Digimarc ImageBridge Digital Watermarking Integrated into Scene7 Infinite Imaging Platform.

TUALATIN, Ore. & NOVATO, Calif. -- Integration provides industry leading brand asset protection and security for companies utilizing Scene7's dynamic rich media solutions

Digimarc Corporation (Nasdaq:DMRC) and Scene7(R), provider of the leading rich media platform to grow revenues and enhance visual communications -- while automating media production and delivery, today announced an agreement to bring advanced brand protection capabilities to digital images served via Scene7's Infinite Imaging(TM) Platform. Under the agreement, Scene7 has integrated Digimarc(R) ImageBridge(TM) digital watermarking into Scene7's single integrated platform for rich media, enabling companies to dynamically embed a digital watermark in images generated from Scene7's platform. The companies also plan to work together to develop joint sales and co-marketing opportunities.

Digimarc ImageBridge digital watermarking weaves a unique, imperceptible and traceable identifier into images, while the sophisticated ImageBridge tracking system monitors the Internet and specified URLs, locating digitally watermarked images and delivering reports to brand owners. With this capability, organizations can determine that the right image is used in the right place. This ensures that channel partners are acting in compliance with marketing guidelines for campaigns and new product rollout, and allows legal departments to effectively communicate and enforce image copyrights.

Scene7's Infinite Imaging Platform includes five key rich-media solutions -- Dynamic Imaging (dynamic zoom, sizing, art, color swatching, spin, templates), eCatalogs, Dynamic Customization, eVideos and Dynamic Asset Management -- all built on a single, integrated platform for automating the production and delivery of rich media. At its core is a proprietary, high performance media processing engine combined with a set of tightly integrated components that enable companies to centralize, organize, author, manage, and distribute rich media for multi-channel delivery. Scene7 dynamically generates and delivers unlimited derivatives from single master images, allowing companies to speed time to market and drastically reduce image production costs.

ImageBridge directly integrates into Scene7's platform to allow Scene7 users to easily enter their Digimarc information and apply digital watermarks to any image or eCatalog generated by the system, providing enhanced image protection and security while delivering clear, consistent branding across channels.

"Online brand equity is linked to accurate placement of digital images in the marketing channel," said Andy Mallinger, director, Digital Image Solutions, Digimarc. "ImageBridge watermarking combined with Scene7 allows brand owners to know where valuable images are being used both within and outside of the firewall, helping to protect their brand assets and enforce digital image rights within their channels."

ImageBridge is a highly complementary addition to Scene7's platform, and is now immediately available for all Scene7 implementations, including full-service ASP, self-service ASP or license customers.

"Our customers utilize our solutions to produce and deliver enhanced visual communications across multiple channels. The addition of Digimarc ImageBridge to the Scene7 platform adds industry leading content identification and tracking to ensure that our customers can preserve and protect brand equity," said Doug Mack, CEO of Scene7. "We are delighted to be able to offer a superior rich media experience combined with this new level of brand protection digital image security to our customer base."

About Digimarc

Digimarc Corporation (Nasdaq:DMRC), based in Tualatin, Oregon, is a leading supplier of secure media solutions used in a wide range of security, identification and digital media content applications. Digimarc provides products and services that enable the production of more than 60 million personal identification documents and driver licenses per year in 32 U.S. states and the District of Columbia and more than 20 countries. Digimarc's digital watermarking technology provides a persistent digital identity for various media content and is used to enhance the security of financial documents, identity documents and digital images, and support other media rights management applications.

Digimarc has an extensive intellectual property portfolio, with 174 issued U.S. patents with more than 3,000 claims, and more than 350 pending patent applications in digital watermarking, personal identification and related technologies.

The company is headquartered in Tualatin, Oregon, with other U.S. offices in Burlington, Massachusetts; Fort Wayne, Indiana; San Francisco, California; and the Washington DC area; and European offices in London. Please go to www.digimarc.com for more company information.

About Scene7

Scene7 provides the leading rich media platform to grow revenues and enhance visual communications via the web, email, displays and print, while automating media production and delivery. Scene7's integrated platform for production, management and delivery of rich media enables five key business solutions: Dynamic Imaging (dynamic zoom, sizing, art, color swatching, spin, templates), eCatalogs, Dynamic Customization, eVideos and Dynamic Asset Management. More than 225 leading companies, in industries ranging from retail to hi-tech, have selected Scene7 products, including Macy's, Scripps Networks, Home and Garden Television, Microsoft, Office Depot, Levi Strauss & Co., Kinko's, La-Z-Boy and QVC. Scene7 has been selected as a partner of key technology leaders including IBM, Microsoft, Coremetrics, and Akamai. Scene7, a holding of QVC/Liberty Media, Moore Capital and Rhodes Partners, is based in Novato, California. For more information visit http://www.scene7.com.

Securities Safe Harbor 

With the exception of historical information contained in this release, the matters described herein contain certain "forward-looking statements" that are made pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements, including without limitation statements with regard to plans of the companies to work together to develop joint sales and co-marketing opportunities, are based on management's current reasonable expectations and are subject to certain assumptions, risks, uncertainties and changes in circumstances. Actual results may vary materially from those expressed or implied from the statements herein or from historical results, due to changes in the companies' plans as well as changes in economic, business, competitive, technological and/or regulatory factors. More detailed information about these factors as they relate to Digimarc is set forth in filings by Digimarc with the Securities and Exchange Commission, including the most recent annual report on Form 10-K and the most recent quarterly report on Form 10-Q. Digimarc is not obligated to (and expressly disclaims any obligation to) revise or update any forward-looking statements in order to reflect events or circumstances, whether they arise as a result of new information, or future events, or otherwise.