SAN DIEGO, Calif., July 27, 1999 (PRIMEZONE) -- PacketVideo announced today Siemens Information and Communication Networks' (ICN) Mustang Ventures has made an investment in PacketVideo Corporation. PacketVideo develops software for multimedia transmission over wireless and wired networks and there is significant potential that this software could be integrated into future Siemens ICN products.
The investment by Mustang Ventures advances ICN's strategy of developing strategic relationships with start-up companies at the forefront of data-voice-video-Internet technologies. This strategy also encompasses cooperative agreements with, and acquisitions of, more established companies engaged in this industry segment.
"We are following a consistent strategy of participating in young, innovative companies with sparkling ideas and dedicated employees," said Bjoern-Eske Christensen, president of Siemens Mustang Ventures. "These companies offer new products to our customers and enhance Siemens' investor value. Aligning with the customer focus of Siemens ICN, we're actively investing in areas such as e-commerce, Internet access, mobile devices and network infrastructure."
PacketVideo is developing video data compression technology to deliver interactive multimedia video over standard wireless communications links to handheld devices. PacketVideo software solutions cover all aspects of multimedia-over-wireless authoring, base station-to-handheld-device signal management and end-user product development tools.
Jim Carol, CEO of PacketVideo said, "Linking up with Siemens gives us instant credibility in the race to add robust, commercial-grade wireless video to the world's cell phone infrastructure. Financially, their investment helps us add resources to our research, development programs. Technically, we have gained a fantastic 'product testing lab' that will take us the last mile from the development lab to the real world."
Vern Stevenson, who is responsible for the PacketVideo investment at Mustang Ventures said, "PacketVideo gets us in on the ground floor of one of the most revolutionary developments in wireless communications technology. The days of the voice-only cell phone are numbered as PacketVideo, Siemens, and other partners bring full voice, data and multimedia capabilities to wireless communications."
About Mustang Ventures As the venture capital resource of Siemens ICN, Siemens Mustang Ventures makes early-stage direct investments mainly targeting data communications and telecommunications market segments. In addition to providing critical capital, Mustang Ventures support start-ups with access to Siemens resources and global presence. Organized in October 1998, Siemens ICN has initially funded $100 million to support Mustang Ventures investment activities. Mustang Ventures' current activities focus on innovative companies in the Americas, Europe, and Israel. To date, Mustang Ventures has added 12 innovative companies to its portfolio. More information about the fund can be found at www.mustangventures.com
About Siemens Information and Communications Networks Based in Boca Raton, Fla., Siemens Information and Communication Networks provides highly integrated voice, data, and video communication capabilities to carrier and enterprise customers. Last year the company's 7,000 U.S. employees helped generate sales of nearly $2 billion. Its parent firm is Siemens, the pioneering electronics firm with more than 400,000 employees worldwide and global sales that exceeded $66 billion in fiscal 1998. For more information, call 1-800-765-6123 or visit the company's World Wide Web site at http://www.icn.siemens.com.
About Packet Video PacketVideo, a software company, was established in 1998 to develop the next generation of multimedia software for communications. The Company is devoted to delivering software for high quality standards-based multimedia transmission over wireless and wired networks. PacketVideo is located at 10350 Science Center Drive, San Diego, Calif. 92121. Telephone: (619) 455-2500. Website: www.packetvideo.com.
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