Digital Island Announces Relationships With 21 Industry Leaders to Deliver Live Streaming Media Events.

Business/Entertainment Editors & High-Tech Writers

SAN FRANCISCO--(BUSINESS WIRE)--March 20, 2000

Customers Include American Express, U.S. News & World Report,

Sotheby's, Elite Models, AIG and Comedy Central

Digital Island, Inc. (Nasdaq:ISLD), a leading Global e-Business Delivery Network, announced today that 21 major companies will use its streaming media capabilities for multiple live events on the Internet.

In addition to encoding and distributing the live stream in all major formats over its global network of 1,200-plus content distributors, Digital Island's Footprint(TM) Live service provides satellite uplink and downlink of the acquired video signal.

"Streaming media has evolved into a catalyst for commerce on the Internet, allowing companies to use rich content to grow their e-Business worldwide," said Ruann F. Ernst, chairman and CEO of Digital Island. "Digital Island's e-Business Delivery Network is recognized by industry leaders worldwide for its ability to deliver a superior end-user experience."

"Digital Island has been a terrific partner to work with on the streaming innovation projects this past year," said Nancy Smith, senior vice president at American Express. "The partnership is extremely successful."

The 21 customers for Digital Island's Footprint Live service are:

AIG
Access Style
American Express Co. (NYSE:AXP)
BroadcastAmerica.com
Broadstream.com
Calibur Learning
Cammunity.com
Comedy Central
Don Misher Productions
Elite Models
Kenneth Cole Productions (NYSE:KCP)
Leading Edge Interactive
Meeting Planners International
Radio Republic
Real E-Marketing
Sotheby's (NYSE:BID)
Stelex, Inc
StreamSearch.com
U.S. News & World Report, Inc
Virage, Inc
XTERRA

Digital Island(R) is a leading Global e-Business Delivery Network. The company's suite of application services for interactive e-Business allows customers and partners to readily integrate content delivery, hosting and intelligent networking to give the ultimate consumer a superior experience. Strategically located Data Centers in the United States, Europe and Asia are directly connected to leading access service providers in 25 countries. In addition, Digital Island operates a network of more than 1,200 content distributors across the Internet, which improves the performance and reduces the cost of hosting high-volume Web applications in target markets. This network is expected to grow to more than 6,000 content distributors in 350 locations worldwide by the year 2003. Digital Island is headquartered in San Francisco. www.digitalisland.net.

Important Notice

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

This release may contain forward-looking statements that involve 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 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 including its recent filings on Form S-1.