Marin County, California and New York (February 26, 2003) - Sonic Solutions (NASDAQ: SNIC) and America Online, Inc., the world's leading interactive services company, announced today that they have signed a licensing agreement that allows AOL to incorporate Sonic's CD-audio, CD-ROM and DVD-ROM burning technologies into its interactive and web-based applications and services. MusicNet on AOL a premium music subscription service, which launched today, will include the Sonic AuthorScript SDK (Software Developer's Kit) for CD and DVD burning.ï Support for CD burning in MusicNet on AOL allows members who browse and purchase music tracks from the vast MusicNet on AOL catalog to burn them, safely and legally, directly to CD.

"As part of our ongoing effort to make online music mainstream, it is important for us to be able to give members a wide range of options for discovering, experiencing and owning music," said Kevin Conroy, SVP and General Manager, AOL Entertainment. "We heard from members that CD burning was an important part of their desired digital music experience and we wanted to be sure that it was seamlessly integrated into our first digital music subscription service. We chose Sonic's technology for our CD and DVD burn engine to enable CD burning in our new MusicNet on AOL service, because they offer a proven solution that supports a range of recording and playback devices."

Sonic's AuthorScript SDK is the world's leading engine for DVD and VCD formatting and burning. Sonic has added CD-ROM, DVD-ROM and audio mastering to AuthorScript via the award-winning Primo SDK technology that Sonic acquired from VERITAS in December 2002. AuthorScript, coupled with the newly integrated VERITAS technology, offers the most complete set of data, media, and audio formatting and burning modules of any engine on the market. AuthorScript licensees include Adobe, Easy Systems Japan, Microsoft and Sony.

"With the explosive growth of CD and DVD recording, consumers have an almost insatiable appetite for burning their own audio and data discs," said Mary Sauer, Senior VP of Business Development at Sonic. "AOL is the world's premier online media company, and with Sonic's AuthorScript SDK AOL has the ability to integrate and deliver the most robust CD and DVD burning capabilities, as they have with the new MusicNet on AOL music subscription service."