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DivX Hosts Free Film Screening of Before the Music Dies

March 15, 2007

Independent documentary examines state of music industry; promotes new approach to content creation and distribution in a digital age

San Diego, CA–March 15, 2007–DivX, Inc. (NASDAQ: DIVX) today announced it will host a screening of Before the Music Dies, a documentary that reveals the darker side of the music industry, on March 21 at 7 p.m. at UCSD’s Price Center in La Jolla. Admission is free and the event is open the public. Attendees can also watch or download film trailers and bonus content at DivX® Stage6 (www.stage6.com/B4MD).
Filmmakers Andrew Shapter and Joel Rasmussen take viewers behind the scenes with Erykah Badu, Branford Marsalis, Questlove, Elvis Costello, Bonnie Raitt, Dave Matthews and several other well known and independent musicians to uncover the real nature of the music business. Examining the lack of innovation in the music industry today, the filmmakers question whether great musical legends like Bob Dylan or Ray Charles would make it in today’s homogenous entertainment landscape. On the positive side, the film explores the ways in which technology and the Internet are being utilized by independent musicians seeking an alternative to traditional distribution.

“Consumers can no longer depend on the record industry to choose what music is good and what music is bad,” said Shapter, filmmaker from Before the Music Dies. “Rallying with companies such as DivX, who are passionate about building a high-quality media experience for consumers, will show huge corporations that audiences demand the right to have a voice in the content they consume.”

Content from the film is also available for viewing and download on DivX Stage6, a high-quality digital video community. Content creators like Shapter and Rasmussen can leverage Stage6 to communicate directly with audiences who demand better media. Stage6 delivers a high-quality video experience, and allows content creators to interact directly with their fans and engage them further with bonus content like trailers and special interviews.

“Before the Music Dies personifies the independent spirit of artists taking it into their own hands to create meaningful content for their fans,” said Darrius Thompson, CXO, Community and Internet, DivX, Inc. “And it speaks to the reasons we built Stage6–as a place for content creators to share their work with a global community of users looking to discover new and interesting content they may not find anywhere else.”

The screening of Before the Music Dies starts at 7 p.m. on March 21, 2007 at the Price Center located on the University of California, San Diego campus. For trailers and special features, visit the Stage6 Channel at www.stage6.com/B4MD.

About “Before the Music Dies”

Never have so few companies controlled so much of the music played on the radio and for sale at retail stores. At the same time, there are more bands and more ways to discover their music than ever. Music seems to have split in two– the homogenous corporate product that is spoon-fed to consumers and the diverse independent music that finds devoted fans online and at clubs across the country. “Before the Music Dies” tells the story of American music at this precarious moment. Filmmakers Andrew Shapter and Joel Rasmussen traveled the country, hoping to understand why mainstream music seems so packaged and repetitive, and whether corporations really had the power to silence musical innovation. The answers they found on this journey–ultimately, the promise that the future holds–are what makes “Before the Music Dies” both riveting and exhilarating. To learn more visit www.beforethemusicdies.com.

About DivX, Inc.

DivX creates products and services designed to improve the experience of media. Our first product offering was a video compression-decompression software library, or codec, which has been actively sought out and downloaded over 200 million times in the last four years, including over 60 million times during the last twelve months. We have since built on the success of our codec with other consumer software, including the DivX Player application, which is distributed from our website, www.divx.com. We also license our technologies to consumer hardware device manufacturers and certify their products to ensure the interoperable support of DivX-encoded content. In addition to technology licensing to consumer hardware device manufacturers, we currently generate revenue from software licensing, advertising and content distribution.

Forward-Looking Statements

Statements in this press release that are not strictly historical in nature constitute “forward-looking statements.” Such statements include, but are not limited to, statements regarding DivX’s visibility within the investment community. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause DivX’s actual results to be materially different from historical results or from any results expressed or implied by such forward-looking statements. These factors include, but are not limited to, the risk that customer use of DivX technology may not grow as anticipated, the risk that anticipated market opportunities may not materialize at expected levels, or at all, the risk that the Company’s activities may not result in the growth of profitable revenue, risks and uncertainties related to the maintenance and strength of the DivX brand; DivX’s ability to penetrate existing and new markets; the effects of competition; DivX’s dependence on its licensees and partners; the effect of intellectual property rights claims; and other factors discussed in the “Risk Factors” section of DivX’s quarterly report on Form 10-Q filed with the SEC on November 13, 2006. All forward-looking statements are qualified in their entirety by this cautionary statement. DivX is providing this information as of the date of this release and does not undertake any obligation to update any forward-looking statements contained in this release as a result of new information, future events or otherwise.

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