Convedia unveils new audio and video capabilities for industry leading IP Media Servers.

CHICAGO -- Supercomm 2004:

Company targets multimedia conferencing, mobile video messaging and multi-user game application developers and service providers with new media processing functionality

Convedia(R) Corporation, the leading provider of IP media processing platforms, today announced that in response to the growing global demand for SIP-based multimedia communication and collaboration solutions, it is adding a number of new video and audio features to its award winning family of IP Media Servers. The new features offer highly specialized, DSP-intensive media processing required to address large enterprise, mobile and fixed-line service providers' needs for a broad range of multimedia solutions including desktop video conferencing, mobile video messaging, video branding and multi-user online gaming. The new functionality, which is being delivered through a series of software-only upgrades to Convedia's CMS-6000 and CMS-1000 IP Media Server platforms, will begin to rollout next month with additional functionality being added throughout the remainder of 2004.

"Convedia is one of only a few companies in the industry who really understands both video and audio processing for network-based enhanced services," said Andrew W. Davis, managing partner at Wainhouse Research. "With a strong position secured in the audio segment of the media server market it is only natural that Convedia would leverage its video expertise to create new capabilities for enhanced service application developers and their customers".

Convedia's Media Servers provide highly scalable, cost effective and open media processing features to third party application developers wishing to create voice, video and multimedia communication solutions. To enable these exciting new multimedia solutions, Convedia is adding a number of video features including;

--Voice activated video switching - a multi-party conferencing technique which is ideally suited for use with small display 3G mobile phones and in cost sensitive residential video phone applications. Unlike traditional multiparty video conferencing, only one participant is seen on the screen at any time and the video image switches based on who is currently speaking.

--VoiceXML based video recording and playback - required in both video mail and multimedia conferencing applications, this feature allows video content to be recorded to 3rd party off-the-shelf NFS and HTTP servers providing a seamlessly integrated, cost effective and highly scalable video archiving and playback system.

--Quad split and advanced continuous presence displays - commonly used in traditional video conferencing services, this feature allows Convedia's Media Servers to act as an MCU in H.323 and SIP based video conferencing systems. Multiple conference sites are displayed concurrently on one screen in a variety of flexible layouts.

--Video transcoding and rate matching - enables mobile video phones and fixed line video terminals to communicate with one another independent of the capabilities (video codec, video frame size and bitrate) supported by each terminal.

Convedia plans to support all these capabilities for the popular H.263 video codec and the new H.264/MPEG4 video codec. These new video capabilities will be deployed in wireless 3G networks compatible with UMTS, WCDMA and TD-SCDMA technologies, wireline networks based on DSL access and PacketCable Multimedia compliant networks being deployed today by leading cable network operators.

In addition, Convedia is enhancing its audio processing capabilities to address the unique market needs of voice chat and massively multi-user online gaming (MMOG) application developers including;

--Fully programmable mixers - Convedia's media servers allow programmers complete control over the audio mixing algorithm used in each conference. Unlike traditional audio bridges, Convedia allows programmers advanced control of the mixing algorithm and now offers support for a customized and dedicated mixer for each and every conference participant. The mixer for each user can be completely customized with respect to the participants in the mix, the input and output gain, the noise filtering algorithms and other features which are unique to gaming and voice chat applications.

"In traditional networks, the media processing equipment for audio and video applications were supported using disparate network elements," said Grant Henderson, Executive VP of Marketing and Strategy for Convedia. "We have always maintained a vision that a single multi-service, multi-media processing element can handle the media processing requirements for multiple applications. Our new features will not only allow our application partners to develop differentiated multimedia service solutions, but will also support the scalability and cost savings expected in next generation IP-based mobile and broadband wireline networks".

Convedia's carrier-class CMS-6000 Media Server and entry-level CMS-1000 Media Server reduce capital and ongoing operational costs by consolidating the functions of traditional announcement and recording servers, interactive voice response units (IVR/VRU), audio/video conference bridges, voice mail servers, and speech platforms onto a single shared media processing platform. Convedia's media servers have been deployed globally by leading wireline and wireless carriers and enhanced service providers.

About Convedia

Convedia(R) Corporation is the leading supplier of next-generation IP media servers that enable telecommunication service providers to reduce service delivery costs and increase revenues through new approaches to enhanced services. Convedia's award-winning family of products includes the CMS-6000 Media Server, a carrier-class media server capable of scaling to 18,000 ports per shelf, and the CMS-1000 Media Server, a low-cost, entry-level media server. Convedia is headquartered in Vancouver, British Columbia, Canada, and financed by leading venture capitalists. For additional information about Convedia, its products, or the role of media servers in Softswitch, Packet Cable, or 2.5 and 3G wireless architectures, visit www.convedia.com.