Spacial Audio Solutions and Thomson Deliver Industry's First Live Streaming Audio Encoding Software with mp3PRO

Business Wire, June 5, 2003

Business & High-Tech Editors

LUBBOCK, Texas--(BUSINESS WIRE)--June 5, 2003

Spacial Audio Products Now Stream CD-Quality Audio Using Half the

Bandwidth of mp3 Files

Spacial Audio Solutions today announced the addition of Thomson's mp3PRO codec to its Internet broadcast software suite including: SAM2 (Streaming Audio Manager), SOS (Stream Overlay System), SimpleCast, and plug-ins for DRS 2006 and Winamp. Utilizing Spectral Band Replication (SBR) technology created by Coding Technologies, mp3PRO enables broadcasters to deliver CD-quality audio using half the bandwidth of standard mp3 files. For example, an mp3 audio file requiring 128 kbps (kilobits per second) can now be streamed at 64 kbps while maintaining full audio quality.

Spacial Audio Solutions has chosen mp3PRO for its initial release for mp3PRO's consumer appeal and backward-compatibility with standard mp3 files. The majority of large collections currently held by broadcasters and consumers are in mp3 format and this choice eliminates the need for file conversion by either broadcasters or consumers.

"The Holy Grail for Internet broadcasters is to stream a CD-quality file while keeping bandwidth costs at a minimum," remarked Bryan Payne, CEO of Spacial Audio Solutions. "The addition of mp3PRO encoding to our streaming media suite allows broadcasters to deliver CD-quality audio and either cut their bandwidth cost in half or double their audience size."

"Mp3 was accepted by the ISO in 1992 as an international standard. Today, practically every PC contains licensed mp3 software, virtually every song has been mp3-encoded and some 100 million mp3 players are expected to reach the global market by year's end," said Henri Linde, Vice President, New Business of the Patent and Licensing unit for Thomson. "The advanced streaming solutions of Spacial Audio Solutions, SAM2 and SOS, will further confirm the use of mp3 technology in its latest version, mp3PRO, as the de-facto industry standard."

Media players and plug-ins currently supported by Spacial Audio Solutions include Windows Media 9, DRS 2006, and Winamp. Germany-based RadioMelodie (www.radiomelodie.de) was the first Internet broadcaster to adopt the new live streaming encoder technology.

Thomson (Euronext Paris:18453)(NYSE:TMS) is the exclusive licensing representative for mp3 patents and software of Fraunhofer and Coding Technologies. Mp3PRO is the combination of mp3 and Coding Technologies' SBR technology. A unique bandwidth extension technique, SBR enables the mp3 codec to deliver the same quality at half the bit rate.

Thomson's mp3 and mp3PRO licensing programs are managed by the Group's Patents and Licensing division. They are recognized by music distribution, software, and consumer electronics industries as the engine behind the worldwide success of the pioneering codecs. Key among the programs is the exclusive representation of mp3 and mp3PRO patents under the combined patent portfolio of Thomson, Fraunhofer, and Coding Technologies. With more than 200 corporate licensees, mp3 and mp3PRO are the world standard in digital audio compression.

About Spacial Audio Solutions

Spacial Audio Solutions was formed in 1998 to develop streaming software solutions for small and large broadcasters. Innovative products like Streaming Audio Manager (SAM) and MediaPoint Manager (MPM) have helped lead the digital streaming revolution and continue to set the industry standard in functionality and cost-effectiveness.