Microsoft Embraces SRS Labs' WOWô Audio Technology In WindowsÆ Media Playerô 7

First Phase In Strategic Alliance Brings SRS WOW Technology To Tens Of Millions Of Consumers Worldwide

5-May-00

Furthering its position as the leader in audio and voice enhancement technologies, SRS Labs, Inc. (NASDAQ: SRSL) announced that Microsoft Corp. (NASDAQ: MSFT) has embraced its SRS WOWô technology and is including SRS WOW as part of Microsoft WindowsÆ Media Playerô 7. The award-winning WOW technology provides the ultimate listening experience from PC speakers and headphones and is one of the key enhancements to Microsoft Windows Media Player 7, the beta of which was released this morning. This announcement marks the first inclusion of SRS Labs' technologies by Microsoft as part of a strategic technology alliance they formed in March. ""Microsoft is leading the way in bringing the most advanced products to consumers around the world,"" said Tom Yuen, Chairman and CEO of SRS Labs, ""and we are excited that they have chosen SRS Labs as their ally in delivering the highest quality audio with Windows Media Player 7."" SRS WOW creates a panoramic 3D sound image that extends beyond the speakers themselves. It produces deep rich bass from any speakers and headphones, creating a fuller and richer sound than is usually possible through small PC speakers or headphones. With WOW and the full range of the digital media capabilities of the Windows Media Player 7, including playback of CD audio and the downloading and streaming of Internet music and video, listeners can now enjoy the ultimate entertainment experience through their computer system. ""SRS Labs is a pioneer in the field of audio enhancement and WOW is a significant breakthrough,"" said Will Poole, Vice President of the Digital Media Division at Microsoft. ""Windows Media Player 7 with integrated SRS technology offers an audio experience never before available on the PC."" Windows Media is the leading digital media platform and the Windows Media Player is the fastest-growing digital media player. To date, there are over 100 million licensed copies of the Windows Media Player, growing by more than one every second. The newest Windows Media Player, version 7, is the first PC software integrated with the WOW audio enhancement. It includes four separate user controls that enable consumers to customize their listening experience based on audio preference and type of speaker system. Consumers who desire more detailed information on SRS WOW technology can simply click the SRS Logo that is included on the interface of the Windows Media Player to be directed to a custom technology page. ""We are working closely with Microsoft to transform the audio and video experience in all Windows Media technologies where entertainment and communications converge,"" said Chuck Cortright, President of SRSWOWcast.com, Inc., the Internet entertainment subsidiary of SRS Labs, Inc.About SRS Labs Founded in 1993, SRS Labs (http://www.srslabs.com) is the world's leading provider of audio and voice enhancement technologies. SRS Labs' technologies have been included in a wide variety of consumer electronics, automotive, cinema sound and telecommunications equipment from over 150 companies, including such industry giants as Sony, RCA, Pioneer, Philips, Kenwood, Dell, IBM, Samsung and Sennheiser. Created under the company's incubator strategy of forming separate business entities to target specific industry markets or geographies, SRSWOWcast.com, Inc. is focused on delivering the best sound and voice quality over the Internet and a personal computer. Currently operating the company's e-commerce store, http://www.wowthing.com, SRSWOWcast.com will also be launching an entertainment destination site using Windows Media technologies this summer.Source: SRS Labs, Inc.

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