FCSE Focus Enhancements (MM)

Focus Enhancements, Inc. (NASDAQ:FCSE), a worldwide leader in video production, PC-to-TV conversion and Ultra Wideband (UWB) wireless technology, summarized its attendance at the 2007 International Consumer Electronics Show (CES) in Las Vegas last week. �Our attendance at CES was a great success,� said Brett Moyer, CEO of Focus Enhancements. �We are quickly establishing ourselves as a leading provider of TV-out semiconductor technology for high-end portable digital media players, and our products continue to get designed into more portable media devices. We featured six portable media players in our booth, including two second generation products. In addition, we demonstrated our world leading UWB chipset, which can enable wireless connectivity for portable digital media devices.� Focus Enhancements showed the following portable media devices incorporating its high definition media semiconductor chips: Toshiba Gigabeat� � 2nd generation using Focus Enhancements� chips Digital Cube i-Station PMP � 2nd generation using Focus Enhancements� chips Microsoft� Zune� Elitegroup Computer Systems, Inc. (ECS�), PMP MAVX Tinnos Blufin PMP/Digital Camera/Navigation System Thinkware Systems Corporation PMP/Navigation System �Our partnerships with Freescale� and Raza Microelectronics, Inc./AMD are paying dividends,� said Tom Hamilton, executive vice president and general manager of Focus Enhancements� semiconductor group. �Visitors were consistently impressed by the quality of the video output by these small portable devices.� Hamilton added, �Our UWB demonstrations were very well received and generated lots of enthusiasm from designers in both the PC and CE markets. Also, our exciting partnership with Mapower Electronics Co. Ltd. to develop a high-quality wireless link for remote storage gained tremendous interest.� �We believe our wireless streaming video demonstration exceeded the distance and robustness of all others at CES, proving our UWB technology is a step ahead of the competition,� said Moyer. Focus Enhancements demonstrated the following at CES, UWB technology designed to be compliant with WiMedia UWB Standards and Certified Wireless USB technology from the USB-IF, transmitting pristine and robust high definition streaming video. Focus Enhancements demonstrated its world-ready UWB solution, including operation at both the lower WiMedia bands and the higher frequency bands at near 6 Gigahertz (GHz) expected by European UWB regulations. Others in the WiMedia Tech Zone demonstrated frequencies only between 3 GHz and 4.5 GHz. The company showed prototypes of its Certified Wireless USB design. The compact USB dongle was well received by original device manufacturers (ODMs) of wireless products and notebook computers. A product concept for wireless links for remote disk drive storage devices using technology based on Certified Wireless USB: This technology is being developed in conjunction Mapower of Taiwan, a supplier of remote disk drive systems, and will use the company�s rapidly emerging, high-performance UWB wireless technology. About Focus Enhancements, Inc. Focus Enhancements Inc. (NASDAQ CM:FCSE), headquartered in Campbell, CA, is a leading designer of world-class solutions in advanced, proprietary video and wireless video technologies. The company�s Semiconductor Group develops integrated circuits (ICs) for high-performance applications in the video convergence market, including IPTV set-top boxes and portable media players. Focus Enhancements is currently developing a wireless IC chip set based on the WiMedia UWB standard and designed to be compatible with Wireless USB, and used in personal computer (PC), consumer electronics (CE), and mobile electronics applications. The company�s Systems Group develops video products for the digital media markets, with customers in the broadcast, video production, digital signage and digital asset management markets. More information on Focus Enhancements may be obtained from the company�s SEC filings, or by visiting the Focus Enhancements home page at http://www.focusinfo.com. Safe Harbor Statement Statements in this press release which are not historical including statements regarding management�s intentions, hopes, expectations, representations, plans or predictions about the future are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include statements regarding management�s plans to complete its Ultra Wideband (UWB) semiconductor chip designs, and the performance of its UWB technology in silicon. Because these forward-looking statements involve risks and uncertainties, there are important factors that could cause our actual results to differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially include unforeseen increased costs in research and development, the company�s ability to maintain adequate funding to develop and implement UWB technology, the performance and acceptance of its UWB technology when successfully moved to silicon and the risk factors specified in the company's Form 10-K for the year ended December 31, 2005, Form 10-Q for the periods ended March 31, 2006, June 30, 2006 and September 30, 2006, as well as other filings with the SEC. These statements are based on information as of January 16, 2007 and the company assumes no obligation to update any forward-looking statements, whether as a result of new information, future events, or otherwise.