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MP3.com Announced Sonic Foundry's Accolade at Its MP3 Summit 2000

The third annual MP3 Summit was held in San Diego, CA, on June 20 and 21 and attracted more than 1,800 visitors from around the world. The conference served as a platform of exchange for CEOs, artists, record label executives, lawyers, politicians, and developers--all of whom are driving digital music technology and the distribution of audio media content over the Internet. The convention is the country's foremost conference relating to digital music technology.

``The accolades from MP3.com underscore Sonic Foundry's position as the premier provider of digital audio editing tools for the Windows-based PC,'' stated Jeff Conover, vice president of marketing at Sonic Foundry. ``Since its initial release in July, 1999, Vegas Pro has been decorated with some of the industry's most prestigious awards.''

About Vegas Pro

Vegas Pro is Sonic Foundry's award-winning multitrack recorder that combines the best in audio production with tools for streaming media authoring. Vegas Pro allows for fast, nondestructive editing of multiple tracks and synchronizing of video and audio with frame-by-frame precision. Files can be arranged with different sampling rates, bit depths, and file formats -- even on a single track. Vegas Pro offers real-time playback as well as the ability to add timeline metadata such as captions and URL flips that automatically synchronize web pages with media files. With support for many popular digital audio and video formats and hardware inputs and outputs, Vegas Pro seamlessly integrates into any digital studio without compromising the creative process.

About Sonic Foundry

Founded in 1991, Sonic Foundry is a leading developer and marketer of digital media and Internet software tools, services, and systems. Its award-winning products and services are used worldwide for multimedia and Internet applications including audio, video and film post-production, broadcast production, and digital content creation. The Company's products and services offer media consumers everywhere the ability to create and capture media, edit the content, and deliver the information via fixed media channels or electronic distribution.

Sonic Foundry's Media Services Division offers premium solutions for delivering audio and video content online. The division provides the industry's most powerful combination of proprietary technologies incorporating high-end encoding, webcasting, syndication systems, content and digital rights management, and consulting services.

Certain statements contained in this news release regarding matters that are not historical facts may be forward-looking statements. Because such forward-looking statements include risks and uncertainties, actual results may differ materially from those expressed in or implied by such forward-looking statements. Factors that could cause actual results to differ materially include, but are not limited to, uncertainties pertaining to continued market acceptance for the Company's products, the Company's ability to succeed in capturing significant revenues from media services, the effect of new competitors in the Company's market, integration of acquired businesses and other risk factors identified from time to time in the Company's filings with the Securities and Exchange Commission.

Contact:

     Sonic Foundry
     Dawn Tappy, Corporate Communications Manager
     608/280-7495
     dawnt@sonicfoundry.com
            or
     Strategic Growth International
     Richard Cooper/Rob Schatz, Investor Relations
     516/829-7111
     sgi@netmonger.net