The Consumer Electronics Association Recognizes SONICblue's Design and Engineering Strengths; ReplayTV and Rio Products Honored with Prestigious Innovations 2002 Awards.

Business Editors/High-Tech Writers

CES 2002

SANTA CLARA, Calif.--(BUSINESS WIRE)--Dec. 17, 2001

SONICblue(TM) Incorporated (Nasdaq:SBLU), the Company at the cutting-edge of consumer audio and video technology, has received Innovations 2002 awards for its unique ReplayTV 4000 digital video recorder (DVR) and newly announced Rio Advanced Digital Audio Center. Sponsored by the Consumer Electronics Association (CEA), and presented in conjunction with International CES, Innovations awards annually recognize the best designed and engineered products in the consumer technology arena. This year's awards mark the fourth year in a row that ReplayTV products have won an Innovations award.

"These awards are a clear indicator that we are on track with our goal of changing the way people think about digital entertainment in their homes," said Ken Potashner, CEO and chairman, SONICblue. "Our ReplayTV 4000 and Rio Audio Center products are excellent examples of innovation in digital audio and video technology - giving consumers more flexibility to choose how, when and where they enjoy music, television and more."

Both CEA and SONICblue will showcase the ReplayTV 4000 and Rio Audio Center at the International CES show in Las Vegas, January 8-12, 2002.

About ReplayTV 4000

The world's first broadband and home network-enabled digital video recorder (DVR), SONICblue's ReplayTV 4000 lets users record up to 320 hours of TV programs and other video throughout the house via a home network. The product can also store digital photos and home movies, allowing users to view their favorite digital photos on the television. For more information on SONICblue's ReplayTV 4000, including detailed product specifications and pricing, or to purchase a unit, please visit www.SONICblue.com or call 877-REPLAYTV.

About Rio Advanced Digital Audio Center

Announced today in a separate SONICblue press release(1), the Rio Audio Center is a revolutionary home stereo component that moves digital audio off of the PC and into the living room. As simple to use as a CD player, but as smart as a PC, the Rio Audio Center stores over 650 CDs and lets users find the songs they want instantly, create unlimited play lists and fill their home with superb digital sound. The Rio Advanced Digital Audio Center will even write music to a CD, transfer music to Rio portables or play music on companion Rio Receivers placed elsewhere in the home. For more information on SONICblue's Rio Audio Center, including detailed product specifications, pricing and availability, please visit www.SONICblue.com.

About SONICblue Incorporated

SONICblue is a leader in the converging Internet, digital media, entertainment and consumer electronics markets. Working with partners that include some of the biggest brands in consumer electronics, SONICblue creates and markets products that let consumers enjoy all the benefits of a digital home and connected lifestyle. SONICblue holds significant financial assets, global marketing capabilities and a focused technology portfolio that includes Rio(R) digital audio players; ProGear(TM) Information Appliances; ReplayTV(R) personal television technology and software solutions; and Go-Video(R) Dual-Deck(TM) VCRs and integrated DVD+VCRs.

Except for the historical information contained herein, the matters set forth in this press release are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risk and uncertainties that may cause actual results to differ materially, including, but not limited to, the ability of the Company, its suppliers, retailers and distributors to meet product release dates, manufacturing difficulties, the impact of competitive products and pricing, alternative technological advances, future issued patents and patent challenges, the development of the digital video recorder market and other risks detailed from time to time in the SEC reports of SONICblue Incorporated, including its quarterly report on Form 10-Q for the period ended September 30, 2001. These forward-looking statements speak only as of the date hereof. SONICblue disclaims any intention or obligation to update or revise any forward-looking statements.

SONICblue is a trademark of SONICblue Incorporated. ReplayTV is a registered trademark of SONICblue Incorporated. Rio is a registered trademark of RioPort, Inc. and is used by SONICblue under license from RioPort Inc. All other products and brand names as they appear in this release are trademarks or registered trademarks of their respective holders. All specifications may be changed without notice.

(1) Please see SONICblue press release from today entitled, "SONICblue Unveils Rio Advanced Digital Audio Center."