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Iomega Codeveloping MP3 Audio Technology With Clik! Drives Built In

Clik!(TM) Drives Built-In Provide Virtually Unlimited Storage Capacity for MP3 Audio Players

LAS VEGAS--(BUSINESS WIRE)--Nov. 16, 1999-- Iomega Corporation, a leader in smart, portable storage solutions, today announced it has signed non-binding letters of intent with several MP3 player manufacturers to develop a series of MP3 audio players and components with Iomega's Clik!(TM) drive built-in. Addonics Technologies Corporation (Addonics), Sensory Science and Varo Vision Co. are each developing new product concepts that incorporate Iomega's Clik! drive built-in as the removable storage option for downloading music via the Internet at an affordable price. As part of Iomega's digital audio strategy, demonstrations of the MP3 audio players, which hold up to 83 minutes of compressed digital music, or more than 5 1/2 hours of voice recordings, on a single 40MB Clik! disk, are being held at Iomega's booth (No. L5746) at COMDEX/Fall `99.

"MP3 players with Clik! drives built-in give music enthusiasts the freedom to enjoy unlimited downloaded music without being tethered to a computer. Enthusiasts can create portable collections of near CD quality music of more than 40 minutes each, on inexpensive Clik! disks. Changing music is as simple as inserting a new disk," said Keith Slankard, director of Beyond-PC products, Iomega Corporation. "With an MP3 player and a few tiny Clik! disks, you can enjoy all your favorite music anytime, anywhere."

Varo Vision, the first company to announce products with Clik!(TM) drives built-in, will be manufacturing a portable audio player the Varoman Plus. Varoman Plus is a pocket-sized digital device providing playback of MP3 and MS Audio music files, digital voice recording, personal organizer and removable data storage functions. "Varoman Plus creates a new market segment in the world of handheld digital device, we call it the 'Digital Pocket Solution'(DPS)," said Dr. Jean Koh, president and CEO of Varo Vision. Varoman Plus prototypes will be demonstrated at the Iomega booth at COMDEX.

Sensory Science, one of the companies signing a non-binding letter of intent and the manufacturer of the successful Rave MP Internet Media Player, will soon offer a new MP3 player and expand its capabilities by including Iomega's Clik(TM) drive built-in. Sensory Science is known throughout the industry for creating and marketing unique, innovative consumer electronic and home theater devices. Recently, Time Digital magazine rated the RaveMP 2100 the number one portable MP3 player on the market. The new Clik! drive built-in version of the RaveMP will offer significantly improved data storage capabilities and will have the ability to save, share and archive audio tracks, in addition to offering enhanced PDA features. Sensory Science has pioneered the inclusion of PDA features in the portable MP3 player market. The new Clik! drive version of the RaveMP is just the first in a planned series of Internet Audio and media products from Sensory Science that will incorporate Iomega technology.

Addonics, the third company to sign a non-binding letter of intent to use Iomega's Clik!(TM) drive built-in, is manufacturing an upgrade for their current MP3 players. Music enthusiasts can purchase an attachment for the Addonics branded MP3 audio player that includes an extra battery, an Iomega Clik! drive and three Clik! disks allowing for 120MB of storage capacity for the user's favorite music downloads.

With inexpensive 40MB Clik!(TM) disks, available for an estimated street price of $9.99 (U.S.) each, when purchased in a 10-pack, customers can now create virtually unlimited collections of 40-minute play lists per Clik! disk. Clik! drives and disks are currently available through catalogs, online, at, and retail outlets. Clik! disks are also the same disks used with Iomega's cordless and cable-less Clik! PC Card drive that fits into most notebook PC Card slots and is designed for today's mobile warrior.

About Varo Vision

Varo Vision Co. is a privately held Korean corporation located in Seoul. Founded in 1994, Varo Vision's audio and video processing technology heritage dates back to 1992, when the core technology group researched video compression and image processing at the computer vision laboratory of Syracuse University in Syracuse, New York. Varo Vision began development of MPEG applications in 1994.

About Sensory Science

Sensory Science (formerly Go-Video) is a rapidly growing consumer electronics company specializing in developing and marketing innovative digital audio and video products, including digital televisions, Internet media players, and high-end home theater components. The company holds patents on the Dual-Deck VCR as well as other electronics products and systems, and is expanding into new product categories to take advantage of the transition from analog to digital technologies. Sensory Science also markets its products under the Go-Video, California Audio Labs, CineVision, and Loewe brand names.

About Addonics

Addonics Technologies Corporation is a member of the multi-billion-dollar ACER Group. Addonics designs, manufactures and markets a broad line of mobile storage products that connect to many PC platforms including Desktop, Notebook, WinCE, iMac and Apple PowerBook, through PCMCIA and USB interfaces. The Company also has a broad line of communications products and multimedia audio and graphics solutions. Addonics is headquartered at 16F, No. 82, Hsin Tai Wu Rd., Sec. 1, His-Chih, Taipei Hsien, Taiwan, R.O.C.

About Iomega

Iomega Corporation manufactures and markets the award-winning Zip®, Jaz® and Clik!(TM) drives and disks and markets the ZipCD(TM) CD-RW drives and discs that help people to organize, manage, create, exchange and share their important information. Used in homes, businesses, government, education and by creative professionals everywhere, Iomega storage solutions are the enabling technologies preferred by millions. The Company can be reached at 1-800-MY-STUFF (800-697-8833), or on the Web at

Special note: Statements contained in this release relating to the expected development, availability and functionality of the Addonics branded, Varo Vision branded and Sensory Science branded Clik! MP3 players are forward-looking statements. There are a number of important factors that could cause actual events to differ materially from thoes indicated by such forward-looking statement, including negotiation and execution of a binding agreement between Iomega and Addonics, Iomega and Varo Vision and Iomega and Sensory Science, market acceptance of, and demand for, the Addonics branded, Varo Vision branded and Sensory Science branded Clik! MP3 players, manufacturing issues, including component availability and pricing, encountered by Iomega and Addonics, Varo Vision and Sensory Science, development and distribution issues relating to the Addonics branded, Varo Vision branded and Sensory Science branded Clik! MP3 players, product pricing and conformity to specifications, competition, intellectual property rights and other risks as identified in Iomega's Annual Report to Stockholders for 1998 on Form 10-K, filed March 26, 1999, and its most recent quarterly reports filed with the SEC.

Copyright (c) 1999 Iomega Corporation. The following trademarks of Iomega Corporation are registered in the U.S. Patent and Trademark Office and in other countries: Iomega, Zip and Jaz. Some other marks which may be registered in some countries are: Clik! and ZipCD. Certain other product names, brand names and company names may be trademarks or designations of their respective owners.

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