Cdigix Bolsters Leadership Position in College Marketplace As Five Additional Schools Sign with Digital Media Provider.

ENGLEWOOD, Colo. -- Cdigix Also Announces Upgraded Digital Music Service Featuring Subscription Portability, Live Radio, Music Videos and Customized Playlists

Continuing its rapid expansion in the college marketplace, Cdigix, the leading provider of legal digital entertainment and educational media to colleges across the country, today announced that five additional schools have signed deals to offer Cdigix's content to their students.

The new schools now offering Cdigix's services are DePaul University (Chicago), Goucher College (Baltimore), Indiana University - Purdue University - Ft. Wayne, Purdue University Calumet, and Trinity University (San Antonio, TX). The two new Purdue campuses signed on after Purdue University - West Lafayette, which introduced Cdigix in September 2004, experienced strong initial response. In addition, Cdigix is currently rolling out its services to several additional schools and will be announcing the new partnerships shortly.

To date, Cdigix is the largest digital music and media provider to directly serve the college market, having secured relationships with 18 schools nationwide and reaching close to 300,000 students. Other premier schools currently offering Cdigix's services include the University of Michigan, Wake Forest University and Yale University. Cdigix's music service is also currently available to students at North Carolina State University and the University of North Carolina's Chapel Hill campus as part of a multi-vendor trial that the schools have coordinated.

Cdigix also announced today a number of significant upgrades to its Ctrax digital music service. A key element of the enhanced version is Ctrax2Go, a ground-breaking new subscription portability feature that allows students with a monthly music subscription to transfer an unlimited number of tracks to a compatible portable player. Ctrax2Go is scheduled to launch later this month. Other Ctrax upgrades, which are now available, include live radio, featuring genre specific stations as well as custom created stations for the schools; enhanced playlists, giving students the ability to create as well as listen to pre-programmed and customized school lists; and a selection of over 500 music videos on demand.

"The continued interest from universities across the country clearly demonstrates that there is a strong demand for high quality, secure and legal entertainment and educational content at both the university and the student level," said Brett Goldberg, president of Cdigix. "As the leading company of its kind to exclusively service the college market, we are pleased to be in a position to address their needs in a very tailored and affordable way and to provide students with a broad array of compelling content."

"Today's students are extremely savvy when it comes to how they consume music and other entertainment," said William W. Baden, Ph.D., Manager of Client Support, Information Technology Services, Indiana University - Purdue University Fort Wayne. "Judging by the strong initial response at the Purdue - West Lafayette campus, we are very happy with our decision to select Cdigix as the exclusive provider of legal digital music and media to our students. We are pleased to be able to enhance the university experience in a new and sophisticated way."

Cdigix is comprised of four distinct services. Ctrax offers the largest music library of any service, featuring more than one million legally downloadable songs. Ctrax is enabled through a partnership with MusicNet, the leading digital music service provider, whereby MusicNet delivers the complete backend technological support and required licensing rights for every song within the music catalog. Cflix features broadcast quality video on-demand from premier film and TV content providers. Clabs delivers educational media services providing access to required and supplemental course materials. And Cvillage is the company's outlet for campus media distribution and community interaction The content is distributed over a local area network (LAN), yielding a fast and secure way for students to access legal, downloadable content that doesn't slow the down the university's network.

Cdigix's affordable student pricing varies depending on the school, but may consist of $3.49 for a monthly subscription to Ctrax and $.89 to download an individual music track. In addition, Cdigix is offering a special subscription rate of $5.99 a month for Cflix this semester, down from $9.99 a month. An individual pay-per-view movie on Cflix ranges from $1.99 to $3.99. Clabs and Cvillage are free to enrolled students. The price of Ctrax2Go, which includes a subscription to Ctrax and access to all of its enhanced features, has not yet been finalized. Each school has the ability to customize the program to meet its needs and may elect to underwrite some of the costs on behalf of the students.

In establishing its various agreements, some of the schools worked closely with the Campus Action Network (CAN), an initiative dedicated to facilitating the introduction of safe, legitimate digital music services to the campus environment. CAN, which is led by SONY BMG MUSIC ENTERTAINMENT and other record companies, works with a wide range of legitimate online music services, and helps institutions to create programs that uniquely fit their needs, as well as the needs of their student bodies.

About Cdigix

Cdigix is the leading provider of secure, legal digital entertainment and educational media to directly serve the college market. The company offers four distinct services to college students: Ctrax for legal music, Cflix for video on demand programming, Clabs for educational media and Cvillage for community interaction. The high-quality content offered by Cdigix is available through partnerships with premier entertainment and media companies, and is distributed via the universities' internal IP infrastructures. Cdigix currently has exclusive relationships with 18 college campuses, reaching close to 300,000 students. The company is headquartered in Englewood, CO. More information can be found at www.cdigix.com.

About Campus Action Network

Campus Action Network (CAN) is a music industry-wide effort led by SONY BMG MUSIC ENTERTAINMENT and other record companies. CAN's principal objective is to ensure that students have access to safe, legitimate digital music services, and it is working to support the launch of legitimate music services on campuses around the country. CAN provides universities with introductions, information and support on a broad array of online music services. CAN does not recommend or endorse any one service or technology to institutions.