DivXNetworks today announced that Cheertek Inc., one of the leading suppliers of integrated circuits for DVD player and digital consumer entertainment markets, has licensed the revolutionary, patent-pending DivX(R) video compression technology to embed into Cheertek's next generation DVD chipsets. Under the agreement, Cheertek will work with DivXNetworks to create a fully DivX Certified chipset solution for the expanding DVD player market.

"Adding DivX Certification to our DVD product lines will bring value to our next-generation consumer devices, since DivX titles are becoming more popular throughout world," said Archie Yeh, CEO & President of Cheertek Inc. "We expect DivX Certified DVD products to benefit not just our customers and consumers, but also DivXNetworks and of course Cheertek."

DivX video, which offers DVD-quality at 7-10 times greater compression than MPEG-2, is the world's most popular MPEG-4 compatible video compression technology with over 80 million worldwide users. A wide range of DivX Certified consumer electronics devices, from portable video players to DVD players and set-top boxes, are scheduled to hit the market in 2003.

DivX Certification includes a full DivX software development kit, rigorous Certification testing, and marketing and sales support focused on helping third party development and OEM partners create DivX Certified consumer electronics solutions such as DVD and portable players, set top boxes, PVR, and digital video and still cameras. The DivX Certified Partner Program enables these companies to meet the global demand for high-quality DivX convergence devices.