DG FastChannel(TM) to Power New Internet Products and Services with Viewpoint's Unicast Ad Solutions and Technology
07 Maggio 2007 - 10:05PM
Business Wire
DG FastChannel, Inc. (NASDAQ: DGIT), the leading provider of
digital media services to the advertising and broadcast industries,
announced today that it will launch its latest advertising industry
innovation by deploying a next-generation platform for managing and
delivering both traditional and interactive advertising. Through a
strategic partnership with Viewpoint Corporation (NASDAQ: VWPT), a
leading Internet marketing technology and ad serving company, DG
FastChannel will integrate its media services platform with
Viewpoint�s Unicast advertising solutions technology. To learn more
about the new partnership, please visit
www.unicast.com/dgfastchannel. DG FastChannel�s new Online Video
Internet partnership with Unicast will enable brands and
advertisers to turn their traditional and broadcast video assets
into cutting-edge display ads that are pre-certified across
thousands of websites. Concurrent with entering into the agreement,
DG FastChannel completed a $4.3 million private equity investment
in Viewpoint Corporation. Commenting on the transaction, Scott K.
Ginsburg, Chairman and CEO of DG FastChannel said, �DG
FastChannel�s commitment to bring �digital convergence� and an
integrated marketing solution to the advertising community for both
traditional and new media will be fully met through the strategic
partnership with Viewpoint. Advertisers and agencies will be
enabled to re-purpose their valuable broadcast video assets across
the Internet with rich media ads that are engaging, interactive and
visually stunning.� �We are honored to have been selected by DG
FastChannel as their strategic partner going forward,� said Patrick
Vogt, CEO of Viewpoint. �The inclusion of our rich media and video
technology into the vast DG FastChannel system will enable more
integrated advertising services and reporting for customers. Our
rich media products including our 3D Ad Suite, HD3D will provide DG
FastChannel�s customers with a robust creative palette for branding
and interacting with customers on the web. Moreover, our Unicast Ad
Platform will drive efficiencies in the creation, delivery and
reporting for rich media campaigns that will complement DG
FastChannel�s innovative digital media services. This will make it
very easy for agencies and advertisers to manage their campaigns in
real time. We look forward to begin working immediately with Scott
Ginsburg and his team.� Mr. Ginsburg added, �Through our agreement
with Viewpoint, DG FastChannel will be fully prepared to
participate in the rapidly growing Internet video display
advertising segment. It is widely acknowledged that the online
video advertising revolution has just begun, and that video
advertising will grow exponentially each year as higher quality
content becomes available online. DG FastChannel�s goal is to
increase the efficiencies with which our customers move their
valuable video assets online with proven next-generation tool sets
including state-of-the-art video ad production and ad serving
technologies. We�ll follow this process through with full reporting
matrixes for DG FastChannel�s brand and agency customers to provide
mathematical accountability on behalf of each advertiser�s media
spend.� DG FastChannel is the leading provider of workflow
solutions, digital media technology and delivery services to
America�s most esteemed brands. Its delivery network reaches over
21,000 television and radio stations, cable and TV networks, cable
outlets and newspapers. The partnership with Unicast will expand DG
FastChannel�s footprint to thousands of additional online media
outlets. DG FastChannel currently delivers millions of broadcast
and print ads annually and manages billions of dollars of mission
critical marketing assets for over 5,000 advertisers and agencies.
Through its Internet delivery channel, DG FastChannel will enter
the rich media and video online advertising market, which is
expected to grow from $225 million in 2005 to over $2.3 billion by
2010 (eMarketer). The company�s Online Video partnership with
Unicast will enable DG FastChannel�s customers to create unique
rich media ads with unparalleled visual quality, full motion
picture quality video and animation. The ad formats will be infused
with engaging branding elements that truly leverage the native
interactive qualities of the web. In addition to premium rich media
content, customers can readily address many emerging ad
technologies including mobile media advertising, advergaming and
InGame advertising. Viewpoint�s Unicast technology enables
publishers, advertisers, and their agencies to manage the complex
process of deploying online advertising campaigns. This process
includes creating the advertising assets, selecting the sites on
which the advertisements will be deployed, setting the campaign
parameters (ad rotation, the frequency with which an ad may be
deployed, and other metrics), deployment, and tracking of campaign
results. Unicast was designed to integrate creative assembly with
campaign management and detailed performance analysis. In addition,
Unicast has the broadest capabilities of any deployment system to
deliver ad formats and media types, including several different
video formats, 3D content, and all major �rich media� units.
Unicast is �technology agnostic,� delivering advertisements that
utilize all major technologies and formats. Unicast is a leader in
the delivery of Internet video advertisements that play
interstitially when a web surfer moves between pages at a web
publisher�s site. Mr. Ginsburg continued, �We spent the better part
of 12 months analyzing the best means of providing the advertising
industry�s most esteemed brands with opportunities to improve their
work flow processes and to fully leverage their heavy investments
in broadcast television ads to take full advantage of the new
Internet medium, Web 2.0. With its Unicast technology, Viewpoint
represents an ideal partner to complete our advertising services
platform offering both creative services and online ad-serving
capabilities for our clients. �As more and more eyeballs migrate to
the web, our customers want to repurpose video commercials --
created at great expense to the brands -- to ad formats
specifically tailored for the Internet. In doing so, we seek to
improve our customer�s return on their advertising investments, and
will accomplish this through a streamlined work flow,
next-generation technologies and a web-based solution set that
accommodates an advertising campaign from soup to nuts. Unicast has
an incredible technology platform with a full service offering of
video ad production, ad delivery and reporting products. We fully
expect that the Unicast advertising solutions will enable DG
FastChannel to offer our customers unique products that will be
game-changing in the advertising industry.� �The time and cost
efficiencies gained by streamlining the creative process and giving
advertisers and agencies the opportunity to use industry standard
workflow management tools -- digital asset management and order
management systems -- provided by DG FastChannel in its most basic
terms will simplify the advertising business,� continued Mr.
Ginsburg. �The full line of our Internet advertising solutions will
be available this month, and we are very excited about the
opportunity.� As part of the strategic alliance DG FastChannel has
purchased 10,750,000 Viewpoint Corporation common shares in a
private equity placement at a price of $0.40 per share, for an
aggregate amount of $4.3 million. In addition to the DG FastChannel
investment, Viewpoint has also entered into a private placement
agreement whereby Gruber & McBaine Capital Management and
affiliates, a long term Viewpoint investor, will purchase 2,500,000
Viewpoint Corporation common shares at a price of $0.40 per share,
for an aggregate amount of $1.0 million. Reflecting the DG
FastChannel and Gruber & McBaine investments, Viewpoint has
approximately 81,587,000 million shares of common stock outstanding
with DG FastChannel owning approximately 13% of the Company�s
outstanding shares. As part of the transaction, Viewpoint
Corporation will issue DG FastChannel and Gruber & McBaine
warrants to allow them to increase their equity stake in the
future. ThinkEquity Partners LLC acted as financial advisor to DG
FastChannel in the transaction. Merriman Curhan Ford & Co.
acted as financial advisor to Viewpoint Corporation in this
transaction. About DG FastChannel, Inc. DG FastChannel delivers the
standard in digital media services to the advertising, broadcast
and publishing industries. DG FastChannel�s innovative technology
solutions help advertisers and agencies work faster, smarter and
more competitively. Offering both the ubiquitous reach of multicast
satellite transmissions and the targeted capabilities of Internet
technologies, DG FastChannel has deployed a suite of business
intelligence and asset management tools and creative and production
resources designed specifically for the advertising community. DG
FastChannel�s next generation distribution platform includes high
definition electronic video distribution capabilities that
streamline the advertising process from point of ingest via digital
distribution to its edge-servers located at TV, cable and network
broadcasters. DG FastChannel�s online media distribution network
and suite of products and services are relied upon by more than
5,000 advertisers and agencies, and over 21,000 radio, television,
cable, network and print publishing destinations. DG FastChannel
recently agreed to acquire privately-held Pathfire, Inc. and the
advertising distribution operations of Point.360 (NASDAQ: PTSX).
For more information visit www.dgfastchannel.com. Safe Harbor for
Forward-Looking Statements Statements in this Press Release may
contain certain forward-looking statements relating to DG
FastChannel and its expectations for its relationship with
Viewpoint Corporation, the proposed acquisition of the Pathfire and
Point.360 advertising distribution operations. All statements
included in this Press Release concerning activities, events or
developments that DG FastChannel expects, believes or anticipates
will or may occur in the future are forward-looking statements.
Actual results could differ materially from the results discussed
in the forward-looking statements. Forward-looking statements are
based on current expectations and projections about future events
and involve known and unknown risks, uncertainties and other
factors that may cause actual results and performance to be
materially different from any future results or performance
expressed or implied by forward-looking statements, including the
following: the risk that either or both of the Pathfire and
Point.360 acquisitions will not close because of a failure to
satisfy one or more of the closing conditions; the risk that DG
FastChannel�s business will have been adversely impacted during the
pendency of the Pathfire or Point.360 acquisitions; the risk that
either or both of Pathfire�s and Point.360�s respective operations
will not be integrated successfully; and the risk that the expected
cost savings and other synergies from either or both of the
Pathfire and Point.360 acquisitions may not be fully realized,
realized at all or take longer to realize than anticipated.
Additional information on these and other risks, uncertainties and
factors is included in DG FastChannel�s Annual Report on Form 10-K,
Quarterly Reports on Form 10-Q, Current Reports on Form 8-K and
other documents filed with the SEC. About Viewpoint Viewpoint is a
leading Internet marketing technology company, offering Internet
marketing and online advertising solutions through the powerful
combination of its proprietary visualization technology and a full
range of campaign management services including TheStudio,
Viewpoint�s creative services group, Unicast, Viewpoint�s online
advertising group, and KeySearch, Viewpoint�s search engine
marketing consulting practice. Viewpoint's technology and services
are behind the online presence of some of the world's most esteemed
brands, including AOL, GE, Sony, and Toyota. More information on
Viewpoint can be found at www.viewpoint.com. The company has
approximately 100 employees principally at its headquarters in New
York City and in Los Angeles. Safe Harbor for Forward-Looking
Statements This press release contains "forward-looking" statements
as that term is defined in the Private Securities Litigation Reform
Act of 1995 and similar expressions that reflect Viewpoint's
current expectations about its future performance. These statements
and expressions are subject to risks, uncertainties and other
factors that could cause Viewpoint's actual performance to differ
materially from those expressed in, or implied by, these statements
and expressions. Such risks, uncertainties and factors include
those described in Viewpoint's filings and reports on file with the
Securities and Exchange Commission.
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