Intel to Work with Major Consumer Electronics Companies to Bring `Portable Media Players' to Market; Intel and Microsoft Collaborate on Reference Design.

Business Editors/High-Tech Writers

2003 International CES

LAS VEGAS--(BUSINESS WIRE)--Jan. 9, 2003

International Consumer Electronics Show

Intel Corporation today announced that it is working with Microsoft Corp. to develop a portable media player (PMP) hardware reference design for the new Microsoft Media2Go* software platform. As a result of the Intel and Microsoft collaboration, Samsung Electronics and ViewSonic Corp. will develop Intel(R) XScale(TM) technology-based PMPs running the Media2Go* platform that will allow consumers to enjoy video and other types of media anywhere they want.

Called the portable video player in its early development, the PMP is a new type of mobile entertainment product pioneered by Intel. PMPs will be small enough to fit in a coat pocket and will allow people to take video, still pictures and music with them anywhere they go -- on the plane, train, or bus, to the gym, or hand it to the kids sitting in the back seat of the car during a long drive. Intel-based PMPs will feature high-quality video playback using an Intel(R) XScale(TM) technology-based processor. The different types of media can be transferred to a PMP from a PC or a Personal Video Recorder using a fast Hi-Speed USB 2.0 connection.

Intel and Microsoft are working together to develop an initial hardware reference design based on Intel XScale technology and Microsoft's Media2Go software platform. Media2Go is based on Microsoft's Windows CE .NET* operating system and offers consumers the ability to enjoy their videos, music and photos on-the-go.

"Intel and Microsoft are paving the way for device manufacturers to deliver compelling PMP products to consumers quickly and cost-effectively," said Peter Green, general manager of Intel's Extended Computing Division. "Microsoft Media2Go helps make it easier for users to bring media content from the PC to the PMP and takes advantage of the high performance and low power consumption of Intel's XScale processors."

Samsung Electronics and ViewSonic Corp. will develop Intel XScale technology-based PMPs running the Microsoft Media2Go software platform. Both companies will develop PMPs and build on Intel's technology enabling work over the last two years in key areas such as video playback and device architecture. Intel has been working with numerous consumer electronics manufacturers and software providers for more than a year to help bring Intel XScale technology-based PMP products to market.

"Just as VCRs gave consumers the freedom to view content when they wanted to, PMPs will give consumers the freedom to consume content where they want to," Green said. "By working with companies like Samsung and ViewSonic to build these new devices on Intel XScale technology-based processors, we can ensure that wherever they go, consumers will have a high-quality media experience."

Intel's Emerging Platforms Lab has developed key enabling technologies for the PMP, including high-performance video software (H.264/MPEG 4 Part 10 video codec), a USB 2.0 implementation, hard-drive caching algorithms that extend battery life, and working PMP prototypes and reference designs. By combining these technologies with the high-performance and low power consumption of Intel XScale technology-based processors, Intel is creating the foundation for a new category of mobile media devices.

Intel, the world's largest chip maker, is also a leading manufacturer of computer, networking and communications products. Additional information about Intel is available at www.intel.com/pressroom.

Intel XScale is a trademark or registered trademark of Intel Corporation or its subsidiaries in the United States and other countries.

* Other names and brands may be claimed as the property of others. Intel is a registered trademark of Intel Corporation or its subsidiaries in the United States and other countries.

Quote Sheet

At the 2003 Consumer Electronics Show today (Jan. 9), Intel announced that it is working with Microsoft, Samsung Electronics and ViewSonic Corp. to bring Intel(R) XScale(TM) technology-based portable media players (PMPs) to market that will allow consumers to enjoy video and other types of media on-the-go. The following quotes pertaining to the announcement are from key companies involved in this announcement, and serve as a supplement to the news release issued today:

    Keith White, senior director of the Embedded and Appliances
      Platform Group
    Microsoft Corp.

    "Consumers everywhere are discovering, downloading, managing and
playing back digital photos, music and movies on their Windows PCs.
Media2Go offers consumers a way to extend all that great content
beyond the PC and enjoy it on-the-go," said Keith White, senior
director of the Embedded and Appliances Platform Group at Microsoft.
"We're very pleased to be working with Intel and their Intel(R)
XScale(TM) architecture for our initial reference design, in
particular because of Intel's early efforts in enabling the category."

    HS Kim, senior vice president
    Samsung Electronics

    "Samsung believes that the portable media player represents a
compelling new way to consume digital content," said HS Kim, senior
vice president of Samsung Electronics. "By building these new devices
on Intel(R) XScale(TM) technology, we can help ensure that consumers
will get an affordable high-quality audio and video media experience.
Samsung's PMP will be the companion product of the Home Media Center
PC, which was recently launched in December 2002."

    Marc McConnaughey, senior vice president, Advanced Technology
     Group
    ViewSonic Corp

    "As digital content becomes mainstream, consumers will seek access
to their media, any place, any time, anywhere," said Marc
McConnaughey, senior vice president of Advanced Technology Group for
ViewSonic. "With the portable media player, ViewSonic is leveraging
our excellence in visual technology to bring consumers a mobile visual
and audio experience like no other."