Dazzle Multimedia Announces Strategic Partnership With Fast Multimedia; Partnership Brings the Award-Winning Dazzle Digital Video Creator to European Markets.

FREMONT/LOS GATOS, Calif.--(BUSINESS WIRE)--Nov. 1, 1999--

Dazzle Multimedia, the No. 1 brand in MPEG digital video products for businesses and consumers according to PC Data, Monday announced that the company has formed a strategic partnership with FAST Multimedia AG, a leading developer of digital video production hardware and software, to make a customized version of the award-winning Dazzle Digital Video Creator available to the business and consumer markets in Europe.

"We are extremely excited to form this strategic alliance with FAST Multimedia. Our consumer-friendly products allow users to easily capture, edit and publish digital video content on their PCs," said Sajid Sohail, co-founder and chief executive officer of Dazzle Multimedia.

"With FAST Multimedia as our partner, the Dazzle Digital Video Creator will be able to penetrate the European market with a proven innovative brand name in digital video products."

"We are very pleased to partner with Dazzle Multimedia in bringing the Dazzle Digital Video Creator as Clip Master to Europe," said Steffi Koerner, marketing manager, Personal Video Division, of FAST Multimedia.

"Clip Master is the perfect starting product to our new Personal Video Division product line, which we created earlier this year. We have no doubt that the Dazzle Digital Video Creator, which has already proven itself as one of the top digital video products in the United States, will be able to duplicate the same success here as FAST Multimedia's Clip Master."

Under the terms of the agreement, FAST Multimedia and Dazzle will collaborate to develop a customized version of the Dazzle Digital Video Creator for the European market and make it available through FAST Multimedia's partners in the United Kingdom, France, Italy, Spain and Benelux as well as through the company's international distribution networks.

The Dazzle Product Line

Dazzle's products, including its Digital Video Creator, Digital Video Creator Internet Edition and Photo Maker, are plug-and-play devices for novice to advanced computer users which focus on applications for using TV-quality digital video, including creation and editing of home videos, creating streaming audio and video for Web pages and video e-mail, developing video-enhanced PowerPoint presentations, and designing and distributing educational or training materials on CD-ROMs.

About Dazzle Multimedia

Dazzle Multimedia, based in Fremont, designs, builds and markets innovative and affordable MPEG digital video and still image capture/editing products for business and personal-computer users.

Dazzle Multimedia believes these products represent the initial stage of an evolution from text and character-based processing to a computing environment in which audio/video and other media are more fully integrated into documents, presentations and communications.

A majority of Dazzle is held by SCM Microsystems Inc. (Nasdaq:SCMM) (Neuer Markt:SMY), a leading provider of solutions that enable simple and secure access to emerging digital platforms. Interested parties can learn more about Dazzle Multimedia by calling 510/360-2300 or by visiting the company's Web site at www.dazzle.com.

About SCM Microsystems

SCM Microsystems is a leading provider of solutions that enable simple and secure access to emerging digital platforms. SCM's interface products provide network security and conditional access to digital content in three primary markets -- digital media, PC security and digital TV.

Through its ASICs, firmware, software and smart card readers, the company addresses the need to easily and securely control, access and exchange digital information with digital platforms such as PCs, Internet music players, digital cameras and digital television set-top boxes.

Customers include a host of OEMs, including Apple, Dell, France Telecom, Fuji Film, Gemplus, HP, Hitachi, Intel, Matsushita, Minolta, Motorola, Olympus, RCA Thomson, SanDisk, Schlumberger, Siemens- Nixdorf, Sony, Sun Microsystems and Telenor.

With headquarters in Los Gatos and European headquarters in Germany, SCM maintains a global presence through its facilities in France, India, Japan, Germany, Singapore, Taiwan and the United Kingdom.

For additional information, contact SCM Microsystems in the United States at 408/370-4888 or in Europe at [phone], or e-mail [e-mail]. The company maintains a Web site at www.scmmicro.com.

About FAST Multimedia AG

FAST Multimedia AG, Munich, Germany, the European Headquarter, is a subsidiary of FAST Multimedia Inc., Washington, USA, with offices in Germany, the United Kingdom, France and the United States. FAST Multimedia Inc. is the leading developer of award-winning, Windows-based digital editing hardware and software for anyone involved in video production and the visual communication industry.

Products include blue., 601 (six-o-one), Video Machine, Screen Machine II, DV Master Pro, DV Master, AV Master 2000, DV.now, Clip Master and other solutions. With more than 100,000 editing systems installed around the world, FAST provides an editing tool to fit every budget and application from broadcast TV to home hobbyist.

FAST products as well as OEM versions are available through authorized distribution networks and dealers worldwide. The FAST Multimedia Web site is located at http://www.fastmultimedia.com.