Sonic Solutions and InterVideo Form Strategic Alliance to Bring DVD Authoring to the Home

InterVideo MyDVD™ by Sonic to be Marketed Through InterVideo's Established PC OEM and Consumer Sales Channels

Marin County, California (November 10, 2000) - Sonic Solutions, the leader in DVD authoring software, announced today that it has formed a strategic alliance with InterVideo, Inc., a leading developer of PC video & audio soft-ware. Through this new alliance, InterVideo will now market a new 'Sonic-developed' DVD authoring application for home users through its established PC OEM and con-sumer sales channels.

Called InterVideo MyDVD by Sonic, this low-cost yet highly capable authoring application is part of InterVideo's new WinCinema™ suite of advanced video and audio software solutions. It features an extremely friendly user interface and is built upon the same high-performance formatting engine in Sonic's DVD Creator®, DVD Fusion for Macintosh® and DVDit!™ products that have been used to author hundreds of thousands of Hollywood movie, corporate, and consumer DVD titles. With this release of InterVideo MyDVD, InterVideo is now not only able to provide its users with access to solid entry-level DVD publishing, but can also offer them a smooth upgrade path to any of Sonic's com-plete line of professional DVD authoring products.

According to Joe Monastiero, V.P. of sales and marketing for InterVideo, "This alliance makes excellent strategic sense for both companies, providing InterVideo with the opportu-nity to add Sonic's industry-leading DVD authoring technology to our existing suite of multimedia solu-tions, while simultaneously giving Sonic access to a much larger audience through InterVideo's established consumer sales channels. Thanks to the addition of MyDVD, Intervideo now offers a complete end-to-end multimedia software solution capable of addressing the entire range of user needs."

"We are very pleased to be working with an acknowledged industry leader like InterVideo, and we are confident that InterVideo's established sales channels will greatly assist us in our efforts to bring Sonic's DVD authoring tools to the rapidly-expanding home market," said Mary Sauer, Senior Vice-President of Business Development at Sonic Solutions.

InterVideo MyDVD by Sonic is a powerful, yet easy-to-use DVD authoring application for con-sum-ers that uniquely combines an easy-to-use interface with highly intuitive authoring capabilities. When MyDVD is combined with InterVideo's new WinCoderTM MPEG-1 & 2 video capture software and WinProducerTM, the company's upcoming video-editing product, home video enthusiasts can take video, music, digital photos, and scanned artwork and readily create their own interactive movies. Users can easily record their finished DVD projects to low-cost CD-R/RW devices, and InterVideo MyDVD automati-cally writes a single-play software player onto the disc, making it a snap to publish interactive videos on universal, low-cost media, and then play them back on virtually any PC.

In addition to MyDVD, other products from Sonic include DVDit!, the first application for DVD authoring targeted at videographers and corporate video producers, Sonic DVD Creator and DVD Fusion for Macintosh, the most widely used systems for professional DVD publishing, and SonicStudio HD, the leading digital workstation for preparing audio for release on CD and DVD-Audio. For more information regarding InterVideo MyDVD by Sonic, contact Sonic by phone at 415-893-8000 or email paul_lefebvre@sonic.com. For more information on InterVideo, call 510/651-0888, ext. 317 or email MDemeyer@InterVideo.com.

About InterVideo, Inc. (IVI)
InterVideo is the number one distributor of software DVD solutions worldwide. The company produces and markets the award-winning WinDVD player-decoder for Windows, as well as other advanced audio and video software products. Customers include Dell, Gateway, IBM, HP, Compaq, Fujitsu, Fujitsu Siemens, Acer, Micron, Toshiba, Creative Labs, and 3DFX. InterVideo's executive team is comprised of PC veterans instrumental in the formation of the PC multimedia industry, coming from industry pioneering companies such as NexGen, LuxSonor, Sigma Designs, Chromatic Research, Conexant, Zoran, MetaCreations, ST Microelectronics and E4. InterVideo's popular DVD playback software, WinDVD, has won a number of awards worldwide. InterVideo is privately held, with headquarters in Fremont, and with regional offices in Europe, Taiwan, Los Angeles, Redmond, WA and Japan. For more information about IVI, contact InterVideo at 510/651-0888 or visit the Web site at www.intervideo.com.

About Sonic Solutions (NASDAQ: SNIC)
Based in Marin County, California, Sonic (http://www.sonic.com) is the leading manufacturer of solutions for DVD publishing. Sonic DVDit! (http://www.dvdit.com) is the first application for DVD authoring targeted at videographers and corporate video producers, and is bundled with major video editing, capture, encoding and media production systems. Sonic DVD Creator and DVD Fusion for Macintosh are the most widely used systems for professional DVD publishing, and are installed worldwide at major studios, post-production facilities and in corporate marketing departments. SonicStudio HD is the leading digital workstation for preparing audio for release on CD and the first for creating content for the new DVD-Audio format. Sonic is also a full voting member of the DVD Forum, the standards-setting body for the DVD format.

WinCinema, WinDVD, WinDVR, WinCoder, WinProducer, WinRip, and WinStream are all registered trademarks of InterVideo, Inc. DirectShow, DirectDraw, DirectSound, Windows, and Windows CE are trademarks of Microsoft Corporation. MyDVD, SonicStudio HD and DVDit! are trademark sand DVD Creator and DVD Fusion for Macintosh are registered trademarks of Sonic Solutions, Inc. All other trademarks belong to their respective owners.