InterVideo Press Release

InterVideo Introduces PhotoAlbum; New Simple and Efficient Digital Photo Organizer that Delivers an Easy Way to Edit and Share Digital Photos

FREMONT, Calif.—(Business Wire)—Dec. 16, 2004—InterVideo(R), Inc. (Nasdaq:IVII) a leading provider of DVD software, announced today the new release of PhotoAlbum(TM), the premier photo media center to easily organize and share digital pictures with family and friends. PhotoAlbum is a comprehensive photo management solution designed for digital photo/video enthusiasts interested in enhancing their file organization and slideshow experience on their PC. With the growing usage of digital cameras worldwide, consumers want to have an application that effortlessly helps manage, create, edit, and share their photos.

This simple-to-use software provides virtually anyone, including entry-level users who don’t have time to learn complicated programs, with a simple but versatile and easy-to-use photo-editing tool. PhotoAlbum is the only photo-editing program that is truly user friendly. With the user’s limitless creativity, a collection of miscellaneous pictures stored away in a computer can be produced into a lively and animated photo show in just minutes. Along with InterVideo’s superior technology, advanced photo users will enjoy the powerful editing tools PhotoAlbum offers. Editing tools include red-eye correction, cropping/resizing photos, adjust color saturation and color brightness, so now consumers can remove unwanted flaws.

“For many consumers, using digital video cameras are a part of everyday life or a necessity during memorable events. InterVideo wanted to create a simple and efficient, consumer friendly software solution to help organize and manage their photos,” said Steve Ro, CEO and Founder of InterVideo. “PhotoAlbum is the answer to meet the needs of digital photo hobbyists and the perfect match between simplicity and imaginative control.”

Incorporated in one affordable solution, PhotoAlbum delivers users an inclusive digital photo solution and endless opportunities to produce vibrant slideshows. With PhotoAlbum, users can take advantage of its unparalleled organization features, including managing and sorting their photos into custom or preset categories. Users have the option of labeling their photos in multiple categories by time, film roll, people, and places so it will help them to find pictures more quickly and effectively. Users can also tag their photos by place, subject, and picture rating by simply dragging and dropping the tag onto the desired photo or video. In addition, users can explore pictures with PhotoAlbum’s Scene Match technology that analyzes photos and sketches out the photo’s subjects so it’s easy for users to locate their photos.

As an extra benefit, PhotoAlbum allows users to tag their media right when it’s imported to the PC to save the hassle of finding photos and tagging them later. Users can even enjoy their photo slideshow while connected to the camera. Exclusive to InterVideo PhotoAlbum is the Metadata that allows users to find out the specifications of the target photo or video and display information such as the pixels, dimensions, date edited, and previous program used to create the photo.

Limitless sharing options are also available with PhotoAlbum. In just a few clicks, users can enjoy sharing their beautiful photo masterpieces by importing them onto photo web galleries, printing photos, and creating slideshows with their choice of music background. Users can now enjoy their digital photos time and time again.

Pricing, Availability
PhotoAlbum is available today at InterVideo’s web site, http://www.intervideo.com and through Japan retail stores. Compatible with Windows(R) 2000 and XP systems, the suggested price is $29.95 for the Gold Edition and $49.95 for the Platinum edition.

About InterVideo, Inc.
InterVideo is a leading provider of DVD software. InterVideo has developed a technology platform from which it has created a broad suite of integrated multimedia software products that allow users to capture, edit, author, burn, distribute, and play digital video. InterVideo’s software is bundled with products sold by the majority of the top ten PC OEMs ranked in terms of sales by IDC. The company is headquartered in Fremont, CA with regional offices in Europe, Taiwan, China and Japan. For more information, contact InterVideo at 510-651-0888 or visit the company’s Web site at http://www.intervideo.com.

Safe Harbor Statement
Except for the historical statements contained herein, the foregoing release contains forward-looking statements, including statements regarding InterVideo’s PhotoAlbum products. These forward-looking statements are subject to risks and uncertainties, and actual results could differ materially due to several factors, including but not limited to the ability to forecast customer behavior and recognize or respond to emerging trends, changing preferences or competitive factors, the market acceptance of our new products and product enhancements, the resolution of any notices of claims regarding alleged infringement of third parties’ intellectual property rights, the ability to maintain or expand our relationship with PC OEMS and other risks and uncertainties. Please consult the various reports and documents filed by InterVideo with the U.S. Securities and Exchange Commission, including but not limited to InterVideo’s Form 10-Q for other risk factors that could cause actual results to differ. All forward-looking statements are made as of the date hereof and InterVideo disclaims any responsibility to update or revise any forward-looking statement provided in this news release.

InterVideo is a registered trademark and InterVideo PhotoAlbum is a trademark of InterVideo, Inc. All other trademarks are the property of their respective holders.