Press Release

TVN Entertainment Implements Harmonic's CLEARcut(TM) Software Solution for HD VOD Asset Creation

October 31, 2007
    - Leading Provider of On-Demand Content to Pay-TV Service
    Providers Simplifies Creation of High Quality Video Assets with
              Harmonic's Flexible and Scalable Solution -

SUNNYVALE, Calif.--(BUSINESS WIRE)--Oct. 31, 2007--Harmonic Inc. (NASDAQ:HLIT) today announced that TVN Entertainment Corporation, the world's largest television on demand company, has deployed Harmonic's CLEARcut(TM) offline content preparation software for creation of TVN's high definition (HD) on-demand assets. Video is digitally compressed with Harmonic's market-leading DiviCom(R) MV 500 MPEG-2 HD encoders and then formatted using the CLEARcut software for storage on video servers. CLEARcut is a part of Harmonic's MediaPrism(TM) application suite for on-demand asset creation that enables service providers to prepare content from any source--tape, DVD, live broadcast or the Internet.

The new solution allows TVN to support broadband, cable and telco service providers' desire to deliver more HD VOD content to consumers. In addition to creating superior video quality for the on-demand assets created from tape or DVD sources--a critical requirement for HD content--CLEARcut also offers high levels of scalability and flexibility. As service providers increasingly move to HD MPEG-4 AVC (H.264) compression, TVN can support simultaneous H.264 and MPEG-2 asset creation or transcoding using the CLEARcut software by simply adding a DiviCom Electra(TM) 7000 HD H.264 encoder to the system.

"We currently process more than 3,000 hours of content per month for on-demand distribution on cable, telco and broadband networks," said Dave Bartolone, Vice President of Technology for TVN Entertainment. "That number continues to grow, and an increasing proportion of the video content is high definition. Harmonic's CLEARcut content preparation software and the DiviCom encoders provide a superior solution for creation of our HD assets. The capabilities of the CLEARcut software to support other compression formats were also an important consideration as we looked for a solution that would meet our needs today and in the future."

"TVN is a preferred aggregator for on-demand content for the country's largest pay-TV service providers," said Guy Li-Ran, Product Marketing Manager for Harmonic Inc. "The selection of Harmonic's CLEARcut software and HD encoders by TVN highlights the strength of our suite of on-demand solutions for creating high quality assets from offline sources and the scalability inherent in the platform. With this solution, TVN can easily grow its VOD capabilities to support greater quantities and a larger variety of content, as demand continues to grow."

Harmonic's comprehensive on-demand solution portfolio encompasses content preparation, content ingest, intelligent asset distribution and edge processing, as well as broadband access for narrowcast applications in the HFC network. The full MediaPrism content preparation software suite includes CLEARcut, LIVEcut(TM) scheduler, Rhozet(TM) Carbon Coder(TM) universal transcoding and Ingest Gateway, enabling video from any source to be delivered to a wide variety of on-demand distribution models.

About TVN Entertainment Corporation

TVN Entertainment Corporation, the leading television on-demand company, works with every major studio, network, and telecommunications video provider in North America. TVN is the preferred provider of original on-demand programs and networks. TVN supports an open, advanced technology platform, and offers the most comprehensive, end-to-end solution for licensing, managing, distributing and marketing on-demand content to virtually any platform. For more information about TVN's products and services, please visit www.TVN.com.

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 utilize Harmonic's digital video, broadband optical access and software solutions to offer consumers a compelling and personalized viewing experience.

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 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, including statements related to Harmonic's expectations that, as service providers increasingly move to HD MPEG-4 AVC (H.264) compression, Harmonic's products will allow TVN to can support simultaneous H.264 and MPEG-2 asset creation or transcoding using the CLEARcut software by simply adding a DiviCom Electra(TM) 7000 HD H.264 encoder to the system; and Harmonic's expectations that, by utilizing Harmonic's solution, TVN can easily grow its VOD capabilities to support greater quantities and a larger variety of content, as demand continues to grow. Our expectations and beliefs regarding this matter may not materialize. The forward-looking statements contained in this press release are also subject to risks and uncertainties, including those more fully described in Harmonic's filings with the Securities and Exchange Commission, including its annual report on Form 10-K, its quarterly reports on Form 10-Q and its current reports on Form 8-K. 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: Media Relations for Harmonic
             Sarah Lum, +1.408.543.2392
             sarah.lum@harmonicinc.com
             or
             Investor Relations for Harmonic
             StreetConnect
             Michael Newman, +1.408.542.2760
             hlit@stct.com

    SOURCE: Harmonic Inc.