Destiny Media Technologies Announces Year End Results; Year Over Year Sales up 687%.

Business/High Tech Editors

VANCOUVER, British Columbia--(BUSINESS WIRE)--Nov. 29, 2001

Destiny Media Technologies, Inc. (OTCBB:DSNY) is pleased to announce year end results to August 31, 2001.

Sales increased 687% from $85,544 in 2000 to $587,899 in 2001 (consisting of $345,653 in recognized sales, $156,657 short term deferred revenue and $85,589 long term deferred revenue).

Destiny CEO, David Lawrence, explains the corporate strategy, "2001 was about building the foundation and infrastructure for our sales and marketing efforts going into our next fiscal year. Our strategy has been to sell into OEM products and build a strong network of distributors and resellers. We are close to operational sustainability and we anticipate being profitable in fiscal 2002. In the last six months, we've seen many corporations adopt our playerless audio and video streaming formats. We see a tremendous market opportunity as more companies come to realize the benefits of java streaming solutions and the fast ROI when they choose Destiny as their provider."

Mark Toffoli, Destiny VP Sales, speaks to the OEM strategy, "Our mission is to become the industry standard in the playerless streaming category. By building Clipstream(TM) into other products, we can ensure content is being encoded in our format." For example, our OEM partner Silverpop Systems (http://www.silverpop.com) has built VideoClipstream(TM) into their suite of rich email delivery products as their exclusive streaming delivery platform.

Fiscal 2001 and first quarter 2002 marked distribution relationships with Digistream in the UK (http://www.digistreamuk.com/) and IMM (http://www.imm.ne.jp/) in Japan and the launch of the "Solution Partner" program to recruit top partners. By the end of the year, Destiny had signed up sixty "Solutions Partners" around the world.

Examples include: Activefilm (http://www.active-film.com), ANS Korea (http://www.anskor.co.kr), Audio Web Pro (http://www.audiowebpro.com/), Chalk Network (http://www.chalk.com/), Clickhouse (http://www.clickhouse.com/), Digital Craft (http://www.dgcraft.com), DS Interactive (http://www.dsinteractive.co.jp), GB Nexsite (http://www.gbnextsite.com), Intermedia USA (http://www.intermediausa.com), Playstream (http://www.playstream), Red Zeppelin Digital (http://www.redzep.com/), TappedInto (http://www.tappedinto.com), TV Taxi (http://www.tvtaxi.com), Vingage (http://www.vingage.com) and Zonepro (http://www.zonepro.com).

Destiny has sold over two hundred end user licenses. Notable end users include Bigfoot Interactive (http://www.bigfootinteractive.com), Globe and Mail (http://www.globeandmail.com/), Healthfirst (http://www.health-first.org), Heritage Canada, LiveBlitz (http://www.liveblitz.co.jp), Mt. Sinai School Medicine (http://www.mssm.edu/), Shaklee (http://www.shaklee.com), Stock house (http://www.stockhouse.com), Telus (http://www.mybc.com, http://www.myalberta.com, http://www.myto.com), Templeton Investments (http://www.templeton.ca/), Tom Green (http://www.freddygotfingered.com), Weather.com (http://www.weather.com/multimedia/audio/national.html) and Whistler-Blackcomb (http://www.whistlerblackcomb.com).

Marketing partners to date include Klipmart (http://www.klipmart.com/) and Ulead (http://www.ulead.com). Destiny also became an official friend of the 2010 Olympic Bid (http://www.winter2010.com/team/friends.htm).

In 2002, Destiny plans to raise $1 million to expand the sales force of subsidiary company Clipstream Technologies, Inc. The parent company will focus on expanding revenue opportunities for RadioDestiny (http://www.radiodestiny.com) and MPE (http://www.destinympe.com) and new R&D. New products in development include a prototype playerless live audio and video product (http://www.destiny-software.com/products/livevideo.html) and playerless products for wireless. The company is in initial discussions with potential iMode(TM) partners in Japan and has successfully tested a java applet for the Symbion Epoch OS emulator.

Destiny Media Technologies, Inc. (http://www.dsny.com) is a leader in developing easy-to-use tools for distributing digital media through the Internet. The company's suite of streaming and downloadable products includes: MPE(TM) (http://www.destinympe.com), a complete, secure media distribution system that provides e-commerce and digital rights management directly from within an MP3-compatible multimedia file; AudioClipstream(TM) (http://www.clipstream.com), a java-based tool which enables web pages, e-mail and banners to stream audio without the use of a player; VideoClipstream(TM) (http://www.clipstream.com), a technology for embedding streaming video into a web page or e-mail; and the RadioDestiny Broadcaster(TM) (http://www.radiodestiny.com), which allows a user to webcast live or scripted internet radio from a computer to anyone on the Internet. Established in 1991, the company is headquartered in Vancouver, Canada.

"Safe Harbor" statement under the Private Securities Litigation Reform Act of 1995: This release contains forward looking statements that are subject to risks and uncertainties, including, but not limited to, the impact of competitive products and pricing, product demand and market acceptance, new product development, reliance on key strategic alliances, availability of raw materials, the regulatory environment, fluctuations in operating results and other risks detailed from time to time in the Company's filings with the Securities and Exchange Commission.