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Apex Digital to Integrate DivX Video Technology into Entire Product Line in 2005

January 6, 2005

Two Companies Will Work Together to Bring to Market DivX Certified DVD Players, Portable Video Players, High-Definition Devices and More

January 6, 2004—Las Vegas, NV—DivX, Inc., the company that created the revolutionary, patent-pending DivX video compression technology, and Apex Digital, Inc., one of North America’s top sellers of DVD players, today announced a wide ranging strategic partnership to integrate DivX video technology into the complete line of Apex consumer electronics devices for 2005. These devices will include DVD players, high-definition devices, portable video players, digital video recorders (DVRs) and DVD-R devices and more.

Products that bear the DivX Certified logo have undergone a rigorous quality and compatibility testing program to ensure interoperability, security and visual quality. DivX Certified products enable consumers to create, play and share high-quality video content across a range of devices and platforms. Apex Digital plans to obtain DivX Certification for its complete line of video devices – available at major retail outlets across North America.

Apex Digital is one of the leading providers of DVD players in North America and one of the fastest growing companies in consumer electronics history. DivX video has become one of the most popular video technologies in the world by enabling the creation and distribution of DVD-quality video at file sizes small enough to be easily transferred among an entire ecosystem of products and platforms.

“Our customers have told us that they want the flexibility to playback more of their entertainment content on one device, regardless of file format,” said Apex Digital’s Steve Brothers. “Apex was one of the first manufacturers to build MP3 and JPEG playback into our devices, and now that DivX has emerged as a popular compression format, we want to be among the first to offer consumers the ability playback those files away from their computers.”

“Apex Digital is one of the fastest-growing consumer electronics companies in history, and their industry leadership has helped bring a wide range of high-quality, affordable products to consumers,” said Shahi Ghanem, President of DivXNetworks. “Apex is again demonstrating their innovative market approach and leadership by deploying DivX technology across their complete product line in 2005. Next year, consumers in North America and the rest of the world will be able to find the DivX logo on many Apex products, including DVD players, high-definition devices, portable video players, and more. These DivX Certified devices will let consumers with Apex products easily and seamlessly tap into the DivX Ecosystem – enabling them to create, play and share high-quality videos anywhere, anytime.”

The first Apex products to be DivX certified include the E2go MP-2000 and MP-6500 Portable Media Players, the 10.2” PD-1027 Portable DVD Player and the AD-2800X Home DVD Player. Apex will be featuring its 2005 line of consumer electronics devices at the Consumer Electronics Show in Las Vegas, Nevada at LVCC Booth 9022. For more information on DivX Certification, visit https://www.divxnetworks.com/solutions/certification. To learn more about Apex Digital, see https://www.apexdigitalinc.com/.

About DivXNetworks

DivX, Inc. is a consumer-focused video technology company positioned at the center of multimedia convergence. The company’s core offering is the DivX® video codec, among the world’s most popular video compression technologies with over 250 million DivX software downloads. The patent-pending DivX video can acheive DVD-quality at a fraction of the size of MPEG-2/DVD 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. DivX, Inc. is headquartered in San Diego, California with satellite offices in Los Angeles and San Jose, Calif., Taipei, Taiwan, Tokyo, Japan, Guildford, England and Düsseldorf, Germany.

About Apex Digital Inc.

Headquartered in Ontario, California, Apex Digital Inc. is one of the country’s leading manufacturers and marketers of DVD home entertainment players and a fast-growing supplier of analog and digital televisions. The company’s products are now carried in over 25,000 retail outlets nationwide. For more information about Apex Digital Inc. go to www.apexdigitalinc.com.

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