PRESS RELEASE

Media Contact:
Robert Hunter
(905) 763-4261
rob@genesis-microchip.com
www.genesis-microchip.com


News announcements from Intel Developer Forum, Palm Springs, CA. - August 31, 1999

GENESIS MICROCHIP INTRODUCES HIGH-QUALITY IMAGE PROCESSING FOR DISPLAYS WITH DIGITAL INTERFACES

New DVI-Compliant gmZRX1 Chip Includes An Integrated TMDS Receiver

TORONTO (Aug. 31, 1999) - Genesis Microchip today announced its latest digital LCD monitor scaling chip, the DVI 1.0-compliant gmZRX1 is the company's first product to include an integrated TMDS receiver.

The Digital Visual Interface (DVI) specification was established by the Digital Display Working Group (DDWG) to define a standard digital video interface. The DDWG is an industry group which includes Intel, Compaq, Fujitsu, Hewlett Packard, IBM, NEC and others.

"We are proud to introduce a high-quality, no-compromise scaling solution with an integrated TMDS receiver for digital interfaces," said Azzedine Boubguira, Genesis Microchip's Marketing Director. "LCD monitor manufacturers have always ranked Genesis scaling technology as the best in the industry, we've now married that with a DVI interface, OSD and other key features to offer the industry's new standard for XGA or SXGA digital displays."

The gmZRX1 offers an integrated TMDS receiver for direct connection to digital interfaces - producing outstanding image quality. The chip also outputs sharp text and superb-quality graphics via its gmZ2 scaling architecture, which allows the source resolution to be scaled to full-screen XGA or SXGA. Other highlights include the chip's integrated on-screen display module, on-chip gamma correction for improved color fidelity, flexible output timing to support the widest range of available panels, plus panel power management support.

"We are pleased to see companies such as Genesis Microchip pave the way for digital display applications based on the DVI specification," said Steve Spina, Strategic Initiatives Manager for Intel Corp. and administrator of the DDWG. "The DVI specification will free the industry to deliver lower-cost, higher-quality digital display solutions to enhance the user's visual computing experience."

A variety of digital display applications will benefit from the gmZRX1, including bundled and standalone LCD monitors and plasma displays.

Genesis solutions now provide monitor manufacturers with a full range of LCD monitor interfaces (analog, dual analog/digital, or digital-only interfaces) for cost-effective system implementations. While digital-only interfaces offer uncompromising image processing, dual interfaces provide flexibility and allow end users to connect their new monitors with any PC and maintain consistent image quality regardless of the type of graphics card or interface offered by the PC.

Parts of this release contain "forward-looking" information within the meaning of the United States securities laws that involve risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Potential risks and uncertainties include, without limitation, the growth rate of the markets into which the company sells its products; market acceptance of and demand for the products of the company and those of the company's customers; unanticipated delays or problems in the introduction of the company's products; the company's ability to introduce new products in accordance with OEM design requirements and design cycles; new product announcements or product introductions by the company and the company's competitors; availability and cost of manufacturing sources for the company's products; supply constraints for components incorporated into the company's customers' products; changes in the mix of sales to OEMs and distributors; incorrect forecasting of future revenues; the volume of orders that are received and can be filled in a quarter; the rescheduling or cancellation of orders by customers; costs associated with protecting the company's intellectual property; changes in product mix; changes in product costs and pricing; and currency exchange rate fluctuations. These and other important risk factors are more fully detailed in the company's SEC filings. Statements contained herein are made as of the date hereof and the company assumes no responsibility for updating such information.

Genesis Microchip Inc. (Nasdaq: GNSS) - an ISO9001-registered company - designs, produces and markets highly integrated semiconductors for flat panel displays, home theater equipment, projection systems, video workstation gear and dozens of other applications. LCD monitors using Genesis products include Acer, Apple Computer, Dell, Fujitsu, IBM, Hitachi, LG Electronics, Philips, Samsung, Sony, Tatung and ViewSonic. Other customers include, CTX Opto-Electronics, Daewoo Electronics, In Focus Systems, Mitsubishi, Philips Multimedia, SGI, Sharp, Tektronix, Texas Instruments and more than 200 other companies.

In May 1999, Genesis Microchip merged with Paradise Electronics to broaden its flat-panel enabling technology with Paradise's mixed-signal integrated circuits. Genesis is headquartered in Thornhill, Ontario, Canada, while its U.S. subsidiaries are located in San Jose and Mountain View, California. Further information is available at: http://www.genesis-microchip.com

Acronyms:
- LCD (liquid crystal display)
- OSD (on-screen display)
- SXGA (super extended graphics array)
- TMDS (transition minimized differential signaling)
- XGA (extended graphics array)



About the Digital Display Working Group

The Digital Display Working Group was formed last fall to define a universal industry standard for the digital interface between PCs, consumer electronic devices and digital displays. The DDWG is a cooperative effort by Intel (Nasdaq:INTC), Compaq (NYSE:CPQ), Fujitsu, Hewlett Packard (NYSE:HWP), IBM (NYSE:IBM), NEC and Silicon Image. DDWG membership information can be found at www.ddwg.org.


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