(EMAILWIRE.COM, February 20, 2001 ) SAN MATEO, Calif. - - Virage, Inc. [Nasdaq: VRGE], a leading provider of software and services that enable video for strategic online applications, today announced that Sumitomo Corporation has become a certified distributor of Virage software to the Japanese market. As a major Japanese software distributor and systems integrator, Sumitomo will help Virage expand its existing presence in the overseas markets for its Internet Video Application Platform.

Sumitomo Corp. plays a key global role in the exchange of goods, services, and technologies among nations and cultures and is one of Japan's largest integrated trading companies. The partnership will enable Sumitomo to augment their product and service offerings with a comprehensive solution for streaming video. The Virage platform will initially be utilized by the Information & Electric Systems Dept. of Sumitomo Corp., which focuses on the deployment of emerging echnologies
in high growth fields, such as digital broadcasting, next generation cellular phone systems, CATV, and telephone services for the Internet.

"We are very happy to be working with Virage to address the online video needs of the Japanese market," said Yoshiki Nakai, General Manager of Information & Electric Systems Dept. of Sumitomo. "After an extensive review, we elected to team with Virage because it is clearly the market leader in strategic online video applications. Integrating and distributing Virage software enables us respond to our customers' growing demand for high-quality, comprehensive digital media applications."

"Sumitomo's leadership position and broad customer base enables Virage to quickly address the opportunities in the growing Japanese market," said Paul Lego, president and CEO of Virage. "We are very pleased to be working with Sumitomo in this mutually beneficial relationship. Their expertise in systems integration and localization enables us to rapidly address the demand for our platform in Japan, while our technology enables Sumitomo to add significant functionality to their
systems and solutions offerings."


About Sumitomo Corp.
Sumitomo Corporation plays a key global role in the exchange of goods, services, and technologies among nations and cultures. We have almost 8,000 employees and, together with our 767 consolidated subsidiaries and associated companies around the world, employ over 33,000 people. Over the years, the scope of our business has expanded from that of a trader to become an investor, financier, and expediter of ideas. Building on an illustrious tradition that can be traced back four centuries, we continue to display a remarkable ability to adapt quickly to the changing times.

About Virage, Inc.
Headquartered in San Mateo, California, Virage is the leading provider of solutions that enable video for strategic online applications. The Virage Internet Video Application Platform transforms video into an effective online medium that is easy to publish, manage and distribute on the Internet or corporate intranets. The Virage platform provides content owners with the complete infrastructure for seamlessly integrating streaming video into business, entertainment and information applications. From ABC to Yahoo!, over 200 customers across a broad range of markets have turned to Virage to help them improve production efficiencies and create new revenue opportunities with video. Contact Virage at http://www.virage.com/
or (650) 573-3210.


This press release contains "forward looking" statements about the products and services of Virage and Sumitomo, 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 extend", "will help", "will enable" 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 our Registration Statement on Form S-1, as amended, available online at http://www.sec.gov. 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.

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Virage, VideoLogger and the Virage logo are registered trademarks and Virage Application Server and SmartEncode are trademarks of Virage, Inc. Other company product and service names may be trademarks or service marks of others, and are hereby acknowledged.

Press Contacts:
Skip Ferderber
Skip Ferderber & Associates
(425) 418-0310
skip@skipf1.com

Carlos Montalvo
Virage, Inc.
(650) 372-2648
carlos@virage.com

Atsushi Gotoh
Sumitomo Corp.
Atsushi.gotoh@sumitomocorp.co.jp

Contact Information:
Virage, Inc.
Joseph Nchor
Tel:
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