Sonic Foundry Award Presented to Philips Consumer Electronics

Sonic Foundry[R] Inc. (NASDAQ: SOFO), the leading developer and marketer of digital media and Internet software tools, services, and systems, and Banff Television Festival President and CEO Pat Ferns today announced that the Festival's Board of Governors has chosen Philips Consumer Electronics as the 2001 winner of the Sonic Foundry Outstanding Technical Achievement Award for its leadership, innovation, and expertise in the development of digital television systems and optical storage technologies.

The award was presented to Philips representatives at the International Broadcasting Convention in Amsterdam, viewed as one of the largest broadcast and Internet technology trade shows held in Europe.

"Since their inception in 1985, our Outstanding Achievement Awards have been bestowed on a number of distinguished corporations," stated Pat Ferns, president and CEO of Banff Television Festival. "Philips Electronics has played a significant role in the advancement of broadcast technology in general, but especially in the digital revolution. The company is not only the founding father of optical storage but also a world leader focused on advancing DVD and optical storage into the future. Philips' solid-state camera CCD chips have revolutionized the commercial broadcast industry in recent years. We are pleased to add the Philips name to the honor roll of Banff Television Festival winners."

The Sonic Foundry Outstanding Technical Achievement Award will be presented to Philips Consumer Electronics at BANFF 2001, to be held June 10-15 in Banff, Alberta, Canada. This award and its sister award, The Global Television Outstanding Achievement Award, which recognizes an outstanding body of creative work, represent the pinnacle of technical and creative achievement in the business of international content creation for television and new media. Previous winners of the Sonic Foundry Outstanding Technical Achievement Award include Sony Corporation of Japan, the inaugural technology winner in 1997, Avid Technology Inc., Silicon Graphics Inc. of the USA, and most recently Canada's Discreet.

"Sonic Foundry is honored that Banff has selected Philips Consumer Electronics to receive the Sonic Foundry Outstanding Technical Achievement Award," stated Dan McLellan, general manager of Sonic Foundry Media Services. "This award, originally sponsored by Sonic Foundry's recently acquired International Image, truly honors those in the market place who are forging ahead on new and innovative technologies."