DASAN Networks Launches the H920 IPTV Set-Top Box Based on Sigma's SMP8634 Media Processor.

SEOUL, South Korea -- DASAN Networks, Inc, one of Korea's largest networking equipment companies, this week announced that it will launch a new IP set-top box, the H920, supporting HD H.264 based on Sigma Designs' (Nasdaq:SIGM) SMP8634, media processor.

The Dasan H920 is the first IP set-top box from Korea developed and mass-produced with Sigma's SMP8634 media processor. The H920 offers a competitive price, and ultimate viewing quality along with support for HD H.264 as well MPEG-1/2/4, WMV9, VC-1, and enhanced content protection through a state-of-the art secure media processor. This combination will enable carriers to obtain an attractive return-on-investment for IP-based media services, with its decreased investment burden and new opportunities for revenue.

"Our customers, like Dasan are constantly refining and optimizing their products," said Ken Lowe, vice president of strategic marketing, Sigma Designs. "Sigma's ability to uniquely provide the most effective media processor for their needs is what sets us apart."

The Dasan H920 also has a specially designed platform for telcos to implement various business scenarios for their broadband subscribers. These include T-commerce, T-banking, T-game, and T- securities in addition to the core services of IPTV and VOD. Moreover, Dasan has a road map to integrate VoIP into their set-top box and to advance it as a core platform to provide the living room with a fully integrated TPS solution. Dasan has proven capabilities as a leader in the broadband access solution market, and together with a verified partner for the middleware on the H920.

"Dasan is established as the number one provider in VoIP, IP and Wifi phone market in Korea," said Nam Min Woo, CEO of Dasan. "Naturally, we knew that working with Sigma Designs, we'd be able to drive ahead of the pack with the powerful SMP8634 media processor. We will continue to move forward in the IP set-top box market with key partners to be a global leader in the TPS CPE market."

As a key leader in the broadband solutions market, Dasan provides KT, as well as many successful global IPTV service companies with state-of-the-art network access solutions which satisfy specific requirements like high end QoS, multicasting for VoIP, and IP TV service.

Recently, Dasan has worked in a strategic partnership with its core chipset provider, Sigma Designs, Inc., a market leading innovator for IP set-top box solutions. Sigma Designs, Inc. is demonstrating its SMP8634 in Dasan's H920 at NAB in Las Vegas this week. Dasan will demonstrate the same at INTEROP in Las Vegas the following week.

About DASAN:

DASAN Networks is the largest networks equipment company in Korea. Siemens has acquired DASAN Networks May 2004 in order to supply network applications into the global market and now there are more than 500 employees including 250 engineers.

DASAN Networks offers Carrier Ethernet Solution and TPS Solution which is flexible to respond to rapidly changing market conditions and diverse customer requirement. To be the leading network innovator, DASAN Networks will continue to explore and utilize our full potential and core capabilities.

To offer high quality performance at low cost to our customer, DASAN Networks, based on intangible assets such as technological patents, knowledge, and talent accumulated by our dynamic R&D activities, is putting forth our best efforts to create additional value and increase our revenue, thereby strengthening our global competitiveness with Siemens.

About Sigma Designs, Inc.

Sigma Designs (Nasdaq:SIGM) specializes in silicon-based media processors for IPTV set-top boxes, digital media receivers, high definition DVD players, HDTV, and portable media players. The company's award-winning REALmagic(R) Video Streaming Technology is used in a variety of consumer applications providing highly integrated solutions for high-quality decoding of H.264, WMV9, MPEG-4, MPEG-2 and MPEG-1. Headquartered in Milpitas, Calif., the company also has sales offices in China, Europe, Hong Kong, Japan, Korea and Taiwan. For more information, please visit the company's web site at www.sigmadesigns.com/.