[ PRESS RELEASE ]

November 09, 2005
SISVEL grants Thomson an MP3 and MPEG 2 audio patent license

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SISVEL S.P.A. AND AUDIO MPEG, INC. ANNOUNCE A NEW ROYALTY RATE FOR THE MPEG AUDIO LICENSING PROGRAM

Audio MPEG, Inc. and its parent company S.I.SV.EL., S.p.A. announced at the Las Vegas 2005 CES a more favorable royalty rate for consumer electronic hardware products which conform to the ISO/IEC 11172-3 and 13818-3 MPEG Audio Standards. The rates will start from a lowered first step, and continue to be based on the number of channels for each licensed product and decrease over larger volumes. The royalty for products sold before January 1, 2005 will continue to be charged at the old rates.

The new royalty rate will start at thirty cents ($0.30) per channel, corresponding to sixty cents ($0.60) per stereo unit, such as traditional portable MP3 players, DVD/MP3 players, boom-boxes with MP3 capabilities, TV set top boxes, and digital TVs, and will be applied to the first 800,000 channels manufactured or sold each calendar year.

This new royalty rate is available to both existing and new licensees. Starting January 1, 2005 all agreements for consumer electronics hardware products contain the new royalty rates and all existing licensees will be offered the new royalty rates together with other improvements.

About S.I.SV.EL. S.p.A. and Audio MPEG, Inc.

S.I.SV.EL. S.p.A., and its U.S. subsidiary Audio MPEG, Inc. have the exclusive worldwide rights to grant licenses under patents owned by France Telecom, Telediffusion de France S.A., U.S. Philips Corporation, Koninklijke Philips Electronics N.V., Institut fur Rundfunktechnik GmbH, and Bayerische Rundfunkwerbung GmbH. A license under the MPEG Audio patents is available from Sisvel and Audio MPEG. A list of the standard MPEG Audio license agreement for consumer products is available upon request. For more information on the available licenses and patents included in the license, please refer to www.audiompeg.com and www.sisvel.com.