Sonic Foundry Announces Support for Intel's Forthcoming Itanium[TM] Processor

Sonic Foundry[R] Inc. (NASDAQ: SOFO), the leading developer and marketer of digital media and Internet software tools, services, and systems, today announced its support of the Intel[R] Itanium[TM] processor and Windows[R] 2000 64-bit operating system for future versions of its award-winning Vegas[TM] Video editing software platform.

With the addition of Intel's latest technologies, Sonic Foundry is able to bridge the gap for its customers from low-bandwidth to high-bandwidth digital video solutions. The new Intel Itanium processor will provide the processing power and technologies needed to support a software-only solution for high-end broadcast capabilities, while decreasing the related costs of a hardware and software editing combination. Intel's Itanium processor will provide Vegas Video with increased speed and performance, providing digital video editors with a more real-world, broadcast experience.

"Intel's Itanium processor will provide Sonic Foundry's video systems with increased power and functionality. Additionally, the Itanium processor will enable software-only solutions that provide users with a highly scalable platform for broadcast-quality editing," stated John C. Thomas, marketing manager, Intel Digital Media Solutions Division.

"Vegas Video users will benefit from Intel's Itanium processor and Windows 2000 64-bit OS," stated Curtis Palmer, co-founder and chief technical officer for Sonic Foundry. "This new relationship helps us bridge the gap for our customers from low-bandwidth to high-bandwidth, broadcast-quality offerings with a much more cost-effective solution for their digital editing needs."

About the Intel Itanium Processor

The Intel Itanium processor is the first in a family of IA-64 processors from Intel and is generally recognized as the most significant new development in Intel microprocessor architecture since the 386 processor was introduced in 1985. Intel's Itanium processor will complement today's Pentium[R] III processor and Pentium[R] Xeon[TM] 32-bit processor families with new features for high-end scalability, reliability, availability, and large memory addressability. It allows Intel to provide solutions at the highest levels of computing to enable powerful servers and high-performance workstations to address the increasing demands that the Internet economy places on e-businesses. More information on the Intel Itanium processor is available at www.intel.com/pressroom.

About Vegas Video

Vegas Video integrates video editing, video compositing, audio editing, and advanced encoding tools into one application. The software is designed for digital video production, streaming video content creation, broadcast production, multimedia creation, corporate presentations, training, distance education, and media centers.

It offers unlimited tracks of video and audio, advanced compositing tools, automatic crossfades, keyframeable filters, track motion, transitions, and other effects. Multiple media formats can be added on the same track at the same time without conversion or rendering. To complete the multimedia solution, Vegas Video also hosts the full line of audio processing capabilities from Sonic Foundry's award-winning multitrack audio editing software, Vegas[TM] Audio.

In addition, Vegas Video delivers correct aspect ratios that depend on the pixel shape for each medium, including D1, D2, and DVCam, deinterlacing, and the ability to render out to broadcast video resolutions. DV capture and print-to-tape tools are included, and it supports OHCI-compliant IEEE-1394/DV capture cards. Vegas Video allows direct save to RealVideo[R], Windows Media[TM] Video, QuickTime[TM] Movie, MP3, and other popular formats.

Intel and Pentium are registered trademarks of Intel Corporation, and Itanium and Xeon are trademarks of Intel Corporation. All other brands and products referenced herein are acknowledged to be trademarks or registered trademarks of their respective holders.