Upbeat 2004 International CES Bodes Well for Shift to Digital and Future Industry Growth

International Consumer Electronics Show Breaks All Records

Las Vegas, Nev., January 11, 2004 - With thousands of new products and technologies announced this week in Las Vegas, the future of the digital lifestyle looks bright as global technology executives, buyers and media from around the world networked at the 2004 International Consumer Electronics Show (CES).

The 2004 International CES set records across the board with 129,328 technology executives visiting 2,491 companies in 1.38 million net square feet of exhibit space. Final attendance numbers will be posted this spring after review by a third -party auditor. By comparison, the 2003 International CES had 117,704 attendees and 2,230 companies in 1.25 million net square feet of exhibit space. With executives from more than 110 countries, international attendance grew to 18,050 industry professionals compared to 16,606 last year. CES continues to establish itself as the global marketplace for consumer technologies.

"The innovation, phenomenal products, convergence of technologies, people and excitement were unprecedented," said Gary Shapiro, president and CEO for the Consumer Electronics Association (CEA), the producer of the International CES. "While it may have been 'plastics' in the 1960s, this era's technology is consumer electronics as leaders from IT, cable, broadcasting, entertainment, education, transportation and government converged in Las Vegas for CES."

"The hotels were packed, the flights were full, and the exhibitors and attendees were thrilled," said Karen Chupka, vice president of events conferences for CEA. "We are delighted that CES is the world's leading event for technology."

Whether it was sleek and amazingly thin display technologies, imaging, mobile electronics, wireless, home networking or entertainment, the products on the CES show floor encompassed the latest in digital technologies, featuring a wide array of features at a range of price points to meet consumer demand.

Display technology was abundant across the show floor. Thin, flat, bigger LCD and plasma displays dominated hundreds of booths of not only traditional display manufacturers, but an increasing number of IT companies such as Dell and Epson. Epson showcased its Livingstation 57 -inch widescreen high -definition television, Samsung touted the world's largest LCD HDTV offering full 1920 by 1080 progressive scan resolution, and Philips made a splash with its Mirror TV featuring a video display that turns into a mirror when not in use.

Portability, connectivity and wireless technology were among the significant trends of the show. The capability of thousands of products across the show floor to interoperate with each other via wireless technology created one digital world under the roof of the convention center.

Wireless phones, PDAs and other data products were on display embedded with video displays, cameras and a proliferation of services such as e -mail capabilities, Web -browsing, instant messaging, gaming and streaming video. Nokia debuted its Nokia 3660 capable of capturing and sending still and video images. Archos launched the AV300 Cinema -to -Go, the industry's first personal, portable video player that can record and play back movies with stereo MP3 audio while also operating as a digital audio recorder and player, photo player and storage device. Panasonic showed its D -Snap camcorder, the world's smallest camcorder with no moving parts. Sony Ericsson showcased its Bluetooth music player HBM -30, a combination Bluetooth headset and MP3 player that lets users listen to digital audio while connected to a phone.

The networked home figured prominently at CES this year as more home owners demand access to content and home control features anywhere and at any time. Content now can be stored in the home PC or other products such as media servers and controlled by wireless or Web -enabled remotes. CES showcased this up and coming trend with a number of products such as CorAccess Systems' Amego handheld home remote which allows consumers to view and control all aspects of the home including lighting, theater, security and HVAC. Salton's Beyond Connected Home "Home Hub and Coffee Maker" provides instant weather, traffic and news on demand. And Rockford/Omnifi showed its AV Digital Media Streamer enabling consumers to stream high -quality video files stored on a PC to a home entertainment system.

Digital imaging technology had its largest presence on the show floor in history. The new Flash Forward TechZone showcased the latest digital cameras, printers, software and accessories. HP displayed its Scanjet 4670, an ultra -thin printer about the width of the spiral notebook. And Panasonic showed its Lumix camera, the industry's first four megapixel digital camera with 12x optical zoom.

The 2004 International CES also housed the world's largest mobile electronics tradeshow. In -car entertainment, two -way communications, satellite television, navigation and vehicle tracking were all prominent at CES. KVH Industries displayed its TracVision A5, an ultra -low profile antenna that brings digital satellite television to the automobile. Databahn showcased the Mobile Satellite Broadband Solution that delivers two -way capabilities, a T -1 broadband connection, voice -over IP and satellite television in a 26 -inch dish that mounts on top of the vehicle. In the realm of navigation, Sanyo Fisher showed off its M3 GPS mobility navigation/multimedia system. The product combines a DVD -based GPS guidance system with a fully functional DVD/CD player and navigation system.

More than 130 leaders from the federal and foreign governments attended the International CES, adding to the global flair of the event. Officials from the Federal Communications Commission, Federal Trade Commission and both the Senate and House of Representatives joined government technology officials from other countries including Germany, Korea and Japan at the International CES.

The top executives in consumer technology presented their visions for the industry's future with keynotes and addresses from:

* Best Buy's Brad Anderson
* Cablevision's Chuck Dolan
* Circuit City's Alan McCollough
* CompUSA's Larry Mondry
* Dell Computer's Michael Dell
* Discovery Communications' John Hendricks
* Time Warner Cable' Glenn Britt
ESPN's George Bodenheimer
* HDNet's Mark Cuban
* HP's Carly Fiorina
* Hughes Electronics' Eddy Hartenstein
* Intel's Paul Otellini
* Microsoft's Bill Gates
* Panasonic's Fumio Ohtsubo
* RadioShack's Leonard Roberts
* RealNetworks' Rob Glaser
* Sprint's Gary Forsee
* Tweeter's Jeffrey Stone
* Verizon's Ivan Seidenberg

"The momentum created here at CES this week will help carry the industry forward in 2004 as we begin gearing up for the 2005 International CES," said Chupka. "Already, 1,290 exhibitors have signed up for more than 1.27 million net square feet of space. We will continue to improve the show's infrastructure to support the growth of the International CES. By the 2005 International CES the Las Vegas monorail will be open, and CEA and Las Vegas officials already are planning how to make the 2005 show an even better experience."

The 2005 International CES runs January 6 -9 in Las Vegas, Nev.

About CEA:
The Consumer Electronics Association (CEA) is the preeminent trade association promoting growth in the consumer technology industry through technology policy, events, research, promotion and the fostering of business and strategic relationships. CEA represents more than 1,300 corporate members involved in the design, development, manufacturing, distribution and integration of audio, video, mobile electronics, wireless and landline communications, information technology, home networking, multimedia and accessory products, as well as related services that are sold through consumer channels. Combined, CEA's members account for more than $90 billion in annual sales. CEA's resources are
available online at www.CE.org, the definitive source for information about the consumer electronics industry.
CEA also sponsors and manages the International CES - Defining Tomorrow's Technology. All profits from CES are reinvested into industry services, including technical training and education, industry promotion, engineering standards development, market research and legislative advocacy.

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