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Telecom Italia Mobile Moves Rapidly From Trials to Commercial Service with Thomson

Thomson, (Euronext Paris: 18453; NYSE: TMS) following a highly successful trial around the Torino Winter Olympic Games early in 2006, announced today it has signed a contract with Telecom Italia allowing the operator to move immediately to a commercial launch using equipment from Grass Valley, an activity within Thomson.

"The next challenge for the electronic media industry will be to deliver rich content to mobile devices, and that is why so many are turning to Thomson ", commented Marc Valentin, president of the Grass Valley business within Thomson. " Because the speed with which this new industry is developing means that the service providers need a technology partner they can rely on to provide comprehensive, integrated technology platforms."

The Winter Olympics having proven to be successful, Telecom Italia decided to move forward and to further develop its agreement with Grass Valley for the delivery and systems management technology for a full commercial rollout of their mobile offering. The new service went on air in June 2006, broadcasting a number of channels from Telecom Italia, plus coverage of Serie A and Champions League football.

As prime contractor for the project, Grass Valley provided the complete head-end with Argos scrambling H.264 encoders, Opal DVB-H encapsulators and a Lazulite network management system. The SmartVision™ Mobility platform manages the electronic service guide, conditional access, and content and interactive services, and a SmartCast Mobility platform provides overall system management. A Grass Valley Cobalt DVB-H data analyser is used to check signal parameters.

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About SmartVision TV

The SmartVision TV platform allows service providers to centralise system administration and supervision. Using dedicated Web portals, the SmartVision TV platform enables users to manage content and service providers, support digital rights management for both live and on-demand programs, and to flexibly manage billing features. It addresses key quality of-service standards through inbuilt bandwidth control and regulation.

Certain statements in this press release, including any discussion of management expectations for future periods, constitute "forward-looking statements" within the meaning of the "safe harbor" of the U.S. Private Securities Litigation Reform Act of 1995. Such forward-looking statements are based on management's current expectations and beliefs and are subject to a number of factors and uncertainties that could cause actual results to differ materially from the future results expressed or implied by the forward-looking statements due to changes in global economic and business conditions, consumer electronics markets, and regulatory factors. More detailed information on the potential factors that could affect the financial results of Thomson is contained in Thomson's filings with the U.S. Securities and Exchange Commission.

About Thomson — World leader in digital video technologies

Thomson (Euronext Paris: 18453; NYSE: TMS) provides technology, services, and systems to help its Media & Entertainment clients - content creators, content distributors and users of its technology - realize their business goals and optimize their performance in a rapidly changing technology environment. The Group is the preferred partner to the Media & Entertainment Industries through its Technicolor, Grass Valley, RCA, and Thomson brands. For more information: http://www.thomson.net.

+-------------------------+-------------------+--------------------+ |Press Relations | | | +-------------------------+-------------------+--------------------+ |Martine Esquirou | +33 1 41 86 58 51|martine.esquirou@tho| | | |mson.net | +-------------------------+-------------------+--------------------+ |Marine Boulot | +33 1 41 86 55 97|marine.boulot@thomso| | | |n.net | +-------------------------+-------------------+--------------------+ | Laura Barber-Miller (US)| +1 503 526 7904 |laura.barber-miller@| | | |thomson.net | +-------------------------+-------------------+--------------------+ |Investor Relations | | | +-------------------------+-------------------+--------------------+ |Marie Boidot | +33 1 41 86 51 00|marie.boidot@thomson| | | |.net | +-------------------------+-------------------+--------------------+ |Laurent Sfaxi | +33 1 41 86 58 83|laurent.sfaxi@thomso| | | |n.net | +-------------------------+-------------------+--------------------+

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SOURCE:  THOMSON

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