@Home Network Reports First Public Quarter Results

Subscriber Base Grows to 26,000

Marketable Homes Passed Increases to 2.7 Million

REDWOOD CITY, Calif., October 16, 1997 -- @Home Network (Nasdaq:ATHM) today reported revenues totaling $1.9 million for the third quarter ended September 30, 1997, an 87% increase over revenues of $1.0 million reported in the second quarter ended June 30, 1997. The net loss for the third quarter was $11.9 million, or $0.10 per share, compared to a net loss of $11.9 million, or $0.11 per share in the previous quarter. The Company completed its initial public offering of 10.3 million shares on July 11, 1997; as a result shares outstanding increased to 118.8 million at the end of the third quarter of 1997.

After one year of commercial availability, @Home now has 26,000 cable modem subscribers across the United States and Canada on a base of 2.7 million homes that have two-way upgraded plant. As announced on October 2, 1997, @Home expects to have access to approximately 50 million homes in North America as a result of its strategic alliance agreement with Cablevision to deliver the @Home high speed Internet service to key East Coast markets and the completion of certain other pending cable system acquisitions and partnerships by @Home's cable affiliates. In addition, @Home's fourth affiliate, InterMedia Partners, deployed the @Home service in Nashville, Tennessee raising the total number of launched
U.S. markets to 16.

Commenting on third quarter results, Tom Jermoluk, chairman, president and CEO of @Home Network, said, "@Home Network achieved its operational goals this quarter while continuing to grow its long term strategic opportunity. We were able to expand our potential distribution network by signing Cablevision while driving subscriptions to the @Home service. In addition, @Work gained momentum in the commercial ISP market installing nearly 200 accounts in 11 national markets including New York, Los Angeles and Washington DC."

Cash and short-term investments as of September 30, 1997 totaled $132.7 million, and included $101 million raised in @Home Network's successful 10.3 million share initial public offering on July 11, 1997. Capital expenditures in the third quarter of $7.8 million supported the growth in the infrastructure necessary to roll out @Home and @Work services. Depreciation and amortization was $2.1 million in the third quarter of 1997.

@Home Network distributes high-speed Internet services to consumers and businesses using its own network architecture and a variety of transport options centered on the cable industry's hybrid-fiber coaxial infrastructure. The cable connection provides users significant increases in speed over conventional Internet services and easy-to-use navigation. Leveraging the "always on" attributes of cable, @Home allows for unique multimedia applications that go beyond current Web experiences. Since its founding in May 1995, @Home Network has reached affiliate agreements with eight leading cable companies passing approximately 50 million homes in North America, including Tele-Communications, Inc., Comcast Corporation, Cox Communications, Cablevision Systems Corp., InterMedia Partners, Marcus Cable, Rogers Cablesystems Limited, and Shaw Communications.

Traded on Nasdaq under the symbol ATHM, @Home Network is based in Redwood City, California. Additional information about @Home Network is available on the Internet at http://www.home.net.

@Home Network, @Home, @Work and the @ logo are trademarks of @Home Network and may be registered in certain jurisdictions. All other brands and products are trademarks of their respective companies.

This press release contains forward-looking information within the meaning of Section 27A of the Securities Exchange Act of 1933 and Section 21E of the Securities Exchange Act of 1934, and is subject to the safe harbors created by those sections. These forward-looking statements include a statement related to the completion of certain pending cable system acquisitions and partnerships by the Company's cable affiliates which are outside the Company's control. Actual results may differ materially. The matters discussed in this press release also involve risks and uncertainties described from time to time in @Home's filings with the Securities and Exchange Commission (SEC). In particular, see "Risk Factors" in the Final Prospectus for the Company's initial public offering filed with the SEC on July 11, 1997. @Home assumes no obligation to update the information contained in this press release.