Chaoticom and Telenor Mobil Launch Mobile Music Service

Business Wire, July 13, 2004

ANDOVER, Mass. & OSLO, Norway -- Chaoticom Delivers High-Quality, Full -Track Download Service

Chaoticom, Inc. announced the launch of full-track mobile music download services for Telenor customers, powered by Chaoticom. Part of the Telenor djuice(TM) suite, the new direct-to-mobile music download service enables users to access original full tracks on a wide range of mobile phones running on the Telenor network. Subscribers can listen to their music without interfering with incoming call reception or other calling services.

Telenor joins Orange and Eurotel as the latest carrier to offer Chaoticom's mobile music service to its customers (see related release, "Chaoticom Powers Mobile Music Solution of Major European Carriers" issued separately today).

"Telenor djuice customers are among the most advanced mobile phone users in Europe, and they deserve the best mobile experience available," said Bathsheba J. Malsheen, president and CEO, Chaoticom. "Chaoticom delivers just that: A mobile music solution that provides customers with the best possible listening experience available over wireless networks today."

By leveraging the Chaoticom solution, djuice customers can browse, preview and download full-length, original music tracks directly to their mobile phones. While some competitive solutions only offer customers short previews of songs, Chaoticom gives the subscriber the ability to purchase the full track. This advanced capability is made possible through Chaoticom's revolutionary KOZ technology. The KOZ solution consumes significantly less battery power and requires less processing power than other solutions available today. Moreover, KOZ delivers progressive downloading; this means customers are listening to their music within seconds of beginning the download.

As part of delivering this service for Telenor, Chaoticom has also entered into partnerships with Warner Music International and BMG, which are among the labels providing music for the djuice service. The partnerships with Warner and BMG marks the latest in a series of steps by Chaoticom to provide customers with the widest possible selection of music choices across all the major music labels.

About Chaoticom

Chaoticom, Inc. is a mobile media solution provider with a revolutionary compression technology that delivers the industry's highest quality audio experience over today's wireless networks. Chaoticom's turnkey solutions are enabling mobile operators to offer their own customers a compelling music experience using their mobile phones, while increasing their own average revenue per customer.

About Telenor

Telenor Mobil is a leading provider of mobile voice and value-added services in Scandinavia, Central Eastern Europe and South-East Asia, with operations in 12 countries.

djuice(R) is a mobile subscription for young people. djuice, a registered trademark of Telenor Mobil, is currently operating in Norway, Sweden and Hungary. Norway djuice has more than 600,000 subscribers.