InterVideo Extends Offer for Free Download of DiscMaster 2 Data Burning Software; Looks to Expand Market Share with Target Goal of 1 Million Downloads

Business Wire,  Jan 8, 2005  

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FREMONT, Calif. -- InterVideo(R), Inc. (Nasdaq:IVII) announced today that it has extended the free download offer of InterVideo DiscMaster(TM) 2, an amazingly easy way to copy data, music and home videos for sharing, archiving and backup. Originally scheduled to expire the end of December, the offer has been extended until February 28, 2005 due to the upsurge in demand from consumers who received or purchased CD/DVD burners during the holidays. With the availability of a free, no-strings-attached CD/DVD burning solution that even a novice can use, InterVideo is positioned to increase its share of the data burning software market and has set a goal of one million downloads before the offer ends.

Jon Peddie, president of Jon Peddie Research, a multimedia industry research firm based in Tiburon, California, gives some insight into why the offer is so popular. "Disc-burning software is often bundled with today's CD/DVD drives, but when it comes to burning a disc, most people just want to click a button and be done with it," said Peddie. "That's exactly what DiscMaster does. It's an uncomplicated solution that anyone can use without even having to read the manual. Getting it for free makes it even better, and InterVideo has a solid track record."

DiscMaster 2 is equipped with a simplified interface and a step-by-step wizard that guides consumers through the three simple steps to creating a disc. In just seconds, the data, audio or home video selected can be set up for recording without having to wade through complicated menus or difficult-to-understand options. With dynamic drive support, users simply select the output format (bit-for-bit DVD, VCD, or SVCD), and regardless of the type of drive used, data, music and personal video discs can be easily archived or shared with family and friends.

Experienced users also benefit from features such as fast, disc-to-disc copying; multiple disc copying; mixed-mode and multi-session capabilities as well as the bootable CD/DVD features. Offering broad compatibility, DiscMaster 2 supports all media: CD-R/RW, DVD+/-R/RW/-RAM and hard drive recording.

DiscMaster 2 Platinum, which can be purchased separately at www.intervideo.com, adds additional music burning functions such as MP3, WMA, and WAV file encoding, CDDB support, and DVD Double Layer Support. Other Platinum edition features for a complete music burning solution include Disc Label that allows users to give their CD or DVD an extra personal touch by personalizing it with CD/DVD labels and an enhanced tool called InterVideo Direct CD/DVD to perform packet-writing functions.

Availability, Pricing

Compatible with Windows(R) 2000 and XP systems, InterVideo DiscMaster 2 is available to new users at no cost by going to InterVideo's web site, www.intervideo.com, and clicking on the DiscMaster 2 promotional banner. After following the instructions, the link for the free software will be sent to the user's personal email address. This promotional offer will expire February 28, 2005.

The full Platinum version of InterVideo DiscMaster 2 with its expanded feature set is available for a suggested list price of $49.95 USD.

About InterVideo, Inc.

InterVideo is a leading provider of DVD software. InterVideo has developed a technology platform from which it has created a broad suite of integrated multimedia software products that allow users to capture, edit, author, burn, distribute, and play digital video. InterVideo's software is bundled with products sold by the majority of the top ten PC OEMs ranked in terms of sales by IDC. The company is headquartered in Fremont, CA with regional offices in Europe, Taiwan, China and Japan. For more information, contact InterVideo at 510-651-0888 or visit the company's Web site at www.intervideo.com.

Safe Harbor Statement

Except for the historical statements contained herein, the foregoing release contains forward-looking statements, including statements regarding InterVideo DiscMaster 2 products. These forward-looking statements are subject to risks and uncertainties, and actual results could differ materially due to several factors, including but not limited to the ability to forecast customer behavior and recognize or respond to emerging trends, changing preferences or competitive factors, the market acceptance of our new products and product enhancements, the resolution of any notices of claims regarding alleged infringement of third parties' intellectual property rights, the ability to maintain or expand our relationship with PC OEMS and other risks and uncertainties. Please consult the various reports and documents filed by InterVideo with the U.S. Securities and Exchange Commission, including but not limited to InterVideo's Form 10-Q for other risk factors that could cause actual results to differ. All forward-looking statements are made as of the date hereof and InterVideo disclaims any responsibility to update or revise any forward-looking statement provided in this news release.