HOMENEWSPress Release Subject Concludes a contract for a wireless Internet service joint enterprise with Fandango Korea Date 2001.10.10 - Securing the audio sources of the latest popular music by inkling the contract with the largest domestic recording agency - Standing out as the master CP of MOD/VOD of SK Telecom - Planning to expand contents enterprise to JetAudio and portable MP3 players Seoul on Oct. 10, 2001 -- COWON SYSTEMS signed a joint enterprise contract for the content service of wireless-Internet by SK Telecom with Fandango Korea (CEO: Kim Young-min www.fandangokorea.com) that has SM Entertainment, the largest domestic recording agency, as a majority shareholder. Under the deal, COWON will exclusively provide to SK Telecom customers various types of content such as games, chats as well as VOD/MOD (transmitting service of the Video On Demand/Music On Demand). The VOD/MOD files include audio source/graphics/motion pictures/voices/texts of Kangta, Moon Hee-jun, and SES who made contracts with Fandango Korea. COWON also stands out as a master CP (Content Provider) in the Multimedia Wireless-Internet Service of SK Telecom. Fandango Korea will provide digital multimedia content in the form of a single or an album for CD, videotape, text documents, pictures, PC files to COWON. As a result, COWON is set to secure much more content for its multimedia businesses. COWON will be responsible for the development, construction, and operation of the system and communications tools for the service provided and content processed. As for offline partnership, both companies agree to diversify businesses. For instance, the partnership will allow music videos or singles of the entertainers belonging to Fandango Korea to be reconfigured for COWON's integrated multimedia software `JetAudio' and portable MP3 player `iAudio'. COWON CEO Park Nam-gyu said, 'This contract means the combination of the best-quality wireless Internet, the multimedia technology, and the content. We are not going to provide just offline content to the mobile market. Instead, we are going to do our best to develop original content, which will fit in with the mobile environment. Kim Young-min, CEO of Fandango Korea, said, 'This contract means a lot to us since it has given us the opportunity to realize the digitalization of audio sources, a task that is very difficult to do for the existing recording agencies.' He also added, 'Finally Fandango became an agency for digital entertainment content.' Introduction of Company COWON is leading its business as a master CP for SK Telecom's premium wireless-Internet multimedia service. SK Telecom's wireless Internet service has about 70 content providers including discs/ movies/ entertainments/ onoff line medium. Among others, SK Telecom's MOD (Music On Demand) service deploys a wireless data transmission system and it also uses the system in order to prevent illegitimate transmission from one terminal to a PC or to another terminal. Thus, the illegal distribution of audio sources is completely blocked, and the copyright of every single audio source is protected. Fandango Korea is a Korea-Japan joint venture that is funded by capital of Japan Yoshimoto Kogyo and Avex Tracks, and SM Entertainment, Inc., the largest domestic recording agency, and Fandango Japan, a majority shareholder. The entertainers of Fandango Korea include Kangta, Moon Hee-jun, SES, Shinwha, Park Kyung-rim of SM Entertainment, as well as 60 top-class entertainers like DJ DOC, Brown Eyes, Song Seung-heon, Song Hyae-gyo, Jang Dong-geon. The investment is one way or the other. Introduces the wireless-Internet multimedia service of SK Telecom The commercialized multimedia service by SK Telecom since June 1st of this year is the service to watch movies or news and to listen to music with mobile phones in 23 cities across the nation, including Seoul and six metropolitan cities. For faster data transmissions, SK Telecom will commercialize cdma2000 1x EV-DO (Evolution DataOnly), which can transmit data at up to 2.4Mbps under ideal conditions, before May of next year. And this is about 10 times faster than cdma 2000 1x service which the Korean mobile service providers have been offering since October, 2000.