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PanAmSat Targets Local ISPs With New Orbital Internet Backbone


Greenwich - March 29, 2000 -
PanAmSat has unveiled NET/36*, a high-speed, bandwidth-intensive network that will be capable of broadcasting IP video, audio and data simultaneously to thousands of digital subscriber line (DSL) providers, cable headends, Internet service providers (ISPs) and broadband wireless providers worldwide.

Through the use of PanAmSat's global in-orbit satellite fleet, which consists of 20 spacecraft stationed approximately 36,000 kilometers above earth, NET/36 will provide an overlay to the slow, congested terrestrial Internet network.

PanAmSat has entered into separate strategic alliances with U S WEST* and RealNetworks as part of the rollout of NET/36. U S WEST, one of the largest DSL service providers in the United States, will use NET/36 for IP content delivery to U S WEST's DSL and Internet subscribers. RealNetworks, the recognized leader in streaming media delivery on the Internet, will provide RealSystem G2, which offers a scalable distribution architecture for the delivery of video and audio programming to large audiences worldwide.

PanAmSat has initially allocated up to 24 Ku-band satellite transponders for NET/36 worldwide. Following trial transmissions to a U S WEST DSL site during the second quarter of 2000, PanAmSat plans to roll out NET/36 in the United States and internationally during the third quarter of 2000. As part of the U.S. rollout, PanAmSat plans to purchase approximately 1,000 satellite-enabled servers for deployment to last-mile Internet providers over the next 12 months

Concurrent with today's NET/36 announcement, PanAmSat also announced its expanded role as a satellite service provider for DirecPC. Under this latest agreement, PanAmSat will provide Hughes Network Systems with up to 10 Ku-band transponders for the launch of the new AOL Plus via DirecPC service later this year in the United States. Both initiatives reflect PanAmSat's integral role in the overall Internet strategy of Hughes Electronics Corp., which owns 81 percent of PanAmSat

"The name PanAmSat is now synonymous with IP broadcasting," said R. Douglas Kahn, PanAmSat's president and chief executive officer. "NET/36 is a natural extension of PanAmSat's core satellite service, which enables the world's leading programmers and broadcasters to deliver hundreds of television channels to viewers around the world. NET/36 will empower these content providers to deliver their streaming video and data to servers across the globe while offering millions of Internet, cable modem, DSL and broadband wireless subscribers high-speed access to rich multimedia content. PanAmSat has a unique opportunity to offer end-to-end services so that our customers can seamlessly roll out their IP distribution strategies in conjunction with their existing and evolving video distribution activities

"PanAmSat will vigorously pursue strategic relationships with additional last-mile service providers as well as other hardware, software and network providers to enhance NET/36's market penetration and service capabilities," Mr. Kahn concluded

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