MPEG LA Announces VC-1 License Terms; License Agreement Expected to Issue During 2006

Denver, Colorado, US – 18 August 2006 – MPEG LA, LLC announced today that an initial group of essential patent holders have agreed on final terms of license to be included in the VC-1 Patent Portfolio License (“License”), expected to issue during 2006. A summary of the license terms is available here.

“This represents an extraordinary and persistent effort by a devoted group of patent owners acting in the public interest,” said MPEG LA Chief Executive Officer Larry Horn. “By the patent owners’ commitment to make available a joint patent license for the convenience of VC-1 adopters, consumers benefiting from a marketplace of competitive technology choices are the clear winners.” The VC-1 essential patent holders currently include DAEWOO Electronics Corporation, France Télécom, société anonyme, Fujitsu Limited, Koninklijke Philips Electronics N.V., LG Electronics Inc., Matsushita Electric Industrial Co., Ltd. (Panasonic), Mitsubishi Electric Corporation, Microsoft Corporation, Nippon Telegraph and Telephone Corporation (NTT), Samsung Electronics Co., Ltd., Sharp Corporation, Sony Corporation, Telenor ASA, Toshiba Corporation, and Victor Company of Japan, Limited (JVC). MPEG LA continues to welcome the submission of issued patents for an evaluation of their essentiality to the VC-1 Standard in an effort to include as much essential intellectual property as possible under one license for the benefit of the marketplace. Any party that believes it has patents that are essential to the VC-1 Standard and wishes to join the VC-1 Patent Portfolio License is invited to submit them for evaluation by MPEG LA’s patent evaluators. Further information, along with terms and procedures governing patent submissions, may be found at http://www.mpegla.com/pid/vc1/.

MPEG LA, LLC

MPEG LA is the world leader in alternative technology licenses, enabling users to acquire patent rights necessary for a technology standard or platform from multiple patent holders in a single transaction as an alternative to negotiating separate licenses. Wherever an independently administered one-stop patent license would provide a convenient marketplace alternative to assist users with implementation of their technology choices, the licensing model pioneered and employed by MPEG LA may provide a solution. MPEG LA is not related to any standards agency and is not an affiliate of any patent holder. MPEG LA licenses portfolios of essential patents for the MPEG-2 Video and Systems, MPEG-2 Systems, IEEE 1394, DVB-T, MPEG-4 Visual (Part 2), and AVC/H.264 (also known as MPEG- 4 Part 10) standards. In addition to VC-1, MPEG LA is also facilitating the development of alternative patent portfolio licenses for ATSC, DVB-H, digital rights management (DRM) technologies including OMA DRM 1.0 and 2.0, RFID and Blu-ray Disc™. MPEG LA also actively seeks to adopt its alternative patent licensing model in other industries including biotech and pharmaceutical. For more information, please refer to http://www.mpegla.com.