(STAW) Streamedia Executives Confirm Evolution Into Operating Company During Conference Call; Term Progress 'Slightly Ahead Of Schedule'.

Business Editors/Hi-Tech Writers

NEW YORK--(BUSINESS WIRE)--April 11, 2000

Full Text Now Posted at http://www.streamedia.net; CEO and CFO Set

Quarterly Benchmarks for Investor Evaluation

Streamedia Communications Inc., www.streamedia.net and www.streambroadcast.com (NASDAQ: SMIL - news, SMILW - news; BOS: STA, STAW), has posted its April 5 investor conference call at its corporate Web site, www.streamedia.net.

During the conference call, the Company's operating executives, James D. Rupp, President and CEO, and Nicholas Malino, Executive VP, COO and CFO, said that the Company has now evolved from development stage to operating stage.

They noted the Company, since its IPO only 3 months ago:

-- has expanded to 34 professional and skilled employees and is

doubling its present floor space in New York's broadcast and

communications district;

-- has achieved a soft launch of its channels and networks,

including a playlist technology that is unique to Streamedia;

-- has completed the first of its planned strategic acquisitions,

a top-ranked entertainment site;

-- has established a footprint in Europe, the area Jupiter

Communications (JPTR - news) terms the "greatest Internet

opportunity" outside North America; and

-- has established partnering arrangements with key industry

players: Real Networks, Inc. (RNWK - news), Real Media, Inc.,

EMC, Inc. (EMC - news), Virage, Inc., Vignette, Inc. (VIGN -

news), Accrue Software, Inc. (ACRU - news), Comtex Scientific

Corp. (CMTX - news), Intraware, Inc. (ITRA - news), Video

Corporation of America, Inc., and Waterfront Communications,

Inc., subsidiary of Video Services Corp. (VS - news).

In reference to the Company's revenue goals, Rupp and Malino announced that Streamedia has achieved its first contract award for its recently established Streamedia Digital Solutions(TM) business-to-business unit. Rupp noted that Streamedia is beginning to influence the lexicon of the industry itself, "inasmuch as we are the coiners of the terms, 'sBusiness' and 'sCommerce' solutions."

The executives provided specific benchmarks by which investors may judge the Company's previous progress, which Rupp and Malino characterized as "slightly ahead of schedule." They also outlined the planned events on a quarterly basis through the remainder of 2000 and going into 2001.

Noting that the Company ended the year with $6,685,000 in cash and cash equivalents, Malino stated that Streamedia has deliberately ramped up its expenditures in the first quarter of 2000.

This was necessary to achieve what Rupp termed a "robust streaming technology infrastructure" to deliver state-of-the-art business-to-business digital solutions for the corporate community, the Company's primary revenue source.

The technology also supports high-end viewer experiences on the Company's networks and channels, which Rupp said will be the Company's "global showcase" when the "Gold Launch" for the Streamedia Networks occurs in May.

Rupp and Malino recommended that investors judge the Company on:

-- whether Streamedia has spent wisely and sufficiently to

develop "barriers to competitive entry" in the first quarter;

-- whether Streamedia will have slowed its dollar burn rate,

achieved the "Gold Launch" for its showcase channels and

networks, achieved important content acquisition goals and

established a firm footprint in the streaming solutions niche

of the B2B industry in the second quarter; and

-- whether Streamedia will have an integrated business and

communications model sufficiently built out at year's end so

that by 2001 the Company "will be able to demonstrate, at

least on a product-by-product basis, that the streaming

broadcast business can achieve profitability."

Rupp said there is a "distinct buzz" among the Streamedia staff, as everyone begins to realize that "they are building something different and exciting." He said that the Company is continuing its strong marketing presence at key industry events, such as the MIP-TV conference and exhibition in Cannes, France, and the National Association of Broadcasters this coming week, and that business-to-business prospects for digital media solutions "are also beginning to understand the difference in first generation streaming and next generation streaming, such as Streamedia is pioneering."

About Streamedia Communications:

Streamedia Communications, Inc. (www.streamedia.net) is a digital media and broadband entertainment Company broadcasting via the Internet. Its showcase product, The Streamedia Networks(TM), integrate entertaining, interactive, streaming audio and video with dynamic, personalized news and information feeds delivered via its own StreamWire(TM).

Streamedia's professional broadcast producers create original, compelling programming for all audiences.

Streamedia has launched the first of its planned networks and their associated channels on the Web including the Streamedia Sports Style Network, Crime Broadcast, Women on the Edge, Streamedia Entertainment, and the Streamedia Motion Art Network.

The soft launch for these channels may be viewed at http://www.streambroadcast.com. Key enhancements to the technology and viewer experience, as well as a broader range of content, will be added during the second quarter.

The Streamedia Digital Solutions(TM) umbrella, a set of business-to-business solutions, includes rich media production services, technical services, web development and integration, encoding, hosting and streaming.

A first step for most clients is a media asset analysis, which Streamedia's technical and content experts conduct to determine how a corporation, organization or Web site can best deploy its resources and outsourcing options.

Certain statements contained herein are "forward-looking" statements (as such term is defined in the Private Securities Reform Act of 1995). Because such statements include risks and uncertainties, actual results may differ materially from those expressed or implied by such forward-looking statements.

Factors that could cause or contribute to such differences include continued acceptance of the Company's products in the marketplace, the timing of significant orders, delays in the Company's ability to develop or ship new products, market acceptance of new products, competitive factors, general economic conditions, currency fluctuations, and other risks detailed in the Company's registration statements and periodic reports filed with the Securities and Exchange Commission.

By making these forward-looking statements, the Company undertakes no obligation to update these statements for revisions or changes after the date of this release.