DVDO Upgrades to 1080p24 via Firmware

LOS GATOS, Calif. - July 9, 2007 - Anchor Bay today announced a free software upgrade for its DVDO^® iScan™ VP50 video processor that allows the system to produce a 1080p-24 output for any standard- or high-definition input, enabling an artifact-free, theater-like viewing experience. The new "Film Technology" feature is available as a software upgrade for the VP50 and is also slated for integration into Anchor Bay's forthcoming ABT2010 video processing chip.

The v1.04 "Film Technology" software upgrade is available to Anchor Bay's customers as a free download on its website, using either a serial or USB connection from the PC to the VP50. With the upgrade, the VP50 is the industry's first video processor with the ability to take all standard- and high-definition input signals and output them at 1080p-24, 1920x1080 pixel frames displayed at 24 frames per second. Other manufacturers can generate a 24-frame output from interlaced input signals, but only Anchor Bay has technologies that allow this with all input signals, interlaced or progressive.

Using Anchor Bay's PReP™ and Progressive Cadence Detection, the VP50 and ABT2010 are able to process interlaced and progressive signals correctly, recreating the original 24 frames that existed in the source from the 60 frames that the content is encoded in. The breakthrough process results in a stunning viewing experience without the artifacts that are typically introduced by high-resolution displays, such as judder, which manifests on the screen as jerky camera pans.

"We are excited to provide our 'Film Technology' as a software upgrade to the VP50, offering both new and existing customers the first video processor that offers a 1080p-24 output," said Craig Soderquist, CEO at Anchor Bay. "With 'Film Technology,' VP50 users can view all their movies at the exact same frame rate they would see in the theater. In addition, this breakthrough method will be featured in our ABT2010 chip. With more and more displays supporting 1080p-24, this feature provides a differentiator for display manufacturers, allowing them to offer their customers an experience that is unavailable using other solutions."

For more information on Anchor Bay or to download the free software upgrade, please visit www.anchorbaytech.com.

About Anchor Bay Technologies, Inc.
Anchor Bay designs and manufactures advanced digital semiconductor and system-level solutions for next-generation digital television and high-resolution digital video products. The company's proprietary Video Reference Series (VRS) technology allows Anchor Bay to offer a wide range of advanced video processing solutions that greatly improve image quality on large screen HDTV home theater systems and other video displays. The company's product offerings include Precision Video Scaling, Precision Deinterlacing, Progressive Re-Processing (PReP), color correction, detail enhancement, and noise reduction solutions.

Anchor Bay makes its VRS technology available in semiconductor products for OEMs and in its award winning DVDO iScan line of video processing systems for end users. The company is dedicated to providing leading-edge video technologies that will enable current and next generation ICs and systems to deliver reference-quality images across a wide range of displays and sources. Privately held, Anchor Bay maintains its headquarters in Los Gatos, Calif.