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KABEL DEUTSCHLAND INTRODUCES NEWEST NAGRAVISION CONDITIONAL ACCESS SYSTEM AND EXTENDS COOPERATION
Logo "Nagra Kudelski Group"
  • New long term sales contract supports KDG's business model and expected business growth
  • Smartcard swap will begin in Autumn 2008
  • Currently deployed receiver population is fully supported

Cheseaux, Switzerland – May 13, 2008- Nagravision, a Kudelski Group Company (SWX:KUD.VX) and the world’s leading independent provider of content protection and value-added service technology, was selected by Germany's largest cable based television provider Kabel Deutschland (KDG) to protect the content rights and revenues for its forthcoming commercial deployments. The companies entered in a new long term agreement to support KDG's business model and the expected business growth. Using the latest version of Nagravision's conditional access system (CAS), KDG will deploy a new generation of smart cards in autumn 2008. The currently deployed population of receivers will be fully supported. KDG will comprehensively notify its subscribers about the smartcard swap.

“We are very pleased to extend co-operation with Nagravison to ensure a solid security and rich feature set within our cable network,” said Manuel Cubero, Chief Commercial Officer of KDG.

A customer of Nagravision's since 2003, KDG operates cable networks in 13 German states and supplies its services to about 9 million TV households. The company develops and markets new triple play offers for digital TV, high-speed Internet and telephone connection via cable. KDG offers an open digital TV platform for all program providers. KDG has licensed the latest version of the Nagravision CAS for cable, satellite, terrestrial, IP, and mobile television.

“We look forward to extend our excellent relationship with KDG," said Pierre Roy, EVP of the Kudelski Group and COO Nagravision. "Our latest Nagravision technology will secure KDG’s revenues in the complex German media environment by allowing KDG to serve its entire installed base of set-top boxes, hence fully protecting their existing investments. This will form a solid baseline for the sustained growth and progressive introduction of new digital TV services."

About Kabel Deutschland
Kabel Deutschland (KDG) operates cable networks in 13 German states and supplies its services to around 9 million connected TV households in Germany. Kabel Deutschland is Germany's largest cable network operator. The company develops and markets new triple play offers for digital TV, high-speed internet and telephone connection via cable. KDG offers an open digital TV platform for all program providers. The company operates the networks, markets cable connections and provides comprehensive services for all matters of cable connectivity. In fiscal year 2006/2007 (12 months ended March 31, 2007), Kabel Deutschland reported total revenues of approx. EUR 1.1 billion. The company has around 2,700 employees.

About the Kudelski Group
The Kudelski Group (SWX: KUD.VX) is a world leader in digital security and convergent media solutions for the delivery of digital and interactive content. Its technologies are used in a wide range of services and applications requiring access control and rights management to secure the revenue of content owners and service providers for digital television and interactive applications across broadcast, broadband and mobile delivery networks. The Kudelski Group is also a world technology leader in the area of access control and management of people or vehicles to sites and events. It additionally offers professional recorders and high-end hi-fi products. The Kudelski Group is headquartered in Cheseaux-sur-Lausanne, Switzerland. For more information, please visit www.nagra.com.

About Nagravision
Nagravision, a Kudelski Group company, is the world's leading independent supplier of open conditional access systems, DRM and integrated on-demand solutions for content providers and digital TV operators over broadcast, broadband and mobile platforms. Its technologies are currently being used by more than 100 leading Pay-TV operators worldwide securing content delivered to over 84 million active smart cards and devices. For more information, please visit www.nagravision.com.

Contacts:

Ivan Schnider
Nagravision Head of Marketing & Communications
+41 21 732 09 40
ivan.schnider@nagra.com

Kudelski Group investors and analysts contact
Santino Rumasuglia
Head of Investor Relations
D +41 21 732 01 24
F +41 21 732 31 44
santino.rumasuglia@nagra.com