MTG attacks pay-TV piracy

May 27 2002


Modern Times Group MTG AB, the international media group, today
announced that its Viasat pay-TV broadcasting division has initiated a
major technical programme of counter-measures to eliminate the use of
illegal pirate smart cards to access its pay-TV channels in Scandinavia.
The indications, following today’s implementation of the technical
change to the encryption of the Viasat smart cards, are that a very high
proportion of the illegal cards have been successfully blocked.

Furthermore, Viasat has substantially increased the frequency with which
it changes the encryption codes for its broadcasts, resulting in a
dramatic reduction in the ability of pirate cardholders to view the
channels. Viasat is also considering launching the ultimate anti-piracy
measure in the near future – the replacement of the entire existing pay-
TV digital smart card stock. This latter measure would have the effect
of rendering all existing pirate cards useless. Viasat also continues to
hunt down and prosecute the criminal manufacturers and distributors of
pirate cards, and the number of successful raids against pirate
operators in Scandinavia has increased significantly in recent weeks.

At the same time, Viasat has launched a special offer to convert those
viewers holding pirate cards into legitimate Viasat subscribers. These
viewers have been misled by pirates into buying cards, which will be
worthless following the actions taken by Viasat. Consumers buying 12-
month subscriptions to Viasat’s premium pay-TV service, the Viasat Gold
package, before the end of Wednesday of this week will receive free
access to the ‘pay-per-view’ event of the year – the World Heavyweight
championship clash between Mike Tyson and Lennox Lewis.

For further information, please visit, email, or
Hans-Holger Albrecht, President & CEO tel: +46 (0) 8 562 000 50
Matthew Hooper, Investor & Press Relations tel: +44 (0) 20 7321 5010

Modern Times Group, MTG AB has six business areas: Viasat Broadcasting
(Free-to-air and pay-TV channels in nine countries, and the new media
businesses – teletext operations and the Everyday interactive TV,
internet and mobile portals), Radio (local and national networks in five
countries), Publishing (financial news and information services), Modern
Interactive (home shopping, e-commerce and logistics), SDI Media
(subtitling and dubbing services), and Modern Studios (content
production and rights library).

Modern Times Group MTG AB’s class A and B shares are listed on the
Stockholmsbörsen O-list (symbols: MTGA and MTGB) and ADRs are listed on
the NASDAQ National Market (symbol: MTGNY).

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