SpatializerÆ N-2-2ô Included In Two New Portable DVD-ROM/Video Players From Toshiba Corporation

Latest Design Wins Debut SpatializerÆ N-2-2ô Virtual Surround Sound In The Portable DVD Player Market

31-Jul-00

Spatializer Audio Laboratories Inc. (OTC Bulletin Board: SPAZ) announced that Toshiba Corporation has incorporated SpatializerÆ N-2-2ô Virtual Surround Sound in their first line of portable DVD-ROM/Video Players. Toshiba MED300AS incorporates a 5.8-inch low-temperature polysilicon TFT LCD with a resolution of 800x480 dots to play DVD without any loss of resolution. The resolution is four times better than that of an amorphous type. The MED200AS is the worldís smallest and lightest portable DVD-Video player without an LCD screen. Both models can connect to a PC and feature Spatializer N-2-2 with both on-board speaker (MED300AS) and headphone settings. They can be used as a 4x DVD-ROM drive and 24x CD-ROM drive to read CD-ROM, video CD, music CD, CD-R and CD-RW.""We are pleased that Toshiba Corporation has once again selected Spatializer N-2-2, this time for their exciting new line of portable DVD players,"" said Henry R. Mandell, Chairman and Chief Executive Officer of Spatializer Audio Laboratories, Inc. ""We have worked together for quite some time with Toshiba Corporation on their DVD products, but it is always a privilege to be involved with an entirely new product launch, especially with a product of this caliber. Equally exciting for us is the opportunity to showcase our technology in portable devices such as these, including our headphone application of N-2-2. We recently announced our strategic initiative to broaden the use of our applications in the exploding portable digital products market. This is the first in what we believe will be many transactions to expand the use of our DigitalFXô technology. """"We are most enthusiastic about the launch of our new line of portable DVD-ROM/Video players and are pleased to again be offering our customers Spatializer N-2-2,"" said Hiroyuki Sakamoto, Senior Manager of the newly formed Mobile AV Network Division, Digital Media Equipment & Services Company, Toshiba Corporation. ""Spatializer was the provider who could offer us the best audio enhancement solutions to help us increase our product sales in the global DVD market. Spatializer N-2-2 has been well received by our customers, and we believe that Spatializer N-2-2 adds significant value to our complete range of DVD products and to our customer's entertainment experience.""Headquartered in Tokyo, Toshiba Corporation is a leader in information and communications systems, electronics components, consumer products and power systems. Among its achievements include the largest share of the worldís portable PC market. Toshiba's Web site is located at http://www.toshiba.co.jp/.Spatializer Audio Laboratories, Inc. is a leading developer, licensor and marketer of next-generation technologies for the consumer electronics, computing and entertainment industries. The company's advanced audio technology is incorporated into consumer electronics audio, video and DVD products from global brand leaders including Toshiba, JVC, Panasonic, Hitachi, Samsung, Acer, Sharp, Sanyo, LG, Emerson, Zenith and Proton, in PC multimedia systems and peripherals from Apple, Dell, Gateway, Hewlett Packard, Sony, Fujitsu, Seiko-Epson, NEC, Micron and Labtec, in silicon from Matsushita, New Japan Radio Corporation, ESS, Zoran, Motorola, C-Cube, NJRC, OnChip Systems, and Acer Laboratories Inc, in software compatible with softMP3 players such as WinAmp and XingMP3 and in leading DSP and Wintel platforms.Spatializer stock is traded on the OTC Bulletin Board under the symbol ""SPAZ."" The company is headquartered in Woodland Hills, California and has marketing, engineering and research & development facilities in Santa Clara, California and Tokyo. Further information may be obtained from Spatializer's Web site (http://www.spatializer.com) or by contacting Spatializer at 888 825 0743 or spaz@mdcgroup.com.

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