Digital River to Help Microsoft Expand E-Commerce; Software Maker to Offer Digital Downloads to More Than 200 Online Retailers

Business Wire, Sept 2, 2004

MINNEAPOLIS -- Digital River, Inc. (Nasdaq:DRIV), a global leader in e-commerce outsourcing, today announced it is working with Microsoft Corp. to expand Microsoft's e-commerce software distribution efforts. Specifically, through Digital River's network, Microsoft is offering digital downloads of its Plus! Digital Media Edition enhancement pack for Windows XP to more than 200 online retailers, including Best Buy, CompUSA, OfficeMax and Staples.

"Today's announcement is a great example of how the software industry is recognizing the benefits of delivering software via digital download," said Joel Ronning, Digital River's CEO. "Historically, Microsoft has distributed software mainly through traditional retail and OEM channels. By working with Digital River, Microsoft is now offering its customers more options to buy software with the instant gratification that only digital downloads can offer."

"Plus! Digital Media Edition is a must have for every Windows XP owner and now it's even easier to buy," said Kevin Unangst, director of Windows consumer marketing at Microsoft. "Our relationship with Digital River and its online retail partners lets us reach more potential customers than ever before."

Microsoft's Plus! Digital Media Edition is the ultimate photo, music and movie enhancement pack for Windows XP, and is the first Microsoft product to be sold as a download. Plus! Digital Media Edition is designed to offer consumers new ways to share photos with family and friends, enhance their music collections, and to get more out of Windows XP. The software product offers popular features, including Plus! Photo Story 2, Plus! Party Mode and Plus! Dancers.

About Digital River, Inc

Digital River, Inc., a global leader in e-commerce outsourcing, builds and manages online businesses for more than 40,000 software publishers, manufacturers, distributors and online retailers. Its multi-channel e-commerce solution, which supports both direct and indirect sales, is designed to help companies of all sizes maximize online revenues as well as reduce the costs and risks of running an e-commerce operation. The company's comprehensive platform offers site development and hosting, order management, fraud prevention, site merchandising, advanced reporting and analytics, product fulfillment, e-marketing and multi-lingual customer service.

Founded in 1994, Digital River is headquartered in Minneapolis with offices in Chicago, Mountain View, California, London, and Cologne, Germany. For more details about Digital River, visit the corporate Web site at www.digitalriver.com or call 952-253-1234.

Digital River is a registered trademark of Digital River, Inc. All other company and product names are trademarks, registrations or copyrights of their respective owners.