SONICblue Announces Expanded ReplayTV Strategy

Company Expects ReplayTV Sales To Double Each Quarter Of 2002

1-Feb-02

SONICblueô Incorporated (NASDAQ: SBLU) announced that the company plans to expand its ReplayTVÆ strategy by entering the retail market during the second half of the year with a new digital video recorder (DVR) targeting the mass consumer market. SONICblue's new DVR product will offer many of the leadership features of the company's ReplayTV 4000 and is planned to be priced below any existing DVR currently on the market. SONICblue will also continue to launch products targeting the high-end DVR market, where it has established itself as the technology leader.""We will launch a broad array of products that deploy our ReplayTV technology,"" said Ken Potashner, CEO and chairman, SONICblue. ""With our mass market DVR product, we have the objective of replacing the VCR in consumers' homes. Through fundamental technology advancements and high volume supplier partnerships, we have the ability to profitably offer DVR solutions to consumers at prices planned to be below those being offered by our competitors. We will supplement our mass market DVR offerings with our high performance ReplayTV 4000 line and we will also take advantage of our Dual-Deck capabilities in our Go-VideoÆ products to introduce new ReplayTV functionality.""SONICblue's mass market DVR is expected to support all the basic DVR functions including Commercial AdvanceÆ technology, which allows the consumer choices about whether or not they care to watch commercials; be modem or broadband enabled; and allow in-home streaming so that recordings can be watched in several rooms in the house.For more information about SONICblue Incorporated, visit www.SONICblue.com.

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