Company Press Release

iClips Launches Beta of Free Streaming Video Messaging Web Site

New Site Enables Web Users to Send Streaming Video Messages Through Email and Post in Web Communities at No Charge

NEW YORK, April 18 /PRNewswire/ -- iClips Inc. has announced the beta launch of its free streaming video messaging service. Available on the Internet at http://www.iclips.com, the beta Web site allows Web users to create and share video messages with family, friends and associates using email. iClips also gives Web users the ability to add videos to any html-compliant community site on the Web, all at no charge. Web users have free access to iClips' multi-feature Web site and the iClips Producer, a proprietary application that speeds and simplifies the creation of streaming video messages. iClips' unique distribution methodology generates high volumes of site traffic and drives viral growth.

Prior to iClips, streaming video was only available to large companies willing to bear the costs of buying and managing sophisticated servers and complex bandwidth issues. iClips manages all of the server and technology issues ``behind the scenes,'' and has developed tools to simplify the streaming video capture and upload process. Now, streaming video technology is available to anyone with a PC and a video capture device.

Using a PC camera or camcorder, a user records a video message, which is stored on and streamed from the iClips Web site. Each video message is assigned a unique location, or link, and distributed according to the sender's instructions. For personal communication, message recipients see the video message by clicking on the link that is emailed to them. For mass communication, senders can add their video messages to Web communities by posting the link to auction sites, online classifieds, message boards, personal homepages, and thousands of other community destinations. In this way, targeted video messages can be seen by thousands of users, and the messages can be forwarded to other like-minded recipients in a viral distribution pattern. Moreover, every video message draws recipients to sign up, so that they can begin sending their own messages. An estimated 7.5 million Web users currently can create an iClips video message, which can easily be seen by any of the estimated 73 million people with RealPlayer who are connected to the Internet at 28.8kb or higher.

According to Forrester Research, by 2002, 30% of US online households will actively use rich media to communicate and, by 2004, video email will have replaced text messages as the dominant online communication format. By 2005, text-based email will seem as archaic as black-and-white TV, and 92% of online users will be communicating with rich media.

``Interactive communications account for the lion's share of activity on the Internet,'' said iClips CEO, Michael Diamant, ``virtually all of which are, obviously, in text form at present. Graphic enhancements to text communications -- like greeting cards -- are rapidly growing in popularity, but they're really just a stepping stone to full, rich media interactivity, like streaming video, which hasn't been available on a practical basis for individuals to use -- until iClips. iClips empowers web users with a free, easy-to-use service that dramatically improves their ability to communicate by incorporating streaming video with text. It could be a video message to your family, a video card to a friend, a video posting about the item you're offering for auction or any message you like that's best said with video. iClips let's you send streaming video quickly, easily and for free; without lengthy downloads and without taking up space on your hard drive -- or your recipient's.''

``The popularity and use of rich media like streaming video is growing at an incredibly rapid pace,'' Diamant continued. ``We're accelerating this trend by giving this technology freely to the masses, empowering Web users with tools that make the creation, storage and distribution of streaming video files incredibly easy.''

About the Company

iClips is headed by founder and Chief Executive Officer Michael Diamant, who most recently served as founder and President of T3 Media, Inc., a leading New York interactive agency. iClips is a privately-held New York corporation headquartered at 584 Broadway, Suite 610, New York, NY 10012. For more information visit the website: http://www.iclips.com or contact iClips at 212-625-8444 or at info@iclips.com.