DivXNetworks Named to AlwaysOn(TM) List of Top 100 Private Companies

Leading Digital Video Company Honored as One of the Most Innovative Private Companies in the World

San Diego, CA–Jun 23, 2003 — DivXNetworks Inc. (www.divxnetworks.com), the company that created the revolutionary, patent-pending DivX® video compression technology, today announced its inclusion on the first-annual AlwaysOn (AO) Top 100 Private Companies list. AlwaysOn, the media company that covers innovation in technology and business, compiled the list with assistance from KPMG’s emerging business practice, KPMG 1Start. The two groups surveyed more than 1,000 venture investors, investment bankers, top entrepreneurs and executives, who nominated more than 700 companies for the competition. The full list can be found at www.alwayson-network.com.

Tony Perkins, AlwaysOn editor, and KPMG 1Start, identified the AO100 companies based on their innovation and demonstrated leadership among their peers in at least two areas: market traction measured by revenue or customer growth and game-changing approaches and technologies that are likely to disrupt existing markets and entrenched players.

In explaining the selection process, Mr. Perkins notes: “Our survey proves that private company innovation is alive and thriving. We believe that many of the companies funded in the last 12 months will end up being some of the biggest names associated with the Internet. To raise money and win customers in this market, private companies must show that their products and services are an order of magnitude above what currently exists in the marketplace.”

“Our inclusion on this list is a testament to the skill, dedication and tireless work of the great team we have in place at DivXNetworks as well as the global community of DivX users who have actively and enthusiastically supported the technology from our earliest days,” said Jordan Greenhall, founder and chief executive officer of DivXNetworks, Inc. “DivX video has quickly escalated from a grassroots video technology with a cult following to become the most popular and highest-performing video compression technology in the world. The enormous global demand for DivX-powered applications and products has enabled us to build a profitable and thriving business around the technology, and it is gratifying to receive external recognition for that achievement.”

A reception will be held honoring the winners on July 15, 2003 at AO2003: The Innovation Summit, taking place July 15-17 at Stanford Law School on the Stanford University Campus. The event will feature over 60 keynote-level speakers, 15 sessions, and 2 days of conversation about what’s driving the next wave of innovation. For more information visit: www.alwayson-network.com/events/index.php.

About DivXNetworks

DivXNetworks is a consumer-focused video technology company positioned at the center of multimedia convergence. The company’s core offering is the DivX® video codec, the world’s most popular MPEG-4 compatible video compression technology with over 85 million users worldwide. Often called “the MP3 of video,” the patent-pending DivX video technology offers DVD-quality at 10 times greater compression than MPEG-2 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. DivXNetworks is headquartered in San Diego, California, with a satellite office in Los Angeles. For more information, visit www.divxnetworks.com.

About AlwaysOn

AlwaysOn (AO) is a media company dedicated to connecting global leaders and technology industry insiders whose ideas and innovations are shaping the always-on world. AO’s founding premise is that consumers and businesses are demanding greater access to the Web for more convenience and productivity, and these demands are beginning to drive the next boom in high technology.