabilities are comparable to other broadcast services in China and throughout Asia," said Dr. Yaron Simler, president of Harmonic's Convergent Systems Division. "Our efficient MV50-based headend is the ideal solution for satellite broadcasters, such as CBSat, that need to maximize the number of channels and services delivered within a fixed bandwidth. We look forward to a continued strong relationship with CBSat as they innovate to develop a larger share of the expanding digital television market in China."

    DiviCom MV50 Encoders Optimize Network Bandwidth
The DiviCom MV50 encoder is optimized for bandwidth-constrained or low bandwidth environments such as satellite broadcast networks. The encoder's unique combination of advanced compression algorithms, superior noise management capabilities and processing power allows operators to maximize their effective network bandwidth and deliver more channels of television. The noise reduction features eliminate many of the imperfections in the video as well as prevent blurring effects caused by rapid movement to provide a consistently high level of video quality.

    About Harmonic Inc.
Harmonic Inc. is a leading provider of digital video, broadband optical networking and IP delivery systems to cable, satellite, telecom and broadcast network operators. Harmonic's open standards-based solutions for the headend through the last mile enable customers to develop new revenue sources and a competitive advantage by offering powerful interactive video, voice and data services such as video-on-demand, high-definition digital television, telephony and Internet access.

Harmonic (Nasdaq:HLIT) is headquartered in Sunnyvale, Calif., with R&D, sales and system integration centers worldwide. The Company's customers, including many of the world's largest communications providers, deliver services in virtually every country. Visit www.harmonicinc.com for more information.

This press release contains forward-looking statements, including, but not limited to, the delivery by CBSat of up to 30 additional channels of digital television, Harmonic's continued strong relationship with CBSat, and CBSat's development of a larger share of the expanding digital television market in China, within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. In addition, actual results could differ materially from those projected in the forward-looking statements as a result of the risk factors set forth in documents that Harmonic files with the SEC, including reports on Form 10-K and 10-Q.

Note to Editors: Product and company names used here are trademarks or registered trademarks of their respective companies.

CONTACT:          Aries MarketMasters (for Harmonic)
                  Dawn Danaher, 714/378-5841 (Media Relations)
                  danaher@keymaster.com
                  or
                  StreetConnect (for Harmonic)
                  Michael Newman, 408/542-2760 (Investor Relations)
                  mnewman@stct.com

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