New DivX Media Format Enables Highly Compressed Video Files with Advanced, Interactive Features

Fremont, CA -- (SBWIRE) -- 09/6/2005 -- InterVideo®, Inc. (NASDAQ: IVII) a leading provider of multimedia solutions to tier-one consumer electronics and PC manufacturers, today announced that WinDVD® 7 is the first product to support DivX® 6 and the new DivX Media Format. WinDVD 7 is the latest release of InterVideo’s universal DVD player which recently surpassed a milestone of more than 125 million copies shipped worldwide.

InterVideo, a DivX-licensed software partner, has worked closely with DivX. to create video and audio editing, creation and playback software products that will enable users to take advantage of the new multimedia features embedded in DivX 6 and the new DivX Media Format. In addition to home theater-quality playback of DVDs, WinDVD 7 will now be able to display video files encoded with the advanced features of the DivX Media Format, including subtitles, multiple audio tracks, interactive menus, and chapters.

The latest version of WinDVD is integrated with an unprecedented list of new and expanded features while still delivering smooth, crystal-clear video and rich surround sound that its highly known for. With the coming wave of HD, WinDVD is prepared to support HDTV and H.264 playback, also known as MPEG-4 Part 10. In addition, WinDVD leverages both PC/CE convergence together by providing users with home networking interoperability with UPnP playback and the new DivX Media Format. By combining DivX 6 with WinDVD, viewers will have more convenience and control over their video files from the internet and will also be able to playback high-quality files with interactive menus.

Future InterVideo releases enhanced with DivX 6 support include the latest version of DVD Copy™, which will provide users with the tools necessary to create their own files with DivX Media Format features. The upcoming release of DVD Copy will incorporate the ability to archive, burn, convert, and download videos over the internet by simply providing the URL and selecting the video to copy. In addition, this burning application enables users to create files with features of the DivX Media Format including multiple audio tracks, and interactive menus. This will be a key benefit for consumers since these files will offer a more optimal viewing experience.

"InterVideo creates great products that take advantage of DivX technology to give consumers a new kind of digital video experience," said Kevin Hell, Chief Operating Officer at DivX, Inc. "DivX is committed to working with our partners to ensure widespread support and interoperability with the advanced features of the DivX Media Format and we are confident that these new capabilities will bring great value to the entire line of InterVideo applications."

"The new DivX Media Format is a groundbreaking technology that combines advanced interactive features like menus and subtitles with the excellent compression and mobility of DivX video," said Steve Ro, CEO and President of InterVideo. "We’re proud to release the first product to fully support DivX 6 and the new DivX Media Format, and we look forward to integrating the technology into future releases."

For more information on DivX 6 and the DivX Media Format, visit www.divx.com/divx. To learn more about WinDVD 7 and other InterVideo products, visit www.Intervideo.com.

About DivX Inc.
DivX, Inc. is a consumer-focused video technology company positioned at the center of multimedia convergence. The company's core offering is the DivX ® video codec, among the world's most popular video compression technologies with over 160 million users worldwide. The patent-pending DivX video technology offers DVD-quality at 10 times greater compression than MPEG-2 files, enabling full length films to easily fit on a CD or be delivered over broadband connections. DivX video technology powers a range of applications that span the convergence value chain, from a secure IP-based video-on-demand solution to next-generation consumer electronics products and video software applications. DivX, Inc. is headquartered in San Diego, California.

About InterVideo, Inc.
InterVideo is a leading provider of DVD software. InterVideo has developed a technology platform from which it has created a broad suite of integrated multimedia software products that allow users to capture, edit, author, burn, distribute, and play digital video. InterVideo's software is bundled with products sold by the majority of the top ten PC OEMs ranked in terms of sales by IDC. The company is headquartered in Fremont, CA with regional offices in Europe, Taiwan, China and Japan. For more information, contact InterVideo at 510-651-0888 or visit the company's Web site at www.intervideo.com.

afe Harbor Statement
Except for the historical statements contained herein, the foregoing release contains forward-looking statements, including statements regarding InterVideo Media Content Server and InterVideo Home Theater 3 products and/or technologies. These forward-looking statements are subject to risks and uncertainties, and actual results could differ materially due to several factors, including but not limited to the ability to forecast customer behavior and recognize or respond to emerging trends, changing preferences or competitive factors, the market acceptance of our new products and product enhancements, the resolution of any notices of claims regarding alleged infringement of third parties' intellectual property rights, the ability to maintain or expand our relationship with PC OEMS and other risks and uncertainties. Please consult the various reports and documents filed by InterVideo with the U.S. Securities and Exchange Commission, including but not limited to InterVideo's Form 10-Q for other risk factors that could cause actual results to differ. All forward-looking statements are made as of the date hereof and InterVideo disclaims any responsibility to update or revise any forward-looking statement provided in this news release.

InterVideo and WinDVD are registered trademarks and DVD Copy is a trademark of InterVideo, Inc. All other trademarks are the property of their respective holders.