Microsoft Licenses Sonic AuthorScript® for Digital Image Suite 9

AuthorScript Engine Adds Video CD Burning and Photo Archiving

Marin County, CA (July 29, 2003) - Sonic Solutions (Nasdaq: SNIC) announced today that Microsoft has licensed Sonic AuthorScript, the world's leading CD and DVD formatting and burning engine, for Microsoft® Digital Image Suite 9, Microsoft's latest software application for advanced image-editing and photo organization. The embedded Sonic AuthorScript engine adds two new key features in Digital Image Suite 9: 1) the ability to format and burn Video CDs that can be played back on hundreds of millions of multimedia PCs and DVD players, and 2) the archiving and burning of photos and images onto CD-ROMs.

Sonic and Microsoft entered into a multi-year licensing deal in January 2002 in which Microsoft licensed Sonic's DVD-Video authoring technology. Under that agreement, Sonic is providing core DVD technology and development expertise to Microsoft. This new agreement between the two companies allows Microsoft to embed the Sonic AuthorScript VCD and CD burning engine in Digital Image Suite 9.

"Microsoft is pleased to expand our collaboration with Sonic to provide solutions for CD formatting and burning for Digital Image Suite 9," said Ben Peart, General Manager for Microsoft's Digital Imaging Group. "Sonic's AuthorScript SDK made it easy for us to incorporate video and data burning features into our application and to offer support for a wide array of CD burners."

"With the tremendous proliferation of CD burners and DVD playback devices, today's users have a keen appetite for sharing and archiving their photos on optical discs," said Jim Taylor, General Manager of the Advanced Technology Group at Sonic. "By integrating Sonic AuthorScript into Digital Image Suite 9, Microsoft makes it easy for users to burn great-looking Photo Stories that can be played virtually anywhere."

About Sonic AuthorScript
The Sonic AuthorScript Software Development Kit (SDK) is the world's leading engine for the creation and burning of DVDs and CDs. Sonic AuthorScript makes it easy for third-party developers to add a broad range of CD and DVD technologies into their applications and to support the widest array of CD and DVD burners. Sonic AuthorScript contains modules for converting video and audio data into DVD and VCD-compliant MPEG streams, formatting and burning DVD-Video and Video CD projects, data mastering for CD-ROMs and DVD-ROMs, music CD ripping and burning, PVR recording, and DVD-Video and Video CD playback. Sonic AuthorScript is OpenVCD™ and OpenDVD^® enabled, making it possible to open and revise burned VCDs and DVDs any time with an OpenDVD-compatible application such as MyDVD.

Sonic AuthorScript has been licensed by industry-leading companies including Adobe, AOL, Avid, Microsoft, Sony and many others. Sonic AuthorScript also underlies Sonic's award-winning applications including RecordNow™, PrimeTime™, MyDVD®, and DVDit!® which are bundled by major OEMs such as Adaptec, Compaq, Dell, Fujitsu, Hewlett-Packard, NEC, Panasonic, Philips, Pioneer, Sony, TDK, Toshiba, and others.

About Sonic Solutions (NASDAQ: SNIC)
Based in Marin County, California, Sonic (http://www.sonic.com) is the world's leading supplier of DVD and CD creation software. Sonic's professional DVD authoring software is used to produce the majority of major film releases on DVD. Sonic's desktop DVD creation software powers most of the world's DVD burners, and Sonic's CD and DVD mastering software is the leading OEM solution for transferring and backing up data to CD and DVD media. Sonic's core strengths include in-depth knowledge of the DVD and CD digital media formats and the video and audio data types they require, and the design of friendly, yet powerful, authoring and editing applications for the consumer, desktop and professional CD and DVD markets.

Sonic, the Sonic logo, Backup MyPC, CinePlayer, DVD PrePlay, DVD Producer, Edit-on-DVD, OpenDVD, PrimeTime, RecordNow and Simple Backup are trademarks of Sonic Solutions. AuthorScript, AutoDVD, DVD-Audio Creator, DVD Creator, DVDit!, DVD Fusion, MyDVD, NoNOISE, ReelDVD, Scenarist and Sonic Solutions are registered trademarks of Sonic Solutions. All other company or product names are trademarks of their respective owners and, in some cases, are used by Sonic under license. Specifications, pricing and delivery schedules are subject to change without notice.