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CinemaNow Launches Worldwide Network to Establish Localized Video-On-Demand Services Around the Globe

Dec 9, 2002 12:00 PM


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CinemaNow Worldwide Network Partners Include Leading Broadband Providers Throughout Europe, Asia and Latin America

MARINA DEL REY, Calif. - CinemaNow, Inc., the global leader in IP-based video-on-demand distribution and technology, announced the creation of the CinemaNow Worldwide Network, a global consortium of Web sites set up in conjunction with telecommunication companies, Internet service providers and media companies, in an effort to provide localized video-on-demand (VOD) and subscription video-on-demand (SVOD) services in specified territories throughout the world. CinemaNow's PatchBay technology serves as a centralized distribution, management and security system for the network's content.

Agreements being announced today include content syndication, technology licensing and marketing deals with leading broadband delivery partners including British Telecom in the United Kingdom, Freeserve, the Wanadoo Group's ISP-Portal in the UK, GOL Philippines in the Philippines, NextGentTel in Norway, Purocine in Latin America and TV2 Interaktiv in Norway. Previously announced international licensors (Chunghwa Telecom in Taiwan and Walker Asia in Singapore) are also included as part of the network.

CinemaNow provides its partners with content that is available for a particular territory (or territories), as well as customized technical distribution and content management via the company's proprietary video-on-demand technology solution, PatchBay. Among the services being provided by PatchBay are digital and territorial rights protection, user profiling, comprehensive pay-per-view services and detailed report generation. CinemaNow's broadband partners in turn provide customized localization and marketing for the individual services.

"With broadband adoption rates continuing to show tremendous growth throughout Asia and Europe, CinemaNow's Worldwide Network helps telecommunications and media companies to quickly build video-on-demand and subscription video-on-demand businesses by leveraging our time-tested PatchBay technology," said Bruce Eisen, executive vice president of CinemaNow. "We see international expansion as a real growth area and expect to add several more partners to our network in the coming months."

"Freeserve recognizes that Internet video-on-demand is an essential part in the growth of broadband," said Jon Gisby, Freeserve's Managing Director of Portals. "Working with CinemaNow allows us to quickly establish a valuable service that we can offer to our growing number of broadband users throughout Freeserve, while increasing our per-subscriber revenues."

"Broadband's growth in Norway has continued to take off at a staggering pace," said Gunnar Stavrum, CEO of TV 2 Interaktiv AS Norway. "Video-on-demand is a distribution platform that we believe has tremendous revenue potential and we are thrilled to be part of CinemaNow's Worldwide Network.

About CinemaNow

CinemaNow, Inc. (www.cinemanow.com) is the world leader in Internet-based video-on-demand (VOD) and subscription video-on-demand (SVOD) distribution and technology. CinemaNow has also developed PatchBay, a proprietary video-on-demand content distribution and management system which runs the CinemaNow Web site, and is available as a licensable technology solution. Current PatchBay licensors include such diverse partners as Walker Asia and Chunghwa Telecom (film distribution), NHL.com (sports programming), CenterSpan (peer-to-peer network) and Arescom (hotel broadband provider). CinemaNow is majority owned by Lions Gate Entertainment (AMEX: LGF).

About Freeserve (www.freeserve.com)

Freeserve is the leading ISP-portal with an integrated offering of UK-focused content, e-commerce and services and Internet access. Freeserve has 2.553 million active registered accounts and 4.59 million* unique users. In February 2002, Freeserve was named Best National Consumer ISP by the UK's Internet Service Provider Association and in September 2002, Freeserve was named Best Unmetered ISP for its AnyTime product by Practical Internet magazine. In October 2002, Freeserve was named Best Internet Service Provider and Best Web Hosting Provider by readers of Computeractive magazine.

Freeserve is part of Wanadoo SA, a leading European online media and services company which has as its major shareholder France Telecom, one of the world's leading telecommunications companies. Wanadoo SA is a leading Internet media services provider in France, the UK and a co-leader in Spain and is also present in the Netherlands and Belgium. Including Freeserve, Wanadoo S.A has 8 million active registered users and 20 million unique visitors per month to its portals. Freeserve was launched in September 1998 as part of Dixons, Europe's leading consumer electronics retailer. Dixons Group remains a minority shareholder in Wanadoo S.A and Freeserve distributes its access software in the UK through Dixons' network of over 1,100 Dixons, Currys, PC World and The Link stores, plus Orange and MVC stores nationwide.

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