Sumitomo Electric Networks to Develop Products with Digital Fountain

May 16, 2003

Digital Fountain, provider of data-delivery solutions, has announced that Sumitomo Electric Networks, a Japanese provider of Asymmetric Digital Subscriber Line (ADSL) and Fiber Optic network equipment, is licensing Digital Fountain's Meta-Content technology. Under the terms of the agreement, Sumitomo Electric Networks will license Digital Fountain's Meta-Content technology for video and audio transmission to develop, manufacture, and distribute a range of video and audio distribution and transmission products. Sumitomo Electric Networks is developing content distribution products that will enable network service providers and communication carriers in Japan to deliver content distribution services over a broadband infrastructure. Built on top of transport technology from Digital Fountain, these new products will enable network service providers to distribute live video to commercial customers and consumers. Sumitomo Electric Networks plans to use the Digital Fountain technology to develop Server and Set Top Box equipment for commercial on-demand and live video distribution, consumer entertainment delivery, and peer-to-peer applications, including video conferencing and remote content sharing. Sumitomo has the right to develop and market video and audio transmission products based on the Embedded Fountain Live technology in the Japanese market. As a strategic partner, Sumitomo Electric Networks will also work to promote the Digital Fountain technology as a de facto standard in the worldwide content delivery network market. The licensing business, which complements the Transporter Fountain product family, allows Digital Fountain to work with partners who seek to apply the technology in new markets. Potential market opportunities include: wireless data broadcast, digital radio, SAN replication, military systems, and a range of wireless devices.

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