Fullplay and ScreenPlay Partner to Provide Streaming Video Solution.

Business Editors, Technology Writers

BELLEVUE, Wash.--(BUSINESS WIRE)--Oct. 16, 2002

Fullplay Media Systems, Inc. (OTCBB:FPLY) announced an agreement with ScreenPlay, Inc., to provide media retailers an end-to-end system for multimedia merchandising.

ScreenPlay is a leading provider of movie trailers and music videos, and offers an extensive catalog of customized video content solutions for the retail, hospitality and business services markets across North America. Fullplay will offer ScreenPlay content to users of its Interactive Merchandising System (IMS), a breakthrough solution for in-store media previews, personalized content, and targeted marketing.

"Fullplay's goal is to provide a complete solution for retailers who want to use multimedia technology to increase sales and build customer loyalty," said Dennis Tevlin, Fullplay CEO. "By partnering with ScreenPlay, we are able to extend our IMS offering to include high quality video content and programming as well as the hardware and software to play it."

Fullplay IMS offers retailers a powerful new solution for in-store sampling and previewing of CDs, DVDs, and video games. Fullplay IMS includes interactive, media preview stations that are mountable on walls, waterfall racks, or end caps, allowing retailers to place multiple stations throughout the store. IMS also includes server software that distributes content from a central location, and gives retailers tools to design custom preview experiences in support of specific promotions and initiatives.

"Retailers are looking for new ways to maximize their investment returns per square foot of store," said CEO and founder of ScreenPlay, Mark Vrieling. "Fullplay's IMS puts movies, games, and other video previews in the hands of shoppers right at the point of purchase."

About Fullplay Media Systems, Inc.

Fullplay is a leading designer of embedded software and hardware solutions for the converging Internet, digital media, entertainment and consumer electronics markets. Fullplay is headquartered at 12600 SE 38th, Suite 150, Bellevue, WA 98006, USA. Fullplay is listed on the OTC.BB under the symbol "FPLY" and can be reached on the web at www.fullplaymedia.com.

For more information contact Thomas Williams at 425/653-5505 or send us email at [e-mail].

Certain information included in this communication contains statements that are forward-looking, such as statements relating to the future anticipated direction of the high technology industry, plans for future expansion, various business development activities, planned capital expenditures, future funding sources, anticipated sales growth, litigation and potential contracts. These forward statements are subject to a number of known and unknown risks and uncertainties that could cause actual operations or results to differ materially from those anticipated. These risks include, among others, risks associated with unproven sales of the Company's products, risks associated with product development, risks associated with the litigation process, risks associated with liquidity and the risk that funding will not be available with terms acceptable to the Company or at all or that financing efforts currently in process will close. Certain of these risks and other risks are described in the Company's Form 10-KSB filed with the Securities and Exchange Commission (SEC) and available from the SEC's Web site at http://www.sec.gov/ The common stock sold by the Company, as reported in this communication, was not registered under the Securities Act of 1933, and the investors will not be able to offer or resell these securities in the United states absent registration or an applicable exemption from registration requirements.