Sigma Designs, Inc. : Sigma Designs Teams with Avtrex and Syabas Middleware Providers for Its Ultra Thin Set-Top Box Solution

FOR IMMEDIATE RELEASE:

SIGMA DESIGNS TEAMS WITH AVTREX AND SYABAS MIDDLEWARE PROVIDERS FOR ITS ULTRA THIN SET-TOP BOX SOLUTION Reference Design Integrates Media Processing, Home Connectivity and Home Control Technologies With Avtrex and Syabas Middleware Solutions to Speed OEM Time to Market CES 2012 - LAS VEGAS, NV. - JANUARY 10, 2012 - Sigma Designs, the world leader in connected media platforms, today announced it has teamed with Avtrex, Inc. and Syabas Technologies, to add leading software and middleware technology to the industry's most advanced platform reference design, the Ultra Thin Set-Top Box. The addition of these technologies will speed time to market for OEMs interested in packaging this unique design and selling it on the marketplace quickly. This reference design continues to add fuel to the growing market for set-top-boxes by enabling the ability to stream high- definition content from the Web, in 1080p, via networking through powerline, all in a device so small that it fits in the palm of your hand.

"Cutting cost and, at the same time, improving the customer experience, is the 'holy grail' for service providers," said Thinh Tran, chairman and CEO at Sigma Designs. "With the addition of middleware from Avtrex and Syabas, it is easier than ever for OEMs and service providers to deliver the fully self- install Sigma Ultra-Thin, dramatically reducing deployment costs while delivering solid performance as well."
Sigma Designs' Ultra-Thin Reference Platform is unlike existing set-top boxes. This revolutionary self- installable, ultra-thin design doesn't require a power adaptor; it plugs directly into AC power outlets for easy installation by consumers and uses Sigma's award-winning HomePlug AV with ClearPath for the most reliable networking over the home's electrical wiring. The built-in Z-Wave RF technology in the remote control allows for non-line-of-sight positioning behind the TV or other furniture. With a state-of- the-art media processor, this new platform decodes multiple HD IPTV streams and connects to a HDTV through a simple HDMI connector.
Syabas is a pioneer in the connected entertainment market, with a combined 50 years experience in multimedia and powered the world's first Internet connected TV. The company creates core software for
digital home entertainment devices, including one that specifically works with Sigma's Ultra-Thin
Reference Design.
As an OEM software provider, Avtrex focuses on customizability to allow seamless integration with the customer's existing technical infrastructure. As such, their middleware solution is an excellent fit for the Ultra-Thin Reference Design -and for OEMs and service providers interested in developing the design.
"We are excited to deliver our middleware solution for Sigma's revolutionary Ultra-Thin solution," said Steve Francis, CEO of Avtrex. "We believe this will give OEMs and service providers the reliable partner they need to begin developing and installing the solution."
"Sigma Designs has developed something remarkable with the Ultra-Thin Reference Design," said T. L. Lim, President of Syabas. "We are pleased and excited to be a part of bringing this product to market."
Sigma Designs, along with middleware partners and CMs will make the fully integrated Ultra-Thin Set- Top box Reference Design available to service providers and their set-top equipment suppliers. These customers will have the advantage of quick time-to-market through these suppliers, whereby they will have direct support and the ability to customize the product.
The new Ultra-Thin reference platform is the first in a series of Sigma-enabled solutions developed to support the needs of the ever evolving, feature-rich set-top box market. Its core technologies include:

SMP8670 media processor

The SMP8670 is a highly integrated, high-performance, low-cost media processor targeted at thin-clients and optimized to run over-the-top application and graphically rich environments.. Featuring high-quality audio/video decoding, powerful audio/video processing and commonly used peripheral interfaces, this platform combines with our software architecture to enable rapid product development and lower manufacturing costs. Additionally, the architecture offers advanced content protection, supporting a wide variety of Digital Rights Management (DRM) and Conditional Access (CA) support required for premium content such as Netflix and Vudu.

HomePlug AV technology with ClearPathTM

Sigma's HomePlug AV with ClearPath is a breakthrough home networking technology that enables unprecedented, carrier-class streaming of HD video, voice and data over existing power
lines in the home. Sigma's award-winning technology uses all three power line wires - phase, neutral and ground to deliver improved performance and up to twice the throughput. Conforming to the universal HomePlug AV standard, Sigma's HomePlug AV with ClearPath has the unique ability to deliver triple play, whole-home DVR, HDTV and 3DTV to 95% of the power outlets within the home - even within multi-phased homes, across surge protectors and through EMI filters.

Z-Wave® technology

Z-Wave is the leading technology for home control and energy management. Today, close to 600 completely interoperable products worldwide from over 170 manufacturers support Z-Wave - far more than rival technologies. The leading makers of lighting, thermostats, shade controls, door locks and more have created the broadest ecosystem of solutions available. That is why ADT, Schlage, Verizon, Vivint and more all deploy home services based on Z-Wave.
For more information on the new ultra-thin reference platform, please visit http://www.sigmadesigns.com.

About Sigma Designs, Inc.

Sigma Designs, Inc. (NASDAQ: SIGM) is a world leader in connected media platforms. The company designs and builds the essential semiconductor technologies that serve as the foundation for the world's leading IPTV set-top boxes, connected media players, residential gateways, home control systems and more. For more information about Sigma Designs, please visit www.sigmadesigns.com.

Sigma Designs and the Sigma Designs logo are either registered trademarks or trademarks of Sigma Designs, Inc. and its subsidiaries in the United States and other countries. All other trademarks mentioned herein are believed to be trademarks of their respective owners.

Safe Harbor Statement

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, including statements about the anticipated features and benefits of Sigma's products and solutions. Actual results may vary materially due to a number of factors including, but not limited to, general economic conditions, including the rate of adoption of Avtrex and/or Syabas Middleware technologies or Sigma Designs SoCs in general. Sigma's ability to deploy and achieve market acceptance for Sigma's products in these
markets, the ability of its SoCs to compete with other technologies or products in these emerging markets as well as other risks that are detailed from time to time in Sigma's SEC reports, including our quarterly report on Form 10-Q as filed December 8, 2011. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. Sigma undertakes no obligation
to publicly release or otherwise disclose the result of any revision to these forward-looking statements that may be made as result of events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.

### Contacts:

Derek Perez Sigma Designs Public Relations
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[e-mail]
Edward McGregor
Investor Relations
Sigma Designs [phone] [e-mail]
Steve Francis
Avtrex, Inc.
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T.L. Lim
Syabas Technology
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