Ulead Releases iPod® Support for VideoStudio Consumer Video Editor; Output Templates Simplify Creation of Video Content for Popular Mobile Device

Business Wire, Jan 3, 2006

LAS VEGAS -- Ulead Systems, Inc., a 16-year industry leader in video, image and DVD software, today announced the Ulead(R) VideoStudio(R) 9 iPod PowerPack, a free update to the company's consumer editing software allowing users to easily produce video for the new video-enabled Apple(R) iPod(TM).

"Watching video on mobile devices is an important step in the convergence of IT and consumer electronics," said Eldon Liu, president of Ulead. "Whether users want to create or convert content for the iPod and other mobile devices, Ulead is uniquely positioned with a wide range of consumer-to-professional tools to do the job."

The new iPod PowerPack makes use of the Ulead MPEG-4 Plug-in for VideoStudio 9 and includes templates for outputting standard and widescreen iPod movies. The MPEG-4 Plug-in enables the software to output video for a range of devices including the Apple(R) iPod(R), Sony(R) PSP(TM) and DVD players supporting MPEG-4 playback from disc. Advanced users can configure MPEG-4 output settings to meet individual needs.

Pricing and Availability

The Ulead(R) VideoStudio(R) 9 iPod PowerPack is available at no cost to all registered users of VideoStudio 9. Users can download the plug-in from the Ulead Website at www.ulead.com. The iPod PowerPack requires that users first install the Ulead MPEG-4 Plug-in for VideoStudio 9, also available free for registered users of the full version of VideoStudio 9. The iPod PowerPack works with all language versions of VideoStudio 9.

About Ulead VideoStudio

Ulead(R) VideoStudio(R) 9 offers a range of video editing tools for consumers who want to quickly and easily turn home videos into polished movies and DVDs. Easy-to-use wizards automate the process of creating slideshows and videos. The full VideoStudio 9 Editor provides easy-to-use video editing tools for more advanced editing and disc authoring. VideoStudio is the no. 1 selling consumer video editing software in Japan with 42% market share from January to June 2005 according to the Japanese market research firm BCN and has received three consecutive Good Design Awards from the Japan Industrial Design Promotion Organization (JIDPO).

About InterVideo/Ulead

Ulead Systems, Inc. (TSE:2487), a leading developer of innovative video, imaging and DVD authoring software for desktop, server, mobile and Internet platforms, is majority owned by InterVideo, Inc. (NASDAQ: IVII). Ulead software empowers users of all levels with the tools to easily and affordably personalize, manage and share digital content. Ulead is a member of the DVD Forum, general member of the HD DVD promotion group and contributing member of the Blu-ray Disc Association. InterVideo is a leading provider of DVD software and has developed a technology platform from which it has created a broad suite of integrated multimedia software products that allow users to capture, edit, author, burn, distribute, and play digital video. For more information on Ulead, its products and services; visit www.ulead.com. Or contact InterVideo at 510-651-0888 or www.intervideo.com.

Safe Harbor Statement

Except for the historical statements contained herein, the foregoing release contains forward-looking statements, including statements regarding InterVideo/Ulead products. These forward-looking statements are subject to risks and uncertainties, and actual results could differ materially due to several factors, including but not limited to the ability to forecast customer behavior and recognize or respond to emerging trends, changing preferences or competitive factors, the market acceptance of our new products and product enhancements, the resolution of any notices of claims regarding alleged infringement of third parties' intellectual property rights, the ability to maintain or expand our relationship with PC OEMS and other risks and uncertainties. Please consult the various reports and documents filed by InterVideo with the U.S. Securities and Exchange Commission, including but not limited to InterVideo's Form 10-Q for other risk factors that could cause actual results to differ. All forward-looking statements are made as of the date hereof and InterVideo disclaims any responsibility to update or revise any forward-looking statement provided in this news release.

InterVideo is a registered trademark of InterVideo, Inc. All other trademarks are the property of their respective holders.