YES Purchases 75,000 Connection Boxes

YES co., the company that acquired the license for Television and
Internet broadcast via DBS satellites from the Israeli Ministry of
Communication, is preparing to start its satellite services.

Last week, YES signed an agreement with UK firm Pace Micro Technology to
supply of 75,000 set-top connection boxes for future users. It
seems that YES’ investors — including IP telephony monopoly holder Bezek
and the satellite firm Gilat — are optimistic, and their optimism has led
to the purchase of a relatively large quantity of connection boxes.

The price of the basic package is not yet determined, but it is expected to
be around half of the current connection price listed by Israeli cable
companies (around $40 per month). The mode of financing the set-top boxes
purchased from Pace Micro has also not been set, but it is
likely that the boxes will be rented to the customers for free.

YES co. expects to offer digital satellite services during the year
2000, probably starting in April. Following the launch of its satellite
services, the company will move towards tele-computerization services —
one-way Internet (the channel that returns via modem) and DBN services.

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