Sigma Designs Announces Support for DivX Connected Certification Program.

SAN DIEGO -- DivX Networks, Inc. today announced that Sigma Designs (NASDAQ:SIGM), a leader in digital media processing for consumer appliances has committed their support to the DivX Connected Certification Program. DivX Connected is a comprehensive certification program that brings together consumer devices, media server applications and premium online services to enable consumers to easily access digital media like video, music and photos on networked devices throughout the home.

Sigma Designs will provide a DivX Connected Certified platform for networked devices, which device manufacturers use as the base for their DivX Connected Certified Media Players. The DivX Connected Certification Program ensures interoperability among an ecosystem of networked CE devices, PC software and online services to support a wide-range of popular media formats for video, audio and photos.

"We are extremely pleased to add the support of Sigma Designs to the DivX Connected Program. This is a very significant development for the future of the connected entertainment experience, as Sigma Designs is one of the industry's most significant providers of IC products for networked devices. This partnership will go a long way toward creating robust digital media platforms for DivX Connected devices which easily manage a wide range of digital media content and online services," said Paul Sarena, Product Manager, DivX Connected Program at DivXNetworks.

Built upon the successful DivX Home Theater Certification program which has brought to market over 20 million DivX compatible devices from major manufacturers, the DivX Connected program extends rich digital media experiences throughout the home using inexpensive consumer devices, and adds access to premium content services, interactive gaming and rich media management applications.

"DivXNetworks has been a pioneer in the development of user-created digital media content and are continuing their contribution into the connected home," said Ken Lowe, vice president of strategic marketing for Sigma Designs. "We believe our customers will see real value in the addition of DivX Connected technology that helps bring digital media to the television and provides an interoperable platform for online services."

DivX Connected Certified products and services will carry a special DivX logo identifying their interoperability among software, devices and services from a variety of vendors to ensure consumers a seamless experience, whether listening to their digital music library or getting new movies from premium content providers. The first DivX Connected products are expected to hit the market in the second half of 2005. More information is available at: www.divxnetworks.com/connected.

About Sigma Designs

Sigma Designs (NASDAQ:SIGM) specializes in silicon-based MPEG decoding for streaming video, progressive DVD playback, and advanced digital set-top boxes. The company's award-winning REALmagic(R) Video Streaming Technology is used in both commercial and consumer applications providing highly integrated solutions for high-quality decoding of MPEG-1, MPEG-2 and MPEG-4. Headquartered in Milpitas, Calif., the company also has sales offices in China, Europe, Hong Kong, Japan, Korea and Taiwan. For more information, please visit the company's web site at http://www.sigmadesigns.com.

About DivXNetworks

DivXNetworks is a consumer-focused video technology company positioned at the center of multimedia convergence. The company's core offering is the DivX (R) video codec, among the world's most popular video compression technologies with over 160 million users worldwide. Often called "the MP3 of video," the patent-pending DivX video technology offers DVD-quality at 10 times greater compression than MPEG-2 files, enabling full length films to easily fit on a CD or be delivered over broadband connections. DivX video technology powers a range of applications that span the convergence value chain, from a secure IP-based video-on-demand solution to next-generation consumer electronics products and video software applications. DivXNetworks is headquartered in San Diego, California.