Press Release

    Support for 1080p24 to Be Added to Market-Leading DiviCom(R)
    Electra(TM) 7000 Encoder; Harmonic Demonstrates Next Generation
                     1080p50 Encoding at IBC 2007

SUNNYVALE, Calif.--(BUSINESS WIRE)--Aug. 29, 2007--Harmonic Inc. (NASDAQ:HLIT) today announced support for high definition (HD) 1080p encoding at 24 frames per second (fps) on its market-leading MPEG-4 AVC (H.264) encoder, the DiviCom(R) Electra(TM) 7000. Today, seven of the ten largest satellite operators worldwide utilize Harmonic's compression systems, and the majority of these customers have selected the Electra 7000 to power their HD H.264 services. Harmonic also announced that it will showcase its next generation H.264 compression technology for 1080p at 60 or 50 fps -- currently the most advanced HD technology available -- in the world's first public demonstration at IBC 2007.

Consumer expectations for higher quality television continue to grow with "full" HD (1080p) TV sets representing the majority of sales, and movies and other content being released in Blu-ray and HD-DVD formats, which are produced in 1080p24 format. In the near future, digital video production for sports, documentaries, television and other programming is expected to begin in 1080p format at frame rates of 50 fps in Europe and 60 fps in North America and other regions. Cable, satellite and telco operators can use Harmonic's advanced HD compression technology to offer value-added premium HD subscription services for broadcast and on-demand applications, thereby increasing revenues and customer satisfaction.

"The Electra HD H.264 platform continues to set the bar for technology innovation, video quality and bandwidth efficiency," said Arnaud Perrier, Senior Manager, Encoder Product Marketing at Harmonic Inc. "Not only has the performance of the Electra 7000 been proven with more than 30 deployments among top tier service providers around the world, but we continue to enhance the capabilities of our latest generation compression systems. The new support for 1080p24 on the Electra 7000 enables operators to offer premium HD picture quality to subscribers, and the demonstration of our next generation 1080p50/60 technology takes high definition even higher."

Service providers using the Electra 7000 will be able to seamlessly migrate to 1080p24 compression via a firmware upgrade. The dense one rack-unit (1-RU) platform supports up to four channels of full resolution video alongside four simultaneous low resolution outputs for applications such as picture-in-picture and multichannel mosaics.

The Electra 7000's capabilities to support 1080p, 1080i and 720p will be featured at Harmonic's booth #1.361 at IBC 2007, Europe's leading industry exhibition taking place in Amsterdam, The Netherlands from September 7-11.

About Harmonic Inc.

Harmonic Inc. is a leading provider of versatile and high performance video solutions that enable service providers to efficiently deliver the next generation of broadcast and on-demand services including high definition, video-on-demand, network personal video recording and time-shifted TV. Cable, satellite, broadcast and telecom service providers can increase revenues and lower operational expenditures by using Harmonic's digital video, broadband optical access and software solutions to offer consumers the compelling and personalized viewing experience that is driving the business models of the future.

Harmonic (NASDAQ:HLIT) is headquartered in Sunnyvale, California 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 within the meaning of Section 27(A) of the Securities Act of 1933 and Section 21(E) of the Securities Exchange Act of 1934, including statements related to: showcasing next generation H.264 compression technology, expectations that digital video production will begin in 1080p format in the near future, continuing to enhance the capabilities of Harmonic's latest generation compression systems, and the ability to seamlessly migrate to 1080p compression.

Our expectations and beliefs regarding these matters and the anticipated benefits of the Electra 7000 with 1080p encoding may not materialize, and actual results could differ materially from those projected. The forward-looking statements contained in this press release are also subject to other risks and uncertainties, including those more fully described in Harmonic's filings with the Securities and Exchange Commission including its recent Reports filed on Form 10-K and Form 10-Q. Harmonic does not undertake to update any forward-looking statements.

EDITOR'S NOTE -- Product and company names used herein are trademarks or registered trademarks of their respective owners.

    CONTACT: Harmonic
             Media Relations
             Sarah Lum, +1 408-543-2392
             sarah.lum@harmonicinc.com
             or
             StreetConnect
             Michael Newman, +1 408-542-2760
             Investor Relations for Harmonic
             hlit@stct.com

    SOURCE: Harmonic Inc.