Sonic Foundry Completes Acquisition of STV

Sonic Foundry, Inc. (Nasdaq: SOFO), the leading developer and marketer of digital media and Internet software tools, services, and systems, announces that its acquisition of California-based STV Streaming Media, a premier media convergence company offering webcasting, syndication, and production and post production services, is complete. STV's streaming media technologies and initiatives are now part of Sonic Foundry Media Services[TM].

With the completion, the Company strengthens its executive team with the following appointments:

Ted Lingard has been named vice president and general manager of Sonic Foundry Media Services and Operations. Lingard joined Sonic Foundry last fall as vice president of operations. His team has been instrumental in enhancing the operational aspects of Sonic Foundry, building its training and consulting functions, solidifying a solid customer relations team, and growing the international sales and marketing initiatives. Ted Lingard will remain in Madison, splitting his time with travel to Sonic Foundry's Los Angeles office;

Jan Brzeski, past chief executive officer of STV Streaming Media, will continue to build STV's efforts as Sonic Foundry Media Services vice president of streaming services and business development in the areas of webcasting, syndication, and streaming services, as well as defining new business development initiatives. Brzeski will be located in Los Angeles, California;

Ridge Nye has been appointed vice president of sales for Sonic Foundry Media Services. Nye has acted as a consultant for Sonic Foundry for the last year, most recently exclusively in the Media Services area. Prior to working with Sonic Foundry, Ridge Nye was the director of sales at Liquid Audio. He will be located in Florida.

"The completion of this acquisition strengthens our Media Services division," stated Rimas Buinevicius, chief executive officer and chairman for Sonic Foundry. "The talent and expertise that the new executive appointments bring to our company and this division will further enhance our strength in the broadband industry."