Sonic and Avtrex Create Integrated DVD Recording and DVR Solution

Sonic’s AuthorScript® CE with Avtrex DVR Software Provides Premier CE Software for Consumer Electronics OEMs

International CES 2005, Las Vegas, Nevada (January 5, 2005) — Sonic Solutions (NASDAQ: SNIC), the leader in digital media software, and Avtrex, a leading provider of software for digital entertainment devices, announced today that they have signed a strategic agreement where Avtrex will include Sonic’s AuthorScript CE CD/DVD burning and playback engine with its DVR software to provide a complete DVD/DVR solution for its set-top box and consumer electronics OEM and ODM customers. The combined product will be demonstrated by appointment during CES at the Avtrex suite (Marriott Residence Inn) and by appointment at Sonic’s suite at the Embedded Technology Forums (#205, Riviera Convention Center).

By incorporating Sonic’s AuthorScript CE, Avtrex can now offer its OEM/ODM customers a complete, brandable, Linux-based software solution for DVD and DVR. Portable to a wide variety of processor platforms, the Sonic-Avtrex solution also offers the maximum flexibility in product implementation. For consumers, the combined technology allows home users to burn DVDs of their recorded TV programs, freeing hard disk space on the DVR for recording additional content from standard definition and high definition television (HDTV).

“We chose to work with Sonic because of their solid reputation for providing powerful, reliable technology for CD/DVD burning with AuthorScript CE,” said Steve Francis, president and CEO of Avtrex. “The collaboration will allow our OEM and ODM customers to benefit from CE-optimized software solutions that are flexible, cost-effective, and that allow them to brand their products more effectively.”

“A combined DVD and DVR solution gives consumers the kind of control and flexibility they desire when watching, recording, and archiving their favorite TV programs to DVD that they can take anywhere to watch anytime,” said Jim Taylor, general manager of Sonic's Advanced Technology Group. "AuthorScript CE boasts the latest technologies for CD/DVD burning and formatting and can be easily integrated into any CE platform. Sonic is delighted to work with Avtrex to create best-in-class DVR/DVD-R software solutions to power diverse CE hardware platforms.”

Sonic’s strategic agreement with Avtrex further underscores Sonic’s move to deploy its technology beyond the traditional PC and into consumer electronics products. Sonic recently announced a development and AuthorScript licensing deal with Scientific-Atlanta to embed AuthorScript into its cable set-top boxes. Sonic also recently announced that it had entered into a new license agreement with Microsoft in which Sonic AuthorScript powers the CD and DVD formatting and burning features of Microsoft Windows XP Media Center Edition 2005, Microsoft’s flagship consumer operating system.

About Avtrex DVR Technology
Avtrex’s award-winning digital video recorder technology provides a wide range of DVR and digital media adapter functionality for standard and high definition television (HDTV), including television recording and playback with digital audio, an electronic program guide (EPG) for simple recording setup, automatic recording of all episodes in a series, as well as instantaneous search for shows based on name, actors, description, and many other criteria. Automatic recording of future programs that match user criteria, browsing and playing of MP3 music files stored locally or on any network-connected home computer, slideshow playback or browsing of individual digital photos stored locally or on any network-connected home computer, and direct support for removable media (Compact Flash, etc.,) is also provided.

About Sonic AuthorScript CE
AuthorScript CE is Sonic’s groundbreaking DVD/CD formatting, burning and playback software for consumer electronics (CE) manufacturers. The AuthorScript CE software development kit (SDK) allows CE manufacturers to easily and flexibly incorporate DVD/CD burning and playback into consumer electronics devices such as cable and satellite receivers, DVRs, media centers, and Digital TVs. AuthorScript CE contains modules for converting video and audio data into DVD- and VCD-compliant streams, formatting and burning DVD-Video and VCD projects, data recording on DVDs and CDs, music CD ripping and burning, DVR recording and timeshifting DVD-Video and VCD playback, and audio CD playback.

AuthorScript CE is part of the AuthorScript family of media engines and includes all the advantages that have made Sonic's software the dominant solution for DVD/CD recording and authoring on the PC: the highest playback compatibility, comprehensive support for multiple formats including DVD-Video, DVD-VR, DVD+RW video recording (+VR), CPRM, and OpenDVD® for reading and re-editing recorded discs. AuthorScript CE supports all popular DVD devices, including DVD-R, DVD-RW, DVD+R, DVD+RW and DVD-RAM, as well as CD-R and CD-RW.

AuthorScript has been licensed by industry-leading companies including Adobe, Time Warner, Avid, Kodak, Microsoft, Scientific-Atlanta, and Sony. It is the underlying engine in Sonic's DVD applications including MyDVD®, DVDit®, and RecordNow™, which are bundled by major OEMs such as Adaptec, Compaq, Fujitsu, Hewlett-Packard, Hitachi, Matrox, NEC, Panasonic, Philips, Plextor, Pioneer, Sony, ViewSonic, and many others.

About Avtrex
Avtrex, Inc., is a Silicon Valley-based startup focused on advanced technologies for digital video recording and home media distribution. Avtrex is an OEM software provider whose customers are leading innovators in consumer electronics and digital entertainment. Avtrex is privately held, founded in 2001 by a team that has been working together for more than a decade. More information about Avtrex is available at www.avtrex.com.

About Sonic Solutions
Sonic Solutions (NASDAQ: SNIC; http://www.sonic.com) is the leader in digital media software, providing a broad range of interoperable, platform independent software tools and applications for creative professionals, business and home users, and technology partners. Sonic’s products range from advanced DVD authoring systems and interactive content delivery technologies used to produce the majority of Hollywood DVD film releases, to the award-winning Roxio- and Sonic-branded CD and DVD creation, playback and backup solutions that have become the premier choice for consumers, prosumers and business users worldwide.

Sonic products are globally available from major retailers, online at Sonic.com and Roxio.com, and are bundled with PCs, after-market drives and consumer electronic devices. Sonic’s digital media creation engine is the de facto standard and has been licensed by major software and hardware manufacturers, including Adobe, Microsoft, Scientific-Atlanta, Sony, and many others. Sonic Solutions is headquartered in Marin County, California.

Sonic, the Sonic logo, Sonic Solutions, AuthorScript, DVDit, MyDVD, RecordNow, and Roxio are trademarks or registered trademarks of Sonic Solutions or its subsidiaries in the United States and/or other countries. All other company or product names are trademarks of their respective owners and, in some cases, are used by Sonic under license.