Mad Catz Interactive, Inc., a leading third party video game accessory provider, today announced the acquisition of the INAIR Personal Sound Technology - a revolutionary breakthrough in the headphone listening experience. As part of the acquisition of the INAIR IP, Mad Catz also brings INAIR's inventor, Ken Wright, to Mad Catz' management team.

"We are very excited about our acquisition of the INAIR Personal Sound Technology IP," said Darren Richardson, President and CEO of Mad Catz. "This new technology allows users to have a high-quality digital listening experience while still interacting comfortably with their environment. The designer earpiece can be adapted to be either unobtrusive or more conspicuously branded as a stylish status symbol. Given the number of digital audio devices in the marketplace and the range of possibilities for branding, co-marketing and cross-promotion, the INAIR Personal Sound Technology opens up a broad realm of potential new revenue streams."

Ken Wright, inventor of the INAIR Personal Sound Technology commented, "I am excited to join Mad Catz to help apply their high standard of quality accessories to the growing digital audio market through the development of both traditional and innovative new audio solutions."

Mad Catz is currently planning a range of products using the INAIR Personal Sound Technology to address a wide array of audio devices, including iPod, Zune, cell phone, and other digital media devices. The INAIR Personal Sound Technology allows users to enjoy their favorite music and still interact in social settings, play sports, bicycle, jog or even drive a car. The INAIR Personal Sound Technology also has the ancillary benefit of reducing the damage that can be caused by standard headphones that project sound directly into the ear canal.

The INAIR Personal Sound Technology is currently in the patenting process and the Company plans to further protect this unique technology through a range of further patents, copyrights and trademarks.

Mad Catz plans to release its first product offerings using the INAIR Personal Sound Technology in calendar 2007.

About Mad Catz Interactive, Inc.

Mad Catz is a worldwide leader of innovative peripherals in the interactive entertainment industry. Mad Catz designs and markets a full range of accessories for video game systems and publishes video game software, including the industry leading GameShark brand of video game enhancements. Mad Catz has distribution through most leading retailers offering interactive entertainment products. Mad Catz has its operating headquarters in San Diego, California and offices in Canada, Europe and Asia. For additional information go to www.madcatz.com .