STOCKHOLM -- Telekom Austria, the fixed net subsidiary of Telekom Austria Group, is one of the most innovative IPTV providers in Europe. The operator's MediaBox interconnects the TV set, mobile phone and PC allowing any image, video or music file stored on the computer to be easily retrieved and accessed on any screen. Ericsson (NASDAQ:ERIC) will exchange and enhance Telekom Austria's current IPTV platform in order to deliver blended content services to multiple devices which will eliminate barriers between TV set and PCs and introduce a new generation user interface.

"We will offer new features like advanced graphical user interface, internet services over TV, latest video on demand and recording functions to our customers in Austria. This will enhance the user experience drastically and keep our leading position in the IPTV area," says Walter Goldenits, CTO Telekom Austria TA AG.

Roland Nordgren, head of Ericsson Central Europe says: "This is a break through for Ericsson to provide and systems integrate the IPTV solution to one of the most advanced, innovative IPTV operators in Europe and co-jointly develop a leading edge service to Austrian customers. IPTV is set to grow from 40 million to some 120 million subscriptions globally over the next five years. Telekom Austria's deployment is proof of how telecommunications, broadcast and the internet are converging and the benefits this brings to the consumers, making media available on any screen."

As well as prime integration and consultancy services, Ericsson will provide a complete solution to Telekom Austria including its award-winning IPTV middleware, OpenStream Digital Services Platform for video-on-demand and WatchPoint Content Management System to address the challenge of delivering the same content in different formats, to multiple devices.

Ericsson AB (Nasdaq: ERIC)

Telekom Austria AG (NYSE: TKA; Vienna: TKA)