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On2 Technology Included in Adobe Flash Lite 3 Application

Wednesday 20. February 2008 - VP6 Enables High-Quality Video Playback on Portable Wi-Fi Devices

On2 Technologies, Inc., (AMEX:ONT), a leader in video compression solutions, today announced that it has licensed its optimized TrueMotion(R) VP6(TM) video decoder software to Sony(R) for use in its mylo(TM) communicator “COM-2” device.

The COM-2 uses On2’s TrueMotion VP6 decoder with Adobe(R) Flash(R) Lite 3 software, and provides access to videos posted on Flash-based web sites. When connected to a wi-fi hotspot, the mylo communicator can also upload and download content to and from the Web using the touch screen interface on its 3.5-inch high-resolution display. By integrating an optimized version of On2’s VP6 decoder, the mylo communicator users have the ability to enjoy web based video content, while on-the-go.

“We continue to improve the quality of our video solutions for leading handheld device manufacturers, and the mylo communicator is one of the best examples of mobile video products on the market today,” said Bill Joll, president and CEO of On2 Technologies. “Most of the leading user-generated content web sites today use our Flix Engine product and VP6 compression scheme to create and publish video, and we see the market trends moving toward mobile video sharing and consumption.”

Flix Engine is a leading server side encoding platform used by a large number of Web 2.0 websites and leading enterprises for creating and publishing Flash video.