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Press Release

09/01/2005

LG Takes the Lead in Open Personal Mobile TV Era

Seoul, September 1st, 2005 -- Today's mobile phone is far from merely a phone, also acting as a camera and mp3 player. The mobile phone is evolving into an all-in-one multimedia device, finally merging with TV. Now, mobile users can enjoy watching soap operas or soccer matches anywhere, anytime. And LG Electronics (LG) is the pioneer making mobile TV a reality.

Seoul, September 1st, 2005 -- Today's mobile phone is far from merely a phone, also acting as a camera and mp3 player. The mobile phone is evolving into an all-in-one multimedia device, finally merging with TV. Now, mobile users can enjoy watching soap operas or soccer matches anywhere, anytime. And LG Electronics (LG) is the pioneer making mobile TV a reality.

DMB (Digital Multimedia Broadcasting) is the technology that brings mobile TV to the palm of the hand. LG successfully introduced the world's first terrestrial DMB handset - the LG-LT1000 - in November 2004. Combining LG's advanced digital TV with CDMA handset technology, LG developed the T-DMB (Terrestrial DMB) receiving System-on-Chip (SoC) for the first time in the world in September 2004 and the world's first S-DMB phone - the SB100 - in May of the same year. The company also holds original Advanced Technology Systems Committee (ATSC) technology, a standard for digital TV broadcasting.

LG's DMB phone is a historical achievement in DMB technology. For the first time in the world, a mobile phone is able to play H.264 in 30 fps (frames per second) and takes advantage of VHF 200MHz T-DMB frequency. Moreover, it boasts pioneering technologies, enabling digital TV broadcasting through high resolution LCD, large memory space and longer-lasting battery.

The service has seen significant popularity among young consumers since commercialization of S-DMB (Satellite DMB) service began in Korea in May 2005. This boom made LG's S-DMB phones a great success at home, bringing the TV technology standards of the future to consumers today. T-DMB service is also ready for commercialization by the end of 2005.

Building on this home grown Korean world-first, LG is now fully prepared to introduce its top-notch technology overseas. LG is to unveil its first overseas T-DMB handset (LG-V9000) - a "Personal Mobile Digital TV' aimed at 'Anytime, Anywhere' convenience - at IFA (Internationale Funkausstellung) 2005 taking place in Berlin, Germany from the 2nd - 7th of September this year. The handset is truly an abstract of LG's DMB technology, providing the most advanced features in TV viewing. With its unique form factor wide-swing screen, users can watch TV programs more than two hours straight and even record one-hour long soap operas thanks to the large memory capacity. Applying LG's internally developed DMB chip, the V9000 provides perfect picture based in a high-resolution screen as well as a 3D surround sound system (Refer to details featured below).

Global launch of LG-V9000 is expected in the first quarter of 2006 in Europe and China and LG aims to strengthen its positioning as world-first T-DMB phone innovator through showcasing at IFA 2005. "Mobile broadcasting is going to live on in the long run and customers can see the origin of T-DMB technology in the LG-V9000 at IFA 2005. This model is clear evidence of LG's creativity and state of the art technology, which is driven by the pursuit of providing fun and convenience to customers in their everyday lives," said Mr. James Kim, President & CEO of European headquarters of LG Electronics.

"Another T-DMB phone with 3.5G HSDPA (High Speed Downlink Packet Access) is now on the way for release next year. We fully understand what customers want so LG will continue to proactively increase customer value by developing new technologies and products."

The technologies applied in the LG-V9000 are key factors not only in developing the T-DMB phone but also in DVB-H (Digital Media Broadcasting-Handheld) and FLO (Forward Link Only). Already successful in developing both S-DMB and T-DMB phones, LG sits securely atop the industry in DVB-H and FLO handset development based in its proven technology.

DVB-H is a technology standard improved from DVB-T (Digital Media Broadcasting- Terrestrial), the European terrestrial digital broadcasting technology, for mobile phone applications. Together with T-DMB, DVB-H is projected to develop into another leading technology for mobile broadcasting in the future.

DVB-H offers higher data rates at a high level of robustness compared to T-DMB. It is also able to utilize various frequency bandwidths, allowing more channels through DVB-H. However, T-DMB boasts better mobile performance and higher quality video compared to DVB-H. Relatively high power consumption and complicated receiver and structure are other areas that need improvement in DVB-H.

The competition between T-DMB and DVB-H is expected to grow fierce. As the world's first developer of DMB handsets, LG is set to take the lead in DVB-H phone development based in its accumulated technologies. "As a pioneer in DMB handset development, LG is fully prepared to provide our customers with the most advanced DVB-H handsets. I am confident that LG's technology in both DMB and DVB-H will be a future standard, improving our customers' lives" said Mr. Mun-hwa Park, President & CEO of LG Electronics Mobile Communications Company.

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