Beatnik, Inc. - Enhanced Audio Solutions

HEADSPACE, INC. BECOMES BEATNIK, INC.

Continues Commitment to Bring High Quality Sound to the Internet

San Mateo, CA - April 14, 1999 - The company formerly known as Headspace, Inc., the industry leader in interactive audio technology and creator of the highly advanced Beatnik Player 2.0, today announced that it has changed its name from Headspace, Inc. to Beatnik Inc. to focus the company's commitment to deliver CD-quality interactive sound, music and digital content via the Internet.

Beatnik Inc. provides interactive audio capabilities to a variety of users including web developers, video producers, advertising and broadcast companies, web surfers, musicians and sound designers. Beatnik provides a "one-stop-shop" solution that enables users to easily search, purchase and download high-quality audio to be used online or offline. Beatnik's technology weaves CD-quality music and sound directly into HTML code "turning on" music sound clips when users click on or pass over images on a Web site. The cost savings and efficiency of capturing audio online will revolutionize the broadcast and film industries.

"With the leading interactive audio technology available and comprehensive music catalogues on the Internet, our name change will help us leverage the strong brand equity we already have developed in the Beatnik name," said Lorraine Hariton, president and CEO.

Since the release of the Beatnik Player in 1997, the product has received nationwide industry attention for its ability to delivery CD-quality, interactive sound and music on the Web. Beatnik's family of products includes Beatnik Player 2.0, music composer tools, such as Beatnik Converter and Beatnik Editor as well as several web developer tools. Beatnik held the #1 position in C|Net's 'plug-in' download charts for more than 12 months, and in April, 1998 PC World named Beatnik the second-best plug-in on the Web.

The Beatnik technology has been licensed to such industry giants as Apple, Microsoft, Netscape Communications Corporation, Oracle, Sony Pictures Columbia TriStar Interactive division, Sun, and WebTV, and built strong developer support via its relationships with tools vendors such as Macromedia and NetObjects. More than five million people have downloaded the Beatnik Player from the company's web site.

About Beatnik, Inc.
From its headquarters in Silicon Valley, Beatnik delivers interactive audio software technology, its flagship product Beatnik and musical content for the Web. The Beatnik audio engine has been licensed to an expanding family of strategic partners, including Sun Microsystems, Oracle/NCI, Intel, NetObjects, Macromedia, Be, Inc. Its Rich Music Format™ (RMF®) is a platform-independent standard for music and audio on the Internet. By coupling expert engineering skills with an expanded catalogue of musical content, Beatnik is dedicated to realizing new possibilities for interactive music and audio within multimedia on the Internet. Beatnik was formed in 1993 with a team of musical innovators and world-renowned visionary, musician and composer Thomas Dolby Robertson.

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