Sisvel: Patent Holders Reach Agreement on Royalty Rates for DVB-H Patent Pool

Sisvel is pleased to announce that the establishment of a joint
licensing program for DVB-H essential patents is well under way among
France Telecom, LG Electronics, Nokia, Samsung Electronics, TB Invent,
and TDF, all holders of essential patents for DVB-H.

In their continuing efforts to finalize the terms of a joint
licensing program, the above patent holders have reached agreement on
a number of basic points, including royalty conditions for a license
under their essential patents.

A summary of the royalty conditions agreed to by the above patent
owners can be found in the attached enclosure. It is worthwhile to
note that the rates approved by the patent holders are designed to
encourage broad scale adoption of the DVB-H technology in the very
near future.

The patent holders will continue their work to finalize a
comprehensive agreement among themselves and Sisvel to start the joint
licensing of their essential patents as soon as possible. A final
agreement is expected before the summer and a DVB-H license for third
parties should become available shortly thereafter.

Roberto Dini, founder of Sisvel, commented: "This represents a
first crucial step towards the finalization of the DVB-H patent pool
made possible thanks to the foresight of a group of committed patent
holders willing to compromise on their individual interests in view of
the overriding public interest of having certainty about the cost of
Intellectual Property essential to implement this innovative
technology. This also shows that the patent holders and the
facilitator are strongly committed to effectively follow-up on
Commissioner Reding´s invitation in this respect."

About SISVEL

SISVEL is a patent management company that has become a leader in
promoting innovation and in licensing patents for the past 25 years
and is a recognized world leader in increasing the value of patents.
SISVEL enables users to acquire patent rights necessary for a
particular technology standard from multiple patent holders in a
single transaction, providing one-stop technology platform patent
licenses. For more information, please refer to www.sisvel.com.

Attachment

The present is a summary of the royalties agreed for DVB-H
compliant products for the essential patents to be licensed by Sisvel
in a joint licensing program. The following rates are not intended to
be considered as an offer to license and cannot be relied upon for any
purpose other than informative.

-- Royalties will be charged on a per-unit basis (for each DVB-H
compliant product)

-- The following royalty rates will apply based on yearly units
sold/produced by the licensee.

-0-
*T
Non - Hierarchical Hierarchical
------------------------------------ ---------------------------------

------------------ ----------------- ---------------- ----------------
Units Royalty Rate Units Royalty Rate
------------------ ----------------- ---------------- ----------------
< 1 Mill 0.60EUR < 1 Mill 0.70EUR
------------------ ----------------- ---------------- ----------------
1 - 2 Mill 0.50EUR 1 - 2 Mill 0.58EUR
------------------ ----------------- ---------------- ----------------
2 - 4 Mill 0.40EUR 2 - 4 Mill 0.47EUR
------------------ ----------------- ---------------- ----------------
4 - 8 Mill 0.35EUR 4 - 8 Mill 0.41EUR
------------------ ----------------- ---------------- ----------------
8 - 12 Mill 0.30EUR 8 - 12 Mill 0.35EUR
------------------ ----------------- ---------------- ----------------
greater than 12 0.20EUR greater than 12 0.25EUR
Mill Mill
------------------ ----------------- ---------------- ----------------
*T

-- To encourage early adoption of the DVB-H system, for the first
4 years an Early Birds incentive will be offered to reduce the
royalties due as follows:

-0-
*T
Year Percentage of Royalty Rate
---------------- -----------------------------------------------------
2008 40%
---------------- -----------------------------------------------------
2009 55%
---------------- -----------------------------------------------------
2010 70%
---------------- -----------------------------------------------------
2011 85%
---------------- -----------------------------------------------------
2012 100%
---------------- -----------------------------------------------------
*T

-- A Yearly Cap on royalties will apply as follows:

-0-
*T
Year Cap
------------------------------ ---------------------------------------
2009 1 MEUR
------------------------------ ---------------------------------------
2010 3 MEUR
------------------------------ ---------------------------------------
2011 6 MEUR
------------------------------ ---------------------------------------
2012 9 MEUR
------------------------------ ---------------------------------------
*T