On2's Flix Line of Flash Video Encoders Will Be Available in Line with Availability of Flash Player 8



New York , NY ( August 8, 2005 ) -- On2 Technologies, Inc. (AMEX: ONT), today announced that Macromedia®, Inc. (NASDAQ: MACR) has completed integration of On2's award-winning VP6 compression technology into its family of Macromedia Flash® Player 8 products – announced earlier today.  Macromedia's adoption of the VP6 codec will enable hundreds of millions of Internet users to experience the quality and feature-rich capabilities of On2's industry-leading video compression technology. 


Additionally, On2 announced today that its entire line of Flix encoding tools for creating high quality Flash Video will be widely available this fall to the more than one million-strong community of Flash developers and digital media designers anticipating general availability of Macromedia Flash Player 8.  On2 recently completed the integration of its VP6 video encoding technology into its industry-leading Flix line of Flash Video encoders to ensure availability timed with the first-customer-shipment of Flash Player 8. 


“Today's announcement of Flash Player 8 is a watershed event for the worldwide community of Flash developers and digital media designers,” said Douglas McIntyre , chairman, president and chief executive officer of On2 Technologies.  “Macromedia's technological innovation combined with their creative vision has resulted in a family of products that will change the landscape of digital video creation and delivery to the masses.  We're proud to partner with such an industry icon and participate in, what we believe, will be a fundamental shift in how high quality video imagery will be designed and delivered to millions of viewers around the globe.”


On2 Flix Products for Creating High Quality Flash Player 8 Content


On2's new VP6-enhanced Flix family of video compression technologies include:



  • Flix Pro – a powerful Flash Video encoder that enables users to edit, crop, convert and post video to the web in minutes;
  • Flix Engine – enables users to add Flix's Flash Video encoding capabilities to their software and enables website visitors to convert their video, audio and image files to Flash.  The Flix Engine also enables users to allow anyone within the intranet to have access to Flix solutions.


"We focused on taking Macromedia Flash Player 8 video capabilities to a new level and On2 Technologies' video codec is a key part of that effort," said David Mendels , general manager, Macromedia. “Because On2's video compression technology ensures millions of Internet users will experience high-quality and feature-rich Flash Video experiences, they are an important partner.”


About On2's TrueMotion VP6 Codec


TrueMotion VP6 is a leading codec available for PC and set-top box applications.  TrueMotion VP6 is among the best video codecs on the market today. VP6 offers better image quality and faster decoding performance than Windows Media 9, Real 9, H.264, and Quick Tim e MPEG-4.  In internal testing, TrueMotion VP6 surpassed H.264, Windows Media 9 and Real Networks 9 in PSNR comparisons using the standard set of MPEG-2 test clips. The codec demonstrates higher image quality than Windows Media 9, shows far fewer motion artifacts than Windows Media 9, and maintains more texture and detail than Real 9 or H.264.


About On2 Technologies, Inc., The Duck Corporation

On2 Technologies (Amex: ONT) is a leading technology firm at the forefront of 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 used extensively in the video-on-demand, videoconferencing, Internet media, surveillance, and store-and-play markets. They operate with On2's own TrueCast Server and Player software, as well as third-party player and server products. On2's software is used by such leading companies as Sony, XM Satellite Radio, NTT, AOL, BBC, ABC News, Nullsoft, SeaChange International, and Macromedia. The On2 Video decoder has an installation base of millions through its inclusion in AOL 9 Media Player, Winamp 5, Viewpoint Media Player, and others. On2 licenses its software for use in set-top boxes, consumer electronics devices and wireless applications and offers high-level video encoding, customized technical support, and consulting/integration services. Located in New York City , the company has an office in Clifton Park , NY , and operations in Cambridge , UK . To contact On2 write to sales@on2.com or visit http://www.on2.com .



Customers Pre-Purchasing Flix 8 Flash Video Encoder Prior to Release Get Special Price and Current Version of Flix


NEW YORK, Aug. 9 /PRNewswire-FirstCall/ -- On2 Technologies, Inc. (Amex: ONT - News ), today announced an incentives program to reward customers for early adoption of its newest line of Flix encoding tools for Macromedia® Inc.'s Flash Player 8, which was announced yesterday and will be available this Fall. As part of the incentives program, customers who pre-purchase the new version of Flix Pro 8 after August 8- will be able to take advantage of a special, discounted price and will also receive the current version of Flix Pro to use until Flix Pro 8 is officially released. The new versions of On2's Flix 8 Flash video encoding tool includes the Company's VP6 video encoding technology, ensuring the highest image quality Flash Video output in the industry.


"As we've contended, we believe the launch of Flash Player 8 is one of the most important developments in rich media design and delivery on the Internet. And our customers are telling us the same thing," said Douglas McIntyre, chairman, president and chief executive officer of On2 Technologies. "We've launched this incentives program because we want this extremely excited community of more than one million Flash developers to immediately start thinking about Flash Video for Flash Player 8. This program puts the highest quality encoding tools right in their toolbox when the Flash Player 8 is available."


Flix Pro 8 is a powerful Flash video encoder that enables users to edit, crop, convert and post video to the web in minutes.


About On2's TrueMotion VP6 Codec


TrueMotion VP6 is a leading codec available for PC and set-top box applications. One of the most powerful codecs available, VP6 offers better quality and faster decode performance than codecs available in rival platforms such as Microsoft Media Player, Real Player and Apple QuickTime.


With the inclusion of On2's VP6 video codec, MacroMedia Flash 8 is set to become the platform of choice for delivering high quality video over the internet.


Pricing and Availability


Customers pre-purchasing the new version of On2's Flix Pro 8 Flash video encoding tool after August 8 and before the general availability of Flash Player 8 will be able to purchase at a discounted price and will receive a copy of the current version of Flix Pro to use until On2 makes Flix Pro 8 generally commercially available for license.


Flix Pro for Flash Player 8 will be integrated with the Company's VP6 encoding technology for high quality Flash Video output. General availability of Flash Player 8 will be announced this fall, and On2 expects to begin to make its Flix for Flash Player 8 products available shortly thereafter. The incentive price for the new version of Flix Pro is $229, which represents a


$20 discount off the expected $249 retail price of Flix Pro for Flash 8 Player.


About On2 Technologies, Inc., The Duck Corporation


On2 Technologies (Amex: ONT - News ) is a leading technology firm at the forefront of 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 used extensively in the video-on-demand, videoconferencing, Internet media, surveillance, and store- and-play markets. They operate with On2's own TrueCast Server and Player software, as well as third-party player and server products. On2's software is used by such leading companies as Sony, XM Satellite Radio, NTT, AOL, BBC, ABC News, Nullsoft, SeaChange International, and Macromedia. The On2 Video decoder has an installation base of millions through its inclusion in AOL 9 Media Player, Winamp 5, Viewpoint Media Player, and others. On2 licenses its software for use in set-top boxes, consumer electronics devices and wireless applications and offers high-level video encoding, customized technical support, and consulting/integration services. Located in New York City , the company has an office in Clifton Park , NY , and operations in Cambridge , UK . To contact On2 write to sales@on2.com or visit http://www.on2.com .