Rogers, Microsoft To Deploy Broadband Services in Canada

Rogers Communications Inc. and Microsoft Corp. will work together in a $400 million deal to accelerate deployment of interactive services to millions of Canadian homes.

The companies this week teamed up to provide customers with benefits from the
combination of software, Internet technology and broadband digital

Canadian users will receive digital services combining the interactivity of the Internet with interactive video and audio programming and enhanced broadcast services through set-top boxes. A
phased roll-out of services is to begin next year.

Advanced services will include content provided by Rogers, Microsoft and a variety of Canadian and other content suppliers. A Rogers branded e-mail product powered by MSN Hotmail will be offered, as well as other features based on Microsoft properties including Microsoft Passport, MSN
Search and MSNBC, as well as additional Canadian services.

Microsoft also will make an approximately US$400 million investment in Rogers to demonstrate its commitment to Rogers’ success in developing and rolling out new digital services.

The agreements will help Rogers to provide its customers with access to a wider range of Internet and television services over its broadband network. Rogers currently runs a cable network in North America with two-way capability covering 89 percent of the 2.8 million homes it passes.

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