USVO and Pegasus Collaborate on Webcast of President Bush Presidential Dinner from DC; USVO Licenses its Patent for Use in TV Set-top Box Applications; Both Announced at USVO Annual Meeting Held In Providence Today
Thursday, 28 June 2001
Mystic, Connecticut, June 28, 2001 -- USA Video Interactive (OTCBB: USVO; CDNX: US; www.usvo.com) and Pegasus Communications (Nasdaq: PGTV; www.pgtv.com) collaborated last evening on a live webcast of President George W. Bush's Presidential Dinner from Washington, DC. Additional details on the webcast will be provided by Pegasus Communications in the near future.

IUSVO also signed an agreement to sublicense its pioneer store-and-forward patent for use in television set-top box applications. E-video TV (OTCBB: EVTV; www.e-videotv.com) will sublicense the USVO patent and will pay the company an initial start-up fee and split ongoing licensing revenues. EVTV also has exclusive rights to license the Macrovision patent in set-top box applications. Additional details will be provided by the companies in the near future.

Both of these developments were announced at USVO's Annual Meeting, held today in Providence, Rhode Island. Three proxy questions were approved by shareholders. These included reelecting Edwin Molina, Anton J. Drescher and Anthony J. Castagno as Directors of the Company; approving a new Stock Option Plan that meets current SEC and CDNX requirements; and ratifying
the firm of Goldstein Golub Kessler LLP as the Company's Independent Auditors.

Following the formal meeting, Attorney Paul Gupta of the international law firm, Sullivan & Worcester, provided an update on the status of their activity representing USVO's digital video patent. He noted that the legal process moves slowly, particularly once negotiations get underway and all sides strive to keep dealings amicable. He also noted that as announced earlier this week, Canada had become the 7th country to issue a patent on the Company's store-and-forward video technology.

The Company also presented a demonstration of its newest product, Zmail™ and provided detailed information about StreamHQ™, the company's proprietary technology. Zmail™ is the first product to utilize USVO's core technology, StreamHQ™, a powerful and uniquely functional Internet streaming rich media delivery architecture designed by USVO. Zmail™ was launched last weeks at StreamingMediaWest and the demonstration features a video produced by the Seattle Seahawks for their fans and a web page custom designed by USVO to display the video and to link to Seahawks information and merchandise. This Zmail™ demo will be available on the USVO website later this month.

Zmail™ demonstrates some of the capabilities and features of StreamHQ™ including encoding, streaming, data collection and analysis, and custom web development. StreamHQ™ encompasses state-of-the art technology from industry leaders EMC, Cisco and Oracle along with USVO's proprietary content-and-data-management software. Scheduled to be installed at an Exodus Internet Data Center this summer, StreamHQ™ is a highly reliable, scalable and versatile Internet infrastructure with features that are unsurpassed in the industry.

In remarks to shareholders, Mr. Molina, President and CEO of USVO, stated, "I am optimistic about the future here at USVO. All of us -- the directors, management, and all the people of USVO -- are excited about what we are doing and about what the future holds. With StreamHQ™, we have created an intellectual property that is unmatched in the industry and which I am confident will be a key factor in our future. We have established and nurtured strong alliances and partnerships that will serve us well as we roll out StreamHQ™, Zmail and a wide variety of other products based on the unique features of StreamHQ™."

Mr. Molina concluded, "I speak for the entire company in telling you that we appreciate the patience you, our shareholders, have shown throughout this downtrending market and we appreciate the support and confidence you are showing in our future as we move forward with our Business Plan and provide the services, results and accountability that our business customers demand… and that will bring us to profitability."

About USA Video Interactive
USA Video Interactive is an international designer and supplier of high-tech Internet streaming video and video-on-demand systems, services and innovative end-to-end solutions. Its StreamHQ™ media delivery services are focused on creating revenues for customers and reducing their Internet costs. StreamHQ™ encompasses the entire media experience from source to viewing, including content production; content encoding; asset management; media and application hosting; multi-mode content distribution; and transaction data capture, reporting and analysis. StreamHQ™'s design leverages the capabilities of the Internet while bypassing its latencies, with high availability, reliability, flexibility, scalability and cost-effectiveness. USVO holds the pioneering patent for store-and-forward video, filed in 1990 and issued by the United States Patent and Trademark Office on July 14, 1992. It has been cited by at least 145 other patents. USVO holds similar patents in England, France, Spain, Italy and Germany, and has patents pending in Canada and Japan. The USVO patented video technology gives users full-motion video; the flexibility of standard, VCR-like controls; and the convenience of a standard internet-browser format for access. It provides video images significantly faster and at a higher degree of resolution than with previously available methods; significantly overcomes bandwidth restrictions; and eliminates the blockiness and slowness of current technologies. USVO is developing patented Wavelet compression technology that will further enhance the company's ability to deliver unique capabilities as part of StreamHQ™. For more information, visit www.usvo.com

USA Video Interactive Corporate Headquarters Office: 70 Essex Street; Mystic, CT 06355; (800) 625-2200; (860) 572 1560. Canada Office: 837 West Hastings Street; Suite # 507; Vancouver, B.C. V6C3N6. Trading Symbol on the OTCBB: USVO; Trading on The Canadian Venture Exchange: US. Standard & Poors Listed. CUSIP 902924208. The Canadian Venture Exchange (CDNX) has not reviewed and does not accept responsibility for the adequacy or accuracy of this release. For more information contact: Kevin Yorio, 860-572-1560;

This press release may contain forward-looking statements. Actual results may differ materially from those projected in any forward-looking statement. Investors are cautioned that such forward-looking statements involve risk and uncertainties, which may cause actual results to differ from those described.

Last Updated ( Tuesday, 05 December 2006 )