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On2 Technologies Releases On2 Flix Pro 8.5

Professional Flash Video Application Adds Hollywood-Style Special Effects Features, Advanced Encoder Controls NEW YORK, NY (May 23, 2006) – On2 Technologies, Inc. (AMEX:ONT) announced today that it has released version 8.5 of its popular On2 Flix Pro for Flash video production software. With this new release, On2 has added compelling new features to appeal to Flash developers and the growing community of Internet video-shorts producers. New features of On2 Flix Pro 8.5 include: – Chroma color keying tools that enable users of any skill level to create stunning Hollywood-style "green screen" visual effects at a fraction of the price of competing applications; – Advanced control of On2 video encoder settings such as auto keyframing, quantizer levels, encoder speed, and sharpness; – Support for video cue point insertion to facilitate bookmarking/chaptering within videos, closed captioning, and event triggers. "On2 Flix Pro paved the way for high quality video for Flash Player 8 and has become an influential force behind the online shift from text and pictures to Internet video. Today, we’re helping these customers take their creative visions even further by providing them the caliber of special effects tools and encoding controls once only available to professional editors in the broadcast arena," said Eric Ameres, chief technical officer at On2. On2 Flix Pro is a leading solution for creating high-quality video for playback with the Flash Player 8. Macromedia selected On2 Video in 2003 as the advanced compression technology for their Macromedia Flash 8 family of products. On2 Flix Pro 8.5 is available immediately for Windows and Macintosh. Current On2 Flix Pro 8.0 licensees are entitled to a free upgrade to version 8.5; On2 Flix Standard 8.0 licensees are entitled to an upgrade discount. The product is also offered at a discount as part of the On2 Flix Studio application suite. For more information, visit www.on2.com. About On2 Technologies, Inc., The Duck Corporation On2 Technologies (Amex: ONT) is a leading technology firm at the forefront of digital video compression. The company revolutionized digital media delivery with the creation of its advanced full-motion, full-screen On2 Video compression and streaming technologies. On2 Video codecs are widely used in the Internet, video-on-demand, VOIP, and mobile media markets. They operate with On2’s Flix and On2 TrueCast software, as well as third-party products. On2’s software is used by such leading global companies as Adobe/Macromedia, AOL, Skype, XM Satellite Radio, Sony, VitalStream, and Tencent. The On2 Video decoder has an installation base of millions through its inclusion in Adobe Flash Player, Skype 2, AOL Media Player, Viewpoint, and others. Located in New York City, the company has an office in Clifton Park, NY, and operations in Cambridge, UK. To contact On2, write to sales@on2.com or visit www.on2.com

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