TORONTO and NEW YORK, March 23 /CNW/ - Itibiti Systems Inc. ("itiBiti"), a wholly owned division of Intertainment Media Inc. ("Intertainment") (TSXV:INT) today announced that it has signed an agreement with a major US online distribution partner, servicing leading search engines, security and application programmers, to guarantee installation of up to 5 Million North American itiBiti private label branded applications on consumer computer desktops ("users") in 2010. BlackTorch Capital LLC, itiBiti's US fiscal advisors, were instrumental in the introduction, structuring, and negotiation of this partnership.
This partnership allows itiBiti to deliver a known quantity of users on behalf of a revenue generating brand client. The agreement provides for the escalation of up to 1 million users per month throughout 2010, while certain details remain confidential, itiBiti reserves the option to increase users beyond the initial targets. The 5 Million users will provide additional support to itiBiti's client marketing efforts, increasing the overall aggregate number of users across the itiBiti network. Additionally, itiBiti has begun accelerating new client launches to allow partner brands to take full advantage of this opportunity.
itiBiti commercially launched in late November 2009 and user "on time", defined as the number of minutes the application is resident and able to engage with the user, has continued to rise. In February, average user "on time" was up to 2,125 minutes per month per brand, or 76 minutes per day, with engagement activity running as much as 20%.
itiBiti derives revenue from advertising and data analytics services based on user engagement; the effect of 5 Million users provided by this agreement is expected to have a significant impact on revenues to itiBiti and its clients.
"This partnership provides the opportunity for itiBiti to accelerate its client rollout plans, expedite the time lines for increasing users and leverage viral activities allowing major brands to establish a social media foothold using itiBiti's feature rich, revenue driven, branded environment," said David Lucatch, President - Itibiti Systems Inc. / CEO - Intertainment Media Inc. "itiBiti is working diligently to deliver tangible client results, providing brands with opportunities to strengthen relationship value with users. As most social media platforms are slow to monetize the user's online experience, itiBiti and brand clients are experiencing immediate, and accretive, revenue generation, at premium market rates."
The 5 Million users also provide substantive leverage allowing itiBiti to introduce mobile applications for popular smartphones and tablets delivering integration opportunities across the entire online value chain.
itiBiti is a revolutionary, instant revenue driven, Rich Internet Application (RIA) providing global brands with the unprecedented ability to power their marketing efforts within a unique, private-label social media platform. itiBiti offers users a rich suite of services in combination with brand client initiatives, and the power of Microsoft Live services. Soon, itiBiti Mobile will provide users of major private label branded itiBiti platforms with the ability to continue their user engagement experience with their mobile smartphones and tablet computing devices.
Itibiti Systems Inc. has an agreement with Highway Entertainment to represent itiBiti to clients of Omnicom Media Group worldwide. Omnicom Media Group ("OMG") is the media services division of Omnicom Group Inc. (NYSE: OMC), the leading global advertising, marketing and corporate communications company, providing services to over 5,000 clients in more than 100 countries.
In November 2009, itiBiti launched the NBC.com Communicator, its first private label itiBiti brand program.
Itibiti Systems is a wholly owned subsidiary of Intertainment Media Inc., a Microsoft Global Agency partner. With offices in New York, Los Angeles, San Mateo, CA and headquartered in Toronto, Canada, Intertainment is listed on the Toronto Venture Exchange with the symbol "INT". Please log on to www.itibiti.com or www.intertainmentmedia.com to learn more.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release may contain certain forward-looking information. All statements included herein, other than statements of historical fact, is forward-looking information and such information involves various risks and uncertainties. There can be no assurance that such information will prove to be accurate, and actual results and future events could differ materially from those anticipated in such information. A description of assumptions used to develop such forward-looking information and a description of risk factors that may cause actual results to differ materially from forward-looking information can be found in the company's disclosure documents on the SEDAR website at www.sedar.com. The company does not undertake to update any forward-looking information except in accordance with applicable securities laws.
This release may contain forward looking statements within the meaning of the "safe harbor" provisions of US laws. These statements are based on management's current expectations and beliefs and are subject to a number of risks and uncertainties that could cause actual results to differ materially from those described in the forward looking statements. Intertainment Media Inc. does not assume any obligation to update any forward looking information contained in this news release.
SOURCE INTERTAINMENT MEDIA INC.
For further information: For further information: Corporate Inquiries: David Lucatch, CEO, (905) 763-3510; Investor Communications: Buchalter Consulting, 1-866-631-6537, Stan.Buchalter@BuchalterConsulting.ca; Online Investor Relations Hub: AGORACOM, INT@Agoracom.com, www.agoracom.com/IR/intertainment