Hitachi Hard Drives to Power Digital Cinema Projection Systems from SM Data; 500-Gigabyte Deskstar Hard Drive Allows Digital Cinema Solution to Replace 35-mm Film

Business Wire, April 4, 2006

LONDON -- Hitachi Global Storage Technologies (Hitachi) today announced that its award-winning Deskstar(R) hard disk drive will be used in SM Data's StoreData Digital Cinema System, one of the first hard-drive-based digital cinema projection systems in Europe.

The StoreData solution uses multiple 500-GB Deskstar 7K500 SATA hard drives for storing digital cinema content, replacing the need for storing and projecting cinema content using 35-mm films. Hitachi Deskstar drives were chosen for their large capacities, high reliability, ultra-fast transfer rates, quiet acoustics and low power requirements. Spain-based SM Data specializes in high-end, high-performance storage networking solutions.

The affordability and high capacity of hard disk drives bring tremendous benefit to the feature film industry much in the same way they have for the consumer electronics industry -- in applications such as MP3, DVR and digital photography. The digitization and storage of cinematographic media -- as with music, photos and video -- allow for easier manipulation, distribution and management of the content and, thus, better cost- and process-efficiencies.

"SM Data's StoreData solution is a pioneering step for both the film and hard drive industries," said Steve Pereira, director, EMEA, Hitachi Global Storage Technologies. "Our Deskstar drive has been extremely popular for use in digital video recorders and digital content management; the StoreData Digital Cinema System brings together the best attributes of those applications."

"We're excited to be one of the first companies to deliver a product that signifies a major shift in how traditional 35-mm films are stored and projected in theatres," said Jordi Sabiol, general manager, SM Data. "SM Data's StoreData Digital Cinema System along with the Hitachi Deskstar will transform cinema projection by making it more efficient, reducing costs and raising the bar of quality and comfort for viewers."

SM Data's StoreData Digital Cinema System is comprised of two units: The StoreData GESPRO and the StoreData DECPRO. StoreData GESPRO is a central server unit that stores the digital content and is capable of projecting multiple streams of cinema to rooms connected through a network. The SATA interface in Hitachi Deskstar allows for extremely high transfer rates. StoreData DECPRO is an exhibition projection module used to project cinema in each room or theatre. StoreData Digital Cinema System's architecture has the capability of managing all cinema formats and currently is based on the commonly used architecture as defined by Digital Cinema Initiatives.

The hard-disk-drive-based system is the result of best-of-breed technology contributions made by three Spanish companies: Apuntolapospo, a post-production cinema company, Diginsys, an expert in audio/video compression formats and SM Data, which specialises in high availability storage systems.

Hitachi's Deskstar family of products has been widely recognized for its performance and capacity leadership. Deskstar products also integrate Hitachi's Smooth Stream technology to enhance video streaming functionality and were the first ATA drives to reach data transfer rates of 3.0 Gb/s. Additional information about Hitachi Deskstar hard drives can be found at www.hitachigst.com/deskstar.> About Hitachi Global Storage Technologies

Hitachi Global Storage Technologies is a storage technology leader, founded in 2003 through the combination of Hitachi's and IBM's hard disk drive businesses. Hitachi GST enables users to fully engage in the digital lifestyle by providing high-value hard drives in formats suitable for the office, on the road and in the home.

With its legacy in hard drive invention, Hitachi GST will lead the industry in celebrating the hard drive's golden anniversary in 2006. After five decades of innovation, the hard drive has had a profound effect on the computing and consumer electronics industries. That heritage lives on at Hitachi GST through products that define the standard for hard drive miniaturization, capacity, performance and reliability.

With more than 27,000 employees worldwide, Hitachi GST offers a comprehensive range of hard drive products for desktop computers, high-performance servers, notebooks and consumer devices. For more information, please visit the company's web site at www.hitachigst.com.

About Hitachi, Ltd.

Hitachi, Ltd., (NYSE:HIT), headquartered in Tokyo, Japan, is a leading global electronics company with approximately 347,000 employees worldwide. Fiscal 2004 (ended March 31, 2005) consolidated sales totaled 9,027.0 billion yen ($84.4 billion). The company offers a wide range of systems, products and services in market sectors including information systems, electronic devices, power and industrial systems, consumer products, materials and financial services. For more information on Hitachi, please visit the company's website at http://www.hitachi.com.

About SM DATA

Founded in 1989, with offices in Barcelona and Madrid, SM Data is a Spanish value added distributor specialized in high end and high performance storage networking solutions in heterogeneous environments. SM Data also is manufacturer of external RAID Systems marketed with its own brands StoreData and MacData. SM Data is an active member of SNIA (Storage Networking Industry Association) and represents numerous manufacturers of advanced technology products of high quality, worldwide leaders. For more information on SM Data, please visit the company's website at http://www.smdata.com.