PRESS RELEASEBRILLIANT DIGITAL ENTERTAINMENT PURCHASES JOLTID SHARES OF ALTNET, INC. STOCK
WOODLAND HILLS, Calif.-- June 6, 2003--Brilliant Digital Entertainment, Inc.
(AMEX:BDE - NEWS) announced today it has purchased from Joltid Ltd., 1,102,500
shares of Common Stock of Altnet, Inc., Brilliant's majority-owned and
controlled subsidiary which operates the Altnet secure content distribution
network. As a result of the purchase, Brilliant now owns 75.5% of the
outstanding voting securities of Altnet. For the Altnet shares, Brilliant issued
to Joltid 7,000,000 shares of Brilliant's Common Stock.
Brilliant also acquired from Altnet a two year option to purchase Joltid's
remaining 1,102,500 shares of Altnet Common Stock for an exercise price per
share of 0.1575 newly issued shares of Brilliant's Common Stock, for an
aggregate exercise price of 7,000,000 shares of Brilliant's Common Stock for all
of Joltid's remaining Altnet shares. For this option, Brilliant issued to Joltid
1,000,000 shares of Brilliant Common Stock. Joltid now owns 8,000,000 shares of
Brilliant's Common Stock.
Brilliant and/or Altnet also entered into the following additional agreements
o Software Licensing Agreement, whereby Altnet has obtained from Joltid a
non-exclusive, perpetual, irrevocable, transferable, worldwide license
to use rights to Joltid's peer-to-peer based secure content
distribution system, commonly referred to as PeerEnabler. The license
contemplates Altnet co-owning the rights to the application based upon
o Product Sales Agreement, whereby Joltid has appointed Altnet as a
non-exclusive sales agent of Joltid for the sale, license, and other
commercial exploitation of the PeerEnabler system anywhere in the world
to Joltid-approved licensees.
Altnet is the first peer-to-peer network created to give consumers easy access
to secure content that originates from content owners. The company's TopSearch
product integrates with applications and web sites via the Internet allowing
content owners to purchase keyword search terms that direct users to their
secure content. Altnet also provides cost-effective bandwidth functions for
enterprise customers and content owners. Altnet is a subsidiary of Brilliant
Digital Entertainment (AMEX:BDE - NEWS).
About Brilliant Digital Entertainment
Brilliant Digital Entertainment, Inc. (AMEX:BDE - NEWS) is a developer of 3D
rich media advertising and content creation technologies for the Internet. It
sells its b3d Studio content creation and authoring toolset to enable the
creation and delivery of interactive, streaming, real-time 3D graphics over the
Internet, and licenses its ad serving technology to the content and advertising
communities. The b3d Studio toolset is targeted for use by studios, production
houses, web content suppliers and advertising agencies to produce entertainment,
advertising and music content for consumers distributed over the Internet.
Brilliant also licenses its Brilliant Banner ad serving technology to the
web-based advertising industry. Find out more at www.brilliantdigital.com.
Joltid is a world leader in peer-to-peer technologies for content distributors,
Internet Service Providers, web sites and software developers. Joltid was
founded by the original Kazaa team who created the world's most downloaded
software and invented the modern peer-to-peer network architecture. Joltid
PeerEnabler is a secure peer-to-peer based file distribution system which
enables web sites and application developers to distribute large files while
benefiting from the cost advantages and scalability of peer-to-peer
technologies. PeerCache enables Internet Service Providers to optimize traffic
caused by peer-to-peer applications. Find out more at www.joltid.com.
Brilliant Digital Entertainment
Robin Gore, 818/615-1500 x528 (investor relations)
mPRm Public Relations for Altnet
Julie Gladders/Karen DeMarco, 323/933-3399
firstname.lastname@example.org / email@example.com