Iomega unveils digital audio strategy

Business Wire, Nov 16, 1999

LAS VEGAS--(BUSINESS WIRE)--November 16, 1999--

From MP3 Players and the ZipCD(TM) External USB Drive to Working

With Windows Media Device Manager and SDMI, Iomega Offers

Leading Audio Storage Solutions

Iomega Corporation (NYSE:IOM), a leader in smart, portable storage solutions, today unveiled its broad digital audio strategy, to help music lovers access their favorite digital music anytime anywhere.

New digital music formats like MP3, portable music players and the Internet have created a tremendous opportunity for removable storage solutions. In disclosing its new strategy, Iomega announced its next ZipCD(TM) product and that Clik!(TM) drives will be featured in MP3 players from several manufacturers. Zip(R), Jaz(R) and Clik! disks also include a unique serialization feature, which protects copyrighted music when used with the Windows Media Device Manager and Secure Digital Music Initiative (SDMI) devices and applications.

"Iomega's Zip, Jaz and Clik! disks and ZipCD discs are the perfect solution for storing the user's digital music collection and easily transporting music from one computer to another," said David Henry, vice president and general manager, magnetic products, Iomega Corporation. "Unlike other secure digital music solutions that bind music to a hard drive or player, the Iomega solution binds music to a disk. Consumers can move their disks from office to home or from computer lab to dorm room. And with more than 30 million Zip drives and 180 million Zip disks shipped, our products are available just about everywhere."

Iomega has been developing digital audio initiatives on a number of fronts -- many of which are on display at the Iomega booth at COMDEX/Fall '99 (No. L5746) -- including: -0-

     Microsoft Partnership
     Iomega today announced that Iomega will support Microsoft's new
     Windows Media Device Manager (WMDM). WMDM will allow hardware and
     software companies to build Secure Digital Music Initiative
     (SDMI) capable devices and applications that can download music
     to Iomega's Zip(R), Jaz(R) and Clik!(TM) disks. With unique
     serialization on the more than 180 million Zip disks in the
     marketplace, Iomega provides an excellent solution for devices
     requiring SDMI-compliant portable media.

     "Yes" Promotion
     Music Choice, the world's largest provider of commercial-free
     digital music is premiering an Internet audio show this month
     promoting the legendary rock band YES' new album, "The Ladder,"
     coupled with digital downloads of exclusive new cuts and YES
     classics. Iomega sponsors the 30-minute show and the free
     downloadable package is available only to Zip disk users at the
     Music Choice Web site at www.musicchoice.com.

     Clik!(TM) MP3 Players
     Iomega is partnering with a number of developers of MP3 audio
     technology including Addonics, Optomedia Electronics Corporation
     (OME), Sensory Science and Varo Vision Co. The MP3 players and
     components with built-in Clik!(TM) drives are being demonstrated
     during COMDEX/Fall 1999. Demonstrations include audio players
     that hold more than 40 minutes of near CD quality audio on a
     single 40MB Clik! disk. With inexpensive 40MB Clik! disks,
     available for an estimated street price of $9.99 (U.S.) each,
     when purchased in 10-pack, customers can now create an unlimited
     collection of 40-minute play lists.

     Digital Signal Processing
     Iomega is working with leading component suppliers including
     Digital Signal Processing (DSP) vendors to support Iomega(R)
     drives. Enabling the rapid development of new digital audio
     products that support the secure download of music off the
     Internet. Programmable DSPs enable digital audio products to
     easily support a wide range of digital music standards (from MP3
     to Windows Media Audio). As new formats become available
     consumers can easily update their player with a simple download.
     With these vendors leading the way, Iomega is poised to become
     the removable storage vendor of choice for the digital music
     market.

     Secure Digital Music Initiative
     Iomega is an active member of the Secure Digital Music Initiative
     (SDMI). Iomega supports the SDMI goals of convenient access to
     quality recordings for consumers, ensuring copyright protection
     for artists' work, and enabling technology and music companies to
     build successful business on the Internet. Iomega's Zip(R),
     Jaz(R) and Clik!(TM) disks include a unique serialization
     feature, which conforms to the SDMI portable media standards.
     SDMI compliant digital music players built around Iomega(R)
     drives and media allow the secure download of music off the
     Internet while protecting music copyrights.

     ZipCD(TM) CDRW External USB Drive
     Yesterday, Iomega announced shipment of its next CD-Rewritable
     (CD-RW) drive, the ZipCD(TM) external USB drive. Available soon
     through retailers, resellers and Iomega's direct sales site,
     www.iomegadirect.com, the ZipCD drive gives users a new storage
     capacity to back-up, archive, transport, share and create up to
     650MB of audio or text data on a common CD format.