TECH

[tien@altera.com (Tien Duc Pham)]

Thursday June 19 10:41 AM EDT 

Company Press Release

Intel to bring DVD movie and interactive playback to the mainstream PC
by year-end

Technology demonstration at E3 shows how industry will bring software-based DVD
playback to consumers

ATLANTA--(BUSINESS WIRE)--June 19, 1997--Intel Corporation announced at E3 today that its key
DVD-enabling technologies will allow the mainstream PC to play DVD movies and interactive programs at a
significantly reduced cost by the end of the year. 

By performing critical descrambling and video and audio decoding functions in software running on the PC's
processor, the cost of the hardware that performs these functions can be eliminated. 

Intel's technologies and work with the industry have enabled this software to operate at the same quality level as
their hardware counterparts, a task the industry estimated would require at least another year of development. 

DVD offers consumers a new level of visual computing experience on PCs. In addition to unprecedented storage
capability for audio and video, DVD will enable exciting applications for the future, particularly for hybrid
applications that take advantage of today's high-performance visual connected PC. 

``DVD will help bring the PC to the living room, in a new consumer product category called PC Theater,'' said Mike
Aymar, vice president and general manager of Intel's Desktop Products Group. 

``Intel's DVD technology balances the high powered performance of hardware such as Intel's Pentium(R) II
processor with inexpensive, upgradeable playback software. This lets consumers enjoy the full, rich experience that
DVD makes possible without having to buy costly add-in cards with a short life.'' 

Intel's DVD initiative consists of the following products, technologies and industry leadership efforts: 
-- Pentium II processor -- The Pentium II processor provides the 

computing power necessary to support the requirements of software-based DVD playback. It combines the
benefits of the Pentium Pro processor with Intel's MMX(TM) technology and Dual Independent Bus architecture. 
-- Negotiations with the movie industry -- Intel has worked with 

the motion picture and consumer electronics industries to assure that the technology for protecting movies against
illegal copying (Content Scramble System or ``CSS'') can be implemented inexpensively in software without undue
burdens on consumers or manufacturers. Licenses are now available to manufacturers and software developers to
make products that play protected movie content using CSS. 
-- Optimizations -- Intel had developed expertise in MPEG2 decoding 

and MMX technology optimization in its Haifa, Israel, lab and in Oregon in its Platform Architecture Lab. Intel has
been sharing this expertise with MPEG2 developers and the industry to enable software to perform movie and
interactive playback with quality equivalent to hardware playback. 
-- Intel's Hybrid Authoring studio in Hillsboro, Ore., provides 

independent software vendors (ISVs) with access to a state-of-the-art DVD authoring facility that allows them
to do software layout, testing and premastering of DVD content. 

``Intel's efforts have helped enable the DVD industry,'' said Warren N. Lieberfarb, president of Warner Home
Video, a Time Warner Entertainment Company. ``We see the desktop and portable PC as a whole new platform
opportunity for our movies and videos.'' 

With DVD movie and interactive playback emerging in 1997, the technology is expected to become broadly diffused
through 1998. 

``DVD represents a major leap forward for the Intel Architecture platform in terms of multimedia interactivity,
storage capacity and especially video playback,'' Aymar said. 

``We have committed a great deal of resources and talent to insure that this capability will be available soon on
volume PCs. Our DVD roadmap will deliver large volumes of software DVD-enabled PCs by the second half of
1998.'' 

Intel, the world's largest chip maker, is also a leading manufacturer of personal computer, networking and
communications products. Additional information is available at www.intel.com/pressroom . 

Note to Editors: Other brands or products are trademarks or registered trademarks of their respective holders.