DIVXNETWORKS ANNOUNCES PARTNERSHIP WITH CYBERLINK

DivX Pro Video Technology To Be Bundled With Complete Line Of CyberLink Products Sold In Retail And Online Outlets

DivXNetworks, the company that created the revolutionary, patent -pending DivX video compression technology, and CyberLink, a world leader in digital video and audio solutions, today announced a partnership to bring the power of professional video creation to worldwide consumers. Under the agreement, CyberLink has licensed DivX Pro(TM) video technology to be included in all retail and online versions of its multimedia software products, including PowerDVD, PowerDVD Creator, PowerDVD Copy, PowerDirector, PowerProducer and Power2Go and more.


"CyberLink, a true innovator in the field of digital video software, has long been a valued DivXNetworks partner," said DivXNetworks' Senior Sales Manager Chester Ng. "By bundling DivX Pro in its complete product line, CyberLink will enable all its users to create the highest quality digital video files at sizes small enough to be burned to a standard data CD and easily played back on over 100 different brands of DivX Certified DVD players from major manufacturers, more than 20 million of which will ship worldwide by the end of 2004."

DivX is among the world's most popular video technologies with over 160 million global users. DivX Pro, the professional version of the video technology, enables unsurpassed visual quality and compression through proprietary encoding tools and techniques including bi -directional encoding, DivX Elektrocompressiongraph(TM) (EKG) technology, psychovisual modeling, source pre -processing and more. All DivX Certified consumer electronics devices, including DVD players from partners including Philips, Samsung, JVC and more, support the full playback of DivX video files created using CyberLink software products.

"DivX Pro is one of the most popular video formats due to its outstanding video quality and performance," said CyberLink's CEO Alice C. Chang. "We are glad to work with DivXNetworks to provide this video format in CyberLink's line of multimedia software products."

To learn more about licensing DivX Pro software, visit www.divxnetworks.com/solutions/licensing.php. For more information on CyberLink, see www.gocyberlink.com.

About CyberLink
Founded in 1995, CyberLink Corp is a world leader and pioneer in bringing advanced digital video and audio software to the market. Producer of the world's leading DVD software player, PowerDVD, CyberLink also delivers solutions that include video editing and recording, on -line training and distance learning solutions, digital media presentation and delivery, and unique talking head design tools for the web, using advanced MPEG -4 technologies. With customers spanning from multinational corporations, to small/medium sized businesses and power users to home users, CyberLink has enjoyed rapid growth and consistent profitability leading to a record breaking IPO in October of 2000, on the Taiwan Over The Counter Exchange (OTC:5203 - News). To keep up with market demands, CyberLink has operations in North America, Europe and the Asia Pacific region including Japan. CyberLink's worldwide headquarters are in Taipei, and its Web site is located at www.gocyberlink.com.

About DivXNetworks
DivXNetworks is a consumer -focused video technology company positioned at the centre of multimedia convergence. The company's core offering is the DivX ® video codec, the world's most popular MPEG -4 compatible video compression technology with over 100 million users worldwide. Often called "the MP3 of video," the patent -pending DivX video technology offers DVD -quality at 10 times greater compression than MPEG -2 files, enabling full length films to easily fit on a CD or be delivered over broadband connections. DivX video technology powers a range of applications that span the convergence value chain, from a secure IP -based video -on -demand solution to next -generation consumer electronics products and video software applications. DivXNetworks is headquartered in San Diego, California, with satellite offices in Los Angeles and San Jose, CA, Taipei, Taiwan, and Dortmund, Germany. For more information, visit http://www.divxnetworks.com.

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