Melodeo Expands Presence in Asia; Signs Deal With Korean Wireless Operator KTF

SEATTLE, WA--(Marketwire - September 25, 2007) - Melodeo, Inc. today announced a licensing deal with Korean Telecom Freetel (KTF), a leading wireless service operator in South Korea, to distribute Melodeo's industry-leading synchronized Web and mobile entertainment technology.

Today's announcement comes on the heels of similar agreements with China Unicom Ltd, that country's second-largest wireless operator. This deal represents a significant expansion of Melodeo's ability to distribute its mobile entertainment applications across Asia, which contains some of the world's largest and most advanced wireless markets.

Through these agreements, the carriers obtained rights to distribute the mobile entertainment platform behind nuTsie, Melodeo's new online and mobile music application, and Mobilcast, the company's flagship mobile podcasting application, among other technologies.

"Asia represents a huge market opportunity for our applications and technologies, and there's no question that our agreement with Korean Telecom Freetel builds on our momentum there," said Jim Billmaier, chief executive officer of Melodeo. "Wireless operators across Asia are looking for new, sophisticated technologies that enable their users to maximize their mobile entertainment devices, and Melodeo helps them accomplish that."

For example, Billmaier said, China Unicom will use Melodeo's mobile technology to offer customers the ability to download full-length songs from Universal, Sony BMG Music Entertainment, Warner Music Group and EMI to their mobile phones. With more than 142 million subscribers, China Unicom provides wireless service for nearly one-third of China's 500 million mobile phone users.

Billmaier said Melodeo is pursuing additional opportunities in Asia by itself as well as through a joint venture affiliation between Melodeo and Japan-based mobile software company Access Co. Ltd., Sony BMG Music Entertainment and Warner Music Group. In 2006, Melodeo and Access Co. Ltd. partnered to form Access China Media Solutions, which is working to develop and distribute world-class solutions for delivering mobile music and multimedia entertainment to wireless customers throughout China and other Asia Pacific markets. The China Unicom deal represents the joint venture's first major deal with a Chinese wireless carrier.

Melodeo's nuTsie is a free online and mobile music service that allows anyone to listen to their iTunes music and playlists in hi-fi quality on their mobile phone or on the Web, to explore other users' playlists and to share music with friends.

Melodeo's Mobilcast service provides wireless customers with on-demand access to more than 150,000 music and entertainment programs, including radio shows from popular sources such as NPR, MSNBC and CNN, as well as thousands of independent programs from all over the world.

nuTsie and Mobilcast are both built on Melodeo's commercially proven, high-quality, low-bandwidth mobile streaming technology, which means consumers never have to hassle with synching their phone to a computer, downloading music and podcasts, or a limited selection of music due to lack of storage capacity on their phone.

About Melodeo, Inc.

Melodeo, Inc., a leader in synchronized web/mobile digital media delivery, is dedicated to bringing consumers the best selection of on-demand music, radio, podcast, and video programs for the Web and mobile phone. Through products such as nuTsieâ„¢ and Mobilcastâ„¢, Melodeo combines powerful content, a simple user interface, and access from any device, making it easy to enjoy and share entertainment with family and friends.

Web sites: http://www.nutsie.com [1] http://www.melodeo.com [2] http://www.mobilcast.com [3]

About Korean Telecom Freetel (KTF)

KTF (Korea Telecom Freetel) (KSE: 032390 [4]) (KOSPI: KTF) is a South Korean telecommunications firm, specializing in cellular, or mobile, phones.