News Release：Pioneer Research Center USA, Inc. Opens to Focus onDigital Network Entertainment in Untied States

Pioneer North America, Inc. announced today their plans to open the newest addition to the North American operation-- Pioneer Research Center USA, Inc. (PRA), a new research and development unit. The company will open in San Jose, California on July 5th and will develop both digital television and digital network technologies to be incorporated into audio video products sold primarily in the U.S. market.
The launch of PRA is an integral part of Pioneer Corporation's Vision 2005 Corporate Initiatives that were unveiled nearly two years ago. In the company's roadmap to the year 2005 and beyond, Pioneer identified digital network entertainment as one of four essential business domains on which to focus.
By having an R&D facility in the heart of Silicon Valley, Pioneer is now in a key position to capitalize on the latest developments in digital network standard setting, and available components to work from.
"It is a significant milestone in our North American operations that we have this R&D unit in Silicon Valley, which is widely recognized to be the center of the most up-to-date technologies," said Kazunori Yamamoto, president of Pioneer North America, Inc. "This R&D company represents Pioneer's commitment to be a frontrunner in developing digital technologies and make them accessible to American consumers in a user-friendly manner."
PRA will also work closely with the other Pioneer Electronics companies in North America to identify market opportunities that can gain a wide consumer acceptance in those technologies that are most important for digital network entertainment devices. Initially, PRA will focus on developing software that will interface with DTV and digital cable TV, helping to make digital television a centerpiece in digital entertainment.
Pioneer Research Center USA, Inc. is located at 101 Metro Drive, Suite 510, San Jose, California 95110 and is headed by Mr. Takashi Sakakibara, President and CEO.
Pioneer North America, Inc. is headquartered in Long Beach, CA and manages the 23 North American subsidiaries of Pioneer Corporation of Japan. The president and CEO of Pioneer North America, Inc. is Mr. Kazunori Yamamoto.