Media Excel Licenses VP6(TM) Codec From On2 Technologies for MobileTV, WebTV, IPTV and VoD File Transcoding on the 'HERA' Hardware Transcoder Appliance: Media Excel's HERA Transcoder Appliances to Integrate On2's TrueMotion(R) VP6(TM) Codec

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Media Excel Inc., a leading provider of Advanced Digital Video Content Adaptation for MobileTV, WebTV & IPTV, and On2 Technologies, Inc. (AMEX:ONT), a leader in video-compression software solutions, announced today they have signed a licensing agreement that will further establish Media Excel's leadership in the transcoding market and new market opportunities for On2.

The TrueMotion VP6 codec, which is the video compression technology behind Flash video, is widely accepted as the de facto standard for web-based video

    "The combination of On2 and Media Excel's technologies will provide a tremendous price/performance improvement in file transcoding," said Thanasis Iatrou, President and CEO of Media Excel. "The HERA product line was designed be the fastest, most complete real-time transcoding solution to deliver high-quality compressed video over IP networks, irrespective of the content source or destination device."

Media Excel will implement On2's TrueMotion VP6 digital video encoding solution as an added feature in its DSP-based transcoder acceleration module, the basis for the HERA appliance family. This added functionality will encode video streams in VP6 for live, real-time broadcasting of Adobe(R) Flash(R) video and off-line file transcoding to Flash standard. This feature will complement Media Excel's HERA product line's current ability to encode and broadcast in MPEG2, MPEG4 Part 2, H.263 and H.264 (AVC) formats, simultaneously, in multi bit-rate form.

Availability of VP6 and Flash output on Media Excel's appliances is scheduled for later this year.

"The TrueMotion VP6 codec, which is the video compression technology behind Flash video, is widely accepted as the de facto standard for web-based video," said Bill Joll, President and CEO of On2 Technologies. "The integration of VP6 into Media Excel's transcoder solutions expands our reach beyond the computer screen and to the digital home and mobile TV market."

About Media Excel, Inc.

Media Excel is the Transcoding Company for MobileTV & IPTV. Enabling the "Digital Revolution" by allowing any content to be displayed on any device through affordable, high-performance transcoding technologies targeted at Telecom, Web and Media Broadcasters. Headquartered in Austin, Texas, Media Excel is a privately held company founded in 2000. To contact Media Excel, write to sales@mediaexcel.com or visit http://www.mediaexcel.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. Located in New York City, the company has R&D offices in Clifton Park, NY, and Cambridge, UK. To contact On2, write to sales@on2.com or visit http://www.on2.com.

Trademarks mentioned are the property of their respective owners.

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