Loudeye Corp.

O2 Germany Launches Mobile Music Store Powered by Nokia and Loudeye

    Seattle and Espoo, Finland (ots/PRNewswire) -

    - O2 Music Store Enables Full Song Music Downloads Over Mobile Networks

    Loudeye Corp. (Nasdaq: LOUD), a worldwide leader in business-to-business digital media solutions, together with O2 Germany and Nokia (NYSE: NOK), today announced the official launch of the O2 Germany Music Store. Built on the Nokia and Loudeye mobile music platform, the O2 Germany Music Store allows users to browse, search, sample, and download full-length songs directly to their mobile device as well as their PC. The store can be viewed at: www.o2music.de.

    With more than 8 million subscribers, O2 Germany, which is part of the European O2 Group, is one of the fastest growing mobile operators in Germany and the first operator to deploy the mobile music solution from Loudeye and Nokia. Earlier this year, Loudeye and Nokia teamed to deliver a mobile music solution for operators and other mobile companies to launch customized mobile music services under their own brand. The platform developed by the two companies provides a compelling model for consumer music downloading via mobile networks, by enabling simultaneous full song downloads both to a PC where it is stored in a locker for download at a later time and instantly over the air to consumer's mobile device.

    "Nearly everyone loves music of some kind, and mobile phones and carrier networks are perhaps the most important emerging channel for music as these services can be so personalized, easy to use and ubiquitous. Carrier-branded music storefronts allow operators to stay 'cool' in the eyes of their customers, generate additional revenues and reduce churn.  Music and mobile  phones now go hand in hand -- literally -- and once customers start getting  their favorite songs delivered over the air they may never look the same way  at their phones again," according to Senior Analyst Lewis Ward of IDC, a leading provider of global IT research and advice.

    The O2 Germany Music Store uses a unique dual-delivery model allowing users to browse, search, listen, and download full-length songs over-the-air to their mobile device as well as to a personal computer. The service supports progressive playback that enables consumers to listen to the song while it is downloading. Music purchases are billed directly to a user's existing O2 Germany monthly statement. Additionally, customers can use their personal computer to access the O2 music shop via the Internet and download songs to their PC.

    "The launch of the O2 Germany music store defines a new era in the rich media experiences consumers can now expect on their mobile handset," said Lutz Schuler, member of the board of O2 Germany. "We've unlocked new potential in the mobile music marketplace and combined that with a PC experience that helps consumers access their music collection in a variety of different ways according to their personal preferences. Nokia and Loudeye have been critical partners in developing the cutting edge features and functionality that set this store apart from anything else in the industry and we look forward to its introduction today into the German marketplace."

    O2 Germany also offers a mobile music search and recognition service called "Spy & Buy," which allows customers to discover the name of the artist or song playing on the radio simply by holding their handset to the music. The Music Store announced today will be seamlessly integrated within the "Spy & Buy" service to link the song recognition with the music store, making it a near instant experience for consumers to identify and purchase a song all from the device.

    "Mobile music is becoming an essential service for mobile operators to offer to their customers and we are pleased to be working with Loudeye to deliver an innovative mobile music solution for O2 Germany," said Jonas Geust, Vice President, Music at Nokia. "This service gives consumers access to their music anytime and anywhere."

    "Earlier this year we announced, together with Nokia, that we would create mobile music services that enable consumers to access media on their handset. Through the launch of the O2 Germany store today, we have delivered on that promise," said Mike Brochu, Loudeye's president and chief executive officer. "We are at a key inflection point in the industry. Handsets can support rich media content on a more widespread level with a compelling user interface and 3G networks are proliferating across Europe and Asia capable of delivering media at high rates. Today we are launching our first live and at scale, fully functional music store that can be deployed in this environment and leverages these key industry trends."

    About Loudeye Corp.

    Loudeye is a 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 digital music archive, a broad catalog of licensed digital music 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 www.loudeye.com.

    O2 (Germany) GmbH & Co. OHG, a subsidiary of O2 plc, offers its post-pay and pre-pay customers almost blanket GSM-coverage through the own mobile communications network and a roaming agreement with T-Mobile. Moreover the company provides innovative mobile data services on the basis of GPRS and UMTS technology. O2 plc has 24.6 million customers in the UK, Ireland and Germany. http://www.o2.com/de .

    About Nokia

    Nokia is a world leader in mobile communications, driving the growth and sustainability of the broader mobility industry. Nokia connects people to each other and the information that matters to them with easy-to-use and innovative products like mobile phones, devices and solutions for imaging, games, media and businesses. Nokia provides equipment, solutions and services for network operators and corporations. www.nokia.com.

    Forward Looking Statements

    This release contains forward-looking information within the meaning of the Private Securities Litigation Reform Act of 1995. The forward-looking statements in this release are based on current estimates and Loudeye's actual results may differ materially due to risks, including challenges of new technologies such as over-the air and dual-delivery of content; possible adverse changes in the market for distribution of digital audio and video; adverse or uncertain legal developments with respect to copyrights surrounding the creation and distribution of digital content; pricing pressures and other activities by our competitors; failure of Loudeye's hosting infrastructure; 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 www.sec.gov. These are among the primary risks we foresee at the present time. Loudeye assumes no obligation to update the forward-looking statements.

      /Web site:  http://www.nokia.com /
      /Web site:  http://www.o2.com/de /
      /Web site:  http://www.loudeye.com /

ots Originaltext: Loudeye Corp.
Im Internet recherchierbar: http://www.presseportal.ch

Contact:
Karen DeMarco of mPRm Public Relations, +1-323-933-3399, or
kdemarco@mprm.com, for Loudeye Corp.; or Chris Owen of Trimedia
Communications UK, +44-(0)-2070-471-6851, or +44- (0)-7787-122-800,
or chris.owen@trimediauk.com for Loudeye Corp.; or Michael Dougherty,
Investor Relations of Loudeye Corp., +1-206-832-4000, or
ir@loudeye.com; or Roland Kuntze of O2 Germany, +089-24-42-12-14 or
fax, +089-24-42-12-18, or roland.kuntze@o2.com; or Nokia
Communications, +358-7180-34900, or Multimedia Communications,
+358-7180-45667 of Nokia



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