DTS Announces DTS-HD Master Audio Suite and DTS Surround Audio Suite; New Audio Software for Next Generation & Current Optical Disc Formats.

AGOURA HILLS, Calif. -- DTS, Inc. (Nasdaq:DTSI) announces the introduction of DTS-HD Master Audio Suite and the DTS Surround Audio Suite, two new software suites to prepare audio streams for next generation and current optical disc media formats. Consisting of an encoder module, a StreamPlayer decoder, and StreamTools stream editing and verification tools, the suites are compatible with both Mac OS 10.4.x or Windows XP.

The new DTS-HD Master Audio Suite (MAS) will encode bit streams in the following formats: DTS Digital Surround, DTS-ES 6.1, DTS 96/24, DTS-HD High Resolution and DTS-HD Master Audio, which is bit-for-bit identical to a master soundtrack. The MAS is applicable to DVD-V and Surround Music CDs, as well as the next generation HD DVD and Blu-ray Disc formats. It supports encoding HD DVD (HD) or Blu-ray Disc (BD) Primary or Main audio streams with up to 7.1 channels of audio at sampling rates of up to 192 kHz. The MAS also includes a low bit rate (LBR) encoder that will encode DTS audio streams for use as Sub or Secondary audio on HD /BD with bit rates optimized for Internet delivery. Streams that are encoded in DTS-HD Master Audio bit-for-bit format support downmixing from 7.1-channel to 5.1-channel, from 5.1-channel to stereo, and are also backwards compatible with existing DTS decoders.

Included in the suite, the StreamPlayer decoder can decode any DTS bit stream, and delivers audio to a PC's sound card for confidence monitoring of encoded files. StreamPlayer will also have the ability to lock to timecode from an external source, and will be able to be used with a QuickTime movie track to verify visual lip-sync.

Encoding bit streams compatible with standard DVD-V and DTS Surround Music CDs, the DTS Surround Audio Suite (SAS) also includes StreamPlayer and can be upgraded to the DTS-HD Master Audio Suite with the purchase of an upgrade.

"DTS' new software makes it easy for content creators and manufacturers to prepare any number of DTS audio streams in any format, ranging from low bit rate to the highest quality bit-for-bit multi-channel audio available today, and is compatible with both standard DVD-V and the next generation media," said Brian Towne, Senior Vice President, Consumer / Pro Audio Division at DTS. "DTS' new professional tools provide the flexibility necessary to meet the demands of a high definition future."

The suggested retail prices of the suites are $1,495 for the DTS-HD MAS, and $795 for the DTS SAS. Both products will begin shipping in Q3 2006.

About DTS

DTS, Inc. (Nasdaq:DTSI) is a digital technology company dedicated to delivering the ultimate entertainment experience. DTS decoders are in virtually every major brand of 5.1-channel surround processor, and there are hundreds of millions of DTS-licensed consumer electronics products available worldwide. A pioneer in multi-channel audio, DTS technology is in home theatre, car audio, PC and game console products, as well as DVD-Video, Surround Music and DVD-ROM software. DTS audio products are featured on more than 27,000 motion picture screens worldwide. Additionally, DTS provides imaging technology and services for the motion picture industry; DTS Digital Images, formerly Lowry Digital Images, is a wholly-owned subsidiary of DTS and an industry leader in image restoration and enhancement. Founded in 1993, DTS is headquartered in Agoura Hills, California and has offices in the United Kingdom, France, Italy, Canada, Hong Kong, Japan and China. For further information, please visit www.dts.com.

DTS is a registered trademark of DTS, Inc.

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that involve risks, uncertainties, assumptions and other factors which, if they do not materialize or prove correct, could cause DTS' results to differ materially from historical results or those expressed or implied by such forward-looking statements. All statements, other than statements of historical fact, are statements that could be deemed forward-looking statements, including statements containing the words "planned," "expects," "believes," "strategy," "opportunity," "anticipates" and similar words. These statements may include, among others, plans, strategies and objectives of management for future operations; any statements regarding proposed new products, services or developments; any statements regarding future economic conditions or financial or operating performance; statements of belief and any statements of assumptions underlying any of the foregoing. The potential risks and uncertainties that could cause actual growth and results to differ materially include, but are not limited to, the rapidly changing and competitive nature of the digital audio, consumer electronics and entertainment markets, the company's inclusion in or exclusion from governmental and industry standards, customer acceptance of the company's technology, products, services and pricing, risks related to ownership and enforcement of intellectual property, the continued release and availability of entertainment content containing DTS audio soundtracks, changes in domestic and international market and political conditions, risks related to integrating acquisitions and other risks and uncertainties more fully described in DTS' public filings with the Securities and Exchange Commission, available at www.sec.gov. DTS assumes no obligation to update any forward-looking statement to reflect events or circumstances arising after the date on which it was made.