FOCUS Enhancements Showcases its FS460 Video Processor Chip in the Intel Media Center Reference Design.

Business/Technology Editors

Cable 2002

Booth no. 2520

NEW ORLEANS--(BUSINESS WIRE)--May 6, 2002

FOCUS Enhancements, Inc. (NASDAQ: FCSE), a global leader in video conversion technology, today announced that its FS460 video processor chip is a component in the Intel(R) Media Center Reference Design, which is intended to help hardware and software developers accelerate the development and production of powerful, scaleable, interactive consumer products that integrate the capabilities of a number of previously discrete devices.

FOCUS Enhancements' state-of-the-art FS460 video processor enables the reference design to manage all of the home media center's video blending and analog video encoding needs, transitioning up to three different video sources to display uniform and crisp television images. This reference design, constructed to provide a maximum entertainment experience, incorporates high-end audio and video features into an easy-to-use platform targeted at consumer electronics companies and consumers.

"One key success factor for a home entertainment device is excellent TV quality, and the Intel Media Center Reference Design aims to produce high-quality video," said Bob Ferrar, general manager, Intel's Cable and Video Division. "The blending and display of computer graphics on a TV is always a challenging task, and FOCUS' unique capabilities are able to address the challenge of presenting an artifact-free image on the TV."

"When transitioning from a computing environment to home entertainment, the ability to display vivid computer graphics on a television screen, in an engaging manner, is important," said Bill Schillhammer, FOCUS Enhancements' vice president, Semiconductor Sales. "The FS460's unique architecture leverages the high-quality video provided by an Intel graphics controller and other high-performance video ASICs, allowing us to present the sharpest image possible to provide the ultimate interactive video experience."

The reference design tightly integrates the technologies of Intel, FOCUS Enhancements, Maxtor(R) (NYSE: MXO), Sigma Designs(R) (NASDAQ: SIGM), and Tuxia(R) into a highly capable hub for all forms of digital media. An Intel(R) Celeron(R) processor provides the processing power necessary to support all the functionality currently incorporated into the design and the headroom necessary to support additional future applications and functionality. Maxtor provides its QuickView PVR Technology, enabling the prototype to handle Personal Video Recording to an on-board Maxtor hard drive. Sigma Designs provides its EM8475 MPEG-4 decoding ASIC, allowing for high quality PVR, Video-On-Demand, and DVD playback through FOCUS Enhancements' FS460 chip. Tuxia provides a comprehensive software platform for enhanced and interactive TV, based on an open standards core, which integrates all of the features of the reference design.

The FS460 family of video processor ASICs incorporates a fourth generation video scan converter and a special effects unit. Video effects include scaling, adaptive 2-Dimensional flicker filtering, two layer pixel-resolution alpha blending, color keying, configurable border/background colors, fades, wipes, moves, and graphics frame stores. Inputs include a wide range of computer graphics resolutions (via an Intel DVO port), a CCIR 656 video channel slaved to the output, and an independent CCIR 656 video channel. The FS460 incorporates a broadcast quality video encoder that supports all NTSC and PAL formats. Additional information about the FS460 family of ASICS can be found on the FOCUS Enhancements website at http://www.FOCUSinfo.com.

The Intel Media Center Reference Design will be demonstrated for the first time at NCTA Cable 2002 within the Intel suite at the Wyndham New Orleans at Canal Place (#2520). Schematics for the Intel Media Center Reference Design will be available for download in late May.

About FOCUS Enhancements, Inc.

FOCUS Enhancements, Inc. (NASDAQ SC: FCSE) is a leading designer of advanced, proprietary video technology. Headquartered in Campbell, CA, FOCUS Enhancements designs, develops, and markets video solutions in two distinct markets: advanced, proprietary video scan conversion ICs (Integrated Circuits) and affordable, high quality, digital-video conversion and video production equipment. Semiconductor products include designs for PCs, Game Cards, Internet TV, set-top boxes, Internet appliances, and interactive TV applications, and they are sold globally through distributors to Original Equipment Manufacturers (OEMs). FOCUS' complete line of video presentation and video production devices are sold globally through resellers to the broadcast, education, cable, business, industrial, presentation, Internet, gaming, home video production and Home Theater markets. More information on FOCUS Enhancements may be obtained from the company's SEC filings, or by visiting the FOCUS Enhancements home page at http://www.FOCUSinfo.com.

Statements about future results made in the above referenced (press release/presentation/conference call) constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on current expectations and the current economic environment. The Company cautions that these statements are not guarantees of future performance. Actual results may differ materially from those expressed or implied in the forward-looking statements. Such projections are based upon many estimates and are inherently subject to significant economic and competitive uncertainties and contingencies, many of which are beyond the control of management of FOCUS. Important assumptions and other important factors that could cause actual results to differ materially from those in the forward-looking statements are specified in the Company's Form 10-KSB for the year ended December 31, 2001 and other filings with the SEC by both FOCUS and Videonics.

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Intel and Celeron are trademarks or registered trademarks of Intel Corporation or its subsidiaries in the United States and other countries.