Bixby Says Tut's OK

LAKE OSWEGO, Ore. -- Tut Systems Inc. (Nasdaq: TUTS), an industry leader enabling the delivery of next-generation data and video services over broadband networks, today announced that Bixby Telephone selected its Astria® content processor video headend solution for delivering advanced digital TV services over Bixby's broadband IP network.

Tut Systems' Astria platform will serve as the core video processing system for Bixby's all-MPEG-4 AVC digital headend. Tut Systems is also providing comprehensive systems integration services, including design, project management, staging and pre-launch testing of the digital headend. Bixby Telephone plans to commercially launch its Digital TV service in the first quarter of 2006.

With a "tradition of technology," Bixby Telephone is a privately owned, second generation telephone company providing local telephone services to Bixby, Oklahoma, and surrounding area since 1914. Today, Bixby Telephone serves over 11,000 ILEC and CLEC customers, and offers the most progressive wire and fiber optic products and services available. With ADSL2+ available to 100% of its ILEC customers, Bixby Telephone is prepared to deliver a robust broadband package.

"Tut System's MPEG-4 AVC solution showed a significant quality advantage over other solutions that we evaluated and Tut's track record of success in helping telephone companies roll out IPTV services made them the clear choice for our deployment," said Lynn Pike, CEO and President of Bixby Telephone. "Tut Systems' Astria content processors support all of the leading-edge video capabilities that we believe are required to effectively compete in today's digital entertainment marketplace".

"Bixby Telephone appreciates the business and competitive advantages our MPEG-4 AVC technology will deliver in the years to come as Bixby grows and enhances their digital entertainment service offerings", said Mark Tiedeman, Vice President of Marketing for Tut Systems. "With this win, we believe that we have more MPEG-4 AVC TelcoTV customers than any other company."