SEATTLE, Jan. 2, 2005 (PRIMEZONE) -- NetMusic Entertainment (Pink Sheets:NTMT) announced today that it has rescinded its offer to make a significant investment in Seattle-based Scream Networks. In late November of 2004 the company announced that it anticipated making a strategic investment in Scream Networks and would utilize the Scream Network's VideoScream technology as the backbone of its video on demand (VOD) offering.
"In the course of final diligence on the Scream Networks deal, we came to the conclusion that an investment in Scream at this time was imprudent to our company and its shareholders, " says Glen Starchman, NetMusic Entertainment's CEO. "We have since found a technology vendor that offers us a product more in line with the needs of our VOD offering without the additional burden of being a significant shareholder in the business of Scream. NetMusic Entertainment is still very much committed to a VOD offering in the first quarter of 2005 and has every confidence that we will make that launch successfully."
About NetMusic Entertainment Corporation:
NetMusic Entertainment (http://www.netmusic.com/corp) is a global digital media company focused on providing consumers entertainment on their own terms. The company offers digital music downloads, digital jukeboxes, video-on-demand, and online video rental services across the globe.
NetMusic's flagship website (http://www.netmusic.com), first went into operation in 1995 as a directory of music-related information. In 2004, the company launched an enhanced version of the site focused on digital distribution of music. Later in 2004, the company entered the digital jukebox marketplace via a merger with Ultimate Jukebox, Inc.
This press release may contain certain forward-looking statements within the meaning of Section 27A of the Securities and Exchange Act of 1933, as amended, and Section 21E of the Securities and Exchange Act of 1934, as amended, which are intended to be covered by the safe harbors created thereby. Investors are cautioned that all forward-looking statements involve risks and uncertainties. Although NetMusic Entertainment Corporation believes that the assumptions underlying the forward-looking statements contained herein are reasonable, any assumption could be inaccurate, and therefore, there can be no assurance that the forward-looking statements included in this press release will prove to be accurate. In light of the significant uncertainties inherent in the forward-looking statements included herein, the inclusion should not be regarded as a representation by NetMusic Entertainment Corporation or any other person that the objective and plans of NetMusic Entertainment Corporation will be achieved.