Sigma Designs Launches ReelMagic Lite MPEG Playback Controller For a
Suggested Retail Price of Just $349

ReelMagic Lite Delivers Full-Screen, Full-Motion MPEG Video And Audio
Playback to Interactive Entertainment, Education, Business Presentations,
Movies, and Music Videos

FREMONT, Calif., February 28, 1994 -- Sigma Designs, Inc. (NASDAQ--SIGM), a
leading manufacturer of multimedia computer products, today announced a
new addition to its family of breakthrough ReelMagic MPEG playback
products for personal computers. ReelMagic Lite provides a complete MPEG
video and audio playback solution for PC users who already own a sound
board. Compatible with a new generation of interactive software titles
featuring live action video, ReelMagic Lite plays back full-screen,
full-motion video at 30 frames per second (fps) for a TV-like experience
on a PC. Slated to hit retail shelves in April, ReelMagic Lite, bundled
with an MPEG version of a popular entertainment title, will carry a
suggested retail price of just $349. The product will be shown at the
Intermedia trade show, March 1 - 3, in San Jose, Calif.

Following the introduction last Fall of Sigma Designs' ReelMagic controller
for the PC, a combination 16-bit sound board and MPEG video and audio
playback card, ReelMagic Lite offers all the functionality of the original
ReelMagic card, however the sound capabilities have been limited to just
MPEG audio playback. ReelMagic Lite, priced $100 less than ReelMagic, is
targeted at users who already have a sound card installed in their system,
but demand state-of-the-art features only provided by MPEG video and sound
playback.

"We are very excited to be offering ReelMagic Lite at such an affordable
price point," said Thinh Tran, chairman and chief executive officer of
Sigma Designs. "According to estimates there are over 6 million sound
cards installed in personal computers to date. ReelMagic Liu is perfectly
suited for those sound board users, offering them unsurpassed MPEG video
and sound playback, without paying any extra for the sound capabilities
they already have."

The ReelMagic family of products is based on the emerging MPEG (Motion
Picture Experts Group) standard for video and audio compression. Backed by
a large consortium of consumer electronics and computer companies
including Philips, JVC, Goldstar, and Samsung, the MPEG compression
standard has been endorsed as a method for distribution of video on
Compact Disc ReelMagic products utilize this standard by decompressing
MPEG video and audio in real-time, allowing 74 minutes of full-screen,
full-motion video, coupled with CD-quality sound, to be played back from a
single-speed CD-ROM drive.

ReelMagic and ReelMagic Lite products are compatible with the next level in
interactive entertainment, education, training, business presentation,
movies, music videos, and Karaoke CD software titles. Supported by major
software developers, ReelMagic-compatible titles are currently available
or soon-to-be released by companies such as Activision, Aris
Entertainment, Compton's New Media, Crystal Dynamics, Interplay,
ReadySoft, Sierra On-Line, The Software Toolworks, Trilobyte, Tsunami, and
Virgin Games. These new titles incorporate full-screen, live action video
and animation, resulting in a more realistic, life-like experience.
Furthermore, ReelMagic products are compatible with the new Video CD
standard which allows feature films, TV shows and music videos to be
played from a CD-ROM drive.

Available in April for a retail price of $349, the ReelMagic Lite package
will include the ReelMagic Ute board, an MPEG version of a popular
entertainment title, an intelligent installation diskette for quick and
easy setup, a demo CD filled with exciting MPEG clips of current and
future ReelMagic compatible titles, documentation, and all necessary
cables. ReelMagic Lite also comes with a five year warranty on parts and
labor.

Other products in the ReelMagic family include the ReelMagic controller
(SRP $449), for users requiring an MPEG video and audio playback card
combined with a full-featured sound card, as well as the ReelMagic CD-ROM
Upgrade Kit (SRP $799), for users wishing to upgrade their PC to the
ultimate multimedia system featuring sound, CD-ROM and MPEG playback
capabilities.

Sigma Designs, headquartered in Fremont, CA, is a leading manufacturer of
technologically advanced multimedia products, as well as document image
processing display solutions. All Sigma products are sold worldwide
through a network of dealers and distributors. For sales and developer
information, call 800-845-8086, 510-770-0100, or fax 510-770-2640

Sigma Designs Inc
47900 Bayside Parkway, Fremont, CA 94538
510-770-0100,  fax 510-770-2640

 ============================================================
 From the  'New Product Information'  Electronic News Service
 ============================================================
 This information was processed from data provided by the
 above mentioned company. For additional details, contact 
 the company at the address or telephone number indicated.
 OmniPage Pro is now used for converting all printed input! 
 ============================================================
 All submissions for this service should be addressed to:
 BAKER ENTERPRISES,  20 Ferro Dr,  Sewell, NJ  08080  U.S.A.
 Email: RBakerPC (AOL/Delphi), rbakerpc@delphi.com (Internet)
 ============================================================
