Digimarc Chairman and CEO Bruce Davis Joins Entertainment Industry Executives on Music 2.0 Panel ''Covering Your Digital Assets''

Digimarc Corporation (Nasdaq:DMRC): What: Music 2.0 will bring together industry leaders Jan. 31-Feb. 1 in Los Angeles to analyze trends and developments affecting the business of digital music. As part of the conference, Digimarc Chairman and CEO Bruce Davis is participating on an industry panel that will explore the next generation of digital rights management (DRM) and the question of how to balance what’s good for the consumer against what’s good for the copyright holder. As Davis wrote in an opinion piece in the December 2006 issue of Billboard magazine (http://www.billboard.biz/bbbiz/search/article_display.jsp?vnu_content _id=1003494412), he proposes that digital watermarking can enable ''a more sophisticated and balanced paradigm for media distribution and management that protects copyrights while enhancing -- instead of limiting -- consumer experiences.'' (Due to its length, the URL in this paragraph may need to be copied/pasted into your Internet browser's address field. Remove the extra space if one exists.) When: Thursday, Feb. 1, 2007, 8:45-9:30 a.m. Where: Music 2.0’s ''Covering Your Digital Assets'' panel at the Bel Age Hotel in Los Angeles, Calif. Who: Digimarc’s Bruce Davis joins industry executives from Navio, SNOCAP, Universal Music, Sony Corporation of America, and moderator Eric German from Mitchell Silberberg and Knupp. About Digimarc Digimarc Corporation (Nasdaq:DMRC), based in Beaverton, Oregon, is a leading supplier of secure identity and media management solutions. Digimarc provides products and services that enable the annual production of more than 60 million personal identification documents, including two-thirds of U.S. driver licenses and IDs for more than 20 countries. Digimarc's digital watermarking technology provides a persistent digital identity for various media content and is used to enhance the security of financial documents, identity documents and digital images, and support other media rights management applications. Digimarc has an extensive intellectual property portfolio, with more than 300 issued U.S. patents with more than 5,000 claims, and more than 500 pending U.S. and foreign patent applications in digital watermarking, personal identification and related technologies. The Company is headquartered in Beaverton, Oregon, with other U.S. offices in Burlington, Massachusetts; Fort Wayne, Indiana; and the Washington, DC, area; and international offices in London and Mexico. Please go to www.digimarc.com for more company information. Securities Safe Harbor With the exception of historical information contained in this release, the matters described herein contain certain "forward-looking statements" that are made pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include statements containing the words "believes," "expects," "estimates," "anticipates," "will" or words of similar import or statements of management's opinion. These statements are subject to certain assumptions, risks, uncertainties and changes in circumstances. Actual results may vary materially from those expressed or implied from the statements herein or from historical results, due to changes in economic, business, competitive, technological and/or regulatory factors. More detailed information about risk factors that may affect actual results is set forth in filings by Digimarc with the Securities and Exchange Commission on Forms 10-K, 10-Q and 8-K, including but not limited to those described in the Company's Form 10-Q for the quarter ended September 30, 2006, in Part I, Item 2 thereof ("Management's Discussion and Analysis of Financial Condition and Results of Operations"), under the captions "Liquidity and Capital Resources" and "Factors Affecting Forward Looking Statements" and in Part I, Item 4 thereof ("Controls and Procedures"). 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, we undertake no obligation to revise or publicly release the results of any revision to these forward-looking statements.