PBS AND WEBTV NETWORKS TEAM UP TO DELIVER INTERNET CONTENT TO THE TELEVISION

PASADENA, Calif. - Jan. 15, 1997 - The Public Broadcasting Service (PBS), recognizing the opportunity to provide World Wide Web users with television and Internet content over the same platform, today announced an alliance with WebTV Networks Inc., the developer of the WebTVA set-top box and WebTV NetworkSM online service. The announcement was made at the Television Critics Association winter press tour.

"Our goal is to cybercast fully integrated, extensive on-air programming and PBS ONLINE Web content to a whole new population of Internet users," said Ervin S. Duggan, PBS president and CEO. "WebTV allows us to augment PBS viewers' television experience with the in-depth, educational information and entertainment available through PBS ONLINE."

Starting with its popular Web sites for kids, PBS will customize select pages of PBS ONLINE(r) for WebTV subscribers that will launch from the WebTV Kid-FriendlyA Home Page and feature a weekly PBS site. Parents and children will be able to watch their favorite PBS television program, such as ARTHUR, and immediately go to the ARTHUR Web site on their WebTV Network service, then explore its educational activities over their TV.

WebTV Networks also will prominently display PBS ONLINE on its regular WebTV Home Page, providing convenient access to the wide range of PBS ONLINE offerings such as NOVA Online, the Online NewsHour and Frontline Online.

"PBS ONLINE is filled with interactive and compelling content that is a natural for WebTV subscribers, " said Steve Perlman, co-founder, president and CEO of WebTV Networks Inc. "WebTV's partnership with PBS creates a rich, family-oriented experience that makes time online even more rewarding."

PBS ONLINE includes areas devoted to education and public television programming as well as a constantly changing set of hyperlinks to current and upcoming PBS shows. The content is updated daily, with a main feature story highlighting programming and special events, and a combination of special features and regular departments offering active, event-oriented experiences. More than 75 national public television programs have their own areas on PBS ONLINE. A relaunched version of PBS ONLINE will debut in late February 1997.

WebTV Networks is the developer of the WebTVA Reference Design and WebTV Network online service that delivers the Internet through television. The WebTV Network offers its subscribers three account options: unlimited Web access, SurfWatchA filtering and Kid-FriendlyA, a pre-approved content site for children featuring a customized Home Page. WebTV Internet Terminal units are currently available through WebTV's licensees, Sony Electronics Inc. and Philips Consumer Electronics Company, at consumer electronics stores nationwide.

Founded in June 1995 by Steve Perlman, Bruce Leak and Phil Goldman, WebTV Networks is dedicated to bringing high-quality, affordable Internet access to television consumers through integrated, easy-to-use, standards-based technologies and services. WebTV Networks is based in Palo Alto, Calif.

PBS is a private, nonprofit corporation owned and operated by the nation's 347 public television stations. A trusted community resource, public television uses the power of noncommercial television to enrich the lives of all Americans through quality programs and educational services that inform, inspire and delight. Available to 99 percent of American households with televisions, PBS is watched by more than 96 million people each week. Public television is the number one resource for K-12 classroom programming in the country. PBS's Adult Learning Service is the world's largest source of college-level telecourses.

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WebTV and Kid-Friendly are trademarks and WebTV Network is a service mark of WebTV Networks Inc.
SurfWatch is a trademark of Spyglass Inc.