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NEWSFORIMMEDIATERELEASEContactInformation:ESSTechnology,Inc.
RebeccaMackInvestorRelationsBergmanMack&Associates(510)492-1161(949)981-4496rebecca.
mack@cox.
netESSTechnologyIntroducesHighlyIntegratedVistaChipforDigitalVideoRecorderMarketVistaProcessingChipIntegratesAllMajorFunctionalBlocks,ReducingCostsFREMONT,Calif.
,January6,2005––ESSTechnology,Inc.
(Nasdaq:ESST),aleadingproviderofsiliconsolutionsfordigitalimaging,digitalvideoanddigitalaudioconsumerelectronics,announcedtodaytheintroductionoftheVistaaudioandvideoprocessingchip.
ThisnewVistachipintegratesanNTSC/PALTVdecoder,aDVdecoder,anIEEE1394Linklayer,anAudioADC,eightAudioDACs,andaClass-DPWMcontrollerintoasinglechip.
Thishighlyintegratedsolutionistargetedforemergingmass-marketdigitalvideorecorder(DVR),recordableDVD,andintegratedClass-Dreceiverproducts.
TheDVDmarketiscontinuingtogrowrapidly,withanestimatedannualvolumeofover200millionunitsby2007,accordingtoindustrysources.
ProductswithfeaturessuchasopticalrecordingandClass-Dreceiversareexpectedtoaccountforover50millionunitsannuallyby2007.
AlmostallDVDrecordableproductsin2007areexpectedtoalsoincorporateaDVcamcorderinputfunction.
TheVistaprocessingchipisespeciallywellsuitedforthesemarketsegmentsasitintegratesallofthesefunctions,resultinginalowbillofmaterialscost.
"Weareveryexcitedtobetheleaderinintroducingthishighlyintegratedandstate-of-the-artsolutionmeetingthedemandsofthegrowingDVDrecordingandClass-Dreceiver-more-ESSTechnologyIntroducesVistaChipPage2of3markets.
ThisnewVistachip,whencoupledwithourhigh-qualityVantageIIencoder-decoderchip,allowsESStoprovideacompleteDVDrecordablesolutionforourcustomersatveryattractiveprices,"saidAbhiDugar,directorofmarketingatESSTechnology.
FeaturesoftheVistachip:TVdecoder-Superioranalogvideodecodingquality,withahighlyadaptivecombfilterthatgreatlyreduces"dotcrawl"and"falsecolor"artifacts.
-AfullyprogrammableVBIprocessorthatsupportsclosedcaptioning,XDS,NABTS,Teletext,WSS,Gemstar,andmanyotherstandardsrequiredbytherecordableDVDandDVRmarkets.
-Supportscomposite,component,andS-Videoinputsignals,andisfullycertifiedforMacrovisioncopyprotectiondetection.
DVdecoder-FullycompliantwiththeIEC61834-2standard,andthe1394LinklayerisfullycompliantwiththeIEC61883StandardforDigitalInterfaceforConsumerElectronicsAudio/VideoEquipment,providingaseamlessinterfacefordigitalcamcorderinputtoDVRandrecordableDVDplatforms.
Additional-TheintegratedhighqualityAudioAnalogtoDigitalConverters(ADC)andDigitaltoAnalogConverters(DACs)eliminatetheneedforexternalaudiodecoderandencoderdevicesontheboard.
-Thebuilt-inClass-DPWMcontrollerincorporatesESS'spatented"HyperStream"technologythatdeliversthebestmodulationandaudioquality,withatypicalTHDoflessthan0.
05%whilemaintaininglessthan1%ofTHDathighestunclippedpower,providingthehighestperformanceandmostcosteffectiveClass-Ddigitalamplifiersolution.
ESShasdevelopedcompleteDVDrecorderandClass-DreceiverreferencesystemsthatincorporatetheVistadevice.
Thereferencedesignsystemcomeswithcompletedocumentationincludingschematics,PCBlayoutandguidelines,aswellasfirmwarecodethatthecustomers-more-ESSTechnologyIntroducesVistaChipPage3of3caneasilytakeintoproductionwithminimumdevelopmenteffort.
TheVistadeviceisavailableinanindustry-standard208-pinPQFPpackage.
AboutESSTechnologyESSTechnology,Inc.
,isaleadingsupplierofhigh-performancefeature-richchipsfortherapidlyexpandingDVD,digitalimaginganddigitalentertainmentmarkets.
Thecompanyisalsoaleadingproviderofsolutionsforapplicationsinthegrowingconsumerentertainmentmarket.
ESSprovidesadvancedproductsthatenabletheemergenceofdigitalhomesystemsthatdeliverandmanageentertainmentandinformationinthehome.
ESS,headquarteredinFremont,California,hasR&D,sales,andtechnicalsupportofficesworldwide.
ESSTechnology'scommonstockistradedontheNasdaqNationalMarketunderthesymbol"ESST".
ESSTechnology'swebsiteaddressis:http://www.
esstech.
com.
Themattersdiscussedinthisnewsreleaseincludecertainforward-lookingstatementsthatinvolverisksanduncertainties,including,butnotlimitedto,theimpactofcompetitiveproductsandpricing,thepossiblereductionofconsumerspendingoccasionedbygeneraleconomicconditions,continuedgrowthindemandforconsumerelectronicsproducts,thetimelyavailabilityandacceptanceofESS'products,theuncertaintyoftheoutcomeofanylitigationproceedings,andtheotherrisksdetailedfromtimetotimeintheSECreportsofESS,includingthereportsonForm10-K,Form10-QandForm8-K(ifany)whichweincorporatebyreference.
Examplesofforward-lookingstatementsincludestatementsregardingESS'futurefinancialresults,operatingresults,businessstrategies,projectedcosts,products,competitivepositions,management'splansandobjectivesforfutureoperations,andindustrytrends.
Theseforward-lookingstatementsarebasedonmanagement'sestimates,projectionsandassumptionsasofthedatehereofandincludetheassumptionsthatunderliesuchstatements.
Forward-lookingstatementsmaycontainwordssuchas"will","expect","anticipate","believe","continue","plan",thenegativeofthesetermsorothercomparableterminology.
Actualresultscoulddiffermateriallyfromthoseprojectedintheforward-lookingstatements.
Weundertakenoobligationtopubliclyupdateanyforward-lookingstatement,whetherasaresultofnewinformation,futureevents,orotherwise.
Alltrademarksmentionedinthisnewsreleaseareownedbytheirrespectiveholdersandareusedinthisnewsreleaseforidentificationpurposesonly.
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