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Aureal Redefines Multimedia Speaker Category With Fall Products

High-Power, Audiophile-Quality Speakers Will Complement Aureal Vortex
Hardware with Advanced Auto-Calibrate and One-Touch Control and Display

FREMONT, Calif., July 1 -- Aureal Inc., (OTC Bulletin Board: AURL - news) a leader in digital audio imaging, today announced that it plans a Fall 1999 introduction of high-quality speaker products. The new speakers, which will be previewed to select press and customers shortly, will initially be distributed via Aureal's Web store at www.a3d.com and will be offered in conjunction with Aureal Vortex sound cards. Both 2.1 and 4.1 speaker/subwoofer configurations will be available, with an easy upgrade from 2.1 to 4.1 systems, delivering a full 210 watts.

Aureal's new speaker products will work with Aureal Vortex® sound cards to provide advanced features including auto-calibrate, which uses a microphone to receive test tones and tunes the system to deliver the best possible audio performance for a particular speaker configuration and room set-up. Another key feature is a one-touch control and display, located on one of the satellite speakers, which enables volume, bass, fader and other characteristics to be quickly and easily controlled and synchronized with software controls on the computer.

``This is a significant move for us in that we'll now be able ensure a high-quality audio experience for our customers from generation to playback,'' said Kip Kokinakis, Aureal's President and CEO. ``The average multimedia speaker today is substandard -- unable to deliver the power and quality of all but the poorest home stereo speaker. Our new products are a merger of multimedia and home stereo designs, bringing a much higher standard of audio to the PC arena. We've accomplished this feat by using custom-designed, top-quality European components and the toughest engineering standards -- and we think our customers will be pleased with the difference.''

The power and performance characteristics of the new speakers will be unmatched in the multimedia speaker product category. Each satellite speaker will be powered by a 35 watt amplifier and the subwoofer will be powered by a 70 watt amplifier. The system will have a maximum output of well over 100 decibels with a full frequency response.

About Aureal

Aureal is a leading provider of advanced audio solutions for the computer, consumer, entertainment, Internet, and professional audio markets. The company designs, builds and distributes advanced audio semiconductor, add-in board, and software solutions for personal computers and consumer electronics devices through the OEM, integrator/reseller/VAR and direct-to-customer channels. Aureal also licenses technology designed to define and improve advanced audio standards in the marketplace.

Leading industry partners include Compaq Computer Corporation, Dell Computer Corporation, Sony Electronics and Diamond Multimedia Systems. Aureal's award-winning product line includes A3D positional audio technology, Vortex audio processors and Vortex-based sound cards, and A3D Pro sound design software. For more information on Aureal or its products and industry leading audio technologies, please visit the company's Websites at www.aureal.com and www.a3d.com.

Forward-Looking Statements

Forward-looking statements in this release are made pursuant to the safe harbor provisions of the Private Securities Litigation Act of 1995. Investors are cautioned that such forward-looking statements involve risks and uncertainties including, but not limited to, dependence on the PC and consumer electronics industries and on product lines based on new technologies; foundry capacity, availability and reliability; competition and pricing pressures; and other risks detailed from time to time in the company's periodic reports filed with the Securities and Exchange Commission.

NOTE: Aureal, the Aureal logo, A3D, A3D Pro, Aureal Wavetracing, Vortex2 SuperQuad Digital PCI, Vortex2 PCI, Vortex1 PCI, and Vortex Advantage are trademarks, and Vortex is a registered trademark of Aureal Inc. Other names may be trademarks of their respective owners. 

SOURCE: Aureal Semiconductor Inc

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