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Agoura Hills, CA—Oct 11, 2005

DTS Partners to Bring DCT-Compliant Encoding Technologies for D-Cinema to Market

DTS Establishes Agreement With Dr. Michael Marcellin To Offer JPEG2000 Encoding Tools
DTS, Inc. (NASDAQ: DTSI) announced today that the company’s Cinema Division will develop and market DCI-compliant JPEG2000 encoding tools for Digital Cinema and Digital Intermediate applications developed in conjunction with Dr. Michael Marcellin, a leading expert in JPEG2000 coding technologies and a major contributor of technology to the JPEG2000 standard.

Dr. Marcellin recently served in an advisory capacity to DCI (Digital Cinema Initiatives, LLC), where he assisted with development of JPEG2000 profiles specifically for Digital Cinema applications and provided the JPEG2000 encoding engine used in DCI’s digital cinema package (DCP) of the ASC StEM materials. The partnering of DTS and Dr. Marcellin will focus on providing products and services designed to drive adoption of Digital Cinema and facilitate Digital Intermediate processes for generation of all types of digital content.

“I look forward to the opportunity to collaborate with DTS and its customers to further develop JPEG2000 applications that will advance the rollout of Digital Cinema,” said Dr. Marcellin. “I am pleased to be working with DTS on this effort. They are the ideal choice to bring these tools and technologies to market.”

In addition to his work with DCI, Dr. Marcellin and his team have extensive experience in practical applications of JPEG2000. Their JPEG2000 encoder implements a Variable Bit Rate (VBR) algorithm that exceeds CBR encoding in its ability to deliver constant quality and optimize storage and bandwidth requirements, while maintaining compliance with the standards set by DCI for peak data rates. Their VBR encoder is efficient and flexible to meet the demands of the movie industry. The final result allows for delivery of stunning digital images for playout on compliant D-Cinema theater systems.

“As a leading provider of premium digital technologies for the cinema industry, DTS has a wealth of experience developing and introducing new technologies. Our ongoing relationship with Dr. Marcellin and his team is reflective of our strong commitment to assuming a leadership position as a provider of advanced imaging technologies for Digital Cinema,” said Don Bird, Senior Vice President, Cinema Division at DTS. “In addition to our DTS Digital Images group, the expertise of Dr. Marcellin and his team will enable us to raise the bar for delivery of the highest quality digital content to the worldwide exhibition market. They will be an invaluable addition to our DTS Cinema business as we work to support the industry’s transition to digital projection technologies.”

In addition to its Oscar®-winning technology for digital sound, DTS has introduced revolutionary motion picture technologies for delivery of subtitles, captions and recently, through the acquisition of Lowry Digital Images (now DTS Digital Images), state-of-the-art digital image enhancement and restoration services. DTS will work with Dr. Marcellin to develop a range of products with functionality to support improved workflow for Digital Cinema and Digital Intermediate applications.

About Dr. Michael W. Marcellin
Since 1988, Dr. Michael W. Marcellin has been with The University of Arizona, where he is Professor of Electrical and Computer Engineering, and Professor of Optical Sciences. His research interests include digital communication and data storage systems, data compression and signal processing. He has authored and co-authored more than 150 papers in these areas. Dr. Marcellin is co-author of the book “JPEG2000: Image Compression Fundamentals, Standards and Practice,” which serves as a graduate-level textbook on image compression fundamentals, and is the definitive reference on JPEG2000.

About DTS Cinema Division

DTS is a leading provider of technologies, products and services for both film and digital content delivery and exhibition. A preferred digital sound format on more than 24,000 screens in 99 countries, DTS quickly became a leading provider of premium, discrete, multi-channel audio for motion pictures after the release of Steven Spielberg’s Jurassic Park. Since 1993, the company’s award-winning technology has set a standard for digital audio delivery in cinemas and special venues. With the recent introduction of the XD10 Cinema Media Player and the CSS Cinema Subtitling System, DTS now provides products and services for digital preshow, subtitling and Access captioned screenings. In addition to supplying movie theaters with hardware solutions, DTS also licenses its technologies for filmed content, with DTS digital sound now featured on nearly 100 percent of major feature films released by all major Hollywood studios.

About DTS, Inc.: Since 1993, DTS, Inc. (Nasdaq: DTSI) has been dedicated to making the world sound better. Through its pioneering audio solutions for mobile devices, home theater systems, cinema, automotive and beyond, DTS provides incredibly high-quality, immersive and engaging audio experiences to listeners everywhere. DTS technology is integrated in more than two billion devices globally, and the world's leading video and music streaming services are increasingly choosing DTS to deliver premium sound to their listeners’ network-connected devices. DTS, Inc. Directory page
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