Kaleidescape Awarded Residential Systems' RESI Award for Fourth Consecutive Year

RESI Award Recognizes Kaleidescape for Product Design Excellence, Customer Appeal

Sunnyvale, California – September 4, 2007 - On the heels of celebrating its fifth year at the custom electronics industry's foremost event, CEDIA Expo, Kaleidescape, Inc., the market leader in entertainment servers, was presented, for the fourth consecutive year, with Residential Systems magazine's prestigious RESI Award.

Residential Systems' RESI Awards honor the most innovative product designs in the custom installation industry, with additional focus on engineering, aesthetic appeal, problem-solving capabilities and ergonomics. RESI Awards judges recognized Kaleidescape in the "Combined Product Family" category for its Second Generation, 3U Entertainment Server. Kaleidescape has previously been honored by Residential Systems' in the "Best Home Networking Product" category.

The Kaleidescape System combines a compelling user interface, outstanding industrial design and services that set new standards in the consumer electronics industry. The Second Generation Kaleidescape System, including the 3U Server, Movie Player 2 and Music Player, relies on simple, flowing geometry and elegant lines to create a fresh and unique appearance. The Kaleidescape 3U Server offers the industry’s largest storage capacity of up to nine terabytes of data and a Hot Spare Disk Cartridge, which provides an additional measure of data protection.

"Our primary objective is, and will remain to provide a home entertainment experience without compromise," said Michael Malcolm, founder, chairman and CEO of Kaleidescape. "The continued recognition we receive from our customers, peers and industry leaders, such as the RESI Awards judges, is an important testament to the passion, dedication, and attention to detail and quality that accompanies the Kaleidescape brand."

About Kaleidescape
The Kaleidescape System redefines home entertainment by transforming the way movies and music are collected, managed and enjoyed throughout the home. The System combines a compelling interface, outstanding industrial design, and services that set new standards in the consumer electronics industry. Kaleidescape was founded in 2001 and is privately held. The company is headquartered in Sunnyvale, California with research and development conducted by Kaleidescape Canada, Inc., based in Waterloo, Ontario. Kaleidescape products are available through a worldwide network of custom-installation dealers and distributors. For more information, contact Kaleidescape at (888) 352-5343 or (650) 625-6150, email us at sales@kaleidescape.com, or visit www.kaleidescape.com.

Kaleidescape and the Kaleidescape logo are trademarks of Kaleidescape, Inc.; they are registered in the United States and may be registered in some jurisdictions. Other trademarks and trade names are owned by third parties and may be registered in some jurisdictions.