Pace & CacheLogic Showcase P2P Future Using PVR Technology

Pace Micro Technology plc (LSE:PIC), the leading independent
developer of digital TV technologies for the global payTV industry,
and CacheLogic, provider of the world's leading digital asset delivery
network, are today demonstrating how assisted peer-to-peer (P2P)
delivery networks could change the way consumers access content,
including payTV, in the future.

The technology demonstration shows how Pace broadband-enabled
set-top boxes can form a P2P infrastructure via the Internet to store,
distribute and access content both securely and quickly. Assisted by
CacheLogic servers, this P2P infrastructure will enable operators to
provide a wider range of on-demand content and services to their
subscribers, including 'long tail' or niche content. By exploiting the
storage available across all PVR users on a network, it is possible to
make a huge number of titles available to end users without the
expense of maintaining a large central server base.

Pace will be demonstrating the prototype to key industry
executives at IBC 2007. The demonstration uses a standard Pace digital
satellite PVR with an Ethernet port, allowing access to content
delivered via the Internet. The PVR has a fully functional Electronic
Programme Guide (EPG) to search and select content for viewing and
downloading.

CacheLogic's recently announced Velocix 2.0 Digital Asset Delivery
Network is being used to provide content seed servers. The Velocix
'peer-assisted network' is able to blend bandwidth from its on-network
caches together with P2P traffic to guarantee that the required
delivery bitrate is achieved. Velocix is therefore able overcome the
unpredictability and quality of service issues encountered when using
pure P2P delivery mechanisms while significantly reducing delivery
costs experienced when using traditional Content Delivery Network
(CDN) vendor offerings.

David Gillies, Director of Technology at Pace Micro Technology,
said: "Our technology demonstration will enable operators to
understand future opportunities for using P2P as a content
distribution mechanism. We can show how consumers can download video
content from the Internet directly to the television in their living
room rather than to their PC.

"Adding broadband capability to broadcast PVRs is a major step
forward in converging different methods of content distribution on a
single device. P2P functionality adds a further dimension in content
delivery."

Phill Robinson, CEO of CacheLogic, said: "Demand for rich media
content delivered over the Internet is growing rapidly and it is up to
our industry to offer the combination of technologies and services
required to provide convenience and a high quality viewer experience.
Our partnership with Pace illustrates this point and provides a taste
of the future of television.

"Although P2P networks in recent weeks have been seen to be
responsible for putting pressure on broadband networks, by using
servers placed in the network this technology actually has the
potential to 'lighten the load' for operators and make better use of
the current infrastructures when it comes to delivering video
services."

About Pace Micro Technology

Pace Micro Technology plc (pic.l) is a leading technology
developer for the global payTV industry. Pace's main focus is on
creating intelligent and innovative products and services that benefit
our customers and fuel the development of digital TV.

Pace has one of the world's most experienced specialist
engineering teams and is the partner of choice for leading payTV
operators across the globe.

Pace's international headquarters are in Saltaire, West Yorkshire,
UK, with further offices in the USA, France, India and Hong Kong. For
more information on Pace, please visit www.pacemicro.com.

About CacheLogic

CacheLogic (http://www.cachelogic.com) provides Velocix - the
world's leading Digital Asset Delivery Network, a new generation of
CDN (Content Delivery Network) services designed to meet the rich
media needs of the 21st century Internet. With its innovative network
and service offerings and groundbreaking asset-based business model,
CacheLogic has revolutionized both the 'mechanics' and economics of
content delivery, enabling the Internet to become the preferred
delivery mechanism for large digital media assets.