Re Licence

Orca Interactive Ltd
25 January 2005



For Immediate Release



    Chunghwa Telecom Purchases Licenses from Orca Interactive to Expand Its
                 Commercial IPTV Service to 40,000 Subscribers



 Orca's RiGHTvTM Middleware Scales To Accommodate Additional 10,000 Subscribers
                 In One Of The World's Largest IPTV Deployments



RA'ANANA, Israel - January 25, 2005 - Orca Interactive (LSE: ORCA), a global
leader in the IPTV market, today announced that Chunghwa Telecom (CHT), the
largest operator of domestic and international telecom services with
approximately three million ADSL subscribers in Taiwan, has purchased an
additional 10,000 licenses of Orca's RiGHTvTM IPTV middleware to accommodate
growth in one of the world's largest multimedia on demand (MOD) deployments.

Orca Interactive has partnered with leading IPTV companies to provide an
end-to-end IPTV solution for CHT since its initial rollout. This is the second
expansion requested from Orca within less than six months, reflecting RiGHTv's
proven success in attracting new subscribers and generating revenues for CHT.
This brings the total number of Orca middleware licenses at CHT to 40,000.

With subscriber growth expected to reach 1.5 million users within five years,
the Telco-grade RiGHTv solution from Orca assures high-availability and
cost-effective scalability, enabling CHT to address this fast growing, emerging
market.

'Orca is honored to empower CHT with one of the largest IPTV solutions globally,
' said Alon Laor, VP, Worldwide Sales & Professional Services of Orca
Interactive. 'Today, no other commercial IPTV middleware is serving a subscriber
base of this magnitude. Following Orca's latest record-breaking benchmark test
of 500,000 users with HP - positioning RiGHTv as the leading Telco-grade
middleware platform in the IPTV industry - we are confident we will continue to
support CHT with their striking success.'

Orca's open-architecture IPTV middleware is integrated with Pace 4000 and IP420
set-top boxes, Alcatel Open Video server, Widevine security solution, and CHT's
billing and CRM systems. A variety of services including broadcast TV, video on
demand, and games on demand is offered, providing CHT with an end-to-end
solution combined of best of breed components.



About Orca Interactive

Orca Interactive (LSE:ORCA) is a leading provider of IPTV middleware solutions
to enable xDSL and FTTx operators to offer enhanced entertainment services such
as broadcast TV, video-on-demand and interactive services. Our applications
deliver compelling and differentiated services to maximize the revenue stream of
the operators. Orca's user-friendly, end-to-end applications enable delivery and
management of VOD, TV channels, EPG, NVOD, Pay-Per-View and e-commerce for
related merchandise. Orca Interactive has formed strategic partnerships with
Amino, BitBand, GooMe, ECI, HP, Kreatel, Microsoft, nCUBE, NDS, Nokia, Nortel
Networks, Optibase, Pace, Samsung, SeaChange and more. www.orcainteractive.com.



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Contact:
Orca Interactive                                                  [phone]
Haggai Barel

Financial Dynamics
James Melville-Ross / Cass Helstrip                               [phone]

Press contact:
INK Communications & Design for Orca Interactive
Tiffany Archambault                                               [phone] ext. 7
                                                                  [e-mail]




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