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Zoran Corporation Offers DivX Certified IC Solution for DivX Video Capture Support in Digital Still Cameras

January 8, 2007

LAS VEGAS, Jan 08, 2007 (BUSINESS WIRE) — DivX, Inc. (NASDAQ: DIVX) and Zoran Corporation, a leader in innovative media processing technologies for the digital home, announced today that the Zoran COACH 9 processor has received DivX Certification. As a DivX Certified Recorder, Zoran’s COACH 9 processor provides DivX video capture support in a number of next generation digital still cameras, powering high-quality DivX video recording capabilities for consumers.
The COACH 9 processor is an application specific digital signal processing IC, which constitutes the heart of a digital camera for capturing still images and video. It provides a complete, integrated, low power and low cost solution for digital camera manufacturers.

When evaluating digital still cameras in the market, consumers frequently demand the ability to record video in addition to shooting still photos. The capability to record high-quality video in the DivX media format has become an important product differentiator for digital still camera OEMs to offer consumers.

Through its DivX Certification, Zoran can provide its digital still camera OEMs products featuring DivX Certified Recorder “movie mode.”

“By working with DivX, we are able to provide our OEM customers with high-quality video recording as a key product differentiator,” said Ohad Meitav, Senior Director, digital cameras at Zoran. “In addition, consumers can enjoy the benefit of video compatibility with the tens of millions of DivX Certified DVD players and recorders powered by Zoran in the market today.”

“Zoran has been a strong DivX Certified and Ultra Certified partner for a number of years in the DVD market. We are excited to announce that their COACH 9 processor is a DivX Certified Recorder, powering DivX video capture support in a variety of digital still cameras from top brands,” said Kevin Hell, CXO, Partners and Licensing, at DivX, Inc.

In addition to creating a high-quality recording experience for consumers, DivX empowers consumers to take their favorite videos beyond the PC–content created via a DivX Certified digital still camera is easily transferred among an entire ecosystem of DivX Certified devices and platforms including DVD players, portable media players, in car DVD players, as well as shared on digital video community site DivX Stage6 at www.stage6.com.

Products that bear the DivX Certified logo have undergone a rigorous 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. Over 50 million DivX Certified devices from a variety of manufacturers have shipped worldwide.

For more information on DivX Certification, visit www.divx.com/certification. For more information on Zoran Corporation, see www.zoran.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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