PHILIPS GIVES SIX OF THE BEST AT DEVELOP

Develop, Brighton, United Kingdom - Philips today announced six new developer license agreements to its popular amBX platform. Gearbox Software, Zombie, Riot Games, Brain in a Jar, Invictus Games and Instinct Technology, have all become amBX licensees.

Shorthand for 'ambient experiences', amBX revolutionises the gameplay experience by extending the gaming world out of the screen and into the real world. amBX delivers a full 'sensory surround experience' by equipping game developers with a tool box to use light, colour, sound and even air flow through enabled devices, including the Philips amBX PC Gaming Peripherals range of LED colour-controlled lighting, rumble peripherals and desktop fans.

The developer signings represent a strong cross section of the worldwide development community, including Hungary-based Invictus Games, Los Angeles-based Riot Games and Seattle-based Zombie joining Texas-based Gearbox Software, developer of the hugely successful and critically acclaimed Brothers in Arms and one of the largest independent developers in the world.

"amBX is a very cool and innovative technology that allows your games to stand out in a very crowded marketplace," commented John E. Williamson, President, Zombie.

The agreement with Ireland-based Instinct Technology will see amBX used through Instinct Studio as part of future middleware solutions to the game development industry.

"We're really thrilled that Philips has partnered with us to allow amBX features to be exposed through Instinct Studio, furthering our aim of offering best in class support for complementary technologies within the Instinct Studio development environment," commented Mike Gamble, Business Development Director.

Representing the best of British, amongst the raft of amBX signings, is Cheshire-based Brain in a Jar.

"With our move to latest generation technology in the form of our soon to be announced Xbox 360 and PC racing game, Philips amBX is the perfect partner for enhancing the gaming experience on offer from our studio," commented Carl Dalton, Creative Director.

Philips is setting a global standard by licensing the amBX technology to computer game developers, publishers and peripherals manufacturers and Gearbox Software, Zombie, Riot Games, Brain in a Jar, Invictus Games and Instinct Technology join a rapidly growing list of games industry companies supporting amBX-enabled games and peripherals, including Codemasters, THQ, Introversion, Kuju, Revolution, Sumo Digital, Rivers Run Red, Philips Peripherals & Accessories and SpectraVideo. Philips is currently in the closing stages of agreements with a number of other high profile companies regarding amBX-enabling all kinds of games.

For more information:

www.ambx.com

Media contacts:

Mark Ward, Luke Geoghegan or Dean Barrett at Bastion Ltd.,

Tel: +44 (0) 20 421 7600 Fax: +44 (0) 20 7421 7601

email: mark@bastion.co.uk

Philips amBX

Hans Driessen

Tel.: +31 40 2746692

email: hans.driessen@philips.com

About Brain in a Jar

Brain in a Jar was founded as an independent software developer, specializing in motorsport games and simulations, in December 1998. The studio's development ethos is to create solid and flexible technology capable of supporting a varied array of vehicle based games and simulations. Based in a custom barn conversion within earshot of Oulton Park Race Circuit in Cheshire, UK, the company has since developed over a dozen titles for console and PC systems as well as licensing its technology and providing artistic and technical consultancy.

About Gearbox Software

Gearbox Software is an independent, award-winning developer of interactive entertainment responsible for best-selling titles on all major gaming platforms. By employing the industry's most talented people and using proven production methods Gearbox creates games that are technologically advanced, creative and above all, fun to play.

About Instinct Technology

Instinct Technology was formed in 1999 and until recently operated as 'Torc Interactive'. In 2002 the company began full-time development of its next-generation technology platform, Instinct Studio, following considerable acclaim from the worldwide amateur development community for its first serious demo release in 2001.

In 2004 the team developed demos to showcase the release and capability of the new Havok 2 physics engine. In 2005 the company then developed the world's first native 64bit game demo in conjunction with AMD to showcase the then emerging 64-bit processor and its capabilities for gaming.

In early 2006 the company successfully secured separate venture funding to both launch the Instinct Studio product and to secure a move into games production. Later this year, an off-shoot company will see the Instinct management team create a new production studio in the North of Ireland targeting the production of a proprietary AAA IP.

Since its beta launch to the sector in July 2006 Instinct Studio has offered some of the strongest technology in the field, with a series of 'best in class' partnerships (integrating products such as Ageia's PhysX and Engenuity's AI.Implant) that make for a cost-effective solution for a cost-conscious industry, offering unbeatable power and performance in a single package.

About Invictus Games

Invictus was established as an independent game development studio in 1992 by Tamas Kozak and Akos Divianszky with the aim of developing state of the art computer entertainment software. Achieving this would entail the development of cutting edge technologies, to be combined with creative game ideas and new exciting gameplay. Building on our early success we decided to restructure and expand the company in 2000. In that same year we were also delighted to welcome Denes Nagymathe to the board of Directors; his revolutionary design and programming ideas are vital parts of our development efforts.

About Royal Philips Electronics

Royal Philips Electronics of the Netherlands (NYSE: PHG, AEX: PHI) is a global leader in healthcare, lifestyle and technology, delivering products, services and solutions through the brand promise of "sense and simplicity". Headquartered in the Netherlands, Philips employs approximately 124,300 employees in more than 60 countries worldwide. With sales of EUR 27 billion in 2006, the company is a market leader in medical diagnostic imaging and patient monitoring systems, energy efficient lighting solutions, personal care and home appliances, as well as consumer electronics. News from Philips is located at www.philips.com/newscenter.

About Riot Games

Headquartered in Los Angeles, California, RIOT GAMES, Inc. is an independently funded video game development company that was established in 2006 to develop innovative online next-generation titles for consoles and the PC. Comprised of highly successful creative executives and developers with a wealth of business management and game development experience with backgrounds from such companies as Electronic Arts, Atari, Konami, Activision, Sega, Sony and an assortment of development studios, the core RIOT GAMES team is assembled and is diligently working on a cutting-edge game platform and their first title that combines the best elements of the action role-playing and real-time strategy genres into a uniquely fun and competitive multiplayer experience. The company plans to announce the title in 2007.

About Zombie

Seattle based Zombie Studios is an industry-leading independent developer of console, PC, mobile and web-based games. Formed in 1994 by Joanna Alexander and Mark Long, formerly of the Sarnoff Research Center, Alexander and Long founded Zombie after they completed the design of a virtual reality game console for Hasbro at Sarnoff in 1993. Since then, Zombie has designed and produced 23 original games for worldwide distribution on virtually every major platform - from SEGA Genesis to 64 bit PCs.

Zombie's titles span a wide range of product genres including FPS, RTS, puzzle, arcade, adventure, hunting and simulation - and target markets that include hardcore gamers, casual gamers, value buyers and children. In addition to our genre and market diversity, Zombie develops for a wide variety of gaming platforms including PSP, PS3, Xbox360, PCs and mobile phones. Zombie has a diverse portfolio of publishing and distribution relationships. Our significant customers include: Atari, Microsoft, Disney, Real Networks, Ubisoft, Novalogic, Take2, America's Army, Groove Games, Panasonic and Activision.

Zombie focuses its development activities principally on titles that are, or have the potential to become, franchise properties with sustainable consumer appeal and brand recognition. These titles have been leveraged into sequels, prequels, mission packs, other add-on versions and related new titles that can be released over an extended period of time.

Zombie employs a full time staff of artists, engineers, composers and producer/designers. Our seasoned team of artists, producers, programmers, and level designers have multiple title experience from companies like Ubisoft, Valve, The Collective, Sierra, Microsoft, Monolith, Dynamix, Nova Logic, Microprose and Electronic Arts. Zombie's current employee skill base includes UNREAL, Torque, Renderware, Gamebryo, Max, Maya, Motion Builder, Visual Studio, CodeWarrior, Java, Symbian and J2ME.