Cable & Wireless Optus and Excite@Home have formed a joint venture to deliver high-speed Internet services in Australia. The service will be marketed to consumers as 'Optus @Home'.

Under the terms of the agreement, Cable & Wireless Optus and Excite@Home will form a new company, At Home Network Australia. The joint venture company will develop and market an Australian version of Excite@Home's high-speed cable Internet service to the 2.2 million homes passed by the broadband Optus HFC cable.

@Home Network Australia will build on Cable & Wireless Optus' strong market presence, the Optus brand and Excite@Home's broadband Internet technology, portal, content, systems and operating expertise to create Australia's most exciting high-speed Internet service.

Chris Anderson, Chief Executive Cable & Wireless Optus, said the relationship would further strengthen Optus' position in the booming Australian Internet market.

He said it would particularly assist in the further exploitation of the HFC network to which Cable & Wireless Optus is currently connecting more than 7,000 customers each week.

"For Cable & Wireless Optus, the formation of @Home Network Australia means we are rapidly approaching the culmination of a long held vision - the delivery of multiple services - telephony, video and high speed data via our broadband network," said Mr Anderson.

"We are delighted to have Excite@Home as our partner. Its world leading services are unlike anything being offered in Australia today. We are looking forward to making them available to our customer base."

"Excite@Home is an international leader in Internet provision, integrated content and applications. It reaches more than 65 million homes around the world. The company currently services over 50% of the broadband market worldwide and has a market capitalisation of more than US $15 billion," Mr Anderson said.

John O'Farrell, Senior Vice President International of Excite@Home said that with six million Australians on the Internet, Australia is a growing market for high-speed cable Internet services and a tremendous next step in Excite@Home's international expansion.

"Cable & Wireless Optus impressed us with their clear understanding of the opportunity, their unique customer service and their determination to market aggressively. They are exactly the kind of partner we look for," Mr O'Farrell said.

Optus@Home subscribers will enjoy a huge range of custom broadband content and applications such as news, video-on-demand, CD-quality audio, high-speed games and software downloads, along with high speed, "always-on" access to the Internet.

The best elements of the Excite@Home product will be combined with high quality Australian content - developed by the joint venture company - to create a service that meets the unique needs of Australia's well-developed Internet customer base.

Excite@Home's proprietary network caching and replication technology, combined with its comprehensive approach to content will allow @Home Network Australia to deliver a powerful and unique service at an affordable price.

Backgrounder

About Cable & Wireless Optus

Cable & Wireless Optus is Australia's only fully integrated communications company - servicing more than three million customers each day. The company provides a broad range of communications services including mobile, national and long distance services, local telephony, business network services, Internet and satellite services and television.

Since commencing operations in 1992, Cable & Wireless Optus has constructed fixed, mobile and satellite networks, including central business district and suburban local access networks. These networks are valued at $7 billion and provide the company with an advanced technology platform capable of delivering integrated communications, information and entertainment services.

Cable & Wireless Optus is a member of the Cable & Wireless Group, a leader in global communications operating in more than 80 countries around the world.

About Excite@Home

Excite@Home (Nasdaq: ATHM) is a global media company based in Redwood City, Calif. Through the company's narrowband portal, Excite, and broadband services, @Home and @Work, the company uniquely offers consumers content and interactive services across both narrowband and broadband, and advertisers highly targeted marketing solutions across all platforms of delivery. Leveraging the high-speed, always-on attributes of cable, Excite@Home empowers unique multimedia applications that go beyond current Web experiences.

With the addition of Australia, Excite@Home now has broadband distribution partnerships in five countries. Excite@Home is the largest high speed Internet service provider in North America (United States and Canada). @Home Netherland, based in Amsterdam, launched its Dutch service in May. In April, Excite@Home also announced plans to form @Home Japan with Jupiter Telecommunications and Sumitomo Corporation.

For investor information about Excite@Home, please call stockholder services hotline at 1-888-924-9248. Our website address is: www.home.net or www.excite.com.

Brand recognition statistics quoted are from Frank N. Magid and Associates, Inc. (1/99).

Excite@Home, Excite, the @ball logo, and @Home are trademarks of At Home Corporation and may be registered in certain jurisdictions. All other brand and product names are trademarks of their respective owners.