Los Angeles--Toshiba Corporation, a world leader in DVD technologies today announced that it will enter the NUON-enhanced DVD player market and will publicly demonstrate a working prototype at VM Labs' E3 booth #5118 at the Concourse Hall of the Los Angeles Convention Center, May 11-13. NUON-enhanced DVD players offer all the functionality of a standard DVD player, plus an enhanced user interface, attractive playback features and the capability to play NUON interactive software.

Toshiba plans to ship its first NUON-enhanced DVD player in the third quarter of 2000 in the U.S., the largest market for DVD, as part of its strategy to offer a wide variety of state-of-the-art features to the consumer worldwide.

"The launch of the first NUON-enhanced Toshiba DVD player is the culmination of hard work, careful planning and extensive testing, and we look forward to a long and mutually beneficial relationship," said Richard Miller, CEO of VM Labs. "We are excited to partner with Toshiba to deliver a total interactive entertainment system that will provide consumers with a spectacular media-rich experience."

"We expect to utilize NUON's power and flexibility to the fullest to bring our customers the ultimate interactive family entertainment experience," said Hisashi Yamada, Chief Fellow of Technology, Technology Executive of Toshiba Corp.. "NUON enhances the user interface, affording better on-screen graphics and attractive playback features. It also extends the capabilities of the DVD video player to giving the consumer access to a variety of new interactive content. We plan to include NUON technology in numerous Toshiba DVD players in the upcoming year."

About VM Labs Inc.
NUON has the speed and power to transform a DVD player into an interactive fun-center that will entertain the whole family. NUON enhanced digital video devices bring the television to life with interactivity in the form of engaging movie content, games, educational software and more. Standard DVD movies will not only run on NUON enhanced DVD players, but will benefit by vastly improved movie-viewing features. NUON enhanced players will also be able to play entertainment and educational software as well as audio CDs that create exclusive stunning visual effects. Future NUON enhanced features include Internet connectivity and web-enabled movie experiences. VM Labs Inc. is based in Mountain View, CA. For more information and to download artwork, visit http://nuon-tech.com/.

About Toshiba
Toshiba Corporation is a leader in information and communications systems, electronic components, consumer products, and power systems. The company's integration of these wide-ranging capabilities assures its position as an innovator in advanced components, products, and systems. Toshiba has 191,000 employees worldwide, and annual sales of over US$50 billion. Visit Toshiba's website at https://www.global.toshiba/jp/top.html.