Press Release

VWB's MediaREADY(TM) 5000 Advanced Media Center to Run SageTV's Media Center Software

Easy-to-Use Living Room Component Uses Linux to Bring Personal Video Recording (PVR), On-Demand Media, DVD/CD Burning, Photo & Music Management, Internet, and More, to the TV

FT. LAUDERDALE, Fla., and OAKBROOK TERRACE, Ill., Aug. 12, 2005 -- Video Without Boundaries, Inc. (OTC: VDWB), a leading provider of interactive, media-convergent home entertainment devices, and SageTV, LLC, announced today their collaboration to release the MediaREADY(TM) 5000 Advanced Digital Media Center to the market powered by the Linux-based SageTV Media Center software. The SageTV software running on the MediaREADY(TM) 5000 will enable complete Media Center capabilities, including PVR, DVD/CD burning, music and photo management, Web browsing, Email, and more.

The all-in-one SageTV Media Center platform allows VWB to offer its advanced, easy-to-use media management capabilities in a highly reliable Linux-based solution and helps minimize price by avoiding expensive Windows license fees. The software is one of the most comprehensive and mature of its kind. Boasting special features, such as intelligent recording of TV shows of interest based on household viewing habits, the single graphical user interface enables consumers to access their entire media library without the delays typically experienced on other platforms while switching applications.

"Our goal with the MediaREADY 5000 is to add state-of-the-art PVR and other advanced media center capabilities to the broad entertainment and Internet functionality we have previously offered, upgrade the interface for ease of use, and maintain a very attractive price point," said David Novak, EVP - Sales and Marketing for VWB. "The VWB-SageTV collaboration offers a highly competitive feature set in this category."

The SageTV software lights up MediaREADY 5000 features, including:

- Complete personal video recording, without subscription 
  fees, for recording TV shows to the 5000's internal hard 
  drive, including the ability to pause and rewind live TV, 
  record a whole season of shows, and automatically record 
  new shows in the user's favorite categories (such as reality 
  shows) based on previous recording patterns.
  
- A comprehensive electronic program guide that simplifies 
  TV program recording by displaying channel, title, and other 
  descriptive program information, and also enables searching 
  and recording of favorite shows using the guide information.
  
- MP3, DVD, CD, Karaoke DVD, and photo playback and management, 
  including the ability to access digital files from the 
  MediaREADY's hard drive, home-network PCs, and connected 
  peripherals such as MP3 players and digital cameras; play 
  them on the connected TV; rip CDs to the unit's hard drive; 
  burn video, TV shows, music, and more onto CD or DVD discs; 
  access music play lists by artist or album, and so on.
       
- High-speed Internet browsing, email access and online gaming 
  on the connected TV, including full-screen DVD-quality video 
  and audio streaming.
       
- Media-on-Demand capabilities, allowing consumers to access 
  DVD-quality video programming through the MediaREADY Content 
  Delivery Network.
       
- Optional connectivity to the home computer network through a 
  built-in Ethernet connection or plug in PCMCIA wireless card, 
  making it possible to access digital media files stored on the 
  household's PCs.

These features will complement the MediaREADY 5000's other hardware capabilities and connectivity to a wide range of consumer electronics through inputs and outputs ranging from USB and Firewire to component and composite video. The product will come with a wireless keyboard and remote control and will be available through retail channels nationwide this quarter.

"Video Without Boundaries has a strong track record in providing innovative digital media products, so they have a clear understanding of the features and functions necessary to succeed in the marketplace," said Mike Machado, CEO of SageTV. "This partnership is a great opportunity for us to showcase our Linux-based Media Center solutions on a ready for primetime piece of consumer electronics equipment."

About SageTV

SageTV, LLC (formerly Frey Technologies, LLC) is a pioneer in personal video recording and home media center technologies that combine television, music, and related media into a complete, easy-to-use home media experience controlled from an existing PC. SageTV Media Center, the company's flagship product, is the first PVR solution that operates on both PCs and TVs, can be deployed on either Windows or Linux, and supports multiple tuners, networking and intelligent recording. The company was founded in 2002 and is based in Oakbrook Terrace, IL. For more information, visit http://www.sagetv.com.

About Video Without Boundaries

Video Without Boundaries, Inc. is a leader in digital media-on-demand, enhanced home entertainment, and interactive products that connect people simply. VWB is focused on delivering flexible, digital-media consumer electronics products and services that are affordable, easy to use, and simple to understand. For more information, visit http://www.vwbinc.com.

Forward-Looking Statements:

Forward-looking statements and comments in this document are made pursuant to the safe harbor provision of Section 21E of the Securities Exchange Act of 1934. Such statements relating to, among other things, the prospects for the company to increase the level of sales, maintain current sales levels, add new products and services and develop new Web sites are necessarily subject to risks and uncertainties, some of which are significant in scope and nature, including risks related to the demand for the company's products and services competition, and availability of capital.

MediaREADY and Video Without Boundaries are trademarks of Video Without Boundaries, Inc. All other trademarks or registered trademarks are the property of their respective owners.

VWB Contact:

Belinda Banks
S&S Public Relations, Inc.
212-946-2823
Belinda@sspr.com

VWB Investor Relations:

Video Without Boundaries, Inc.
954-527-7780
vwbinvestor@vwbinc.com

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