NBC Universal and News Corp. Announce Deal with Internet Leaders AOL, MSN, MySpace And Yahoo! to Create a Premium Online Video Site with Unprecedented Reach

    Charter Advertisers, Including Cadbury Schweppes, Cisco, Esurance, Intel
and General Motors, Will Now Reach 96% of U.S. Internet Audience Through This
Groundbreaking Venture

    New Site Will Feature Thousands of Hours of Top Video for Consumers

    NEW YORK, March 22 /CNW/ - News Corporation and NBC Universal will launch
the largest Internet video distribution network ever assembled with the most
sought-after content from television and film, it was announced today by Jeff
Zucker, President and Chief Executive Officer, NBC Universal and Peter
Chernin, President and Chief Operating Officer, News Corporation. The
video-rich site will debut this summer with thousands of hours of full-length
programming, movies and clips, representing premium content from at least a
dozen networks and two major film studios.

    AOL, MSN, MySpace and Yahoo! will be the new site's initial distribution
partners. Their users, who represent 96 percent of the monthly U.S. unique
users on the Internet, will have unlimited access to the site's vast library
of content. This media alliance will offer consumers free long- and short-form
video and create a compelling platform for advertisers, targeting the rapidly
growing audience of online video consumers. Charter advertisers include
Cadbury Schweppes, Cisco, Esurance, Intel and General Motors.

    "This is a game changer for Internet video," said Peter Chernin,
President and Chief Operating Officer of News Corporation. "We'll have access
to just about the entire U.S. Internet audience at launch. And for the first
time, consumers will get what they want -- professionally produced video
delivered on the sites where they live. We're excited about the potential for
this alliance and we're looking forward to working with any content provider
or distributor who wants to take advantage of this extraordinary opportunity."

    "Anyone who believes in the value of ubiquitous distribution will find
this announcement incredibly exciting," said Jeff Zucker, President and CEO of
NBC Universal. "This venture supercharges our distribution of protected,
quality content to fans everywhere. Consumers get a hugely attractive
aggregation of a wide range of content, and marketers get a novel way to
connect with a large and highly engaged audience."

    At launch, full episodes and clips from current hit shows, including
Heroes, 24, House, My Name Is Earl, Saturday Night Live, Friday Night Lights,
The Riches, 30 Rock, The Simpsons, The Tonight Show, Prison Break, Are You
Smarter than a 5th Grader and Top Chef, plus hits from the studios' vast
television libraries, will be available free, on an ad-supported basis, within
a rich consumer experience featuring personalized video playlists, mashups,
online communities and video search. Plus, the extensive programming lineup
will include fan favorite films like Borat, Little Miss Sunshine, Devil Wears
Prada, The Bourne Identity and Bourne Supremacy with bonus materials and movie
trailers. Post-launch, plans will be considered for acquiring additional
content as well as producing and licensing original programming for the new
site's audience.

    Its launch distribution partners will provide the biggest potential reach
of any player on the Internet. Moreover, the new site will actively seek
agreements with a variety of additional distribution partners.

    "This new venture is further proof that the Internet is now a
full-fledged entertainment medium, and we are delighted to serve as a major
online distribution partner for the quality content produced by these media
powerhouses, as well as a provider of strategic services to the new venture,"
said Randy Falco, Chairman and Chief Executive Officer, AOL.

    "This partnership is completely aligned with our continued investment in
video on MSN and will allow hundreds of millions of our consumers to tune into
a vast library of high-quality, safe and legal online video," said Kevin
Johnson, President, Platform and Services Division, Microsoft. "Our alliance
proves that you can deliver quality online video entertainment and protect
intellectual property and copyright at the same time. We look forward to
working together to explore additional opportunities to distribute this
content across other Microsoft services and devices."

    "By delivering the new site's content to our more than 65 million users,
we can build on MySpace's position as a leading destination for online video,
and enable content creators to tap into the power of social networking," said
Peter Levinsohn, President of Fox Interactive Media. "The ability to embed
video clips within over 160 million profile pages will empower members of the
MySpace community to view, share and truly interact with some of the
entertainment world's most popular content."

    "We are excited to be a part of this landmark partnership that connects
people to the content they care about. As the most visited site in the U.S.,
this deal gives Yahoo!'s users unprecedented access to their favorite shows
and offers them engaging content in a premium video format," said Terry Semel,
Chairman and Chief Executive Officer, Yahoo! Inc. "We believe that this
relationship underscores Yahoo!'s respect for content owners and copyrights
and positions us as one of the premier distribution sites on the Web for
entertainment programming."

    Each distribution partner will feature the site's content in an embedded
player customized with a look and feel consistent with each site, making the
offering organic to each destination. The new company will offer innovative
advertising sales propositions by being able to sell cross-platform -- on-air
and on-line. Post-launch, sites affiliated with founding companies, including
iVillage and IGN, will also have the opportunity to become distribution

    The new company will be located in New York and Los Angeles. A
transitional management team led by NBC Universal's Chief Digital Officer
George Kliavkoff, along with an experienced group of executives from NBC
Universal and News Corporation, will work together to launch the site. The
company's permanent management will be announced shortly, along with branding
details and additional advertising partners. Each company will devote a
significant marketing and promotional budget to the new site's launch.

    News Corporation and NBC Universal are creating this strategic alliance
at a time when Internet users and advertisers are embracing online video as
never before. In January, there were 123 million unique video streamers and
downloaders (comScore Video Metrix). In 2005, video streams totaled nearly 18
billion, and that amount is expected to triple by 2010 (AccuStream iMedia
Research, 2006). And research firm eMarketer estimates $410 million was spent
on online video advertising in 2006, an amount that is expected to almost
double this year.

    About News Corporation

    News Corporation (NYSE:   NWS, NWS.A; ASX: NWS, NWSLV) had total assets as
of December 31, 2006 of approximately US$59 billion and total annual revenues
of approximately US$27 billion. News Corporation is a diversified
international media and entertainment company with operations in eight
industry segments: filmed entertainment; television; cable network
programming; direct broadcast satellite television; magazines and inserts;
newspapers; book publishing; and other. The activities of News Corporation are
conducted principally in the United States, Continental Europe, the United
Kingdom, Australia, Asia and the Pacific Basin.

    About NBC Universal

    NBC Universal is one of the world's leading media and entertainment
companies in the development, production, and marketing of entertainment,
news, and information to a global audience. Formed in May 2004 through the
combining of NBC and Vivendi Universal Entertainment, NBC Universal owns and
operates a valuable portfolio of news and entertainment networks, a premier
motion picture company, significant television production operations, a
leading television stations group, and world-renowned theme parks. NBC
Universal is 80% owned by General Electric and 20% owned by Vivendi.

    About AOL

    AOL is a global Web services company that operates some of the most
popular Web destinations, offers a comprehensive suite of free software and
services, runs the country's largest Internet access business, and provides a
full set of advertising solutions. A majority-owned subsidiary of Time Warner
Inc. (NYSE:  TWX), AOL LLC is based in Dulles, Virginia. AOL and its
subsidiaries also have operations in Europe, Canada and Asia. Learn more at

    About MSN and Windows Live

    MSN(R) attracts more than 465 million unique users worldwide per month.
With localized versions available globally in 42 markets and 21 languages, MSN
is a world leader in delivering compelling programmed content experiences to
consumers and online advertising opportunities to businesses worldwide.
Windows Live, a new set of personal Internet services and software, is
designed to bring together in one place all the relationships, information and
interests people care about most, with enhanced safety and security features
across their PC, devices and the Web. MSN and Windows Live will be offered
alongside each other as complementary services.

    About MySpace

    MySpace, a unit of Fox Interactive Media Inc., is the premier lifestyle
portal for connecting with friends, discovering popular culture, and making a
positive impact on the world. By integrating web profiles, blogs, instant
messaging, e-mail, music streaming, music videos, photo galleries, classified
listings, events, groups, college communities, and member forums, MySpace has
created a connected community. As the second ranked web domain in terms of
page views(*), MySpace is the most widely used and highly regarded site of its
kind and is committed to providing the highest quality member experience.
MySpace will continue to innovate with new features that allow its members to
express their creativity and share their lives, both online and off. MySpace's
international network includes localized community sites in the United States,
the United Kingdom, Japan, France, Germany, Australia, Ireland, Spain, Italy,
Canada, and New Zealand.

    About Yahoo!

    Yahoo! Inc. is a leading global Internet brand and one of the most
trafficked Internet destinations worldwide. Yahoo!'s mission is to connect
people to their passions, their communities and the world's knowledge. Yahoo!
Is headquartered in Sunnyvale, California.

For further information:

For further information: Media Relations: For NBC Universal Cory
Shields, 212-664-6999 cory.shields@nbcuni.com or Kathy Kelly-Brown,
212-664-3457 kathy.kelly-brown@nbcuni.com or Amy Zelvin, 212-664-7436
amy.zelvin@nbcuni.com or For News Corp. Teri Everett, 310-369-2929
teverett@newscorp.com or Andrew Butcher, 212-852-7070 abutcher@newscorp.com or
For AOL Anne Bentley, 703-265-2825 annebent@aol.com or For MSN Adam Sohn,
425-703-3276 adamso@microsoft.com or Rapid Response Team, Waggener Edstrom
Worldwide 503-443-7070 rrt@waggeneredstrom.com or For MySpace Fox Interactive
Media Ann Burkart, 310-969-7220 Ann.burkart@fox.com or MySpace Dani Dudeck,
ddudeck@myspace.com or For Yahoo! Amy Gardner, 310-907-2721

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