Sonic Foundry Announces Software Bundling Agreement with SONY Corporation

Las Vegas, NV — Sonic Foundry (AMEX: SFO), a leading developer and marketer of digital audio software for the Windows[R] platform, announced today that it has signed a software bundling agreement with SONY Corporation. Through this new pact, SONY will now include a copy of Sonic Foundry's Sound Forge XP 4.5 digital audio editing software with its ES-3 EditStation non-linear editing system.

"Sound Forge is fast becoming the audio editor of choice in the digital video market," remarked Brad Fentress, Sonic Foundry's Director of OEM Business Development. "Its addition to the SONY ES-3 EditStation will round off an exceptionally powerful tool."

"We believe that Sound Forge XP 4.5 is an ideal program to execute the music and audio functions that the users of our ES-3 EditStation demand," said Robert Coleman, Vice President of Production and Post Products for SONY Electronic's Broadcast and Professional Company. "The two products complement each other excellently, offering convenient yet advanced applications that maximize the utility of both."

Sound Forge XP 4.5 is the express, streamlined version of Sonic Foundry's award-winning professional digital audio editor, Sound Forge 4.5. A great introduction to multimedia content creation, Sound Forge XP 4.5 includes powerful audio processing tools and effects that allow users to simply cut, copy, and paste their way to more striking media files.

SONY's ES-3 EditStation is a versatile, compact, and affordable Windows NT-based digital video editing system utilizing SONY DV compression technology to render high picture quality for video productions. The ES-3's easy-to-use operating system provides editors with features such as direct digital link with i-Link[TM], special effects applications, media conversion, and network capabilities, making it a powerful tool for professional-quality video production.

About SONY

The Broadcast and Professional Company of SONY Electronics is a leading U.S. provider of video and audio equipment for the broadcast, production, business, industrial, government, medical, and education markets. SONY offers a wide array of products and systems for image capturing, production, and display. SONY also provides specialized equipment and systems for data recording, duplication, electronic photography/publishing, video conferencing, high definition video, and interactive and security applications.