Press Release

Entropic Communication’s c.LINK Broadband Access Technology Selected by CHANGHONG for China Ethernet-over-Coax Market

BEIJING (CHINA CONTENT BROADCASTING NETWORK – CCBN), March 22, 2012Entropic Communications, Inc. (NASDAQ: ENTR), a leading provider of silicon and software solutions to enable connected home entertainment, announced today it has collaborated with CHANGHONG, a top regional supplier to Chinese Multiple System Operators (MSOs), to bring next generation broadband access video and broadband services to the Chinese multi-dwelling unit (MDU) market. CHANGHONG will build on its reputation for having strong research and development capabilities and delivering quality service, by providing Ethernet-over-Coax (EoC) access equipment – powered by Entropic’s c.LINK® Broadband Access silicon – to offer television, broadband and new IP-based video services to MDUs on the existing coaxial cable.

The two organizations entered into a collaborative business arrangement whereby both parties will partner to produce and promote products for EoC applications in China using Entropic’s c.LINK technology. CHANGHONG specifically selected Entropic’s c.LINK Broadband Access solution based on its field-proven MoCA® (Multimedia over Coax) silicon and cost-competitiveness. Further, the c.LINK solution is considered an advanced technology for the China EoC market, as it is a high Radio Frequency (RF) implementation—making it ideal for Multiple System Operators (MSOs) who are interested in a more robust system that can easily overcome bandwidth challenges related to interference and latency by providing superior performance.

“In the FTTB environment, Entropic’s c.LINK solution has better advantages and is an ideal fit for future demand on multi-services in the broadcasting industry. We look forward to continuing to build our relationship to develop new products for meeting the demands of the China market,” said Mr. Jia HuiDong, vice general manager, CHANGHONG. “By leveraging Entropic’s c.LINK solution, we gain a high RF implementation, offering greater service robustness and guaranteed throughput, as compared to other access technologies. Additionally, the high RF capabilities enable co-existence with legacy DOCSIS-based or video services residing on the coax – which was a core requirement for us.”

As a high RF EoC application, Entropic’s c.LINK Broadband Access solution easily allows MSOs to upgrade their networks for bi-directional communication as it can coexist with other services on the same coaxial cable, demonstrate lower vulnerabilities to noise and interference, and is scalable to add more channels to accommodate bandwidth demands. The solution will interoperate with earlier generation c.LINK technologies, and supports core IP-based applications, such as IPTV, voice over IP (VoIP) and web traffic, among others. The single-chip solution is comprised of the EN3011 for the Network Controller and EN3230 for the Customer Premise Equipment (CPE.)

“Our solution in combination with CHANGHONG’s product allows for broadband service to be delivered to China MDU’s where only a cable broadband infrastructure exists. Based on CHANGHONG’s strong research and development capabilities and marketing strengths, we believe that this cooperation will encompass broad areas and create a win-win for both companies,” said Tom Luan, vice president and general manager, China operations, Entropic Communications. “We are committed to enabling excellence in the high RF EoC market, and will continue to evolve and enhance our c.LINK platform to continuously meet the growing bandwidth demands put on MSOs networks.”

Experience CHANGHONG’s EoC solution powered by Entropic Communications’ silicon at CCBN, March 21-23, 2012:

  • CHANGHONG will demonstrate Entropic’s c.LINK Broadband Access solution at CCBN – Booth # E1A02.
  • Entropic will be hosting private demonstration meetings—by appointment only—during CCBN. During these sessions, visitors will have the exclusive opportunity to meet with Entropic executives to share perspectives on the EoC and connected home entertainment market in China. For more information about Entropic at CCBN, or to schedule a private meeting with an executive at the show, please contact: Mr. Shidong Gao, director of Sales-China shidong.gao@entropic.com or +86-138-170-68087.

About CHANGHONG
Incorporated in 1958, CHANGHONG brand has nearly 60 years’ history and is entitled the No.1 best selling TV manufacturer in the Chinese market for last 17 years. Since adopting a “Three Coordinates Strategy” in industry development, CHANGHONG has been grown rapidly in three dimensions including industrial value chain, industrial patterns as well as business models, and has been advancing to become a content and service provider worldwide. The annual turnover hit about $10 billion in 2010 and the Company was honored as ‘China’s 500 most valuable brand’. Based on the independent innovation system, many united laboratories are established with the world leading enterprises; subsidiary companies spread to America, Australia, Southeast Asia and Europe; products and service have reached over 100 countries and regions in the world.

About Entropic Communications
Entropic Communications, Inc. (NASDAQ:ENTR) is a leading fabless semiconductor company that is engineering the future of connected home networking and entertainment by providing next-generation silicon and software technologies to the world's leading cable, telco and satellite service providers, OEMs and consumer electronics manufacturers. As a co-founder of MoCA (Multimedia over Coax Alliance), Entropic pioneered and continues to evolve the way high-definition television-quality video and other multimedia and digital content such as movies, music, games and photos are brought into and delivered throughout the home. For more information, visit Entropic at http://www.entropic.com/.

Forward-Looking Statements

Statements in this press release that are not strictly historical in nature constitute "forward-looking statements" Within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include, but are not limited to, statements regarding the expected benefits of Entropic's Broadband Access solutions, Entropic's leadership in providing MoCA enabled technology, and continued or future integration of technology into products of OEMs. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause Entropic's actual results to be materially different from historical results or from any results expressed or implied by such forward-looking statements. These factors include, but are not limited to, the effects of competition from alternative technologies; Entropic's dependence on a limited number of service providers and customers in China; the risk that the market for broadband access and EoC solutions in China may not develop as anticipated; risks associated with international operations and sales; the effect of intellectual property rights claims; and other factors discussed in the "Risk Factors" section of Entropic's Quarterly Report on Form 10-K for the year ended December 31, 2011. All forward-looking statements are qualified in their entirety by this cautionary statement. Entropic is providing this information as of the date of this release and does not undertake any obligation to update any forward-looking statements contained in this release as a result of new information, future events or otherwise.


Investor Contact:
Debra Hart
Director, Investor Relations
+1.858.768.3852
debra.hart@entropic.com

Media Contacts:
Robbin Lynn
Marketing Communications Manager
+1.858.768.3673
robbin.lynn@entropic.com

Chris Fallon
Finn Partners for Entropic Communications
+1.917.974.1667
chris@finnpartners.com