EXHIBIT 99.1


EUPHONIX RECEIVES NEW BORROWING FACILITY OF UP TO $6.0 MILLION

RESTRUCTURING OF DEBT EXTENDS MATURITY DATE TO DECEMBER 2003

PALO ALTO, CA, November 29, 2001 /PRNewswire/--Euphonix, Inc. (OTC Bulletin
Board: EUPH.OB - news) today announced that it has secured a new borrowing
facility of up to $6.0 million. The facility will be used to support investment
in new product development and future operations. The facility was obtained from
Dieter Meier and Walter Bosch, who are Directors of the Company and major
investors and creditors of the Company. In addition, the Company has
restructured its existing promissory notes, which included extending the
maturity dates to December 2003.

The borrowing facility is in the form of a secured promissory note that is
convertible into the Company's common stock, with warrant coverage in part based
on the amount of the funds borrowed by the Company. The Company has received
funds of $1 million from Messrs. Meier and Bosch in September and October of
2001, as initial advances under the new financing arrangement, leaving a total
of $5 million remaining under the secured promissory note.

In connection with the new financing arrangement, the Company and the holders of
all of the Company's existing convertible promissory notes have agreed to amend
the existing promissory notes to, among other things, extend the maturity dates
of the notes to December 31, 2003, and reduce the conversion rate of the notes
to equal the average of the closing price per share for the three trading days
immediately preceding the initial closing of this financing.

The Company will file the material financing documents as exhibits to a Current
Report on Form 8-K with the Securities and Exchange Commission.

This press release contains forward-looking statements concerning the Company's
ability to draw down the full $6.0 million under the lending arrangement. The
Company may not be able to receive the full $6.0 million if it is unable to
satisfy conditions to the lending at the time of each advance. These conditions
include the following: the material accuracy of the representations and
warranties in the note; the absence of any law, order or rule prohibiting the
transactions contemplated by the Note; the absence of any outstanding events of
default; the ability of the Company to certify that there are no reasonably
expected events of default; and the absence of any liens senior to that created
by the note (except those liens expressly permitted by the note). If the Company
cannot satisfy the conditions to the lending at the time of each advance, the
investors will not be obligated to make such an advance, and the Company's
business will be significantly harmed.

About Euphonix

Based in Palo Alto, California, Euphonix develops, manufactures and supports
networked digital audio systems for film/post production, broadcast, music,
sound reinforcement and multimedia applications. In addition, Euphonix is
developing software, hardware and support services for Internet-enabled audio
production throughout the entertainment industry.

Founded in 1988, Euphonix has delivered more large format digital-control mixing
consoles worldwide than any other manufacturer and is the first professional
console manufacturer to deliver the combination of a 24bit 96kHz audio console
and 48 track multi-track recorder to the industry. For more information call
(650) 855-0400 or visit the Euphonix Web Site at http://www.euphonix.com.