Digital Island Announces Over 100 New Streaming Media Customers for Footprint Services.

Business Editors/High Tech Writers

SAN FRANCISCO--(BUSINESS WIRE)--July 10, 2000

Now More Than 125 Businesses Worldwide Use Digital Island's

Streaming Network, Including FOX, TV Guide, Cisco Systems,

Intel, Simon & Schuster 

Digital Island, Inc. (NASDAQ:ISLD), a leading Global e-Business Delivery Network, announced today that more than 100 additional customers are using its Footprint(TM) streaming media services to deliver rich content and drive online sales, including FOX, TV Guide, Cisco Systems, Intel and Simon & Schuster.

Digital Island's streaming media services acquire and encode in all major formats the live video signal and distribute it over the Footprint content delivery network. Digital Island's Footprint streaming services provide high-quality broadcasts that minimize the lag time and buffering typical of streaming media by caching content close to Internet users at the edge of the network.

Footprint streaming services provide a fast and rich end-user experience, and allow companies to generate revenue from streaming media through ad insertion, pay-per-view features and e-Business transactions. Digital Island also offers studio production, event promotion, Web-site syndication, sponsorship and customized marketing options for live and on-demand events.

"An increasing number of companies are turning to Digital Island for streaming media services that not only deliver a rich viewing experience for their customers, but also let them reap a return on their investments," said Ruann F. Ernst, chairman and CEO of Digital Island. "Digital Island's Footprint streaming network, combined with our networking and hosting services, allow businesses to interact and transact with customers and partners over an infrastructure that supports secure e-commerce and live Webcasts worldwide."

In 2000, Digital Island is expected to stream more than 1,200 live and on-demand events for more than 125 companies, including: Cisco Systems, Inc. (NASDAQ: CSCO), FOX, Inc. (NYSE: FOX), Intel Corp. (NASDAQ: INTC), MarketTools, Inc., Simon & Schuster, Inc., T.J. Martell Foundation, TV Guide, Inc. (NASDAQ: TVGIA).

Digital Island(R) is a leading Global e-Business Delivery Network using hosting, content delivery, networking and application services to help companies improve their customers' online experience by making Web applications run faster and more reliably and scale globally, resulting in more successful e-Business transactions. Digital Island is headquartered in San Francisco with a presence in 25 countries. www.digitalisland.net.

Important Notice

Digital Island is a registered trademark of Digital Island, Inc. Footprint is a trademark of Digital Island, Inc. All other trademarks are properties of their respective owners.

This release may contain forward-looking statements that are subject to risks and uncertainties. Important factors which could cause actual results to differ materially from those in the forward-looking statements, include but are not limited to: the company's short operating history which makes it difficult to predict its future results of operations; the company's history of operating losses and expected future losses which could impede its ability to address the risks and difficulties encountered by companies in new and rapidly evolving markets; the company's future operating results could fluctuate which may cause volatility or a decline in the price of the company's stock; the possibility that the company may not be able to price its services above the overall cost of bandwidth causing its financial results to suffer; and other factors detailed in the Company's filings with the Securities and Exchange Commission.