1. e.Digital and Avid have reached a settlement in principal of their dispute and they

are negotiating the final terms of a settlement agreement. e.Digital and Avid expect to finalize

the settlement agreement and file a joint dismissal of their claims and counter-claims against

each other by March 16, 2009.

2. In light of the impending dismissal of e.Digital’s and Avid’s claims and counterclaims

against each other, a stay is necessary to avoid the parties expending unnecessary costs

and resources.

3. The granting of this Motion will not prejudice any party and is being sought in

good faith and not for the purpose of delay or any other improper purpose.

WHEREFORE, Plaintiff e.Digital Corporation and Defendant Avid Technology, Inc.

respectfully request that the Court grant their Joint Motion for Partial Stay and enter the

proposed order attached hereto.

Respectfully and jointly submitted this 6th day of February, 2009,