Zoran Corporation Licenses Macrovision 7.01 Copy Protection Technology for its NTSC/PAL Encoder Intellectual Property Core.

SUNNYVALE, Calif.--(BUSINESS WIRE)--Aug. 11, 1997--Macrovision Corporation (NASDAQ:MVSN) announced today that Zoran Corporation (NASDAQ:ZRAN) has been licensed to incorporate Macrovision's DVD copy protection technology into its NTSC/PAL encoder intellectual property core.

Zoran is one of the first companies to produce a highly-integrated NTSC/PAL encoder core with Macrovision's version 7.01 for DVD applications. Zoran's NTSC/PAL encoder core will allow PC graphics chip suppliers and DVD decoder manufacturers to deliver low-cost DVD solutions for system manufacturers.

"We are pleased to be incorporating Macrovision's analog copy protection technology into our products for the PC and multimedia consumer markets," said Dr. Levy Gerzberg, Zoran's President and CEO. "Macrovision's analog copy protection technology will help content providers to protect their programs from unauthorized copying, and in turn will help increase the overall amount of content available on digital formats. Macrovision's technology also complements the CSS (Content Scrambling System) we recently licensed from Matsushita."

"More and more IC manufacturers are producing chips with Macrovision copy protection capability as a result of increased demand from DVD player and digital set-top decoder manufacturers," said Mark Belinsky, Vice President of Macrovision's Copy Protection Group. "We welcome Zoran to our family of IC partners and look forward to working with them as the demand for DVD players and digital set-top decoders with copy protection capability continues to increase."

Copy protection-capable circuits developed by Macrovision-licensed semiconductor manufacturers are included in DVD players and digital set-top decoders. These circuits convert digital signals into analog, and have the capability of adding copy protection technology to the analog signal sent to TV sets. This enhanced technology is designed to protect DVD content from unauthorized duplication, thereby encouraging copyright owners to provide the best possible programming for DVD and pay-per-view platforms.

The Macrovision technology complements the CSS, which is designed to protect MPEG-based DVD programming prior to being converted for analog output to a television receiver.

Macrovision has licensed 31 companies worldwide to incorporate its copy protection technology in their digital-to-analog semiconductor chips. In addition, 43 DVD player or DVD ROM card manufacturers have agreed to include Macrovision-capable ICs in 100% of their DVD hardware and 36 digital set-top decoder manufacturers have licensed Macrovision's copy protection technology.

About Zoran

Zoran Corporation develops and markets integrated circuits and software for digital video and audio applications enabled by compression for the PC and consumer multimedia markets. Zoran's product lines include JPEG codecs, MPEG and DVD decoders, Dolby Digital and MPEG audio decoders, real-time Video CD and DVD software for the PC, and VLSI cores. The company's software is bundled by PC and graphic system manufacturers for software-only or hardware assisted Video CD, DVD and JPEG compressed video playback on the PC.

Current applications for Zoran IC products include professional and consumer video editing systems, filmless digital cameras, PC-based or stand-alone Video CD systems and DVD players, and digital audio systems.

Zoran's technology-independent NTSC/PAL encoder core provides the functionality to support all variations of NTSC or PAL encoding. The addition of support for the Macrovision 7.01 copy protection makes it one of the most complete synthesizable NTSC/PAL cores in the industry. Zoran's pre-verified intellectual property cores have been successfully ported to many leading ASIC libraries.

The NTSC/PAL encoder core helps meet the growing demand for video output capabilities in PCs and consumer electronic devices by integrating the required functionality into graphics and other chips. By providing high-quality intellectual property cores, Zoran enables manufacturers to significantly reduce time-to-market and development costs for next generation multimedia products.

The company has further strengthened its technology leadership with the recent acquisition of CompCore Multimedia, Inc., a leading provider of software and hardware IC cores for multimedia products. Zoran is headquartered in Santa Clara, Calif., with operations in Haifa Israel, Tokyo, Japan and Toronto, Canada. For more information about Zoran call 408/919-4111, or contact the World Wide Web site at http://www.zoran.com .

About Macrovision

Macrovision Corporation develops and markets technologies to protect the interests of content providers in the distribution of video and audio programming. The company offers products and services for the home video, pay-per-view, cable, satellite, theatrical and corporate communications markets. Macrovision has subsidiaries in London and Tokyo, with headquarters in Sunnyvale, Calif.

All statements contained herein, as well as oral statements that may be made by the Company or by officers, directors or employees of the Company acting on the Company's behalf, that are not statements of historical fact, constitute "forward-looking statements" and are made pursuant to the Safe-Harbor provisions of the Private Securities Litigation Reform Act of 1995.

Such forward-looking statements involve known and unknown risks, uncertainties and other factors that could cause the actual results of the Company to be materially different from the historical results or from any future results expressed or implied by such forward-looking statements. Such risks and uncertainties are outlined in the Company's Registration statement on Form SB2 and in its reports on Form 10QSB. The Company is not obligated to revise or update any forward-looking statements in order to reflect events or circumstances that may arise after the date of this release. -0-

Note to Editors: Additional background information on Macrovision Corporation and the Copy Protection Group is available through our Fax-On-Demand System (cannot be accessed internationally) at 1/800/344-7833. For a complete index of all documents, please select Document No. 9200, or visit our Web Site at www.macrovision.com .

CONTACT: Macrovision Corporation

Mark Belinsky, 408/743-8600

or

Zoran Corporation

Tanya DeVecchio, 408/919-4229

or

Virtual Public Relations

Carey Mitchell, 415/369-7833