Pacific Digital and Microsoft Collaborate to Deliver First Working Implementation of ``Smart Network Key'' Wireless Configuration Architecture in a Digital Photo Album

Business Wire, May 7, 2004

Business Editors

SEATTLE--(BUSINESS WIRE)--May 7, 2004

Pacific Digital's MemoryFrame is Featured in Microsoft's on-Stage

Demo at Windows Hardware Engineering Conference 2004

Pacific Digital Corporation, the leading provider of digital photo frames and albums, has collaborated with Microsoft(C) to develop the first working implementation of Microsoft's Smart Network Key wireless configuration architecture in a digital photo frame. Smart Network Key is a Microsoft technology that allows quick, easy configuration of peripherals on a wireless LAN. Pacific Digital's MemoryFrame(TM) digital photo album was featured this week in Microsoft's on-stage demonstration of the technology at the Windows Hardware Engineering Conference 2004 in Seattle.

"Today's demonstration is the result of our collaboration with Microsoft and supports our overall vision for an easy-to-configure wireless network," said Robert Horton, Pacific Digital's Vice President of Marketing. "The Smart Network Key demonstration shows that the progression of wireless networking into the home lies within easy configuration protocols. Pacific Digital's wireless MemoryFrame has set a new benchmark for simplicity in wireless configuration for digital photo frames."

MemoryFrame is a new way to store and display digital photos. A stand-alone electronic photo album, it requires no camera memory card, PC, printer, paper, ink or monthly subscription fee. Users can easily and quickly transfer photos, on the spot, directly from a digital camera into MemoryFrame. Then they can immediately play them back -- in a continuous slideshow of vibrant, high-resolution images -- on MemoryFrame's active-matrix screen. MemoryFrame is available in several versions, including a wireless 802.11 model. For more information, visit www.pacificdigital.com.

ABOUT PACIFIC DIGITAL

Established in 1996, Pacific Digital Corporation is a leading supplier of complete storage and multimedia solutions. The Consumer Product Division focuses on DVD and CD-RW optical storage and USB peripherals, including the MemoryFrame digital photo album and the DrumXtreme digital drum set. The Advanced Product Division focuses on the RaidStaQ(TM) family of ADMA products. These range from IC solutions for motherboard and disk controller OEMs to an array of Ultra-ATA & SATA host adapters.

Pacific Digital Corporation is headquartered at 2052 Alton Parkway, Irvine, CA 92606. Phone is 949-252-1111; Fax is 949-477-9397. Web site is www.PacificDigital.com.

MEDIA NOTE: Photo available from "Press Room" at www.pacificdigital.com.