Distribution Powerhouse Will Launch Sonic Foundry Products into International Computer and Technology Retailers

Las Vegas, NV — Sonic Foundry, Inc. is pleased to announce that Ingram Micro has chosen its line of audio software for distribution. Ingram Micro is the world's largest wholesale distributor of technology products and services. Sonic Foundry, Inc. is the creator of Sound Forge[R], the leading audio editing software for the Windows platform.

Says Sonic Foundry CEO Rimas Buinevicius, "This partnership marks a turning point for Sonic Foundry. To date our products have been distributed exclusively through music retailers, and the music industry has been our primary focus. With the explosion of Internet and multimedia applications we are finding a wealth of new opportunities for our products.

Sonic Foundry realizes the importance of broadening our retail scope to include computer and electronics outlets, and we feel that this is the ideal time to work in conjunction with Ingram Micro. Ingram Micro has the worldwide distribution that we require, and an outstanding reputation for product delivery, support, and availability. We are excited by this opportunity to join forces."

"We are pleased to distribute Sonic Foundry's audio software product line," said David Nalley, Vice President of Ingram Micro's Consumer Markets Division. "We look forward to helping Sonic Foundry expand its reach to computer and technology resellers."

About Ingram Micro

Ingram Micro, Inc. (NYSE: IM), headquartered in Santa Ana, CA, is the world's largest wholesale distributor of technology products and services and a leading provider of assembly and integration services, with 1996 sales of $12 billion. The Company operates in 20 countries and distributes more than 36,000 products to more than 100,000 resellers in 120 countries. Ingram Micro can be found at www.ingrammicro.com.

About Sonic Foundry®, Inc.
Sonic Foundry (NASDAQ: SOFO) is the trusted market leader for enterprise webcasting solutions, providing video content management and distribution for education, business and government. Powered by the patented Mediasite webcasting platform and webcast services of Mediasite Events, the company empowers people to advance how they share knowledge online, using video webcasts to bridge time and distance, enhance learning outcomes and improve performance.