ARCHOS Unveils New Sleek and Stylish ARCDrive 4GB USB Key; ARCHOS Innovates with Miniature Portable Storage Drive that Packs Thousands of Files onto One, Extra Small Device.

LAS VEGAS -- ARCHOS(R), Inc., the pioneer and innovator in portable entertainment products, announced today at the Consumer Electronics Show 2005 the new ARCDrive 4GB USB key. The device will be available in the first quarter of 2005 and will be demonstrated on the ARCHOS booth at CES.

Featuring an extremely compact and light-weight design (weighing only 1.4 ounces, 40 grams) and foldable USB connector, the ARCDrive 4GB USB key is ideal for storing and transporting computer files, documents, music, videos and photos while on the go. Simply plug the device into a PC or Macintosh and instantly transfer data using the high-speed USB 2.0 interface.

Ultra Portable Storage Solution

The ARCDrive(a) 4GB USB key expands on ARCHOS' successful line of ARCDrive external hard drives, which include Hitachi drives and 20GB and 40GB models, and allows consumers to do the following tasks effortlessly:

--Quickly add a hard drive to a PC or Macintosh for backing up files.

--Download, store and transfer data, music, videos or photos using the high-speed USB 2.0 interface (USB 1.1 compatible).

--Connect to other peripheral devices without turning off the computer (hot swappable).

--Enjoy greater mobility with a slim, light-weight design and a built-in, foldable USB connector and key-ring attachment.

--Save time and space by eliminating the need for cables or external power cords.

"The new ARCDrive 4GB USB key provides a convenient and compact storage solution for a variety of personal and business requirements," said Henri Crohas, chief executive officer of ARCHOS, Inc. "We spent nearly all of 2004 building video, audio and storage products with capabilities unseen in the industry, while revolutionizing in form factor and sleek and simple designs. The result has been products that are far ahead of the competition in features and form and have been received tremendously well by consumers."

The ARCDrive 4GB USB key adds to ARCHOS' complete line of ARCDrive storage products that combine sleek with substantial in 4GB, 20GB, and 40GB versions. The ARCHOS ARCDrive products are all high-speed USB 2.0-based drives designed for consumers and professionals who need added storage for transferring files to multiple computers, backing up entire computer hard drives, or carrying important media, files and documents with them wherever they go. The ARCDrive products are designed to fit easily in your pocket and feature the well-known ARCHOS stylish form factor, also seen in ARCHOS' popular Portable Video Players (PVPs). The ARCDrives round out the company's strategy to delivery the most innovative, high-quality, pocket-sized devices in the portable video, audio and storage categories.

The ARCDrive 4GB USB key will be available in late January 2005 and is priced at $149.95 U.S. and 149.99 EUR in Europe. The 20GB and 40GB ARCDrive products are available immediately and priced at $199.95 and $249.95 U.S, and 199.99 EUR and 249.99 EUR in Europe, respectively.

ARCHOS News and Product Demonstrations at CES 2005

In addition to the new ARCDrive 4GB USB key, ARCHOS introduced today the new Pocket Media Assistant PMA400, the first PVP that allows consumers to play video and record content directly from the TV, record and listen to music, play games, access e-mail, and browse the Internet--all on one device. ARCHOS will demonstrate its complete line of pocket video, audio and storage solutions in the South Hall, booth number 36401, at CES, and also during a press conference Friday, January 7, from 11:00 a.m. to 12:00 p.m. For information on ARCHOS products or to schedule a meeting with the company, contact Samantha Steinwinder, SPR, 206-713-6983, [e-mail].

About ARCHOS

Established in 1988, ARCHOS is the technology leader in pocket audio/video products and has a long history of inventing state-of-the-art devices for people on the go. In 2000, ARCHOS opened the mass market of pocket-sized MP3 players based on a hard disk with the Jukebox 6000. In 2002, ARCHOS launched the first portable video player, the Jukebox Multimedia. The company's "AV" line of pocket-sized audio/video recorders and players has revolutionized how today's consumers enjoy their music, photos and videos anywhere, anytime. ARCHOS has offices in the United States, Europe and Asia and more information is available online at www.archos.com.

(a)Sold under the name ARCDisk outside the United States.

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