Focus Enhancements Announces Availability of 2.0 Firmware Upgrade Adding Native QuickTime HDV Support for FS-4Pro HD, FS-C, and DR-HD100 Portable HD DTE Recorders

Campbell, Calif. – October 6, 2006 - Focus Enhancements, Inc. (NASDAQ: FCSE), a worldwide leader in video production and conversion technology, today announced the availability of version 2.0 software which adds native QuickTime HDV support to its industry leading Direct To Edit (DTE) FS-4Pro HD, FS-C and DR-HD100 recorders. The upgrade will be available for purchase in disc format on the Focus Enhancements website for $39.

1080i 50/60 and 720p/30 clips recorded in the QuickTime HDV format using FS-4Pro HD, FS-C and DR-HD100 can be used immediately in Apple Final Cut Pro 5 without having to first capture or convert footage.

“The FS DTE Technology is the only disk recording solution that allows Final Cut users to record natively in the QuickTime format during acquisition in standard or high definition," said Matt McEwen, senior product manager for Focus Enhancements. "With the addition of QuickTime HDV support, Focus Enhancements’ exclusive DTE Technology continues its position as the industry’s leading direct-to-disk acquisition solution.”

Sony, Canon and JVC camcorder owners can now record 1080i 50/60 or 720p/30 video directly to their FS-4Pro HD, FS-C and DR-HD100 in native QuickTime. The file can be imported directly into Apple Final Cut Pro and used immediately in the timeline — eliminating the time-consuming steps of capturing and converting footage. The FS extracts and decodes the audio from the incoming HDV stream, combines it with the video stream, and wraps audio and video as a QuickTime file. Previously, clips had to be either captured or converted prior to use in Final Cut Pro 5.

The FS-4Pro HD and DR-HD100 offer a 40GB (3 hour) or 80GB (6 hour) internal disk drive, while the FS-C offers a 60GB (4 hour) or 100GB (7 hour) disk drive option. These versions feature separate 6-pin FireWire connectors for interfacing with camcorders and computers for editing or file transfer, a backlit status LCD display, and a comprehensive set of control buttons including a navigation pad. The FS-C was designed specifically for Canon HDV camcorders users. The DR-HD100 was designed for JVC GY-HD100 camcorder owners.

The FS-4Pro HD 40GB model has a US MSRP of $1,395 while the 80GB model is $1,795. The FS-C is available through Canon in both 60GB and 100GB versions for a US MSRP of $1,395 and $1,995, respectively. The 40GB and 80GB DR-HD100 models are available exclusively through JVC Professional for a US MSRP of $1,495 and $1,895, respectively. The version 2.0 update can be ordered directly from the Focus Enhancements website in disc format for an MSRP of $39.

For more information on Focus Enhancements and its products, please visit www.focusinfo.com.

About Focus Enhancements, Inc.
Focus Enhancements, Inc. (NASDAQ: FCSE), headquartered in Campbell, CA, is a leading designer of world-class solutions in advanced, proprietary video and wireless video technologies. The company's Semiconductor Group develops integrated circuits (ICs) for high-performance applications in the video convergence market, including IPTV set-top boxes and portable media players. Focus Enhancements is currently developing a wireless IC chip set based on the WiMedia UWB standard and designed to be compatible with Wireless USB and used in personal computer (PC), consumer electronics (CE), and mobile electronics applications. The company's System Group develops video products for the digital media markets, with customers in the broadcast, video production, digital signage and digital asset management markets. More information on Focus Enhancements may be obtained from the company's SEC filings, or by visiting the Focus Enhancements home page at http://www.Focusinfo.com.

Safe Harbor Statement
Statements in this press release which are not historical including statements regarding management's intentions, hopes, expectations, representations, plans or predictions about the future are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Factors that could cause actual results to differ materially include the risk factors specified in the company's Form 10-K for the year ended December 31, 2005, Form 10-Q for the periods ended March 31, 2006 and June 30, 2006, as well as other filings with the SEC. These statements are based on information as of October 4, 2006 and the company assumes no obligation to update any forward-looking statements, whether as a result of new information, future events, or otherwise.

QuickTime and Final Cut Pro are registered trademarks of Apple Corporation or its subsidiaries in the United States and other countries.

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Focus Investors:
Kirsten Chapman
Lippert/Heilshorn & Assoc.
415.433.3777
kristen@lhai-sf.com

Focus Press:
Ramin Ekhtiar
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