Virage Enables Enhanced Video Services on the Indiana Telecommunications Network

IHETS Consortium Serves More Than 1,850 Colleges and Universities, K-12 Schools, Libraries and Government Offices

San Mateo, California, UNITED STATES

SAN MATEO, Calif., Feb. 26, 2003 (PRIMEZONE) -- Virage, Inc. (Nasdaq:VRGE) today announced that the Indiana Higher Education Telecommunication System (IHETS) is launching a wide range of Virage(r)-powered video services to customers on the Indiana Telecommunications Network (ITN), the largest and most diverse telecommunications network in Indiana. IHETS provides telecommunications services to colleges and universities, K-12 schools, public libraries, state government offices and other public institutions in Indiana.

"Virage allows us to deliver a rich set of Web-based video services to our customers," said Ed Stockey, assistant director for Product Research and Development at IHETS. "By offering some of the most advanced video capabilities on the market today, we're able to enhance the educational process throughout the state of Indiana."

With the new Virage system, IHETS now offers video encoding, indexing and search as part of its digital asset management services. ITN customers can produce their own video and send it to IHETS in analog or digital form. From there, the video will be processed by the Virage SmartEncode(tm) system and then stored and hosted digitally in the Virage system. In addition, ITN customers have the option of encoding and indexing the video themselves before sending it to IHETS. The Virage system will allow ITN customers to access the video from the Web and perform advanced searches by topic, keyword, or spoken words, in order to find exactly what they need. IHETS customers will be able to tap into the new video services for training, online learning, digital archiving and webcasting.

"Indiana is at the forefront of telecommunication services and we're thrilled to be a part of it," said Dave Girouard, senior vice president of Marketing and Business Development at Virage. "The IHETS approach to efficiently delivering services state-wide is unique and impressive and we're happy to help them meet their business goals."

For more information about Virage and its customers, please visit For more information about IHETS, please visit

About the Indiana Higher Education Telecommunication System (IHETS)

The Indiana Higher Education Telecommunication System (IHETS) is a state-supported consortium of higher education institutions in Indiana, which operates technology networks, manages the state's virtual university, and pursues applications research and development. It is an integral part of the rapidly evolving telecommunication and educational technology environment in Indiana. IHETS' mission is to enhance the educational, social and economic development of Indiana citizens through effective and collaborative use of telecommunications and information technology.

About Virage

Established in 1995, Virage is a leading provider of video and rich media communication software. Virage builds integrated rich media business solutions for corporations, media and entertainment companies, universities and government agencies worldwide. Headquartered in San Mateo, California, Virage ( has offices throughout the United States and Europe.

Forward-Looking Statements

This press release contains "forward-looking" statements about the products and services of Virage, as that term is used in Section 21E of the Securities Exchange Act of 1934. Forward-looking statements are denoted by such words as "will be processed," "will allow," "will be able," and similar terms and phrases. These types of statements address matters that are subject to risks and uncertainties, which could cause actual results to differ materially. In addition, our forward-looking statements should be considered in the context of other risk factors discussed in our filings with the Securities and Exchange Commission, including but not limited to our annual report on Form 10-K and 10-Q filings, available online at All forward-looking statements are based on information available to the company on the date hereof, and the company assumes no obligation to update such statements.

Virage and VideoLogger are registered trademarks of Virage, Inc. The Virage logo, SmartEncode, VS Webcasting, VS Publishing, VS Production, MediaSync, Virage ControlCenter and Virage Solution Server are trademarks of Virage, Inc. Other company product and service names may be trademarks or service marks of others, and are hereby acknowledged.

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