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Technology Stocks : ZORAN jpeg/dvd moguls

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To: DiViT who wrote (1145)2/17/1998 8:18:00 AM
From: coopie  Read Replies (1) of 1486
 
Zoran Announces Motion Compensation Licensing
Agreements With 10 Industry-Leading Graphics
Accelerator Companies

Combination of Zoran's Motion Compensation Hardware Core and
SoftDVD(tm) Offer OEMs The Industry's Highest Quality/Performance

SANTA CLARA, Calif.--(BUSINESS WIRE)--Feb. 17, 1998-- Zoran Corporation
(NASDAQ:ZRAN - news), the world's leading supplier of DVD solutions for the PC,
announced today licensing agreements with ten industry-leading graphic accelerator companies to
deliver high-performance DVD software decoding for the multimedia PC.

The industry's highest performance DVD decoding is achieved by leveraging the motion
compensation functionality of the graphics accelerators in conjunction with Zoran's SoftDVD --
the only shipping software-only DVD decoder.

The ten companies have licensed the high-quality, technology-independent, motion compensation
VLSI core from Zoran and are in the process of integrating it into their future graphics accelerator
products. In addition, Zoran is collaborating with several VGA chip manufacturers to adapt
SoftDVD to the VGA companies' independently-developed motion compensation designs.

The relationships with a significant number of graphic accelerator companies demonstrates
Zoran's strategic direction to spearhead the field of motion compensation for low-cost multimedia
DVD playback in the PC. By providing a field-proven motion compensation core and SoftDVD
software from a single vendor, Zoran dramatically shortens the time-to-market for graphics
companies and PC OEMs.

''We are very excited to announce such a strong line-up of partners,'' said Dr. Levy Gerzberg,
President & CEO of Zoran Corporation. ''We are committed to working with all of the leading
graphics chip makers to ensure that SoftDVD becomes the industry standard for software-based
DVD playback on PCs.

''The combination of our powerful motion compensation hardware core and SoftDVD decoder
provides our customers with a superior video subsystem. The fact that the most prominent
graphics companies have chosen to work with Zoran demonstrates the price-performance
leadership of SoftDVD, as well as our continued industry leadership in audio and video
compression technology.''

SoftDVD is already being used by leading PC OEMs, including Compaq, Hewlett Packard and
others. Zoran's SoftDVD Navigator, a component of SoftDVD is also being used by IBM.

When using motion compensation hardware and SoftDVD, manufacturers can expect video
frame-rate performance improvements of 30% to 40%, resulting in much better video picture
quality over standard all-software solutions. Future enhancements to both Zoran's and its
partners' technologies are expected to further increase video performance.

Ten companies have licensed Zoran's motion compensation core. The following comments are
from some of the licensees:

IX MICRO

''Price point will be key to wide adoption of computer-based DVD video playback,'' said
Christopher Knight, IXMICRO Vice President of Graphics Marketing. ''A software-only
solution is necessary to deliver the magic price point that will drive universal consumer
acceptance.

''Zoran's VLSI core technology and SoftDVD promise high-quality software playback. With
them, IXMICRO will be able to offer a most cost-effective access to high frame-rate DVD
playback as an integrated component in our graphics hardware. We are confident that by
partnering with Zoran Corporation we are working with the market leader in DVD delivery
technologies.''

NVIDIA

''NVIDIA's leading-edge 3D graphics processors are already making a noticeable impact in the
marketplace,'' said Dan Vivoli, Vice President of Product Marketing at NVIDIA. ''Zoran's
SoftDVD and motion compensation technology are key developments for the multimedia
industry.''

Silicon Motion

''Silicon Motion believes that DVD will be a 'must have' feature for the next generation of mobile
PCs,'' said Tony Man, Vice President of Marketing and Sales at Silicon Motion. ''Zoran's
SoftDVD and motion compensation core allows us to offer solutions with the best
price/performance for the mobile PC market.''

Several companies are collaborating with Zoran to bring SoftDVD support to their future
graphics accelerators with motion compensation. The following comments are from some of them:

ATI Technologies (TSE:ATY - news)

''ATI was first to market with a graphics accelerator featuring motion compensation,'' said Henry
Quan, Vice President of Marketing at ATI Technologies. ''We continue to enjoy a fruitful
working relationship with Zoran as we bring leading-edge software-based DVD playback to
PCs.''

Fujitsu

''We have adopted Zoran's SoftDVD to be a part of our future DVD playback products,'' said
Al Jauco, Director, Software/Hardware Engineering 3D Multimedia Products at Fujitsu. ''The
combination of Zoran's SoftDVD and our upcoming technology will provide the high-quality,
sophisticated video needed on the PC.''

Rendition

''Rendition's 3D graphics performance set an industry standard for integration and
multi-functionality that remains unmatched,'' said John Zucker, CEO of Rendition, Inc.
''SoftDVD enables us to add a very economical, yet high-performance, DVD playback solution
to power-hungry PC gamers.''

S3 (NASDAQ:SIII - news)

''As the world's largest supplier of graphics, video and multimedia accelerators, S3 has
developed an in-depth understanding of partitioning system resources to maximize performance
and minimize cost,'' said Michelle Belusar, Product Marketing Manager of S3.

''By combining our multimedia products featuring DVD acceleration with increasing CPU
performance and DVD software playback from Zoran, S3 delivers an optimal solution for
next-generation DVD applications.''

Zoran's process-independent motion compensation core uses less than 5,000 gates. It is one of
several low gate-count, technology-independent core products available for licensing from Zoran.

These cores have been successfully integrated into the silicon of major OEMs. Other Zoran cores
include MPEG2, AC-3 and NTSC/PAL Video Encoder. All Zoran cores, including the motion
compensation core, are available immediately.

SoftDVD, a key component of Zoran's DVD product family, is a complete software application
program which enables PCs to play DVD content at very low cost. In addition to supporting full
resolution MPEG-2 video and Dolby Digital and Dolby Pro Logic audio playback for
high-quality surround sound, SoftDVD also includes DVD navigation, a graphical user interface,
CSS copy protection, and 3D audio capabilities.

SoftDVD is available for evaluation by qualified OEMs. Zoran also offers a high-performance full
hardware DVD solution with Zoran's advanced Vaddis(tm) decoder and SoftDVD navigation.

About Zoran

Zoran Corporation develops and markets integrated circuits, integrated circuit cores and software
for digital video and audio applications, enabled by compression, for the PC and consumer
multimedia markets. Zoran's product lines include JPEG codecs, MPEG and DVD decoders,
Dolby Digital and MPEG audio decoders, real-time Video CD and DVD software for the PC,
and VLSI cores.

The company's software is bundled by PC and graphic system manufacturers for software-only
or hardware-assisted Video CD, DVD and JPEG compressed video playback on the PC.
Current applications for Zoran IC products include professional and consumer video editing
systems, filmless digital cameras, PC-based or stand-alone Video CD systems and DVD players,
and digital audio systems.

Zoran is headquartered in Santa Clara, California with additional operations in Haifa, Israel;
Toronto, Canada; and Tokyo, Japan. Zoran's products and technologies are used by many of the
world's largest PC, audio/video boards and home entertainment system manufacturers For more
information about Zoran call 408/919-4111 or contact the website at www.zoran.com.

SoftDVD, Vaddis are trademarks of Zoran Corporation. Dolby Digital, Dolby Pro Logic are
trademarks of Dolby Laboratories. MMX is a trademark of Intel Corporation.

Note: Any statements in this press release that may be considered forward-looking statements
are subject to risks and uncertainties that could cause actual results to differ materially. Actual
results may differ from such forward-looking statements due to risk factors discussed in periodic
reports filed by the Company with the Securities and Exchange Commission which the Company
urges investors to consider.

Contact:

Zoran
Tanya Del Vecchio, 408/919-4111
tanya@zoran.com
www.zoran.com
or
Virtual Public Relations
Carey Mitchell, 650/369-7833
carey@virtualpr.com
or
Financial Relations Board
Hannah Bruce, 415/986-1591
hbb@sf.frbd.com

More Quotes
and News:
ATI Technologies Inc (Toronto:ATY.TO - news)
S3 Inc (Nasdaq:SIII - news)
Zoran Corp (Nasdaq:ZRAN - news)
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