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On2 Technologies Announces TrueMotion® VP6-S(TM) and H.264 Upgrades Available for Flix® Engine

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On2 Technologies, Inc.
1560 Broadway, 10th Floor
New York, NY, 10036
USA



Press release date: November 5, 2007

New release of On2's flagship product for video encoding supports latest 'Moviestar' updates to Adobe(R) Flash(R) Player 9.

TARRYTOWN, N.Y., Nov. 5 / / -- On2 Technologies, Inc., (AMEX:ONT), a leader in video compression solutions, announced today that upgrades to its Flix Engine line to support new formats added to Adobe Flash Player 9 through Adobe's 'Moviestar' update, are now shipping.

The upgrade adds On2 TrueMotion VP6-S profile, a new low complexity profile of popular On2 VP6-E(TM) video compression supported in Flash Player since 2005. This new profile is designed for full screen, high resolution - including high definition (HD) - video for playback on mass market PCs with relatively low processing power. The upgrade also adds H.264, a leading industry standard format for video, to Flix Engine's supported encoding formats.

"On2 is the first encoding vendor to support all the formats built into the Flash Player as a result of Adobe's recent updates," said Bill Joll, president and CEO of On2 Technologies. "While Adobe Flash Player now supports the needs of a wider audience which in itself is exciting, we are particularly excited about the wider applicability of the VP6 format, within which VP6-E profile continues to be the quality benchmark for web video, and now VP6-S profile will set the benchmark for streaming HD video on the web in high volume applications."

In addition to VP6-E and S profiles, and H.264, the Flix Engine line supports transcoding to H.263 FLV format used in Adobe Flash Player, and H.263 3GPP format used in the mobile video industry.

On2 will demonstrate the new upgrades and high definition video playback in Adobe Flash Player 9 using VP6-S at the upcoming Streaming Media West show at the San Jose McEnery Convention Center, November 6-8, 2007.

About On2 Technologies, Inc. On2 Technologies (AMEX:ONT) ensures a compelling video experience for any video application anywhere. From low bit rate to high definition (HD), On2 provides optimized video compression technology enabling innovative solutions for application developers, content and service providers, chip vendors, device manufacturers, digital signage companies and beyond.

Through continual innovation, On2 satisfies the toughest quality, bandwidth, and power requirements for video. The company's proprietary (TrueMotion(R) VP6(TM), VP7(TM)) and standards based (MPEG-2, MPEG-4, H.263, H.264, VC-1) codecs dominate the video market, with more than 1 billion deployments on desktops worldwide and more than 200+ million in mobile; they are also proven in silicon with over 25 semiconductor manufacturers globally.

Established in 1992 and headquartered in Tarrytown, New York, On2 has offices and partners in Finland, Germany, UK, Japan, China, Taiwan and Korea. Customers include Nokia, Samsung, Sony, Freescale, AMS, Atmel, Adobe/Macromedia, AOL, Sony, Skype, Facebook, VideoEgg, Brightcove, Move Networks and XM Satellite Radio. For more information please visit www.on2.com.

All trademarks mentioned in this document are the property of their respective owners.

Source: On2 Technologies, Inc.

CONTACT: Sam Vasisht of On2 Technologies, +1-518-724-3872, svasisht@on2.com

Web site: http://www.on2.com/

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