Entropic and CAIW Join Forces to Deploy Affordable Triple-Play Services in Europe

Entropic's First European Deployment of Its Cost Effective c.LINK Access Technology


SAN DIEGO, Dec. 11, 2007 (PRIME NEWSWIRE) -- Entropic Communications, Inc. (Nasdaq:ENTR), a leading provider of systems solutions to enable connected home entertainment, in conjunction with Dutch Cable Operator CAIW today announced the first deployment of Entropic's c.LINK Access technology in Europe. CAIW, a technology deployment leader, selected Entropic's c.LINK Access technology to cost effectively address the growing consumer demand for new services like IPTV. CAIW will begin rolling out high-performing triple-play services, based on Entropic's c.LINK Access, to customers in the Netherlands beginning in 2008.

Delivering a Cost Effective Alternative to DOCSIS 3.0

Entropic's c.LINK Access technology is a cost-effective alternative to DOCSIS 3.0, offering superior economic advantages in terms of capital investment and operating costs. c.LINK Access currently provides bandwidths greater than 175 Mbps, while the bandwidth of DOCSIS 3.0 is inherently limited at 100Mbps. In order for DOCSIS to reach the same bandwidth as Entropic's c.LINK solution, significant capital investment and annual maintenance expenses are required, making DOCSIS an expensive and cumbersome triple play alternative.

"Compared to DOCSIS 3.0, our c.LINK Access technology is a lower cost, higher performing solution for delivering enhanced, broadband triple-play services," commented John Graham, Vice President of Marketing for Entropic Communications. "Partnering with leading MSOs, such as CAIW, is part of our global strategy to work with the world's leading cable operators to deploy our c.LINK Access solution."

Growing Consumer Demand for Broadband Triple-play Services

More and more service providers are embracing broadband triple-play services as consumer demand for personalized interactive entertainment and purchasing convenience rises. According to the Yankee Group, triple-play services (voice, video, broadband internet access) have experienced significant growth in recent years -- especially broadband internet access, which has shown a double-digit compound annual growth rate (CAGR) during the last 3 years. By joining forces with Entropic and deploying c.LINK Access technology, CAIW intends to cost-effectively address the growing demand for broadband triple-play services in the Netherlands beginning in 2008.

"c.LINK will be for cable networks what DSL was for telephone networks", says Aart Verbree, CEO of CAIW. "This field test is intended to prove that it is possible to make far better use of the exceptionally large capacity of cable television networks and to do so in a cost-effective way. It will enable us to offer new and innovative integrated services to our customers and will make them enjoy the cable even more."

Availability

With Entropic's c.LINK Access technology, CAIW will initially offer 50Mbps broadband services to customers and will roll out additional services throughout 2008.

Entropic's c.LINK Access is currently available on Entropic's EN3230 and EN3211 chip-sets designed for customer-premise equipment (CPE).

About Entropic Communications

Entropic Communications, Inc. is a leading fabless semiconductor company that designs, develops and markets systems solutions to enable connected home entertainment. The company's technologies significantly change the way high-definition television-quality video and other multimedia content such as movies, music, games and photos are brought into and delivered throughout the home. For more information, please visit www.entropic.com

The Entropic Communications logo is available at http://www.primenewswire.com/newsroom/prs/?pkgid=4255

About CAIW

CAIW is the Dutch cable operator for the districts of Westland and Midden-Delfland, as well as for the towns of Schiedam, Maassluis, Aalsmeer, Uithoorn, IJsselstein, Benschop, Oudenbosch, Doorn and the 'Wateringse Veld' quarter in The Hague. CAIW also supplies digital radio and television services to cable operators in the towns of Loenen, Hilvarenbeek and the district of Gouda. In all, CAIW offers radio and television services to over 150,000 subscribers, of which 70,000 subscribed to internet services and 20,000 to telephone (VoIP) services as well. For more information, please visit www.caiw.nl

Forward-Looking Statements

Statements in this press release that are not strictly historical in nature constitute "forward-looking statements." Such statements include, but are not limited to, statements regarding the advantages and deployment of Entropic's c.LINK Access technology. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause Entropic's actual results to be materially different from historical results or from any results expressed or implied by such forward-looking statements. These factors include, but are not limited to, the effects of competition; Entropic's dependence on a limited number of customers and ultimately service providers; Entropic's ability to introduce new and enhanced products on a timely basis; the risk that the market for high-definition television-quality video and other multimedia content delivery solutions based on the MoCA standard may not develop as anticipated; the effect of intellectual property rights claims; risks related to Entropic's international operations; and other factors discussed in the "Risk Factors" section of Entropic's final prospectus filed with the SEC on December 7, 2007. All forward-looking statements are qualified in their entirety by this cautionary statement. Entropic is providing this information as of the date of this release and does not undertake any obligation to update any forward-looking statements contained in this release as a result of new information, future events or otherwise.



            

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