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PBS Features Additional Virage-Powered Programs On PBS.org

Julia Child, PBS Mathline and Scientific American Frontiers Utilize Virage Streaming Technology To Give Users Rich New Features

PBS Mathline Website Receives Acclaim from Top Educators

SAN MATEO, Calif. - December 12, 2000 - Virage, Inc. [NASDAQ: VRGE], a leading provider of software products and application services that enable video for the Internet, today announced that the Public Broadcasting Service (PBS) has extended its use of Virage technology to include archived video clips from three additional programs on its Award-winning website, PBS.org. Visitors to PBS.org can now view on-demand and searchable streaming video segments from, Julia Child: Lessons with Master Chefs, PBS Mathline and Scientific American Frontiers. Virage technology enhances the value of these PBS programs, both nationally and locally, beyond a one-time broadcast viewing through their transformation into web-based video content.

Due to the successful response that followed the launch of the Newshour with Jim Lehrer Online Video Search last summer, PBS.org incorporated other programs into its video archive to make information available in a more accessible format for viewers and users. The addition of the new shows extends the benefits of PBS's educational and reference value while expanding user options for PBS.org. "The Virage technology makes it easy to transition the function of our programming into a two-way interactive experience," said Cindy Johanson, senior vice president, PBS Interactive.

After episodes of each program are aired, PBS uses Virage's patented SmartEncode™ process to simultaneously encode, index and publish each program segment onto PBS.org, providing a complete and outsourced solution for distributing television programming to the Internet in a form that is easily navigated by web users. "We are very happy that PBS has decided to further its use of the Virage platform to enhance its on-line video assets for the benefit of its viewers," said Virage Chief Marketing Officer Carlos Montalvo. "Virage is helping to lay the foundation for how information can be managed in a comprehensive and dynamic solution for media companies."

Virage-Powered Application Receives Critical Acclaim From Educators Nationwide

The PBS TeacherSource site (PBS.org/teachersource) has been recognized for its outstanding searchable online video library of PBS Mathline episodes. The resource puts PBS Mathline's comprehensive collection of teacher professional development videos and class lesson plans for grades K-12 at educators' fingertips, 24 hours a day. The database consists of 72 programs showing actual teachers in classrooms around the United States implementing standards-based instruction. The Virage-powered website allows educators to search PBS Mathline's entire video library online by mathematical topic, teaching methodology, lesson plan title, and/or keyword.

In the November PBS press release announcing the launch of the PBS Mathline searchable video database, several prominent authorities spoke about the impact and benefits of the technology. "PBS Mathline's new searchable video resource is a significant breakthrough in math education," said Jerry Cummins, president of the National Council of Supervisors of Mathematics. "Such an innovation gives math teachers around the world on-demand access to quality professional development resources at a time when educators are re-energizing their commitment to improving mathematics instruction."

"The Mathline searchable video library puts math educators at the cutting edge of professional development technology," added Pat Mitchell, PBS president and CEO. "With this tool, teachers can drive their own professional growth and can quickly find just the right video clips they determine to be most relevant for the needs of their students."

About Virage, Inc.

Headquartered in San Mateo, California, Virage is the leading provider of solutions that enable video for strategic online applications. The Virage Video Application Platform transforms video into an effective online medium that is easy to publish, manage and distribute on the Internet or corporate intranets. The Virage platform provides content owners with the complete infrastructure for seamlessly integrating streaming video into business, entertainment and information applications. From ABC to Yahoo! over 180 customers across a broad range of markets have turned to Virage to help them improve production efficiencies and create new revenue opportunities with video. Contact Virage at http://www.virage.com/ or (650) 573-3210.

This press release contains "forward looking" statements about the products and services of Virage and PBS, as that term is used in Section 21E of the Securities Exchange Act of 1934. Forward looking statements are denoted by such words as "will enable", "intends to" and similar terms and phrases. These types of statements address matters that are subject to risks and uncertainties which could cause actual results to differ materially. In addition, our forward-looking statements should be considered in the context of other risk factors discussed in our filings with the Securities and Exchange Commission, including our Registration Statement on Form S-1, as amended, available online at www.sec.gov. All forward looking statements are based on information available to the company on the date hereof, and the company assumes no obligation to update such statements.

Virage, and VideoLogger are registered trademarks and Virage Application Server and SmartEncode are trademarks of Virage, Inc. Other company product and service names may be trademarks or service marks of others, and are hereby acknowledged.

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