China Digital TV Announces Strategic Partnership Agreement with Beijing Gehua

China Digital TV Announces Strategic Partnership Agreement with Beijing Gehua

PR Newswire

BEIJING, April 16, 2014

BEIJING, April 16, 2014 /PRNewswire/ -- China Digital TV Holding Co., Ltd.
(NYSE: STV) ("China Digital TV" or the "Company"), the leading provider of
conditional access ("CA") systems and comprehensive services to China's
expanding digital television market, today announced that it has reached an
agreement with Beijing Gehua CATV Network Co Ltd ("Gehua") to establish a
strategic partnership on cloud computing technology and related businesses, to
cooperate on overseas business expansion, and to enter into an equity
investment agreement.

Pursuant to the agreement, Gehua will make an equity investment in the Company
and hold a 10% stake in Cyber Cloud, a subsidiary of China Digital TV.
Meanwhile, China Digital TV will help Gehua build and improve its full media
cloud computing platform. As part of this effort the two sides will aim to
integrate the content from various media, cross-platform applications,
streaming application platforms, cloud gaming and other relevant service
offerings. Leveraging this cloud-computing platform, the two companies will
integrate content resources and establish a cloud-based content platform. The
cooperation will help improve user experience in the areas of gaming, somatic
gaming, education and travel applications. In addition, China Digital TV and
Gehua will also strengthen cooperation for multi-end interaction, mobile
business and other key areas that will allow them to explore further mobile
Internet business opportunities.

The two sides will also jointly develop their opportunities overseas by
leveraging their respective advantages in the areas of technology, operations
and management.

"We are delighted to establish this strategic partnership with Gehua and
leverage our mutual strengths to provide users a superior cloud computing
platform," said Mr. Zhu Jianhua, China Digital TV's Chairman and CEO. "As
China's leading television cable operator, we believe that Gehua's significant
role in the development of interactive digital and high-definition TV make it
an ideal partner for us. Cloud computing is core to China Digital TV's
long-term development strategy and this agreement with Gehua marks a major
step forward in this area. We believe the partnership with Gehua will help us
elevate our cloud computing offer to a new level and further strengthen our TV
services."

About China Digital TV

Founded in 2004, China Digital TV is the leading provider of CA systems and
comprehensive services to China's expanding digital television market. CA
systems enable television network operators to manage the delivery of
customized content and services to their subscribers. China Digital TV
conducts substantially all of its business through its PRC subsidiary, Beijing
Super TV Co., Ltd., and its affiliate, Beijing Novel-Super Digital TV
Technology Co., Ltd., as well as subsidiaries of its affiliate.

For more information please visit the Investor Relations section of China
Digital TV's website at http://ir.chinadtv.cn.

About Beijing Gehua CATV Network Co Ltd

Approved by Beijing Municipal Peoples Government, Beijing Gehua CATV Network
Co Ltd (BGCTV) was founded in September 1999. BGCTV is principally engaged in
the development, construction, operation, management and maintenance of cable
radio and television networks in Beijing. The Company primarily provides the
reception, relay and transmit of radio and television programs, the video on
demand, network information services, Internet access service based on cable
television network, value added service for Internet data transmission,
domestic VoIP service, and advertising design, production and publication via
cable television, etc. In 2001, BGCTV was listed at the Shanghai Stock
exchange (Stock code: 600037), which is China's first listed cable network
company. In addition, the Company is one of the earliest pilot radio and
television enterprises to test three-network convergence and hi-tech
enterprise in Beijing as well. At present, BGCTV has over 5 million cable
television users, among which, 3.8 million users subscribe digitalized HD
two-way service.

Investor Contact:

In China:

Nan Hao
Investor Relations Manager
Tel: +86-10-6297-1199 x 9780
Email: ir@chinadtv.cn

Josh Gartner
Brunswick Group
Tel: +86-10-5960-8610
Email: chinadigital@brunswickgroup.com

In the U.S.:

Cindy Zheng
Brunswick Group
Tel: +1-212-333 3810
Email: chinadigital@brunswickgroup.com

SOURCE China Digital TV Holding Co., Ltd.

Website: http://ir.chinadtv.cn
 
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