e.Digital Corporation (fka EDIG)

[Tinroad]

SIGMA MPEG-2 SILICON FEATURED IN NEW SERIES OF CONVERGENCE SET-TOP BOXES BY SAMSUNG AND OCTAL
http://www.sigmadesigns.com/press/year2001/010516.htm
(Sigma was also partnering with Lydstrom to incorporate their SongBank platform; see http://www.sigmadesigns.com/press/year2001/010108a.htm )

Based on Microsoft TV Advanced Digital Platform These New Products Offer Video-on-Demand and DVD Playback as well as digital TV broadcast.

Milpitas, CA May 16, 2001 - Sigma Designs (NASDAQ: SIGM), a leader in MPEG decoding solutions, announced today that its EM8400 MPEG-2 decoder solution has been incorporated into a new series of advanced digital set-top boxes being co-developed by Samsung Electronics and Octal. These set-top boxes are targeted for broad deployment starting this year into European DVB, North American Cable, and Asian markets.

This new platform is a significant offering, representing a combination of Samsung's global leadership in electronics and Octal's technology for set top boxes based on the Microsoft TV platform. The two companies are co-developing the necessary hardware and software as well as jointly marketing the products to cable, satellite, and terrestrial broadcast companies around the world. As one of the first commercialized digital cable set-top boxes to use the Microsoft TV Advanced Digital Platform, these products will be capable of receiving digital video broadcasts, broadband internet access, video on demand, integrated WEB DVD player, and other digital media services.

"Ensuring very high quality video output was one of our top goals for this set-top box," stated Dr. Hee-Won Park, Senior Manager of Set-top Box Development for Samsung. "Sigma's EM8400 silicon solution delivers this level of quality for streaming video on demand and DVD playback."

"This is the future of TV, and we are proud to be a part of it," said Nuno Duarte, managing director of OCTALTV. "With the EM8400 MPEG decoder and software drivers from Sigma, our digital set-top box uses a proven quality solution for video on demand and DVD playback."

"This selection by Samsung and Octal represents a significant design win for Sigma," stated Ken Lowe, Sigma's Vice President of Business Development, "Our EM8400 is being used to deliver video on demand and DVD playback on a new flagship product, being offered by leading manufacturers for worldwide consumption. This is a strong indication of acceptance of our REALmagicTM Video Streaming Technology, which is at the core of all of our silicon solutions."

About Sigma Designs, Inc.

Sigma Designs specializes in silicon-based MPEG decoding for streaming video, progressive DVD playback, and advanced digital set-top boxes. The company's award-winning REALmagic™ Video Streaming Technology is used in both commercial and consumer applications providing highly integrated solutions for high-quality decoding of MPEG-1, MPEG-2 and MPEG-4. Headquartered in Milpitas, California, the company also has sales offices in China, Europe, Hong Kong, Japan, Korea and Taiwan. For more information, please visit the company's web site at www.sigmadesigns.com.

About Samsung Electronics

Samsung Electronics Co., Ltd., with sales revenue of US$30 billion in 2000, is a world leader in the electronics industry. The Korea-based concern has operations in about 50 countries and 54,000 employees worldwide. The company consists of three main business units: Digital Media, Semiconductors and Information & Communications Businesses. For more information, please visit our website at http://samsungelectronics.com.

About Octal

OCTALTV is a 51% owned subsidiary of Novabase SGPS (Lisbon BVL "NBAN.IN"). The Company offers a wide range of Interactive Digital Cable, Satellite, and Terrestrial set-top box devices for Microsoft based TV platforms. Novabase is one of the leading IT companies in Portugal, with more than 800 employees in Portugal and Brazil. Novabase is headquartered in Lisbon, Portugal, and listed in the Lisbon Stock Exchange (Lisbon BVL "NBAN.IN"). It has built a track record for innovation and high growth (45% per year) in the past 8 years. Its activity is structured in 5 main business areas: Novabase e-Consulting (a leading systems integrator); Novabase ASP (addressing the IT needs for SMEs), Novabase e-Talent (operating in the areas of recruitment, selection, and outsourcing), Novabase Interactive TV and Novabase Capita; (investor in companies with strong synergies with other Novabase businesses). For more information, please visit http://www.novabase.pt

###

Sigma Designs, REALmagic and the REALmagic logo are either registered trademarks or trademarks of Sigma Designs, Inc. in the United States and/or other countries. All other trademarks or registered trademarks are the property of their respective owners.