HandHeld Entertainment Announces Content Licensing Agreement with StoryPIPE.com; StoryPIPE Agreement to Provide a Wave of Indie Film Content to ZVUE Users

SAN FRANCISCO & SEATTLE--(BUSINESS WIRE)--April 18, 2005--HandHeld Entertainment(TM) today announced it has signed a content licensing agreement with StoryPIPE.com(TM) to bring high-quality, independent films to the growing number of ZVUE(TM) users around the world.

HandHeld Entertainment`s ZVUE allows digital media lovers to take their favorite video, audio and picture content on the go. About the size of a pack of playing cards, the ZVUE plays full-color video and pictures and clear audio sound that gives users a robust, on-the-go digital experience when coupled with downloadable content from the HandHeld Entertainment Web site.

``The future between StoryPIPE and the HandHeld Entertainment is very promising,`` said Jeffrey D. Oscodar, chief executive officer for HandHeld Entertainment. ``Independent filmmakers have always played a special role in the entertainment business, and now StoryPIPE`s filmmakers will be able to get their films out to all of the ZVUE users as well.``

As a result of the HandHeld`s content licensing agreement with StoryPIPE, ZVUE users will have access to downloadable content from StoryPIPE`s independent filmmakers directly on the ZVUE Web site (http://www.zvue.com/downloads/storypipe.html).

StoryPIPE.com was founded in 2004 by independent filmmakers Yuse Turner and Krk Nordenstrom, because they felt typical independent film sites were irritatingly clogged with ads that had to be watched before a viewer could see the films. This made it harder for filmmakers to achieve the results they were looking for. Turner and Nordenstrom created StoryPIPE in response to provide filmmakers a Web Site that audiences find engaging and seamless.

``The ZVUE provides indie film lovers a great way to take their favorite StoryPIPE films with them wherever the go,`` Turner said. ``And even better is the fact that StoryPIPE films aren`t bogged down with annoying advertisements that clog the user experience.``

HandHeld Entertainment is featuring the independent films to meet the demand of users in addition to the quality of films and artists found on www.StoryPIPE.com. Several StoryPIPE filmmakers and their productions have participated in the most popular independent films festivals held, including the Manhattan Short Film Festival and the New York International Independent Film Festival.

About HandHeld Entertainment

Formed in February 2003, HandHeld Entertainment is a complete end-to-end solution provider in the portable digital media industry. The ZVUE personal media player allows users to access digital media on the go, including high-quality video content, music and digital photos. ZVUE users can download thousands of media titles and learn valuable technology trends via the HandHeld Web site. For more information, visit www.hheld.com, www.zvue.com, or call (415) 495-6470.

About StoryPIPE.com

StoryPIPE.com was formed in 2004 to introduce independent film and music content to international audiences. For more information visit www.storypipe.com.

HandHeld, HandHeld Entertainment and ZVUE are each trademarks of HandHeld Entertainment, Inc.