Falcon Cable will deploy what is known in the Cable Industry as a Hybrid Fiber Coax (HFC) system. All analog and digital TV and radio signals along with data and control signals are transported to the neighborhood first by fiber optic cables, and then converted to coaxial cable for transportation down the last mile in a format compatible for television, data or radio sets. This is also known as fiber to the feeder or fiber to the neighborhood design.

Falcon has designed this new fiber system based on a "Node" configuration. Each node is a cluster of approximately 500 homes fed from a single optical receiver. The optical receiver converts light signal to the normal radio frequency signal that a television set will use. These signals are then transported to the consumer through coaxial cables.

The rebuilt cable system will have a minimum bandwidth of 750 MHZ and will be two-way active on completion of the rebuild. One of the first applications of the two-way technology is to allow customers to order Pay-Per-View movies and events with the press of a button on their remote control unit. This is known as Impulse Pay-Per-View and allows the purchase without having to make a telephone call. By having a two-way system in place, the move to Internet applications will be much easier.

Falcon Cable will upgrade the cable in the system to pass a minimum of 750 MHZ from the headend to the customer's television receiver. In the event any cable or portion of cable does not pass 750 MHZ, it will be replaced with new cable capable of passing 750 MHZ. During the Rebuild/Upgrade of the cable system serving Morgan Hill, Falcon Cable will also replace all active and passive system components (Amplifiers, Line Extenders, Line Splitters and couplers, Taps, etc.) to pass a minimum of 750 MHZ.

Prior to releasing a rebuilt or upgraded portion of the system for customer installation or activity, Falcon will test the end of each feeder line to insure the system is passing a full spectrum of signals available on the cable system without distortion or degradation of picture quality.

At the time Falcon Cable installs active customers to the rebuilt and upgraded system, Falcon Cable will attempt to make contact with each of those customers to insure the installed drop material is capable of passing the entire spectrum of signals available to customers. This is a standard Falcon Cable practice is know as "Clear & Reliable Pictures".

During the life of the franchise, Falcon Cable will replace any system component or cable that fails to pass 750 MHZ at any time.