SurferNETWORK Granted Its Second Key Patent in Streaming Media Technology

Patented System Allows for Individually Targeted Advertising to Replace Generic
Advertising in Live Streamed Content - Substantial Increase in Value of Internet
Ads is Anticipated
FLANDERS, N.J.--(Business Wire)--
SurferNETWORK announces the receipt of a second key patent in support of its
streaming media technology. SurferNETWORK now holds two fundamental streaming
media patents.

This latest patent applies to both radio and TV broadcasts, and gives the
broadcaster the ability to transmit conventional audio and video ads over the
air, while maximizing the value of that ad inventory on the Internet. That is
achieved by streaming from the point of origin to a central distribution hub.
When audience members connect at the distribution hub, the system can perform a
database lookup to determine the optimum set of demographically targeted ads to
deliver to each person based on age, gender, geographic location, or other
parameters of interest by advertisers. A unique stream is created for each
audience member; the selected replacement ads are then inserted into each unique
stream so that each member of the audience receives a composite stream carrying
the highest value advertising content that is possible to achieve.

In addition, replacement ads are of higher intrinsic value than broadcast ads
because ads can be made interactive by accompanying them with a clickable
banner, and radio stations can replace audio ads with TV-style video ads, which
also can be made clickable.

While other ad replacement technologies have existed for some time, one-on-one
ad targeting is difficult to achieve and frequently results in bad "up-cuts",
where one ad steps on another, an ad plays on past the start of the underlying
content, an ad ends early and audience hears the end of the underlying ad that
was to have been replaced, or a gap is left between ads or between the end of an
ad and the resumption of the underlying content. Systems based on the new
SurferNETWORK patent will be able to replace ads with precision, making ad
replacement transparent.

"Although it extends beyond just radio, this patent completes a technology
portfolio enabling SurferNETWORK's original vision of creating a `Just Like
Radio` experience," says SurferNETWORK Co-Founder and President, Bill Grywalski.
"It complements the business side of Surfer's plan; addressing for broadcasters
the question of `HOW DO YOU MAKE MONEY WITH STREAMING?`"

"The key to inventing the technology was asking that question as our starting
position. Coming up with the answer was conceptually simple but developing the
technology was very complex," says Harry Emerson, Co-Inventor and Co-Founder of
SurferNETWORK. "A number of disciplines were involved from understanding radio
broadcast automation systems to building real time databases."

"SurferNETWORK is very pleased to have been granted the patent because it
demonstrates our company's commitment to maintaining cutting edge technology,"
says Grywalski. "We view ourselves as a technology company that happens to be in
the streaming media business."

About the Patent

The new patent is US Patent Number 7,490,053: "System for Modifying and
Targeting Advertising Content of Internet Radio Broadcasts", and has Emerson,
Grywalski, and Gerald M. LeBow as the inventors.

SurferNETWORK had previously been granted US Patent Number 6,766,376: "Streaming
Media Buffering System", which is a fundamental patent that enables "instant-on"
capability while eliminating pre-buffering and minimizing dropouts due to poor
Internet conditions, both for live broadcasts as well as content streamed from
files. SurferNETWORK uses the trade name LightningSTREAM for this technology.

About SurferNETWORK

SurferNETWORK, which was founded is 1998, is a leading provider of Internet
broadcasting and streaming media services to a broad spectrum of customers in
radio broadcasting, education, sporting, and general commercial industries. They
provide Internet broadcasters large and small with a full range of features and
services for audio and video, live and on-demand. For more information visit
www.surfernetwork.com, or call Priscilla at 973-691-7420.

SurferNETWORK
Debra Garrison, 973-691-7420
Debbie @ SurferNETWORK.com

Copyright Business Wire 2009