LOUD Loudeye

Loudeye Announces 16 New Customer Contracts in Its Overpeer Piracy Protection Business Major Content Owners across the Music, Film/Video, Game and Software Industries Launch Strategies for Protecting Assets Against Peer-to-Peer Piracy SEATTLE, July 21 /PRNewswire-FirstCall/ -- Loudeye Corp. (NASDAQ:LOUD), the worldwide leader in business-to-business digital media solutions, today announced 16 new customer contracts for its Overpeer services with estimated value worth several million dollars over the life of the contracts. The new contracts more than double the current revenue run rate of Loudeye's Overpeer business compared to the revenue run rate prior to Loudeye's acquisition of Overpeer, Inc. "There are billions of illicit transactions occurring every month on peer-to-peer networks around the world and this number is growing weekly. That translates into billions of dollars of lost revenue and signals a critical demand for content owners to take immediate action to protect their content," said Jeff Cavins, Loudeye's president and chief executive officer. "These recent customer wins, and the overall demand we've seen for our anti-piracy solutions among new customers, are significant endorsements to the strength of our Overpeer service in protecting copyrighted works from widespread illicit sharing." Loudeye's new customers in its Overpeer business represent major content owners across the music, film/video, game and software industries. The addition of new customers, as well as the expansion of current contracts, demonstrates the growing importance and urgency in deploying anti-piracy strategies among content owners. In response to the increasing demand, Loudeye has taken a number of steps in past months to enhance the capabilities and reach of its piracy protection solutions including: -- Supporting all of the most popular P2P protocols. Loudeye's Overpeer solutions cover more than 90% of traffic on the major peer-to-peer networks worldwide -- Tripling the infrastructure supporting its Overpeer service, to provide the highest level of protection in the industry -- Introducing guaranteed anti-piracy performance, including Overpeer Titanium, the industry's first anti-piracy service level agreement (SLA) guaranteed at 99% effectiveness -- Expanding marketing information and data mining available on password-protected customer extranet, and -- Providing geographic targeting and language service for non-English titles "Expanded piracy protection is rapidly becoming an integrated part of content owners' digital distribution strategies," said Marc Morgenstern, vice president and general manager of Loudeye's digital media asset protection and promotion business. "While a digital distribution strategy provides cost efficient, inventory-free, global reach to maximize revenue potential, content owners must also ensure their valuable assets are not illegitimately traded. This is an increasingly common belief among existing and new customers, which is fueling the continued growth in our piracy protection and promotion business." Through its Overpeer service offering, Loudeye offers digital media asset protection and promotion services for content owners across the music, film/video, game and software industries. The Overpeer Titanium service provides a service level agreement (SLA) that guarantees 99% effectiveness in preventing the illicit sharing of digital media across peer-to-peer networks. More information is available at: http://www.loudeye.com/services/protection. Loudeye holds confidentiality agreements with customers in its piracy protection and promotion line of business, prohibiting the company from disclosing specific names of customers in this service area. About Loudeye Corp. Loudeye is the worldwide leader in business-to-business digital media solutions and the outsourcing provider of choice for companies looking to maximize the return on their digital media investment. Loudeye combines innovative products and services with the world's largest music archive and the industry's leading digital media infrastructure enabling partners to rapidly and cost effectively launch complete, customized digital media stores and services. For more information, visit http://www.loudeye.com/. Forward Looking Statements This release contains forward-looking information within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on current estimates and actual results may differ materially due to risks, including the estimated value of such contracts not being fully achieved due to breach, performance or timing of deployment and title release dates, the possibility of adverse changes in the market for distribution of digital audio and video that Loudeye serves; adverse or uncertain legal developments with respect to copyrights surrounding the creation and distribution of digital content; pricing pressures and other activities by competitors; the failure of Loudeye's hosting infrastructure; the complexity of Loudeye's services and delivery networks; any problems or failures in the structure, complexities or redundancies of Loudeye's network infrastructure; failures in third party telecommunication and network providers to provide required transmission capacity; lack of market acceptance for Loudeye's products and services; the possible delay in the adoption of digital media or related applications on the web in general; and other risks set forth in Loudeye's most recent Form 10-Q, Form 10-K and other SEC filings which are available through EDGAR at http://www.sec.gov/. Loudeye assumes no obligation to update the forward-looking statements. DATASOURCE: Loudeye Corp. CONTACT: media/press contact (U.S.), Candice Yusim, , or Karen DeMarco, , both of mPRm Public Relations, +1-323-933-3399, for Loudeye; or media/press contact (Europe), Simon Hill of Trimedia Communications UK, +44 (0)207 471 6826, or +44 (0)7776 251192, or , for Loudeye; or investors, Michael Dougherty of Loudeye, +1-206-832-4000, or Web site: http://www.loudeye.com/

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