Press Release



Fujitsu Ships QSound Enhanced Version of InterVideo's WinDVDT Software-Only DVD Player In Its New "DeskPower" Computer Lines



CALGARY, AB - March 8, 2001 - QSound Labs, Inc (NASDAQ: QSND), a prominent supplier of audio software solutions and InterVideo, Inc., a major developer of PC video and audio software today announced that Fujitsu is the first OEM to incorporate a QSound-enhanced version of InterVideo's WinDVD software-only DVD player in its new "FMV DeskPower" computer lines that are now being sold in Japan.

"WinDVD delivers the best quality DVD playback available and, with the addition of the QSound Labs' QSurround™ technology, it now goes a step further and provides consumers a superior listening experience on all PC speaker configurations," says Jitsuo Matsuda, General Manager, Fujitsu Desktop Products Division, Fujitsu Limited.

"QSound's QSurround technology is truly an ideal complement to WinDVD. When they are sold as a combined solution they provide computer OEMs with the ability to add even greater value to their prod-uct lines," said Tom White, Senior Director Audio Product Marketing for InterVideo. "It is our great pleasure to be working with both QSound Labs and Fujitsu."

According to David Gallagher, president and CEO of QSound Labs, "Fujitsu's major market presence in Asia will ensure strong distribution for this product. We are very pleased to have a major player like Fujitsu as the first OEM to incorporate our QSurround technology directly into their computers via InterVideo's WinDVD."

QSound Labs' QSurround technology provides truly unparalleled 3D audio processing capabili-ties. By creating 'virtual speakers' to reproduce the full sound of 5.1 audio signals, each in its proper loca-tion, QSurround's remarkable sonic rendering allows the enjoyment of surround-encoded material even in a two-speaker environment. While the technology greatly improves the PC multimedia experience, QSurround's flexible processing adds value to any configuration. Even with full five or six-channel systems it adds depth and dimension with specific effects tailored to each playback scenario. QSurround is currently available in consumer DVD players from Sharp and AIWA and in the critically acclaimed Acoustic Edgeä Sound card from Philips.

InterVideo's WinDVD, the industry's most popular software-only DVD player, features an advanced, intuitive user interface, software scaling to eliminate artifacts, and software de-interlacing for rock-steady imaging in playback. It also includes state-of-the-art support for VCD disc and MP3 audio file playback, DVD region control, and the most powerful and responsive DVD navigator in the industry. WinDVD is part of InterVideo's WinCinemaÔ Suite, a fully integrated, advanced set of video and audio processing software applications.

For more information regarding WinDVD, or any of the other products within InterVideo's WinCinema Suite, contact InterVideo by phone at 510/651-0888 or visit For additional information regarding QSurround or any other QSound product, visit

About InterVideo, Inc. (IVI):
InterVideo is the number one distributor of software DVD solutions worldwide. The company produces and markets the award-winning WinDVD player-decoder for Windows, as well as other advanced audio and video software products. Customers include Dell, Gateway, IBM, HP, Compaq, Fujitsu, Fujitsu Siemens, Acer, Micron, Toshiba, Creative Labs, and 3DFX.

This release contains forward-looking statements within the meaning of the Private Securities Litigation Act of 1995 concerning, among other things, marketing of, and opportunities for, the Company's products, and future financial results. Investors are cautioned that such forward-looking statements involve risk and uncertainties, which could cause actual results, performance or achievements of the Company, or industry results to differ materially from those reflected in the forward-looking statements. Such risks and uncertainties include, but are not limited to, risks associated with the Company's ability to carry out its business strategy and marketing plans, including availability of sufficient resources for the Company to do so timely and cost effectively, consumer acceptance of the Company's products, dependence on the performance of third parties who have agreed to market the Company's technologies, dependence on intellectual property, uncertainties relating to product development and commercial introduction, rapid technological change and competition, continued growth of the Internet, general economic and business conditions and other risks which may be detailed from time to time in the Company's periodic reports filed with the Securities and Exchange Commission. Forward-looking statements are based on the current expectations, projections and opinions of the Company's management, and the Company undertakes no obligation to publicly release the results of any revisions to such forward-looking statements which may be made, for example to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.





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