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Press Release

01/12/2006

LG ELECTRONICS DEMONSTRATES 'VSBnet' PRACTICAL HOME NETWORK USING EXISTING CABLING

LAS VEGAS, Jan. 6, 2006 --- Offering a glimpse of the near-term future of home networking, LG Electronics Inc. today demonstrated 'VSBnet,' a practical approach that uses existing coaxial cabling and is based on industry-standard digital television (DTV) technologies.

LAS VEGAS, Jan. 6, 2006 --- Offering a glimpse of the near-term future of home networking, LG Electronics Inc. today demonstrated 'VSBnet,' a practical approach that uses existing coaxial cabling and is based on industry-standard digital television (DTV) technologies.

VSBnet, developed by LG's U.S. DTV research division, Zenith, capitalizes on the flexibility of the ATSC DTV standard to seamlessly enable the transport of digital video and Internet protocol (IP) data around the home. According to Dr. Jong Kim, president of the Zenith R&D Lab, VSBnet offers a wide range of advantages including the capability to:
• Carry programs from any source (broadcast, cable, satellite, telco) through existing coaxial (RG-59) cabling,
• Deliver 135 VSB channels at 38.8 megabits per second (offering a potential total bitrate of 5.3 gigabits per second),
• Use ATSC/VSB demodulators built into all digital TVs, and
• Secure high-value digital content through an AES-based digital rights management system.

Demonstrated for the first time at the 2006 Consumer Electronics Show, VSBnet is a cost-effective solution that doesn't require costly or limited-length IEEE 1394 wiring or translators, and doesn't use expensive CAT5 wiring.

---This simple, elegant solution for home networking delivers scores of digital TV channels and IP data throughout the home using existing home coax and existing DTV tuners. Dr. Kim said. And, unlike wireless systems, VSBnet signals don't radiate into other in-home products, encroach on neighbors equipment or leak content.

---VSB is the best interface between media devices in the home, Dr. Kim explained, adding that Federal Communications Commission regulations require that all new TV receivers and recorders will have this input by March 2007. This is similar to the channel 3-channel 4 remodulator in the analog world except that there is no signal degradation with digital VSB.

Building on Consumer Electronics Association's "VSB Remodulator" standard, LG Electronics is developing circuitry that facilitates in-home retransmission of digital HDTV and other digital TV content on a self-assembling network that does not require a central server.

ABOUT LG ELECTRONICS USA
Based in Englewood Cliffs, N.J., LG Electronics USA, Inc., (LGEUS) is the North American subsidiary of LG Electronics, Inc., a $38-billion global force in consumer electronics, information technology and communications products. LGEUS comprises four core business areas: mobile phones, consumer electronics, home appliances and information technology products, all marketed under its "LG: Life's Good" theme. Zenith, a pioneer in consumer electronics and long-time HDTV technology leader, developed the "VSB" or vestigial side band digital transmission system at the heart of the ATSC DTV broadcast standard adopted by the FCC. Zenith merged with LG in'99. For more information, please visit www.LGusa.com or www.zenith.com.

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