Company Press Release

Boca Research Selects Sigma Designs' REALmagic MPEG Decoder Chip for State-of-the-Art Internet/Information Appliance

Internet/Information Appliance Offers Affordable, Modular Approach to the Convergence of Digital TV and Internet Technology

FREMONT, Calif.--(BUSINESS WIRE)--Jan. 13, 1999-- Sigma Designs (Nasdaq:SIGM) and Boca Research, Inc. (Nasdaq:BOCI - ) announced today that the new BocaVision(tm) ST2001 PC Internet/information appliance, or set-top box, incorporates Sigma Designs' advanced EM 8220 DVD/MPEG-2 decoder chip for DVD and MPEG playback.

With the ST2001, users will have a single solution for browsing the Web, sending/receiving e-mail, performing personal computer functions, and playing DVD titles as well as audio and video CDs.

Widely recognized as the most highly integrated single-chip DVD solution on the market, Sigma's REALmagic(tm) EM8220 provides flicker-free video at full-screen resolution -- without burdening the CPU.

After receiving compressed MPEG data through the PCI bus, the decoder separates audio and video data from the incoming data stream and decompresses the video data. The EM8220 supports SDRAM for digital video overlay. The video data is then scaled and displayed in clear, crisp images on the PC monitor or TV set.

Developed using software from Network Computer, Inc. (NCI), an affiliate of Oracle Corporation [Nasdaq:ORCL - ] and Netscape Communications Corporation [Nasdaq:NSCP - ], the BocaVision ST 2001 features NCI's feature-rich, open Internet standards-based TV Navigator(tm), resulting in a cost-effective, high-powered information appliance as well as a simplified computing device.

The product is scheduled for broad-based beta testing in the first quarter of 1999; volume shipments are expected in the second quarter.

Boca Research and Sigma Designs demonstrated the BocaVision ST2001 at last week's Consumer Electronics Show (CES) in Las Vegas. This demonstration highlighted the full capability of Video on Demand (VOD) services over the ST2001 Internet Set-Top, with MPEG-2 and MPEG-1 streaming video.

Using NCI's TV Navigator software along with the Oracle Video Server and Sigma Designs' REALmagic MPEG decoding technology, the ST2001 achieves full motion 30 fps streaming video with an easy-to-use Web-based interface. This enables any Telco-ADSL, satellite, or cable systems provider the ability to provide to their customers on-demand movie channels along with new interactive video services in a user-friendly, manageable package.

``HDTV, Internet-based systems, and DVD players have gained a strong following,'' said William K. Wong, Sigma Designs' vice president of marketing.

``Until now, people have had to buy two, three, and sometimes more boxes for the top of their television sets to get all of the capabilities they want. The Boca Research Internet/information appliance is a complete, low-cost solution for the convergence of these devices,'' he continued. ``Users will have everything they need without having to worry about integrating all of the devices.''

``The BocaVision ST2001 enables high-speed graphics processing and provides a superior end-user experience with NCI's interactive Enhanced TV(tm) software and technology,'' said Tom Elowson, director of marketing for Boca Research.

``We believe this is the most flexible architecture for expansion and customization available today in the information appliance systems category. The product will leverage the many new opportunities in interactive, Enhanced TV using dial-up, Ethernet, high-speed cable, and xDSL access for delivering information services to the consumer and SOHO markets,'' Elowson concluded.

International Data Corporation (IDC) estimates that the information appliance market will reach a penetration level of over 41 million units by the year 2002.

Leading Producer of Video Delivery Products

Sigma Designs is the industry's leading producer of DVD/MPEG-2 decoder chips and add-in cards for computer manufacturers, upgrade kit developers, and systems integrators for stand-alone systems and network applications. For additional information, call 800/845-8086 or 510/770-0100, fax 510/770-2640, or visit Sigma's Web site at http://www.sigmadesigns.com.

Editors and Analysts: For additional information, photographs and interviews, please contact Andy Marken, [email protected] or 408/986-0100