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Viewpoint and America Online Announce New Technology Agreement
Wednesday October 29, 8:30 am ET


NEW YORK, NY and DULLES, VA--(MARKET WIRE)--Oct 29, 2003 -- Viewpoint Corporation (NasdaqNM:VWPT - News), a leading provider of visual application development, content creation and delivery technology, and America Online, Inc., the world`s leading interactive services company, today announced a new agreement under which America Online acquires a source code license and permanent rights to certain Viewpoint technologies. The companies also plan to cooperate on future technology and product development efforts.
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Under the agreement, America Online will pay Viewpoint Corporation $9 million to license the Viewpoint Platform and at least $1 million for services to be provided by Viewpoint.

"We at Viewpoint are proud of the role our technology is serving in AOL® 9.0 Optimized," says Viewpoint`s newly appointed CEO, Jay Amato. "And we`re excited to be able to help drive many new and powerful applications in the future."

The Viewpoint Platform is an application development and visualization platform that enables the creation of cutting-edge rich media and Internet applications and presentations that seamlessly intermix video, audio, 3-D and 2-D images as well as formats such as Macromedia® Flash™, QuickTime™ and SVG.

In AOL 9.0 Optimized, the Viewpoint Platform is the heart of new SuperBuddy® icons; AOL Instant Greetings; customizable desktop themes; the KOL™ service, a robust new experience on the AOL service for kids aged 6-12; and the KOL JR.™ service, a customized version of the AOL service for pre-schoolers and parents. Additionally, the Viewpoint Platform allows AOL to offer stunning alternatives to standard online advertising.

"We`ve been working with Viewpoint technology since we launched AOL Version 7.0 in 2001, and in AOL 9.0 Optimized, we`ve realized some truly exciting, new ways to make our customers` experience online fun and engaging through our working relationship with Viewpoint`s executives and product designers," says David Gang, executive vice president, AOL Products. "With our new licensing agreement in place, we expect an even more fruitful relationship ahead."

Viewpoint also announced today that Sreekant Kotay, Viewpoint`s senior vice president of strategy, moves over to America Online to be its senior vice president for client products. Ales Holecek, who is the co-designer of the Viewpoint Platform, will now be responsible for the entire Viewpoint product line.

"This is a natural evolution for Viewpoint and America Online and for both Sreekant Kotay and Ales Holecek," says Viewpoint CEO Jay Amato. "We believe great things will come from this new arrangement and from our licensing agreement with the world`s largest online service."

About America Online, Inc.

America Online, Inc. is a wholly owned subsidiary of Time Warner Inc. (NYSE:TWX - News). Based in Dulles, Virginia, America Online is the world`s leader in interactive services, Web brands, Internet technologies and e-commerce services.

About Viewpoint Corporation

Serving clients like America Online, Adobe, Toyota, General Motors, Samsung, IBM and Hewlett-Packard, Viewpoint technology has an installed user base of 100,000,000, ranking it above Apple Computer`s QuickTime in market penetration, according to a 2003 study published by Macromedia, Inc. and available at http://www.macromedia.com/software/player_census/flashplayer…

OUR WORLD VIEW

Information comes in numerous forms: visual, auditory, sensory, contextual, perceptual. The Viewpoint Platform integrates and orchestrates this information in an elegant symphony -- providing fresh, vivid and lasting experiences that transform the ordinary into the extraordinary. By empowering companies to be their best, Viewpoint transforms the way you view your world. Visit Viewpoint at http://www.viewpoint.com.

This press release may contain "forward-looking" statements as that term is defined in the Private Securities Litigation Reform Act of 1995 and similar expressions that reflect Viewpoint`s current expectations about its future performance. These statements and expressions are subject to risks, uncertainties and other factors that could cause Viewpoint`s actual performance to differ materially from those expressed in, or implied by, these statements and expressions. Such risks, uncertainties and factors include those described in the Company`s filings and reports on file with the Securities and Exchange Commission as well as the lack of assurances that the companies will cooperate on future technology and product development efforts, that Viewpoint will help drive new and powerful applications for AOL, that the companies will have an even more fruitful relationship in the future, or that great things will come from the new arrangements between the companies.

Viewpoint and Viewpoint Experience Technology are either registered trademarks or trademarks of Viewpoint Corporation. Other product and company names herein may be trademarks of their respective owners. Copyright 2003 Viewpoint Corporation. All rights reserved.



Contact:
Media Relations:
Viewpoint
Yvonne LeCroy
212-201-0806
[e-mail]
America Online
David Theis
703-265-1491
Viewpoint Investor Relations:
Financial Dynamics
Paul Johnson
212-850-5761
[e-mail]


--------------------------------------------------------------------------------
Source: Viewpoint Corporation





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