January 14, 2003--San Diego, CA and Taipei, Taiwan-DivXNetworks, Inc., the company that created the revolutionary patent-pending DivX video compression technology, and Cyberlink, a world leader in digital video and audio solutions, today announced a comprehensive software licensing and marketing partnership. Cyberlink has licensed DivX and DivX Pro video compression technology for the company's leading line of digital video and audio multimedia software products.

Cyberlink will integrate DivX video technology as the default MPEG-4 codec in all of its software products including PowerDVD, PowerDirector, PowerProducer, PowerVCR, StreamAuthor, VideoLive Mail, Medi@show, and Talking Show. These popular multimedia software products will be sold directly to consumers through CyberLink's retail and electronic software download (ESD) channels. Additionally, Cyberlink will distribute DivX powered software products through their wide-reaching original equipment manufacturers (OEM) channel to millions of consumers across the world. CyberLink and DivX will work together closely to deliver compelling software products to OEM manufacturers of PCs, digital video cameras, digital still cameras, video cards, and other widely used consumer hardware products.

DivXNetworks will market the DivX powered Cyberlink software products to over 12 million monthly users on DivX.com, the company's consumer-facing web property. DivX.com offers a valuable marketing channel of international tech-savvy digital video consumers. DivX video compression technology is a hugely popular video encoder / decoder that offers DVD-quality video at sizes 7-10 times smaller than MPEG-2 and ranks among the world's most popular video technologies, with over 75 million downloads and an average of over 2 million downloads per month. The advanced DivX Pro includes a set of advanced encoding techniques and built-in video processing tools specifically designed to meet the wide-ranging demands of digital video professionals.

"We're very excited to work together with DivXNetworks to leverage the superior visual quality, high performance, and enormous brand recognition of DivX video technology for our full line of multimedia products," said Alice H. Chang, CEO of Cyberlink. "The addition of DivX, the best MPEG-4 technology on the market, provides a real value-add for OEM manufacturers and consumers alike."

"Cyberlink is an innovative and pioneering company in the multimedia space, and we're pleased to combine DivX video with their great line of software products," said Jim Geison, director of sales at DivXNetworks. "We're looking forward to working together to develop a full suite of DivX powered products to the global OEM and consumer retail market."

About DivXNetworks
DivXNetworks is a leading technology company that enables the rapid proliferation of video content over Internet Protocol (IP) networks by combining the lightweight, ubiquitous access of the Internet with DVD-quality video performance. The company's approach is built upon the success of the DivX? codec, a leading standard for MPEG-4 compatible video distribution with over 75 million users worldwide, and the DivX Open Video System?, a next-generation content delivery system that provides unsurpassed aggregation, promotion, and distribution of video content for mass markets. DivXNetworks is headquartered in San Diego, California, with a satellite office in Los Angeles. For more information about DivXNetworks, visit http://www.divxnetworks.com.

About CyberLink Corp.
Founded in 1995, CyberLink Corp. is a world leader and pioneer in bringing advanced digital video and audio software products to market. The products are categorized into two major lines: Digital Video Entertainment and E-Training Solutions. Digital Video Entertainment products focus on providing video/audio playback, recording, authoring and burning capabilities on the personal computer. These award-winning software applications are ideal solutions for turning today's mainstream computers into powerful home theaters and digital video centers. The company's E-Training Solutions offer breakthrough technologies to stream and manage high-quality, media-rich contents over corporate intranets or the Internet. As a result of the company's solid growth and profitability, CyberLink became a public company in October of 2000 and is listed on the Taiwan Over The Counter Exchange (OTC: 5203). To keep up with market demands, CyberLink has operations in North America, Europe and the Asia Pacific region including Japan. CyberLink's worldwide headquarters are in Taipei and its Web site is located at www.goCyberlink.com.

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All companies and product names mentioned herein are for identification purposes only and are the sole property of their respective owners.
Copyright c 2003 CyberLink Corp. All rights reserved.

Press Contacts:
For CyberLink:
USA: Kristen Stonecipher, kristen@sspr.com or by phone +1-888-275-5878, ext. 28.
Germany: Cornelie Elsaesser, c.elsaesser@konzept-pr.de or by phone +49-821-34 300-20.
Manal Ma at press@gocyberlink.com or by phone at: +886-2-8667-1298, ext. 301 or 303 for more details.

For DivX:
Tom Huntington
Corporate Communications Manager
858-909-5358
thuntington@divxnetworks