TechSmith Corp., the world's leading provider of screen capture and recording solutions, and On2 Technologies, Inc. (AMEX: ONT), the premier developer of Flash 8 video encoding tools, today announced that the newly released Camtasia Studio 3.1 features the On2 Flix Engine for Flash 8 video encoding. The On2 Flix Engine, integrated with Camtasia 3.1, enables users to combine screen recordings and real-world video in the same software training, demonstration, marketing presentation or screencast and deliver it via Flash 8 video with unsurpassed clarity.

"Camtasia has always been unique among screen recording solutions with its roots in video, allowing users to go beyond simple animation to create engaging, life-like content," said Troy Stein, Camtasia Studio Product Manager at TechSmith. "Now educators, presenters, and executives can easily add themselves to any presentation and publish it with complete confidence that the content will be crisp and clear."

"TechSmith revolutionized online training and product demonstrations with Camtasia Studio, and now they've catapulted themselves into a whole new category with Flash 8 video-enhanced solutions," added Eric Ameres, chief technical officer and executive vice president of software development for On2 Technologies. "The On2 Flix Engine is enabling innovators like TechSmith to create entirely new, visually immersive online experiences for their customers leveraging the pristine quality of Flash 8 video."

Multimedia content -- created in minutes with Camtasia Studio -- is proven to increase the effectiveness of online training, sales presentations and marketing initiatives, and reduce costs associated with technical support and helpdesks. Camtasia Studio automatically records exactly what a user sees on a computer screen, what they say, and how they interact with PowerPoint or any Windows-based application or Web site. Individuals can then edit the interactive content and share it via fixed media (e.g., CD or DVD) or online in all the popular streaming media formats, including Flash video (FLV). Users can also import video from digital camcorders.

About TechSmith Corporation
TechSmith Corporation was founded in 1987 and is located in Okemos, Michigan. TechSmith provides practical business software tools to capture and manipulate images, voice and video from Windows desktops. The company's flagship software packages, SnagIt and Camtasia Studio, enable customers to create visually enhanced content for teaching, training, Web sites, documentation, and business presentations. Morae is the first and only all-digital solution for recording and analyzing human-computer interaction. TechSmith products are used by 98% of the Fortune 500. For additional information, visit www.techsmith.com.

About On2 Technologies, Inc., The Duck Corporation
On2 Technologies (Amex:ONT) is a leading technology firm at the forefront of digital video compression. The company revolutionized digital media delivery with the creation of its advanced full-motion, full-screen On2 Video compression and streaming technologies. On2 Video codecs are widely used in the Internet, video-on-demand, VOIP, and mobile media markets. They operate with On2's Flix and On2 TrueCast software, as well as third-party products. On2's software is used by such leading global companies as Adobe/Macromedia, AOL, Skype, XM Satellite Radio, Sony, VitalStream, and Tencent. The On2 Video decoder has an installation base of millions through its inclusion in Adobe Flash Player, Skype 2, AOL Media Player, Viewpoint, and others. Located in New York City, the company has an office in Clifton Park, NY, and operations in Cambridge, UK. To contact On2, write to sales@on2.com or visit http://www.on2.com.