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IBM, Virage announce broad patent cross-licensing agreement

SAN MATEO, Calif., and SOMERS, N.Y. (October 9, 1997) -- IBM Corporation and Virage, Inc. today announced a broad software patent cross-licensing agreement covering their multimedia information management technologies.

Virage, a leading provider of media asset management solutions to broadcast corporations, advertising agencies, and consumer products and services companies, will license multimedia information management technologies that are covered by IBM's patent portfolio, including its pioneering Query By Image Content (QBIC) image search technology. As part of the agreement, Virage will also license its entire patent portfolio to IBM.

Multimedia information management technologies, such as QBIC, Virage's VIR Engine and the Virage Media Management System, allow users to search and sort through databases of digital images and video clips by specifying some of the visual properties -- for example: color, position, texture and video-scene summary "storyboard thumbnail" images. Such searches are increasingly useful as collections of digital images and video become more popular and contain large numbers of items. Such databases are difficult if not impossible to search through by hand or by using traditional text-based keywords, especially when multiple languages and cultures are involved.

"Virage is pleased to enter into this cross-licensing agreement with IBM," said Paul G. Lego, CEO of Virage. "We are excited by the broad range of technology which IBM has developed in the area of multimedia asset management and intend to use these technologies to complement our own significant intellectual property in this area." Drew Clark, Worldwide Technology Executive, Software Solutions Division at IBM, added, "We are happy to see companies such as Virage license IBM technologies. We invest heavily in research and development efforts, particularly in new database technology for World Wide Web, digital library and electronic commerce applications. Third-party licensing confirms the value of that investment and its underlying patent portfolio." Specific terms of the cross-licensing agreement are confidential.

About Virage Virage, Inc. (www.virage.com) provides breakthrough media asset management solutions for broadcast corporations, advertising agencies and consumer product and service companies. Virage's products help these organizations derive significant operational and competitive advantages through managing and providing timely, distributed access to their media content. Headquartered in San Mateo, California, Virage was founded in 1993 to provide organizations with advanced methods for accessing and leveraging diverse media assets.

About IBM IBM Corp. (www.ibm.com) is the world's largest computer manufacturer and is currently ranked by Software Magazine as the world's top software provider. It creates, develops and manufactures the industry's most advanced and extensive range of information technology products and solutions. sIBM Research began developing advanced image and video search technologies in the early 1990s and has built a strong patent portfolio in this area.

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