PRNewswire: Motorola and WorldGate Communications Announce Exclusive Agreement for Distribution of Ojo(TM) Personal Video Phone 2004-05-03

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Motorola and WorldGate Communications Announce Exclusive Agreement for Distribution of Ojo(TM) Personal Video Phone

    TREVOSE and HORSHAM, Pa., May 3 /PRNewswire-FirstCall/ -- Motorola
(NYSE: MOT) and WorldGate Communications, Inc. (Nasdaq: WGAT) today announced
an exclusive multi-year agreement for the worldwide development and
distribution of the Ojo(TM) personal video phone. The announcement was made at
the NCTA 2004 trade show (May 2-5, New Orleans, Ernest N. Morial Convention
Center), where the Ojo product is being demonstrated by Motorola (Booth #3323)
and WorldGate (Booth #1335).
    Under the terms of the agreement, Motorola will market the Ojo personal
video phone as part of its "connected home" portfolio of consumer broadband
solutions.  Motorola will distribute Ojo worldwide through broadband service
providers, retailers, and distributors of telecommunications products.  The
Motorola Ojo personal video phone is expected to be available to consumers and
businesses in the fall of this year.  Additionally, Motorola and WorldGate
will jointly develop future broadband video telephony solutions.  The
agreement includes a prepayment by Motorola against future product purchases.
    "We are excited to have Motorola as a partner for the marketing and
distribution of the Ojo personal video phone," said Hal Krisbergh, founder,
Chairman and CEO of WorldGate Communications.  "As the leader in the broadband
solutions market, Motorola's potential to integrate Ojo with their extensive
array of other broadband products for the home as well as their access to
domestic and international markets make them an ideal partner."
    "With products like Ojo, broadband service providers can provide a truly
differentiated telephony offering, adding value to subscribers without
upgrading their infrastructure," said John Burke, Motorola corporate vice
president and general manager, consumer solutions business.  "The unique Ojo
solution is one more example of the power of the broadband connection --
enabling face-to-face conversations with full-motion video and high quality
audio over an IP connection.  We're looking forward to broadly launching and
integrating this technology as part of our 'connected home' portfolio later
this year."
    The Ojo(TM) personal video phone leverages an enhanced version of the
H.264 digital compression standard and high fidelity full duplex speakerphone
technology. The 30 frames per second video can be efficiently transmitted at
data rates as low as 110 Kbps ensuring that existing broadband infrastructures
can easily handle high volumes of video phone traffic with no need for
additional network equipment. The technology is based on interoperable
standards, including DOCSIS, SIP and PacketCable. These standards enable video
calls to be easily transmitted to other video phones as well as other devices
that can be used for video communications. Motorola and WorldGate will begin
field tests of the technology in Q2 2004.

    About WorldGate Communications, Inc.
    WorldGate is in the business of developing, manufacturing and distributing
video phones for personal and business use, to be marketed with the Ojo brand
name. The Ojo video phone is designed to conform to industry standard
protocols, and utilizes proprietary enhancements to the latest technology for
voice and video compression. Ojo video phones are designed to operate on the
high speed data infrastructures provided by cable and DSL providers. WorldGate
has applied for patent protection for its unique technology and techno-
futuristic design that contribute to the functionality and consumer appeal
offered by the Ojo video phone. WorldGate believes that this unique
combination of design, technology and availability of broadband networks allow
for real life video communication experiences that were not economically or
technically viable a short time ago. For more information about WorldGate,
visit http://www.wgate.com .

    About Motorola Broadband Communications Sector
    The Motorola Broadband Communications Sector provides a scalable,
integrated end-to-end system for the delivery of broadband services that keeps
consumers informed, entertained and connected.  Its technology enables network
operators and retailers to create and execute on new business opportunities by
providing innovative products and services to the home.  Customer-responsive
design and manufacturing expertise further contribute to the company's
position as the world's leading supplier of digital cable set-tops and cable
modems.  For more information about the Motorola Broadband Communications
Sector, visit http://www.motorola.com/broadband .

    About Motorola
    Motorola, Inc. (NYSE: MOT) is a global leader in wireless, broadband and
automotive communications technologies that help make life smarter, safer,
simpler, synchronized and fun. Sales in 2003 were $27.1 billion. Motorola
creates innovative technological solutions that benefit people at home, at
work and on the move. The company also is a progressive corporate citizen
dedicated to operating ethically, protecting the environment and supporting
the communities in which it does business. For more information, please visit
http://www.motorola.com .

    MOTOROLA and the Stylized M Logo are registered in the U.S. Patent &
Trademark Office. Ojo and WorldGate are trademarks of WorldGate Service, Inc.
All other product or service names are the property of their respective
owners.

SOURCE  Motorola, Inc.


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