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MainConcept H.264 Technology Named “Best Commercial Codec” For Second Time

March 5, 2008

H.264 Encoder Rated Best Among Leading Encoding Solutions Worldwide in 4th Annual Moscow State University Comparison

SAN DIEGO–(BUSINESS WIRE)–DivX, Inc. (NASDAQ:DIVX), a digital media company, today announced that its wholly-owned subsidiary MainConcept AG, the world’s leading provider of audio and video codecs and software development kits, has won the annual Moscow State University Media & Graphics Lab MPEG-4 AVC/H.264 Video Codecs Comparison.
The MainConcept H.264 solution is widely deployed by a number of partners across the media industry. DivX, which has built a global standard for high-quality digital video across any device, acquired MainConcept in November, 2007 and plans to implement the award-winning H.264 technology in its products.

The goal of the annual comparison is the evaluation of the leading H.264 codec implementations. Codecs were evaluated using objective metrics in videoconferencing, movie, and high definition television applications. MainConcept’s offering was found to demonstrate the best quality for all testing sequences in all three categories. Other codecs evaluated in the competition included those from x264, Intel IPP, Artemis x264 and AMD. The results of the comparison can be viewed online at https://compression.ru/video/codec_comparison/mpeg-4_avc_h264_2007_en.h tml#download.(Due to its length, this URL may need to be copied/pasted into your Internet browser’s address field. Remove the extra space if one exists.)

“This is the second time MainConcept participated in the MSU Comparison – the leading benchmark for H.264 codecs – and for the second time we came out on top,” said Markus Moenig, Chief Technology Officer at DivX, Inc. and founder of MainConcept. “We are proud to rank first in a list of strong competitors. This also confirms the market’s esteem for MainConcept as the number one commercial solution for video compression technology across a wide variety of applications.”

The H.264 codec is among the leading video codec standards today, widely adopted for its high definition capability. Depending on the video source quality, customers may also choose different codec quality or even other video encoding standards such as MPEG-2, VC-1, JPEG2000 or others, all offered by MainConcept. Additionally, MainConcept provides one-stop solutions, such as MainConcept Reference, a professional transcoding tool that integrates all MainConcept encoding and decoding products in one set.

About DivX, Inc.

DivX, Inc. is a digital media company that enables consumers to enjoy a high-quality video experience across any kind of device. DivX creates, distributes and licenses digital video technologies that span the “three screens” comprising today’s consumer media environment—the PC, the television and mobile devices. Over 100 million DivX Certified® devices have shipped into the market from leading consumer electronics manufacturers. DivX also offers content providers and publishers a complete solution for the distribution of secure, high-quality digital video content. Driven by a globally recognized brand and a passionate community of hundreds of millions of consumers, DivX is simplifying the video experience to enable the digital home.

About MainConcept

MainConcept is the worldwide leading provider of high-quality codec technology for the broadcast, film, consumer electronics, computer software, medical imaging and security markets. MainConcept solutions are optimized for various platforms including PCs, set-top boxes, portable media players and mobile phones. MainConcept supports the most popular industry standards such as MPEG-2, MPEG-4 Part 2, H.264/AVC, VC-1, DV, DVCPRO, DVCPro HD, JPEG2000, AAC, HE-AAC and AC3. MainConcept is located in Germany with subsidiaries in the USA, Russia, and Japan. The company serves the Asia-Pacific region through key distribution partners in China, Korea, and Taiwan. MainConcept customers include some of the most respected international companies in the world. MainConcept is a wholly owned subsidiary of DivX, Inc. (NASDAQ:DIVX). For more information about MainConcept and available codecs visit www.mainconcept.com or www.codecby.com. Parties interested in licensing MainConcept technology can contact the company at sales(at)mainconcept.com.

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; risks associated with DivX’s ability to penetrate existing and new markets; risks regarding 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 14, 2007. 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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