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To: BillyG who wrote (27063)	12/23/1997 2:22:00 PM
From: DiViT	Respond to of 50808

Reissue PR's after downgrades, what a concept... First Consumer DVD Player Incorporating Zoran/FFM Vaddis DVD Decoder Shipping in Japan; Sharp Corporation's New DVD Player Available Now in Japan, Provides Advanced Features, Compact Size 12/23/97 Business Wire (Copyright (c) 1997, Business Wire) SANTA CLARA, Calif.--(BUSINESS WIRE)--December 23, 1997--Zoran Corporation (NASDAQ:ZRAN), the leading supplier of hardware and software solutions for audio and video applications enabled by compression, announced today that the first DVD player based upon its Vaddis integrated DVD decoder, Sharp Corporation's DV-S100, has begun shipping in Japan. Zoran's highly integrated Vaddis decoder offers the advanced feature set and flexibility which enabled Sharp Corporation to develop the industry's most robust and powerful DVD player. Zoran developed the Vaddis decoder in close cooperation with its alliance in Japan, FujiFilm Microdevices (FFM), a subsidiary of Fuji Photo Film Co. The collaboration between FFM and Zoran dates back to 1987 and has spanned ICs in applications ranging from digital still cameras, Dolby Digital audio decoders through MPEG 1 decoders and now DVD . "We are very excited to see the Sharp DVD player based on the Vaddis decoder in the market," said Dr. Levy Gerzberg, President and CEO, Zoran Corporation. "For Zoran, supporting our customers until their products are in production and beyond is an integral part of our development and productization efforts." Sharp Corporation's DV-S100 Sharp Corporation's DV-S100 implements a full consumer product with full DVD , VideoCD and Audio CD playback. In addition, the player uses two new proprietary digital circuit technologies developed by Sharp to reproduce subtle video images which had previously been difficult to render clearly. It also takes full advantage of the high-quality of the digital audio available from DVDs via the Vaddis decoder to allow users to enjoy the advantages of advanced sound reproduction brought by three types of three-dimensional digital sound: full decoding of Dolby Digital audio (reproduces the full sound field by outputting 5.1-channel Dolby Digital sound in analog format), Dolby Pro Logic decoding (reproduces a theater-like sound field by outputting five Dolby Pro Logic analog channels) and Virtual Surround (creates a full-perimeter QSurround sound field using only right and left speakers). The DV-S100's compact size of just 270 mm (10.6") (W) and 80 mm (3.1") (H) allows it to form a smart-looking combo when combined with mini-component stereo systems, making it ideal for personal use. Zoran Corporation's Vaddis DVD Decoder The Vaddis decoder is the world's most advanced DVD solution targeted at second generation consumer stand-alone DVD /VideoCD/CD-DA players and PC-based DVD systems. Based on Zoran's proprietary MPEG 2 video and Dolby Digital audio technology, the Vaddis decoder integrates the decoding and presentation functionality required for full implementation of the DVD standard in a single chip. This includes DVD content protection (CSS), Program stream demultiplexing, MPEG 2 video, MPEG 1 video, Dolby Digital (AC-3) audio, MPEG audio, audio and video synchronization, Linear PCM audio, Subpicture, OSD, Letterbox, Pan-Scan and more. The first member of the Vaddis family, the ZR36700 (in Japan called the MD36700), integrates many of the different components required in first generation DVD systems and interfaces efficiently to the remaining components in the system. Using a Zoran-proprietary implementation, the Vaddis decoder requires only a single 16 Mbit SDRAM for full operation. The Vaddis decoder dramatically reduces the number of chips and the size of the required memory thereby lowering the power consumption and overall cost of a DVD system. Addressing the needs of today's competitive market, the Vaddis decoder implements Zoran's Silicon Software architecture, based on a high-performance DSP technology for enhanced flexibility and programmability. This architecture enables DVD player manufacturers to add features enabling them to differentiate their products. For example, 3D sound can be implemented on the Vaddis decoder as a Silicon Software application simultaneously with the required DVD audio decoding functions. 3D sound brings the movie theater experience of multi-channel audio to a DVD player or PC with just two speakers without requiring any additional equipment or circuitry. The Vaddis ZR36700 DVD decoder is in volume production now and is priced at under $30 U.S. in volume quantities. 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 SoftDVD and SoftPEG software for software-only and hardware assisted decoding of DVD and VideoCD on the PC is bundled by leading PC and graphic system manufacturers. Current applications for Zoran IC products include professional and consumer video editing systems, filmless digital cameras, PC-based or stand-alone VideoCD 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 have been adopted by many of the world's largest manufacturers including Acer, ATI, Avid Technology, Cirrus Logic, Compaq, Denon, Diamond Multimedia, Dolby, FujiFilm, Fujitsu, Harman Kardon, Hewlett Packard, Hitachi, IBM, Iomega, Kenwood, Marantz, Matrox, Matsushita, miro/Pinnacle, NEC, Packard Bell, Pioneer, Samsung, Sharp, Sony, Toshiba, Truevision, Yamaha and many others. For more information about Zoran call (408) 919-4111 or visit our web site at www.zoran.com . About FujiFilm Microdevices FUJIFILM Microdevices is a subsidiary of Fuji Photo Film Co., Ltd. with headquarters in Sendai Industrial Park, Japan. It is dedicated to the design, manufacture and marketing of multimedia products including: CCD image sensors, JPEG codecs, MPEG, Audio and DVD decoders, high-speed serial bus interfaces (IEEE 1394) and others. Note to Editors: Vaddis, ZR367000 and Silicon Software are trademarks of Zoran Corporation. MD36700 is a trademark of FujiFilm Microdevices. Dolby Digital is a trademark of Dolby Laboratories. CONTACT: Zoran Contact: David Anisman, 408/919-4274 Director of Marketing - MPEG davida@zoran.com Tanya Del Vecchio, 408/919-4229 tanya@zoran.com or Zoran Media Contact Carey Mitchell, 650/369-7833 Virtual Public Relations carey@virtualpr.com or Investor Contact: Hannah Bruce, 415/986-1591 Financial Relations Board hbb@sf.frbd.com World Wide Web Site: www.zoran.com 07:02 EST DECEMBER 23, 1997

To: BillyG who wrote (27063)	12/23/1997 2:22:00 PM
From: Stoctrash	Read Replies (2) \| Respond to of 50808

Billy & Stockbug, I'm not into roasting... I'd rather see a good old fasion SCALDING! HOW? BIG chip deal, sellout, buyout,..take your pick.

To: BillyG who wrote (27063)	12/24/1997 12:07:00 PM
From: John Rieman	Read Replies (2) \| Respond to of 50808

Product transisions................................................... widebandmag.com December 23, 1997 The Shifting Sands at WCES '98 The consumer electronics industry bids farewell to 1997 with the all-too-familiar "Wait 'til next year" refrain while wondering if 1998 will offer more reasons for hope than the year just passed. Though overall sales may not increase significantly, there are several beacons of light for retailers in the coming months-provided, of course, that several pitfalls can be carefully negotiated. This was supposed to be the year that DVD lit a fire under consumers and helped drive up sales across the board, but for a variety of reasons, the rush to stores was somewhat muted. Instead, some of the trends looked more ominous: a shift continued toward made-to-order computers and Internet sales, while broadcasters sent out mixed signals on any serious commitment to HDTV. It now appears that HBO and some HDTV broadcasters will go live in the second half of 1998. The advent of any type of digital TV could mean trouble for retailers in the early part of the year as consumers may scale back new television purchases while sorting out possible digital TV confusion. And there's potential for consumer confusion in other areas, too-like DVD and Divx, along with the continuing standards battle in wireless phones. Happily, a number of categories are likely to offset possible decreases in television sales. When the Winter Consumer Electronics Show kicks off in Las Vegas next month, retailers will have a chance to scope out where the action is likely to be next year. Our thoughts: Even though DVD player sales could go as high as one million units, that doesn't represent sufficient volume to provide a serious economic boost to the industry. DVD's value will continue to grow as a traffic builder. New high-end DVD players that will debut at WCES are likely to draw videophiles. New smaller units are likely to attract new buyers as well. But the real challenges continue to come from outside the hardware realm. If DVD rentals become widely available, unit purchases should accelerate. Confusion over the introduction of Divx players-backed by retail leader Circuit City-could further confuse prospects. We expect plenty of talk on this subject in Las Vegas, but it will ultimately be up to the market to decide a winner. Similarly, sub-$1,000 computers will also continue to occupy a larger portion of the home computer and SOHO markets, but retailers won't be able to count on improving margins. Consumers will have more options, though, as microprocessor companies like AMD challenge industry-leader Intel for the low-cost crown. Despite buyer wariness in the television category, talk of digital TV will be on many lips in Las Vegas. But like last year's somewhat muted DVD reception, we expect most retailers to be realistic about the minimal HDTV sales promise in 1998. The real money in audio/video will continue to be made in high-end audio systems, which now appeal to a broader base of buyers as companies introduce more value lines. Talk will be heard at CES about finally setting a DVD-Audio standard, as retailers hope for a coming-together that will finally let the format move ahead. In the meantime, Sony's major push for the MiniDisc format (aided by reduced blank disc pricing) has the potential to help the format begin to achieve the popularity in the United States that MiniDisc enjoys in Europe and Japan. Digital imaging, a category widely considered to be overpopulated by manufacturers and suppliers, could face price pressures with an early shakeout of suppliers. But lower prices will draw more customers to stores, and most consumers are expecting to make their digital camera purchases from consumer electronics retailers. Growth in telecom will continue to come from the wireless community, as PCS carriers improve coverage across the country. The huge promotional efforts of upcoming handset manufacturers like Philips will spur advertising and promotion from most manufacturers, driving new customers to stores. Dual-mode phones that operate on cellular and PCS frequencies look to be one of the hottest items of the year. And in mobile electronics, navigation systems and GPS security systems will become more mainstream, offering solid profit margins for specialty retailers.