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PRESS RELEASE

Update Plan for Waves Version 4 Announced

January 21, 2003

Waves has introduced a new update program that will enable registered owners of the company's line of plug-in software to keep up to date with the latest developments at the most affordable price.

Called the Waves Update Plan (WUP), the program provides a scaled payment system based on the Waves products that a user actually owns. With a renewable one-year enrollment to WUP -- included free for a new bundle purchase -- users receive all the new features and enhancements for their newly purchased bundle for a year.

Waves Version 4 is the latest version release for the entire Waves software products line. Version 4 features full OS X support, a simplified authorization procedure, and free updates for a year with the Waves Update Plan.

With WUP, users receive version release notification and instant download access, a simple and straightforward subscription process, and re-authorization capability. Platinum users additionally receive the new Renaissance Channel processor.

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Upcoming features for 2003 that will be provided under WUP include optional iLok (donglebased) support -- users can choose between iLok and Challenge/Response; MIDI support and tempo synchronization; plus support for Apple's OS X Audio Units.

Existing 3.x products can be updated to Version 4 online at www.waves.com. When a Version 4 update is requested, the system automatically calculates the price based on the products registered in the user's account, and the user can then make the purchase of WUP and download the Version 4 update immediately. Alternatively, the updates can be installed from a Version 4 CD.

Users can also update via their Waves dealer by providing their Waves account name, plus their email address.

"The Waves Update Plan, or WUP, makes it easy for users to rest assured that they always have the latest version," notes Gilad Keren, CEO of Waves Ltd. "When users buy a Version 4 product, they automatically get a full year of WUP coverage, and new versions can be downloaded immediately," he said.

For more information, visit their web site at www.waves.com.

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