On2 Technologies to Showcase New Innovations in Mobile-Video at 3GSM World Congress

Video technology leader to demonstrate User Generated Content on mobile phones and set-top devices for playback of ubiquitous Adobe® Flash® video, and other innovations in mobile and high-definition video

TARRYTOWN, N.Y., Feb. 7 /- On2 Technologies, Inc., (AMEX:ONT), a leader in video compression software and solutions, announced today that it will showcase new innovations for driving popular User Generated Content and other Internet Flash video to mobile phones and other embedded video platforms at the 3GSM World Congress in Barcelona, February 12-15, 2007. As part of its broad showcase, On2 will also feature solutions based on its award winning VP7 advanced video compression, including its TrueMobile(TM) system for highly efficient end-to-end mobile video and high-definition video playback on low-power devices.

Flash video for Mobile: A ubiquitous Flash video experience will be demonstrated with Flash video playback on mobile handsets and embedded processors for set top boxes and other portable and mobile devices. Flash video based on On2's VP6 compression schemes licensed by Adobe for Flash Player 8 and later, is the predominant format for Internet video.

"Flash Video is the fastest growing video format on the Internet and is poised to transform the user experience on mobile handsets and consumer devices," said Francisco Kattan, director for product marketing and developer relations, Mobile and Devices at Adobe. "We are working closely with On2 and other partners in the mobile market to bring highly optimized Flash Video solutions to such devices and are excited about On2's showcase at 3GSM offering an early glimpse of what lies ahead in 2007."

Mobile video for 2.5G and beyond: On2's TrueMobile system promises mobile video for the largest number of handsets across the most networks, including 2.5G, 3G and 4G networks. TrueMobile offers the most efficient and affordable mobile video system for carriers and media companies at data rates as low as 20kbps, and with an over-the-air upgrade to convert most popular data-enabled phones to TrueMobile video phones. On2 will demonstrate the capabilities of its award-winning VP7 advanced compression schemes used in TrueMobile and also demonstrate VP7's high-definition capabilities at data rates as low as 2Mbps for bandwidth constrained networks and low-power devices.

On2 will also debut a new transcoder that converts Flash video and other popular formats to 3GPP format for bringing popular web video content to 3GPP handsets.

"The plethora of mobile video offerings from On2 at the 3GSM World Congress address all the relevant issues mobile media companies and carriers are facing around mobile video -- from user generated content, to bandwidth conservation, and purposing Internet video content to popular 3GPP handsets," said Bill Joll, president and CEO of On2 Technologies. "We are uniquely addressing each aspect of this burgeoning market with proven technologies and compelling solutions for current market needs and longer term growth opportunities."

On2 Technologies' showcases can be seen at Booth No. 7A57, Hall 7, at the 3GSM World Congress. Executives from On2 will be available to meet at the booth. To schedule meetings in advance, please contact sales@on2.com.

About On2 Technologies, Inc.

On2 Technologies (AMEX:ONT) is a leading technology firm at the forefront of digital video compression. The company revolutionized digital media delivery with the creation of its advanced full-motion, full-screen On2 Video compression and streaming technologies. On2 Video codecs are widely used in the Internet, video-on-demand, VoIP, and mobile media markets. On2's software is used by such leading global companies as Adobe/Macromedia, AOL, Skype, XM Satellite Radio, Sony, CTTNet, VitalStream, and Tencent. Located in Tarrytown, N.Y., the company has R&D offices in Clifton Park, N.Y., and Cambridge, UK.

Source: On2 Technologies, Inc.

Sam Vasisht,
On2 Technologies,

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

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