MediaG3, Inc. Signs a Partnership Agreement with Beijing Digital Media Corporation

2008-07-25 15:55:03 -

- MediaG3, Inc. (OTCBB: MDGC), a leading developer for broadband wireless product and interactive rich-media content delivery applications, today announced that it has entered into a partnership agreement with Beijing Digital Media Corporation to provide broadband wireless applications and services for interactive digital TV and Internet access.

Beijing Digital Media Corporation is a joint venture among China SARFT, China Aerospace New World and Zhong Guang Cable and Information Technologies (hence also referred to as "CCIT"). This Partnership Agreement between MediaG3 and CCIT is the first phase of cooperation for development, technology license, application deployment and information services for tens of millions CCIT and other digital cable TV/Internet service subscribers.

"This partnership opens the door for MediaG3 in China's digital wireless and mobile application market," said Gordon Guo, General Manager of MediaG3 China Market. "The partnership not only establishes a platform for MediaG3 to collaborate with CCIT's technologies and utilize its well established distribution channels, but also serves as a foundation for MediaG3 to participate in CCIT as a joint venture partner in the near future," added Joseph Anzalone, Sr. VP of Operations of MediaG3.

"We look forward to working with MediaG3 and its subsidiary to rapidly expand applications and services to our growing digital cable and mobile subscribers and to achieve mutual financial success," said Peiyu Guo, General Manager of CCIT.

About MediaG3, Inc.

MediaG3, Inc. develops and markets broadband wireless technology products and online applications that empower interactive content delivery to today's fixed and mobile consumers. With a well-defined business model of "U.S. Technologies, China Market," MediaG3 is developing its integrated business and product lines to offer the best solutions for broadband wireless infrastructures, online and mobile rich-media content delivery. MediaG3's three complementary products and applications, mg3 wireless, mg3 mobile and mg3 web 2.0, generate incremental revenue both independently and collectively. MediaG3 was formed in December 2005, and has two wholly owned subsidiaries in Shanghai China. MediaG3 is based in San Jose, California with operations in Santa Clara, California, Shanghai and Shenzhen, China. For more information on the company, please visit www.mediag3.com.

About the ABS and SARFT

Academy of Broadcast Science (ABS) is led directly by China State Administration of Radio, Film and Television (SARFT). Established in 1958, ABS is currently undertaking over ten national research projects including HDTV, DAB, broadband cable integrated information service network, DVB conditional receiving system, DBS (Direct Broadcast Satellite) and mobile multimedia standards, as well as many other ministerial research projects. For 50 years, ABS has always been advanced in broadcasting science and technology field in China and is also a leading edge international broadcast science and technology institute.

About China Aerospace New World

China Aerospace Corporation is a large State Owned Enterprises (SOE's) under direct supervision of the State Council. The former China Aerospace Corporation, with some 270,000 employees, divided into the China Aerospace Science and Technology Corporation (CASC) and the China Aerospace Machinery and Electronics Corporation (CAMEC). CASC also constitutes the Government-authorized investment organization under the direct supervision of the State Council, with a registered capital of RMB 9 billion yuan.

About Zhong Guang Cable

Zhong Guang Cable, also called China Cable Networks, currently has over 2.8 million subscribers in fourteen markets cross five provinces. Zhong Guang Cable has 2.3 billion yuan in assets and 500 million yuan in revenue. The company is expanding into interactive TV and broadband wireless market.

Forward-looking Statements:

Forward-looking statements such as "believe," "expect," "May," "plan," "intend," etc., contained herein are within the meaning of the Private Securities Litigation Reform Act of 1995. These statements involve risks and uncertainties and are based on the Company's beliefs and assumptions it made using information currently available to it and which reflect current views concerning those future events. Actual results could differ materially. Factors that could cause results to differ materially from those expressed or implied by such forward-looking statements include, but are not limited to, the volatility of trading markets, the Company's limited operating history, the inability to obtain additional capital, the Company's unproven business model, the risks of doing business in China, and other factors discussed in filings made by the Company with the Securities and Exchange Commission.

Investor Relations:
Adam Friedman Associates
Adam Friedman, 212-981-2529 ext. 18
adam@adam-friedman.com