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Digimarc Empowers House Beautiful's Launch of World's First "Pinterest-Enabled" Print Magazine

Digimarc's Print-to-Pin℠ Solution Enables Readers to Pin Images from Printed Pages as Easily as They Pin from Websites

Beaverton, Ore — May 21, 2012 — Digimarc Corporation (NASDAQ: DMRC) today announced that House Beautiful, published by Hearst Magazines, is the world's first publication to enable readers to pin images directly from a magazine to their Pinterest boards. House Beautiful is using the new Print-to-Pin℠ solution from Digimarc to enable this capability in the June issue, which is set to hit newsstands today.

"We know our readers are already taking pictures of pages from our magazine and pinning them on Pinterest," said Newell Turner, editor-in-chief of House Beautiful. "Digimarc's Print-to-Pin solution is an excellent way for our readers now to share high-quality images from select editorial whenever and wherever they are inspired. We have been using Digimarc Discover in our magazine for nearly a year now, and we see this new Print-to-Pin experience as an important advancement toward further deepening engagement with our readers."

House Beautiful's June issue features a "Kitchen of the Month" editorial in which the first page of the article has been "Pinterest-enabled" using digital watermarking from Digimarc. When scanned using either the magazine's newly launched House Beautiful Connect mobile application for iPhone or the Digimarc Discover mobile application for iPhone and Android devices, the watermark links readers to House Beautiful's "Kitchen of the Month" Pinterest pinboard which displays the seven images appearing in the print article. Once logged in to their Pinterest account on their mobile device, readers can then re-pin any of the Kitchen of the Month images to their own Pinterest pinboards.

The Digimarc Print-to-Pin solution enables magazines, advertisers, retailers and others to drive Pinterest enthusiasts from printed materials to their corporate Pinterest sites without marring the creative aesthetics of the materials with QR codes or Microsoft Tags. An imperceptible digital watermark embedded in images, text, or branded design element is automatically detected and consumers are immediately taken to the designated Pinterest page. Watermarked items can be linked to a specific image, which can then be re-pinned, or directed to a pinboard where multiple images can be re-pinned. As the images are shared throughout the Pinterest community, the links back to the magazine, advertiser or retailer are preserved.

"Our thought was — Why shouldn't Pinterest users be able to pin things from the physical world as easily as they pin from the digital world?" said Ed Knudson, EVP, Sales and Marketing of Digimarc Corporation. "We think House Beautiful's readers are really going to love the Print-to-Pin feature and the Kitchen of the Month piece is the perfect way to introduce it."

About Digimarc and the Digimarc Discover Platform

Digimarc Corporation (NASDAQ:DMRC), based in Beaverton, Oregon, is a leading innovator and provider of enabling technologies that create digital identities for all forms of media and many everyday objects. The embedded digital IDs are imperceptible to humans, but not to computers, networks and devices like mobile phones, which can now use cameras and microphones as sensory inputs to "see, hear and understand" the world around them within the context of their environment. Digimarc has built an extensive intellectual property portfolio with patents in digital watermarking, content identification and management, media and object discovery to enable ubiquitous computing, and related technologies. Digimarc develops solutions, licenses its intellectual property, and provides development services to business partners across a range of industries. For more information, please visit www.digimarc.com.

The Digimarc Discover™ Platform enables smartphones and other sensor-equipped devices to "see and hear" media content using built-in cameras and microphones. Publishers and others can embed digital watermarks into content using the Digimarc Online Services Portal (OSP). Consumers simply direct their phone at content they are interested in and are presented with a range of associated network services such as purchase a product, view a video, save for later, etc. The Digimarc Discover mobile applications are available for licensing and can be integrated into existing applications; more information can be found at www.digimarc.com/discover.

About House Beautiful

House Beautiful (www.housebeautiful.com) is the leading authority on American home design and decoration, reaching more than seven million readers every month. Founded in 1896, House Beautiful is the oldest continuously published shelter magazine in the United States. In May 2012, House Beautiful won the American Society of Magazine Editors award for General Excellence in the Lifestyle Magazines category. In addition to its U.S. flagship, House Beautiful publishes two editions abroad. Readers can also interact with the brand digitally on iPad, Kindle, and NOOK; with House Beautiful mobile (m.housebeautiful.com); and on Twitter at @housebeautiful. House Beautiful is published by Hearst Magazines, the largest publisher of monthly magazines in the U.S. (ABC 2011), which reaches 87 million adults each month (Spring 2011 MRI).

For more information about House Beautiful, please contact Michael McGraw at 917-755-9411 or mmcgraw@hearst.com.

Disclaimer

Digimarc Corporation is not affiliated with, sponsored by, or endorsed by Pinterest, Inc. Use of the Pinterest name herein is for the purpose of demonstrating a service enabled by Digimarc technology.

Forward-Looking Statements

With the exception of historical information contained in this release, the matters described in this release contain various "forward-looking statements." These forward-looking statements include statements and any related inferences regarding increases in license and subscription revenues, and other statements identified by terminology such as "will," "should," "expects," "estimates," "predicts" and "continue" or other derivations of these or other comparable terms. These forward-looking statements are statements of management's opinion and are subject to various assumptions, risks, uncertainties and changes in circumstances. Actual results may vary materially from those expressed or implied from the statements in this release as a result of changes in economic, business and/or regulatory factors. More detailed information about risk factors that may affect actual results will be set forth in the company's Form 10-K for the year ended December 31, 2011 and in subsequent periodic reports filed with the SEC. Readers are cautioned not to place undue reliance on these forward-looking statements, which reflect management's opinions only as of the date of this release. Except as required by law, Digimarc undertakes no obligation to publicly update or revise any forward-looking statements to reflect events or circumstances that may arise after the date of this release.

Contact

Reggie Borges
Waggener Edstrom
+1 503 443 7859
pr@digimarc.com

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