Phoenix Technologies Builds Partner Ecosystem of Leading ISVs to Accelerate HyperSpace™ Adoption and Value for OEMs and Consumers

Numerous Solutions Providers Work with Phoenix to Expand Instant-on, All-day Computing Value Proposition

CES, Las Vegas, NV, January 9, 2009 Phoenix Technologies Ltd. (NASDAQ: PTEC), the leader in PC 3.0™ products, services and embedded technologies, today announced partnerships with a wide range of technology and solutions providers who will support HyperSpace, the revolutionary and brand new instant-on and always-connected application environment that makes operating a mobile PC as easy and efficient to use as a cell phone. HyperSpace is on display at the Consumer Electronics Show in Las Vegas this week at Phoenix booth# 9014 in the Central Hall.

HyperSpace is immediately available for download at www.hyperspace.com. With HyperSpace-installed netbooks and notebooks, users can instantly launch important Web-based applications (before Windows® even boots), automatically connect to the best available network, dramatically extend battery life, and achieve new levels of uptime and security protection.

HyperSpace is optimized for Intel® Core™ 2 Duo processors and Intel® vPro™ processor technology.

Intel(R) Core(TM) 2 Duo processors and Intel(R) vPro(TM) processor technology enable the development of more secure and better performing virtualization infrastructure.

"Taking advantage of the energy-efficient performance of the Intel Core 2 Duo processors, and the security and manageability features of Intel vPro technology, Phoenix HyperSpace is able to deliver innovative capabilities," said Gregory Bryant, vice president and general manager for Intel's Digital Office Platform Division.

"Phoenix is pleased to be working with leading global technology and solutions providers to write a new chapter in PC history. As a result of this initiative, users will have a broad choice of affordable products and solutions that revolutionize their PC experience. This support proves that our PC 3.0 vision is recognized by the market," said Woody Hobbs, president and CEO of Phoenix Technologies.

The development of Phoenix HyperSpace was announced at the end of 2007 and has been talked about as an innovative product to watch out for in 2009. The new product line has already won support from a wide range of technology companies that are working with Phoenix Technologies to maximize the value of HyperSpace for end users. This support is underscored by the quotes below:

Yahoo/Zimbra

"Zimbra Desktop gives users simple access to world-class e-mail technology, calendaring, and other productivity features, wherever they are, online and offline," said Satish Dharmaraj, Yahoo! VP and founder of Zimbra. "HyperSpace is focused on similar goals - making on-the-go computing easier and more efficient. As part of the HyperSpace ecosystem, Zimbra puts its robust collaboration experience at a user's fingertips, and enables instant access to the most important productivity tools."

Real Networks

"Mobile users don't want to wait or navigate complex interfaces to start having fun," said Leon Cho, general manager of Video Subscriptions at Real Networks. "With SuperPass and HyperSpace, netbook and notebook users will get fast access to movies and TV shows with HyperSpace's instant-on computing and a SuperPass mobile interface that is one of the industry's first to be defined specifically for the Netbook."

ArcSoft

"As a leading provider of multimedia software and technologies, ArcSoft strives to make working with photos and videos fun and easy," said George Tang, ArcSoft Vice President and General Manager of Video and Home Entertainment Group. "Being compatible with the Phoenix HyperSpace environment, which provides users maximum control and manageability on a PC, aligns with this goal."

Corel

"Corel digital media innovation is producing ground-breaking new products that enhance the way people live, work and play," said Denise MacDonell, senior director product management, Digital Media, at Corel. "By working with Phoenix, we are helping redefine how people use their mobile computers, allowing them to watch a video as quickly and easily on their laptop as they can using a player at home -- just turn it on and it works. Even better, we are enabling reduced battery consumption on laptops when users view videos via our LinDVD playback software running on HyperSpace, providing extended mobile PC playback without the need to plug in and charge batteries."

CyberLink

"CyberLink has a long history of delivering a powerful digital media experience on the PC," said Alice H. Chang, CEO of CyberLink Corp. "Our partnership with Phoenix to leverage the HyperSpace platform makes it possible to offer digital media entertainment for laptop users while conserving valuable battery power."

Opera

"As PC users become increasingly more mobile, Opera sought to deliver the kinds of browser capabilities that reflect the way people use their mobile devices, even building in the capacity to synch Web information from the PC to the mobile phone," said Rolf Assev, Chief Strategy Officer at Opera. "Working with Phoenix not only gives us an opportunity to partner with a technology leader that embraces our vision of offering fully customizable browser solutions, but it represents a way we can improve the user experience by helping to deliver instant-on access to the full Web on the next generation of mobile PCs."

Zentek

"At Zentek, it's about meeting the needs of device manufacturers and network operators with integrated solutions for digital television and wireless devices, said Shozo Ohtani, Founder and Chairman, Zentek. "Every day we bring unparalleled wireless data services to millions of people around the world. With a focus on digital television and mobile digital devices, and by working with Phoenix, we're shaping the future of digital content and the way people interact with their entertainment appliances."

Please visit www.hyperspace.com to learn more about Phoenix HyperSpace.

About Phoenix Technologies Ltd.

Phoenix Technologies Ltd. (Nasdaq: PTEC) is the global market leader in system firmware that provides the most secure foundation for today's computing environments. The PC industry's top system builders and specifiers trust Phoenix to pioneer open standards and deliver innovative solutions that will help them differentiate their systems, reduce time-to-market and increase their revenues. The Company's flagship products and services -- AwardCore, SecureCore, Embedded BIOS, Phoenix FailSafe, HyperSpace, BeInSync and eSupport — are revolutionizing the PC user experience by delivering unprecedented performance, security, reliability, continuity, and ease-of-use. The Company established industry leadership and created the PC clone industry with its original BIOS product in 1983. Phoenix has 159 technology patents and 136 pending applications, and has shipped in over one billion systems. Phoenix is headquartered in Milpitas, California with offices worldwide. For more information, visit http://www.phoenix.com.

Phoenix, Phoenix Technologies, AwardCore, Phoenix SecureCore, Embedded BIOS, Phoenix FailSafe, HyperSpace, BeInSync, eSupport, PC 3.0 and the Phoenix Technologies logo are trademarks and/or registered trademarks of Phoenix Technologies Ltd. All other marks referenced herein are the marks of their respective owners.

Safe Harbor

The statements in this release include forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, regarding, but not limited to, our partnerships with various technology and solutions companies, providing various products and services of these partners through the HyperSpace environment and accelerating the adoption of HyperSpace. These statements involve risk and uncertainties, including: unexpected technical challenges and delays, including defects, errors, code bugs and glitches; unexpected challenges relating to our relationships with our partners; our ability to successfully compete in new markets where we do not have significant prior experience; competing technology and offerings of competitors; end-user demand for our products and solutions; our ability to convert trial users of our products and services into paid subscribers; our ability to hire and retain key employees; and our ability to protect our intellectual property rights. For a further list and description of risks and uncertainties that could cause actual results to differ materially from those contained in the forward looking statements in this release, we refer you to the Company's filings with the Securities and Exchange Commission, including, but not limited to, its annual report on Form 10-K and quarterly reports on Form 10-Q. All forward-looking statements included in this release are based upon assumptions, forecasts and information available to the Company as of the date hereof, and the Company assumes no obligation to update any such forward-looking statements.

Source: Phoenix Technologies Ltd.