Vialta Announces Appointment of Didier Pietri as President

ESS Formalizes Plans for Vialta Spinoff



Vialta Poised for Growth in Digital Home Systems



Apr 25, 2001, 01:00 ET from ESS Technology

    FREMONT, Calif., April 25 /PRNewswire/ -- ESS Technology (Nasdaq: ESST)
 today announces that its subsidiary, Vialta, Inc. has appointed Didier Pietri
 to the position of president of Vialta.  The position was previously held by
 Fred Chan, who remains chairman and chief executive officer of Vialta and
 chairman of ESS.  Pietri will assume his new position next week.
     Pietri has held several senior management positions in the entertainment
 industry.  Most recently, he was president and chief executive officer of
 TVA / Motion International, a Los Angeles-based global entertainment
 production and distribution company.  Prior to that, Pietri was president of
 ABC Pictures, a subsidiary of The Walt Disney Company, and senior vice
 president of the ABC Television Network Group.  Pietri received a bachelor's
 of science degree from Essec in Paris, France, and a MBA from Harvard Business
 School.
     Commenting on the appointment, Fred Chan said, "Didier Pietri's experience
 in content and content delivery systems, as well as his relationships in the
 entertainment industry, will help establish Vialta products as a major new
 distribution system for entertainment and information content.  All of us at
 Vialta look forward to his joining our company and helping us make Vialta a
 long-term success."
     Mr. Pietri added, "I'm very excited about the opportunities for Vialta.
 The entertainment industry has been seeking an effective; secure system to
 deliver content and information to the home.  I believe that Vialta's new
 products are the solution for the convenient and secure delivery of movies,
 music and information to the consumer.  In addition, Vialta's roadmap of new
 products addresses the new digital home revolution."
     Mr. Chan continued, "Today ESS announced the formalization of its plans to
 spin off Vialta to its shareholders.  This decision is very positive for
 Vialta.  Since Vialta's formation in August 1999, Vialta has been focused on
 product development and building the company.  Now, with an experienced
 management team, almost 200 employees and $90 million in cash, we are ready to
 launch our products for the coming Christmas season.  Vialta is well
 positioned for growth and success."
 
     About Vialta
     Vialta has developed a "digital home system" platform and family of
 multimedia Internet appliances, as well as a complementary system for the
 delivery of home entertainment content.  Vialta's initial digital home system
 product will be the ViDVD, a multi-purpose DVD player that enables consumers
 to play DVD, CD, MP3, karaoke and other audio and video formats, and to browse
 the Internet through their television. Vialta's other current digital home
 system product, the ViPhone, is a full-featured videophone that enables
 consumers to conveniently place video calls over a standard phone line as well
 as access the Internet.
     The ViDVD will also play ViMedia disks.  ViMedia is a new content delivery
 solution and a multifunction disc magazine format for Vialta's ViDVD player.
 ViDVD subscribers will receive monthly ViMedia discs containing rich media
 content, including movies, music, karaoke, lifestyle programs and other
 entertainment content.  Taking advantage of Vialta's patent pending
 compression technology, each ViMedia disc will have the capacity of up to
 18 hours of high quality video content, or 500 karaoke songs, or 4,000 audio
 songs.
 
     About ESS Technology
     ESS Technology, Inc., a leader in Internet, communications, digital video
 and PC audio, provides advanced products enabling the convergence of
 communications, computer, consumer, and Internet markets.  ESS's subsidiary,
 Vialta, provides advanced, easy-to-use products and applications for the
 Internet.  Products include multimedia appliances, applications, and content
 for the Internet, which enable the user to experience new levels of
 entertainment and e-Commerce.
     ESS, headquartered in Fremont, Calif., has R&D, sales and technical
 support offices worldwide.  ESS Technology's common stock is traded on the
 Nasdaq under the symbol ESST.  ESS's web site address is:
 http://www.esstech.com .
     The matters discussed in this news release include certain forward-looking
 statements that involve risks and uncertainties, including, but not limited
 to, the timely availability and acceptance of ESS and Vialta's new products,
 the impact of competitive products and pricing including unanticipated
 declines in average selling price for the company's products, the dependence
 on continued growth in demand for PC and consumer products, the effect of
 quarter to quarter variations in revenue and earnings, the effect of general
 economic conditions both domestically and internationally on the demand for
 the company's products, as well as the other risks detailed from time to time
 in the SEC reports of ESS and Vialta including the reports on Form 10-K and
 Form 10Q.  Actual results could differ materially from those projected in the
 forward-looking statements.
 
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SOURCE ESS Technology
    FREMONT, Calif., April 25 /PRNewswire/ -- ESS Technology (Nasdaq: ESST)
 today announces that its subsidiary, Vialta, Inc. has appointed Didier Pietri
 to the position of president of Vialta.  The position was previously held by
 Fred Chan, who remains chairman and chief executive officer of Vialta and
 chairman of ESS.  Pietri will assume his new position next week.
     Pietri has held several senior management positions in the entertainment
 industry.  Most recently, he was president and chief executive officer of
 TVA / Motion International, a Los Angeles-based global entertainment
 production and distribution company.  Prior to that, Pietri was president of
 ABC Pictures, a subsidiary of The Walt Disney Company, and senior vice
 president of the ABC Television Network Group.  Pietri received a bachelor's
 of science degree from Essec in Paris, France, and a MBA from Harvard Business
 School.
     Commenting on the appointment, Fred Chan said, "Didier Pietri's experience
 in content and content delivery systems, as well as his relationships in the
 entertainment industry, will help establish Vialta products as a major new
 distribution system for entertainment and information content.  All of us at
 Vialta look forward to his joining our company and helping us make Vialta a
 long-term success."
     Mr. Pietri added, "I'm very excited about the opportunities for Vialta.
 The entertainment industry has been seeking an effective; secure system to
 deliver content and information to the home.  I believe that Vialta's new
 products are the solution for the convenient and secure delivery of movies,
 music and information to the consumer.  In addition, Vialta's roadmap of new
 products addresses the new digital home revolution."
     Mr. Chan continued, "Today ESS announced the formalization of its plans to
 spin off Vialta to its shareholders.  This decision is very positive for
 Vialta.  Since Vialta's formation in August 1999, Vialta has been focused on
 product development and building the company.  Now, with an experienced
 management team, almost 200 employees and $90 million in cash, we are ready to
 launch our products for the coming Christmas season.  Vialta is well
 positioned for growth and success."
 
     About Vialta
     Vialta has developed a "digital home system" platform and family of
 multimedia Internet appliances, as well as a complementary system for the
 delivery of home entertainment content.  Vialta's initial digital home system
 product will be the ViDVD, a multi-purpose DVD player that enables consumers
 to play DVD, CD, MP3, karaoke and other audio and video formats, and to browse
 the Internet through their television. Vialta's other current digital home
 system product, the ViPhone, is a full-featured videophone that enables
 consumers to conveniently place video calls over a standard phone line as well
 as access the Internet.
     The ViDVD will also play ViMedia disks.  ViMedia is a new content delivery
 solution and a multifunction disc magazine format for Vialta's ViDVD player.
 ViDVD subscribers will receive monthly ViMedia discs containing rich media
 content, including movies, music, karaoke, lifestyle programs and other
 entertainment content.  Taking advantage of Vialta's patent pending
 compression technology, each ViMedia disc will have the capacity of up to
 18 hours of high quality video content, or 500 karaoke songs, or 4,000 audio
 songs.
 
     About ESS Technology
     ESS Technology, Inc., a leader in Internet, communications, digital video
 and PC audio, provides advanced products enabling the convergence of
 communications, computer, consumer, and Internet markets.  ESS's subsidiary,
 Vialta, provides advanced, easy-to-use products and applications for the
 Internet.  Products include multimedia appliances, applications, and content
 for the Internet, which enable the user to experience new levels of
 entertainment and e-Commerce.
     ESS, headquartered in Fremont, Calif., has R&D, sales and technical
 support offices worldwide.  ESS Technology's common stock is traded on the
 Nasdaq under the symbol ESST.  ESS's web site address is:
 http://www.esstech.com .
     The matters discussed in this news release include certain forward-looking
 statements that involve risks and uncertainties, including, but not limited
 to, the timely availability and acceptance of ESS and Vialta's new products,
 the impact of competitive products and pricing including unanticipated
 declines in average selling price for the company's products, the dependence
 on continued growth in demand for PC and consumer products, the effect of
 quarter to quarter variations in revenue and earnings, the effect of general
 economic conditions both domestically and internationally on the demand for
 the company's products, as well as the other risks detailed from time to time
 in the SEC reports of ESS and Vialta including the reports on Form 10-K and
 Form 10Q.  Actual results could differ materially from those projected in the
 forward-looking statements.
 
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                http://tbutton.prnewswire.com/prn/11690X24071364
 
 SOURCE  ESS Technology