NEW MULTIMEDIA ACCELERATOR COMBINES GRAPHICS ACCELERATION WITH DIGITAL
VIDEO SCALING INCLUDING SOFTWARE MPEG-1

Optional Daughtercard Provides Hardware MPEG-1 Playback

SAN JOSE, Calif., March 13, 1995 -- Diamond Multimedia today announced a
new addition to its family of multimedia accelerators -- the Diamond
Stealth 64 Video VRAM. The PCI version of the Diamond Stealth 64 Video
VRAM will be available through distributors, computer retailers and mass
merchants in March. The VLB version is expected to ship in April.

By combining high-performance graphics and full-screen digital video
playback, including software MPEG-1, the Diamond Stealth 64 Video VRAM
provides a boost in system performance for general Windows and DOS
applications, as well as compute-intensive desktop publishing, CAD and
digital video software applications.

An optional daughtercard, the Diamond Motion Video Player, for the Diamond
Stealth 64 Video VRAM provides hardware accelerated MPEG-1 audio and video
decompression. The Diamond Stealth 64 Video VRAM has an estimated retail
price (ERP) of $389 for the 2MB version and $559 for the 4MB version. The
optional Diamond Motion Video Player carries an ERP of $299.

"With the increase in development of games, interactive CD-ROM movies and
business applications that use digital video and multimedia functionality,
PC users are demanding a single-solution that incorporates
high-performance graphics and multimedia capabilities. Those capabilities
include digital video scaling and filtering, hardware digital video
decompression, live video input in a window, composite video output,
consumer 3D graphics acceleration and audio," said Ken Comstock, director
of graphics/video product marketing for Diamond. "Diamond is taking the
first step to a fully integrated multimedia subsystem, by combining
high-performance graphics acceleration and full-screen, scaleable video
playback including software MPEG-1 in a new multimedia accelerator, the
Diamond Stealth 64 Video VRAM. Additionally, by providing an optional
hardware MPEG-1 upgrade module, the Diamond Stealth 64 Video VRAM is
meeting the needs of today's multimedia applications in a cost-effective
way, while maintaining the ability to expand for tomorrow's more
sophisticated multimedia technology."

No Compromise Graphics

Utilizing the S3 Vision968 graphics engine and the Texas Instruments 3026,
a 220 MHz RAMDAC, the Diamond Stealth 64 Video VRAM supports resolutions
of up to 1600x1200, color depths to 24-bit True Color, and provides
ergonomic, flicker-free refresh rates of up to 120Hz. High resolutions and
high color depths are particularly useful for desktop publishing, document
image processing and CAD applications on large screen monitors. A lower
cost version of the Stealth 64 Video VRAM with a 175 MHz RAMDAC also will
be available to OEMs and systems integrators.

The Diamond Stealth 64 Video VRAM for PCI or VLB is available in either 2MB
of VRAM upgradable to 4MB or a 4MB version. The 2MB version supports 256
colors at 1600x1200 resolution, 65,000 colors at 1024x768, and 16.7
million colors at up to 800x600. The 4MB version supports 65,000 colors at
1600x1200, and 16.7 million colors at resolutions up to 1280x1024.

Smooth, Video Scaling

Entertainment and business applications are rapidly incorporating MPEG-1
digital video clips. The Diamond Stealth 64 Video VRAM allows users to
view these new applications in Windows by providing acceleration and
full-screen playback of popular video CODEC (compression/decompression)
formats including MPEG-1, Indeo 3.2, Cinepak and MS Video 1.

The Diamond Stealth 64 Video VRAM displays smooth, realistic video in a
full-screen up to 1280x1024 resolution. It is powered by the S3 Vision968
accelerator, which has incorporated digital video acceleration into the
graphics engine using X and Y interpolation, and color space conversion to
provide smooth, realistic video images at up to 30 frames-per-second.

Optional Hardware MPEG-1

While today's PC applications are limited for MPEG-1, new applications such
as video kiosks, multimedia presentation and video-content entertainment
software are rapidly approaching that will demand full frame rate MPEG-1
within multiple graphics modes. An optional daughtercard for the Diamond
Stealth 64 Video VRAM, the Diamond Motion Video Player will provide
higher-performance hardware decode of MPEG-1 video and audio streams.

The shared frame buffer architecture of the Diamond Motion Video Player
eliminates the compatibility problems found with current MPEG upgrade
solutions, and it provides full-screen video playback in multiple graphics
modes at full frame rates. It off-loads the MPEG-1 processing from the CPU
for smooth, full-motion video on any 486 or above.

The Diamond Motion Video Player module utilizes the C-Cube Microsystems
CL-450 MPEG-1 decompression chip and the S3 Vision VA integrated circuit
for high-quality color space conversion, scaling and dithering. This
module also features dual video windows and "video in" capabilities to
view live video from NTSC or PAL sources like camcorders, VCRs and
laserdisk players.

The Diamond Motion Video Player will be available in the second quarter of
1995.

Powerful Multimedia Software Interface

In order to easily take advantage of the multimedia functionalities of the
PC, the Diamond Stealth 64 Video VRAM includes Diamond's InControl Tools
productivity software operating under Windows to control the multimedia
functions of the accelerator while providing complete desktop management.
This intuitive software utility provides audio and video controls such as:
video playback quality and frame rate, and audio play and volume
adjustment. General desktop functions include "on-the-fly" resolution
switching, monitor frequency selection, programmable keyboard and mouse
hotkeys, real-time screen centering, DPI calibration, custom cursor color
and size, custom icon font size and style, control of screen saver, and
standby and off (DPMS power savings) modes.

Value-Added Bundles

CorelDRAW 4, Asymetrix 3D F/X( and Asymetrix Digital Video Producer(
programs are bundled with the retail version of the Diamond Stealth 64
Video VRAM for no additional charge. CorelDRAW 4, a graphics application,
provides advanced spreadsheet features, multi-page capabilities, more than
750 fonts, more than 18,000 clipart images and symbols. Asymetrix 3D F/X
allows users to quickly and easily create 3D titles, logos and animations
using a drag-and-drop interface and a catalog of models and scene
elements. Asymetrix Digital Video Producer lets users quickly capture,
edit and build digital video and audio clips on their Windows PC using a
timeline interface. Users can utilize the fast graphics acceleration and
video features of the Diamond Stealth 64 Video VRAM to create multimedia
presentations, 3D animations and more.

Multiple Operating System Support

The Diamond Stealth 64 Video VRAM currently includes driver support for
Windows 3.1, Windows NT 3.5, Windows for WorkGroups 3.11, and IBM OS/2
Warp. Also included are AutoCAD (ADI 4.2) drivers with support for
AutoShade 2.0 with RenderMan, AutoCAD r10/386, r11, r12 and r13 as well as
drivers for MicroStation 5.0 and 3D Studio r1, r2, r3, and r4.

Warranty and Service

As with all of Diamond's graphics and multimedia accelerators, the Diamond
Stealth 64 Video VRAM is backed by a five-year parts and labor warranty
and unlimited technical support. Technical assistance by phone is
available six days a week and through the 24-hour Diamond BBS (bulletin
board service), CompuServe section and America Online forums. Diamond also
maintains an Internet World Wide Web Server and FTP site.

Diamond Multimedia

Diamond Multimedia Systems, Inc. is a privately held company that designs,
manufactures, and markets high-performance multimedia solutions including
graphics and multimedia accelerators, sound cards, audio/telephony
subsystems and multimedia upgrade kits for the personal computer market.
Headquartered in San Jose, Calif., Diamond has marketing and technical
support facilities in Tokyo and Munich. The company's products are sold
through regional, national and international distributors as well as to
major computer retailers, mass merchants and OEMs worldwide. Diamond had
1994 sales of over $200 million.

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