DTS unveils DTS-HD brand for high definition media formats

DTS renames DTS++ for the consumer market & announces
branding campaign

October 27, 2004 – DTS (Digital Theater Systems, Inc.)
(NASDAQ: DTSI) unveiled today DTS-HD, as the new trademarked brand name for its
lossless technology. Previously known under working name DTS++, the DTS-HD mark
will denote media, source players and decoders that are compliant with the next
generation high definition disc formats, Blu-ray Disc and High Definition DVD
(HD-DVD). In addition to debuting the new brand and logo, DTS will support
DTS-HD with a branding campaign to roll out in conjunction with the introduction
of the new optical disc formats. DTS announced in September that its core
5.1-channel surround sound was selected as mandatory audio technology for both
HD-DVD and Blu-ray Disc, and DTS-HD (DTS++ in some Blu-ray Disc and HD-DVD
documents), was also chosen as an optional feature in both formats.

DTS-HD is a set of extensions to the Coherent Acoustics audio coding system,
which also encompasses DTS Digital Surround, DTS-ES, and DTS 96/24. The
introduction of DTS-HD will provide manufacturers and content providers with a
complete range of DTS-branded technologies, incorporating lossless technology
for next generation formats.

Signifying ‘best in class” technology, DTS-HD can support a virtually
unlimited number of discrete surround sound channels, can downmix to 5.1- and
two-channel, and can deliver audio quality at bit rates extending from DTS
Digital Surround up to lossless. The only audio solution to provide up to
lossless operation and backwards compatibility in a single bit stream, DTS-HD
provides the highest quality audio performance available in the new format
standards, while still being capable of playback in legacy equipment, such as
existing home theater systems.

‘We chose the name DTS-HD for the new formats in the consumer market because
of both the strong association of DTS as a premium brand, and HD (high
definition) as representing highest quality in the consumer electronics market,”
said Brian Towne, Vice President, Consumer / Pro Audio Division at DTS. ‘As the
industry prepares to introduce new hardware for next generation formats, DTS is
developing a marketing campaign to support both manufacturers and content
providers, while developing brand awareness among consumers. We are confident
the marketplace will see that DTS-HD offers a tremendous opportunity for
consumers to experience the best possible surround sound, while also providing
crucial flexibility to hardware licensees and studios.”

DTS personnel will be available to answer questions regarding DTS-HD at the
117th AES Convention at Booth #532 at the Moscone Convention Center
in San Francisco, October 28-31, 2004.

About DTS
DTS (Digital Theater Systems, Inc.) (NASDAQ: DTSI) is a
digital technology company dedicated to delivering the ultimate entertainment
experience. DTS decoders are in virtually every major brand of 5.1-channel
surround processors, and there are over 280 million
DTS-licensed consumer electronics products available worldwide. A pioneer in
multi-channel audio, DTS technology is in home theatre, car audio, PC and game
console products, as well as 5.1 Music Discs, DVD-Video, DVD-Audio and DVD-ROM
software. Additionally, DTS is featured on more than 23,000 motion picture
screens worldwide. Founded in 1993, DTS is headquartered in Agoura Hills,
California and has offices in the United Kingdom, Japan and China. For further
information, please visit www.dtsonline.com.

DTS is a trademark of Digital Theater Systems, Inc.

Source: DTS Online