Sonic Solutions Debuts Industry's First Integrated DVD and Super Video CD Production System.

NOVATO, Calif.--(BUSINESS WIRE)--Nov. 24, 1998--

Teams with EnReach Technologies to Bring Complete DVD 

and Super VCD Production to the Chinese Market

Sonic Solutions, (Nasdaq:SNIC) the world's leading developer of DVD publishing systems, announced today that it has added support for the new Super Video CD (SVCD) standard to its Sonic DesktopDVD product line.

Partnering with EnReach Technologies Inc., creators of Enreach I-Author Deluxe SVCD authoring software, Sonic will begin shipping complete DVD and SVCD production tools in the Chinese and Pacific Rim markets in early December.

"Our customers in the Pacific Rim are very eager to begin creating SVCD titles," said Koki Terui, Vice President of Pacific Rim Operations for Sonic Solutions. "With the introduction of Sonic DesktopDVD with SVCD authoring, we are able to give multimedia developers, video distributors and video production professionals the tools they need to create Video CD, Super Video CD, and DVD content on an integrated system."

With a population of 1.2 billion people, China is the world's largest consumer of Video CD players and titles. The SVCD format was developed by the China National Technical Committee of Standards to bridge the gap between the MPEG-1 based Video CD format and DVD. The SVCD format delivers high-quality, variable bit-rate MPEG-2 video on standard-density CD media.

The new Sonic DesktopDVD with SVCD authoring system is comprised of tools for video encoding, audio encoding, and DVD and SVCD authoring and proofing. DVD authoring is provided by Sonic Solutions' award-winning DVD authoring software while SVCD and VCD authoring will be provided by EnReach's I-Author Deluxe 1.0 software. MPEG-2 VBR video encoding, as well as MPEG and Dolby Digital audio encoding, is delivered by Sonic Solution's DesktopDVD hardware.

EnReach Technology, the leading supplier of authoring tools for the new SVCD format, has assisted several China publishing companies in producing over 1,000 SVCD titles so far. "We are very excited that Sonic Solutions has selected EnReach's I-Author Deluxe authoring tool for bundling with Sonic's SVCD encoding solutions" said Eric Li, Director of Marketing and Sales for EnReach Technology. "This combination gives cutting-edge production facilities access to a complete high-quality SVCD content development system and further promotes the new SVCD standard."

About EnReach Technology

Headquartered in Santa Clara, Calif., EnReach Technology, Inc. is a leading provider of VCD and DVD content authoring solutions and services as well as embedded software platforms and technologies for TV-centric consumer electronic platforms including digital cable settop boxes, digital satellite set-tops, standalone set-tops, and DVD/VCD players. EnReach can be found on the Web at http://www.enreach.com.

About Sonic Solutions

Based in Marin County, Calif., Sonic Solutions (Nasdaq:SNIC) designs and manufactures DVD publishing systems used by video, audio and multimedia professionals around the world to prepare music, video, film, graphics and entertainment software. Sonic DVD Creator and DesktopDVD are the leading systems for producing content for the DVD format, and have been used to create thousands of DVD titles worldwide, for applications ranging from feature film releases to corporate and industrial titles.

Sonic also offers SonicStudio, the leading digital audio workstation used by audio professionals to prepare recorded sound for release on DVD and CD, as well as for film and video soundtracks and broadcast. Sonic is a leader in advancing DVD-Video and DVD-Audio technology and is a full voting-member of the DVD Forum, the standards-setting body for the DVD format. Sonic DesktopDVD with SVCD authoring is available through Sonic's Pacific Rim Headquarters located in Tokyo, Japan. Sonic Solutions can be found on the Web at http://www.sonic.com.

The above paragraphs of this press release contain forward-looking statements that are based upon current expectations. Actual results could differ materially from those projected in the forward-looking statements as a result of various risks and uncertainties including, among others, the timely introduction and acceptance of new products, costs associated with new product introductions, the transition of products to new hardware configurations and platforms and other factors, including those discussed in the Company's annual and quarterly reports on file with the Securities and Exchange Commission. This press release should be read in conjunction with the Company's most recent annual report on Form 10-K and quarterly report on Form 10-Q on file with the Securities and Exchange Commission, which contain a more detailed discussion of the Company's business including risks and uncertainties that may affect future results.

Note to Editors: Sonic, Sonic Solutions, the Sonic logo, DesktopDVD, DVD Creator, DVD PrePlay, DVD Producer, DVD Production Alliance, Sonic Lightspeed, Universal File System UFS and DVD Studio are trademarks of Sonic Solutions. All other company or product names are trademarks of their respective owners. Specifications, pricing and delivery schedules are subject to change without notice.