Focus Enhancements Completes Tape-Out of UWB Digital Chip Designed for Wireless USB Applications

Expects Initial Revenue From Shipments of Chip Sets in Q307

CAMPBELL, CA -- Apr 10, 2007 -- Focus Enhancements, Inc. (NasdaqCM:FCSE - News), a worldwide leader in video production, PC-to-TV conversion and Ultra Wideband (UWB) wireless technology, has completed tape-out of its second generation UWB digital chip designed especially for wireless USB applications in the Consumer Electronics (CE) and Personal Computer (PC) markets. The company expects silicon of this digital baseband processor (DBP)/media access controller (MAC) UWB chip back from fabrication in May and will be included in its economical System-in-Package (SiP) design.

"Wireless USB applications are expected to be the first UWB applications to reach significant volumes," said Brett Moyer, Focus Enhancements' president and chief executive officer. "Our new UWB SiP is expected to continue to lead UWB performance in the industry and maintain our unique leadership position in the race to deliver high quality UWB wireless technology to digital media devices in the wireless home and office."

The DBP/MAC chip is based on the WiMedia and ECMA-368/ECMA-369 international standards as well as Certified Wireless USB specification from the USB Implementers Forum (USB-IF). This digital chip will be combined with the company's FS•1100 analog front-end RF transceiver chip and contained within a compact System-in-Package (SiP) module for ease of use in USB applications. Products which will be targeted include wireless USB dongles and hubs, as well as devices featuring integrated wireless USB, such as printers, external/remote disk drives, camcorders, and digital cameras.

"Our SiP modules are designed to fulfill the needs of our customers in the wireless USB space," said Tom Hamilton, executive vice president and general manager of Focus Enhancements' semiconductor group. "The new digital chip in our UWB SiP will further reduce the cost to the developer which is critical in the USB space."

Taiwan Semiconductor Manufacturing Corporation, Ltd., the world's largest dedicated semiconductor foundry, will produce the DBP/MAC application specific integrated circuit (ASIC).

SiPs containing the new chip will be assembled shortly after receipt of first silicon and reference designs and product development kits are expected to be available for shipment by the end of second quarter 2007.

About Focus Enhancements, Inc.

Focus Enhancements Inc. (NasdaqCM:FCSE - News), 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.