Cirrus Logic Licenses QSound Labs QSurround "Virtual Speaker" Technology and Integrates Into Dolby Digital Decoder Tailored for 2-Channel Source Applications.

LAS VEGAS--(BUSINESS WIRE)--Jan. 8, 1998--

New Crystal Decoder Enables Cost-Effective, Multi-Channel Sound

With Only 2-Speakers On HDTV, DVD Players, Set-Top Boxes

and High-End TVs

At the Consumer Electronics Show today, the Crystal Semiconductor Products Division of Cirrus Logic Inc. (NASDAQ:CRUS) announced it has licensed and integrated QSound Labs QSurround Virtual Speaker Technology in its Crystal(TM) CS4924 Dolby Digital Source Decoder.

Through this partnership, the CS4924 is capable of preserving the surround ambiance of 5.1 channel Dolby Digital, providing a cost-effective entertainment environment on just two speakers.

The QSurround technology, which has been certified by Dolby Laboratories to wear the Dolby Virtual logo, enables multi-channel Dolby Digital (AC-3) to be effectively reproduced across the entire range of playback systems. For input, QSurround accepts all of the discrete audio channels following Dolby Digital and/or Dolby Surround ProLogic decoding and creates "virtual speakers" to reproduce multi-channel output in the correct spatial relationship on standard two channel equipment, as well as enhancing reproduction on full four through six channel systems.

"We are very pleased that Cirrus Logic chose our QSurround technology as an integral part of the CS4924," said David Gallagher, president of QSound Labs. "This relationship is critical to our ongoing marketing initiative to solidify QSound's leadership role in the market-place."

The Crystal CS4924 has been tailored for all Dolby Digital source product requirements. Source products originate the stream from the DVD movie disc or from the digital receiver and demultiplexor in broadcast scenarios. Typically source products decode all 5.1 channels of Dolby Digital but down-mix into two channels. In addition a source product is required to format the raw Dolby Digital bit stream into the IEC60958/61937 interface standard and provide it to the outside world for connecting to Dolby Digital equipped multi-channel hi-fi systems.

Bridging the Gap Between Dolby Digital and Home Stereo

"Predictably with the proliferation of Dolby Digital carried in DVD movies, consumers can expect that other Dolby Digital applications will follow," noted John Paulos, vice president of digital audio products at Crystal. "It is safe to say that the hi-fi systems in the majority of homes today are stereo and not multi-channel. Virtualized surround channels hosted on 2-speaker systems will be a killer application as multi-channel audio from DVD movie players, set-top boxes and HDTV displace the installed base of today's stereo. Virtual speaker solutions are especially important for first time multi-channel users who want to appreciate the surround experience without requiring rear speakers."

CS4924 Supports Automatic Lip Sync

The most important task that the source product performs is establishment of audio and video decoder synchronization. Audio and Video compressed data is independently unpacked then decoded to be displayed and heard within a 16ms picture time. The audio and video decoders must be cognizant of the MPEG system syntax to preserve synchronization.

"The toughest part of audio/video decompression is maintaining the lip sync," explained Terry Ritchie director of marketing for Crystal audio DSPs. "We took no short cuts with the CS4924. We provided a large input buffer for absorbing the bursty transport packet delivery and then performed full PES (packetized elementary stream) layer decoding. Once the host initializes the STC (system time clock) the CS4924 automatically parses the PES headers to locate the PTS (presentation time stamps) and to playback the audio accordingly. A lot of competitors have problems providing correct lip sync. The CS4924 properly addresses this need."

Total Product Solution

At a very competitive price point, the device offers the industry's most comprehensive solution without sacrificing audio quality. Key audio system features that set the CS4924 apart from the competition include: a Dolby Digital source product compatible decoder, a large 8k byte on-chip input buffer, PES layer decoding, QSurround virtualizer, Dolby Surround Pro-Logic decoding, Dolby bass manager and crossover filters, IEC60958/61937 output formatter, stereo MPEG-1 audio decoding and 96kHz PCM player capability.

The new CS4924 is the fifth 24-bit audio decoder introduced by Crystal this year. According to Eric Broockman, vice president and general manager of Cirrus Logic's Crystal division, "Crystal is the only audio solution provider in the world who delivers audio A/D converters, audio D/A converters, audio codecs, digital audio interface chips, and audio quality DSPs."

Pricing and Availability

The CS4924 will be available for sampling in February, with production volumes available in March 1998. This new device is priced under $10 each in 100K quantities.

Crystal Semiconductor Products Division

The Crystal Semiconductor Products Division of Cirrus Logic designs, manufactures and markets advanced analog and digital integrated circuits for data acquisition, consumer/professional audio and video, and imaging applications. The Crystal brand is recognized for providing high-performance mixed-signal and signal processing solutions for consumer and industrial markets. For the latest Crystal product information visit our website at http://www.crystal.com/

About QSound Labs, Inc.

Founded in 1988, QSound Labs, Inc. (NASDAQ:QSNDF) is an advanced audio technology company specializing in 3D sound placement and audio image enhancement. Based in Calgary, Alberta, the company uses patented 3D audio technologies to serve the home entertainment, PC/Multimedia, consumer electronics and professional audio industries. The technologies provide immersive, realistic environments that include positional audio, stereo enhancement and virtual surround sound.

PC OEMs and manufacturers and consumer electronic manufacturers who have licensed QSound include Acer, AIWA, Crystal Semiconductor, IBM, Sharp and Yamaha. Electronic Arts, Microsoft, Mindscape and Sega have all employed QSound technologies in developing video games. Musical artists Sting, Madonna and Janet Jackson have recorded music using the system, and television shows such as The X-Files and Ally McBeal utilize QSound technologies during post-production.

Cirrus Logic

Cirrus Logic is a premier supplier of system-level integrated circuits that demand high-performance mixed-signal processing. The company applies its system expertise to enable high-volume applications in data storage, networking, and multimedia for both computing and consumer electronics markets as well as ultra-high-precision data acquisition applications for industrial automation and instrumentation markets. -0-

Cirrus Logic news releases may be obtained by fax by dialing 1-800-359-6414, or by dialing 510/249-4200 from outside the United States, or via the Internet on the world wide web at http://www.cirrus.com/

Note to Editors: Cirrus Logic is a registered trademark and Crystal is a trademark of Cirrus Logic Inc. All other product names noted herein may be trademarks of their respective holders.

CONTACT: Cirrus Logic Inc.

Crystal Semiconductor Products Division

Jo-Dee Benson, 512/912-3823

[e-mail]

Terry Ritchie, 512/912-3733

[e-mail]

or

Tsantes & Associates

Dean Fisk, 408/369-1500

[e-mail]