Digimarc Mobile Client Software -Top Camera Phone Platforms

Digimarc Corporation announced the release of Digimarc Mobile(TM) version 1.1, supporting the capability to add print-to-web linking to applications running on the majority of the world’s camera phones shipping in 2005. The release also includes enhanced digital watermark origination tools and techniques supporting a wide range of commercial printing processes.

“Two-hundred-eighty million camera phones are forecast to ship in 2005, but navigating the Internet with a cell phone is still an awkward and time-consuming process,” said Doug Pollack, senior vice president, marketing and business development for Digimarc Watermarking Solutions. “At the same time, billions of pages of print marketing continue to be pushed into circulation everyday, driving much of our inspiration to surf and buy. What’s missing is a way to link from the printed page to m-commerce and online entertainment. Digimarc Mobile has been specifically designed to bridge this gap, simplifying the consumer’s access to information and products over the wireless web.”

Digimarc Mobile allows solution providers to turn every piece of print into a hyper-link to mobile commerce, online information and entertainment. Consumers simply point their camera phones at pages enabled with a digital watermark, click their image capture button, and instantly link to relevant Internet content.

Digimarc Mobile 1.1 includes:

— Digimarc Mobile Client:

— Software development kit (SDK) supporting the integration of Digimarc Mobile Client software on BREW, DoJa, J2ME, and Symbian mobile phone systems, with support for Windows Mobile planned for Spring 2005. — Digital watermarking technology specifically tuned to optimize print-to-mobile web connectivity — Embedding plug-ins for the Windows and Macintosh operating systems, integrating seamlessly in the pre-press workflow — Enhanced press check toolset supporting smooth commercial production for content owners and printing companies

“M-Commerce — the sale of goods and services via hand-held wireless devices — has been heralded as the next great consumer marketplace,” said Tony Henning, managing editor, The Mobile Imaging Report. “Digital watermarking stands to be a key driver in this ecosystem because it provides an easy-to-use, one-step link from print materials to Internet product information and purchasing mechanisms that satisfy consumer needs, and offer new revenue opportunities to the players involved in the mobile transaction.”

Digimarc Mobile 1.1 is being deployed by MediaGrid Inc., Digimarc’s exclusive Japanese go-to-market partner. MediaGrid is combining extensive experience with 3G wireless content and digital watermarking to deliver its ClickPix!(R) wireless application to the Japanese market in 2005.

“MediaGrid is excited to be the exclusive Japanese provider of Digimarc Mobile client software as we launch our mobile print-to-content offering, which we are targeting initially at the catalog shopping market in Japan,” said Takeshi Akutsu, MediaGrid CEO. “Digimarc has an exceptional technology solution and has been a great partner to work with on this exciting consumer mobile service.”

Digimarc Mobile is available to various regions through out the world via Digimarc’s regional “Go-to-Market” program. Please contact mobile@digimarc.com for more information.

About Digimarc

Digimarc Corporation (Nasdaq:DMRCE), based in Beaverton, Oregon, is a leading supplier of secure media solutions used in a wide range of security, identification and digital media content applications. Digimarc provides products and services that enable production of more than 60 million personal identification documents, including two-thirds of U.S. driver licenses and IDs for more than 20 countries. Digimarc’s digital watermarking technology provides a persistent digital identity for various media content and is used to enhance the security of financial documents, identity documents and digital images, and support other media rights management applications. Digimarc has an extensive intellectual property portfolio, with 186 issued U.S. patents with more than 4,000 claims, and more than 350 pending patent applications in digital watermarking, personal identification and related technologies.

The company is headquartered in Beaverton, Oregon, with other U.S. offices in Burlington, Massachusetts; Fort Wayne, Indiana; San Francisco, California; and the Washington DC area; and European offices in London. Please go to http://www.digimarc.com for more company information.

Digimarc Public Relations

Leslie Constans, 503-469-4620 lconstans@digimarc.com or Mizuha Nakajima, 503-997-6045

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