Volvo First Automotive Manufacturer to Offer Dolby Pro Logic II Technology in Entire Line of Vehicles

FRANKFURT, Germany--Sept. 13, 2005--Dolby Laboratories today announced that Dolby(R) Pro Logic(R) II technology will be offered in the all-new Volvo C70, launched today at the Frankfurt Motor Show (IAA). With the addition of Dolby audio technology to Volvo's C70, Volvo's entire 2006 line of cars provide Dolby Pro Logic II as a customer option, offering a home theater-like experience on the go. Volvo is the first car manufacturer to offer Dolby Pro Logic II technology in an entire line of cars.

Available now, the 2006 Volvo models offer drivers the opportunity to have a premium surround sound experience by choosing to equip their car with Dolby technology. Dolby Pro Logic II provides a realistic surround sound experience from two-channel stereo content. The Dolby Pro Logic II surround sound logo will be featured on the dashboard or start-up screen of the audio system in each Volvo vehicle equipped with Dolby premium technology. The Volvo S80, S60, S40, V70, V50, XC70 Cross Country, and XC90, and now the all-new C70 convertible, all offer premium sound systems incorporating Dolby Pro Logic II technology.

"As Volvo is known for best-in-class luxury, we chose to further enhance our models by offering sound technologies from Dolby, so we can provide discerning consumers an exceptional car audio experience option. Complementing Volvo's vehicle performance, Dolby Pro Logic II enables a new level for in-car entertainment that allows our customers to simulate a home theater experience on the road," said Per-Ake Froberg, Media Launch Manager, Volvo Car Corporation.

"Volvo has always been a leader in the field of automotive entertainment, being the first manufacturer to incorporate surround sound into its cars in 1997. We believe that by offering Dolby Pro Logic II surround sound technology for the entire 2006 Volvo line, Volvo will again lead the way for in-car entertainment systems, and that other automobile manufacturers will follow," said Tony Spath, Vice President, International Marketing, Dolby Laboratories. "We are delighted to see surround sound entertainment continue to move to the car, where Dolby technologies offer a host of new possibilities, improvements, and -- most importantly -- high-quality audio entertainment to Volvo customers."

Dolby Pro Logic II provides a realistic and convincing surround sound experience from two-channel content. A matrix surround technology, it provides five full-bandwidth channels of surround sound playback. In addition, Dolby Pro Logic II unlocks directional cues in stereo (two-channel) audio content, such as radio and CDs, and processes them into five-channel surround sound.

Dolby Pro Logic II decoding technology is incorporated in millions of products worldwide from automobiles to home A/V receivers to PCs.

About Dolby Laboratories

Dolby Laboratories develops and delivers products and technologies that make the entertainment experience more realistic and immersive. For four decades Dolby has been at the forefront of defining high-quality audio and surround sound in cinema, broadcast, home audio systems, cars, DVDs, headphones, games, televisions, and personal computers. Based in San Francisco with European headquarters in England, the company has entertainment industry liaison offices in New York and Los Angeles, and licensing liaison offices in London, Shanghai, Beijing, Hong Kong, and Tokyo. For more information about Dolby Laboratories or Dolby technologies, please visit www.dolby.com.

Certain statements in this press release, including statements regarding the performance and capabilities of Dolby Pro Logic II technology generally, and for use in in-car entertainment systems, specifically, the potential benefits that automobile manufacturers and consumers may derive from the incorporation of this technology into in-car entertainment systems, and the anticipated market acceptance of these technologies, including the adoption of this technology by additional automobile manufacturers, are "forward-looking statements" that are subject to risks and uncertainties. These risks and uncertainties, which could cause the forward-looking statements to differ materially from anticipated results, include, without limitation, risks associated with building customer and consumer acceptance of and demand for in-car entertainment systems with high-quality sound capabilities in general, and for Dolby Pro Logic II technology in particular; risks associated with successfully incorporating Dolby technologies into cars; competition risks, risks associated with having Dolby technologies adopted as explicit or de facto industry standards, risks associated with maintaining and strengthening the Dolby brand and other risks detailed in Dolby's Securities and Exchange Commission filings and reports, including its quarterly report on Form 10-Q, filed with the SEC for the quarter ended July 1, 2005. Dolby Laboratories disclaims any obligation to update information contained in these forward-looking statements whether as a result of new information, future events, or otherwise.

Dolby, Pro Logic, and the double-D symbol are registered trademarks of Dolby Laboratories. W2005/182