6-Jan-00

MGI Software & NetTV Demonstrate Personalized Digital Entertainment System At CES 2000

NetTV ExtremeDVD Digital Entertainment System With MGI Pure DIVA Designed For The ""Digital Lifestyle"" Of The New Millennium

January 6, 2000 - CES 2000, which opens this first week of the Year 2000, is significant because it showcases many of the advances made in the field of digital entertainment in the late 20th Century. The tireless march to offer ever more personalization continues to be a big part of that advance. The ability of the home consumer to individualize their entertainment experience by downloading or time shifting broadcast entertainment content is a momentous advance, contributing to the ""Digital Lifestyle"" of the new Millennium. MGI Software (TSE: MGI), the leader in Internet imaging and digital video solutions, and NetTV, a leading provider of DVD-ROM digital entertainment set-tops and progressive scan digital televisions, is demonstrating at CES the first personalized digital entertainment system designed for the ""Digital Lifestyle"" of the new Millennium. Built on NetTV's ExtremeDVD, a PC-architected consumer electronics device incorporating MGI Pure DIVA, the system delivers a powerful digital entertainment experience including the ability to pause live TV broadcasts, digitally record shows, watch DVD movies, surf the Internet, play 3D video games, and listen to audio CDs in DolbyÆ Digital quality. ""Adding MGI's video time shifting software to NetTV's already state-of-the-art digital video capabilities underscores the superior value proposition of our digital entertainment system,"" said NetTV President Ron Perkes. ""By utilizing an open platform, the NetTV system grows dramatically in its capabilities with breakthrough applications like MGI Pure DIVA. The one-click digital video recording brings the power of choice to the consumer by allowing viewers to select single or multiple programs from an online programming guide, record them automatically, then play them back whenever it is convenient."" ""The NetTV ExtremeDVD Digital Entertainment System provides the entertainment hub from which a consumer can tune-in the world,"" said Anthony DeCristofaro, President and CEO, MGI Software. ""MGI Pure DIVA allows consumers to take control of that content, and shape it to meet their needs."" About NetTV NetTV is a leader in defining and building innovative digital entertainment systems that combine progressive scan video with the highest quality audio. NetTV's ExtremeDVD digital entertainment set-top, DTV Series digital televisions (29, 34 and 38 inches), and new 42-inch wide screen plasma televisions combine to produce superior digital entertainment. NetTV products are distributed through authorized distributors and resellers worldwide. NetTV headquarters are at 7 Mark Drive, San Rafael, CA 94903. Telephone is 800 440 6388. About MGI Software Founded in 1995, MGI Software is one of the world's leading digital media companies. The Company's early focus on delivering digital media editing technology to the mass market has led to leadership in digital imaging and video editing worldwide. MGI Software recently broadened its market to business and online users of photography and expanded its technological leadership to encompass digital entertainment media. Through its ever-growing network of partnerships with major consumer electronics manufacturers, computer hardware and software vendors, photo retailers and the entertainment industry, MGI Software is uniquely positioned to benefit from the digital revolution shaping our lifestyles. MGI Software employs over 200 people with offices in North America, Europe, Pacific Rim, and Japan. MGI Software is publicly traded on The Toronto Stock Exchange.

To learn more about NetTV and its products, visit the Web site at www.net-tv.net. For more information visit http://www.mgisoft.com.