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LAVA.COM AND MOONSHINE MUSIC STRIKE UNIQUE DISTRIBUTION AGREEMENT

LAVA!™ Player And Custom Interactive 3D MusicVideos To Be Distributed On Moonshine's 'Mixed Live' CD Series

MILPITAS, Calif. - March 15, 2000 - LAVA.com, the leader in cutting-edge interactive 3D music video entertainment for the PC, and premier US dance music label, Moonshine Music, have signed an initiative that will forge a new standard in on-line entertainment. Through a strategic co-marketing agreement, Moonshine Music plans to bundle LAVA! Player technology and custom designed 3D music visuals on a new series of music CDs. In this first deal of its kind, LAVA! will enable Moonshine Music customers to experience high-resolution full-screen interactive 3D music video entertainment when playing their Enhanced Music CD on a PC.

LAVA.com and Moonshine Music will collaborate in the customization of the interactive 3D music visuals designed specifically to accompany select tracks from the forthcoming 'Mixed Live' CD series set to be released starting early this summer. 'Mixed Live' is Moonshine Music's new series of DJ-mixed compilation CDs featuring top DJs at premier clubs around the country, recorded live with no digital edits. Moonshine Music plans to utilize the new LAVA! Producer authoring software to create the custom LAVA! MusicVideos - highly animated scenes of 3D objects, textures, images, colors and messages that dynamically evolve, morph and dance in sync with the music and to user input. With high-impact and low effort, LAVA! Producer empowers music labels and artists to design their own eye-popping 3D music visuals without requiring any software programming skills.

"Moonshine Music offers the top bands in electronic music today with an incredibly loyal fan base," said Barry Raskin, director of LAVA.com. "With the LAVA! Player bundled on 'Mixed Live' Enhanced Music CDs, fans are offered an entirely new way to experience the music beyond passive listening. When the CD is used on a PC, LAVA! enables each fan to become a 'VJ' (Video Jockey), creating their own stunning visuals while listening and interacting along with their favorite DJ's music selections. The fans get more value and enjoyment, and Moonshine Music receives additional opportunities to draw its fans back to its on-line community."

To kick-off 'Mixed Live', Moonshine Music would be bringing on the world's number one DJ - Mr. Carl Cox. The first CD, set to be released in July, will feature Carl Cox performing at the Crobar Nightclub in Chicago. In recording the 'Mixed Live' series, Moonshine Music will be placing microphones around the room to record crowd reaction, giving the album a uniquely live feel.

"Each CD will be enhanced to include the new LAVA! Player, which will allow Moonshine customers to create, produce, and enjoy interactive 3D music videos to go along with the music," said Jonathon Levy, chief executive officer at Moonshine Music. "The 'Mixed Live' series is unique in itself, and by including the LAVA! Player, listeners can now become an interactive part of the creative process. By adding the LAVA! Player to the 'Mixed Live' series, Moonshine Music is, once again, breaking new ground in the music industry."

The new agreement expands on an ongoing relationship between LAVA.com and Moonshine Music. In addition to featuring a popular Moonshine Music track from Cirrus on its latest LAVA! Compilation CD, LAVA.com is also a co-sponsor of the "Moonshine Over SXSW" Party to be held on March 15 at the Caucus Club in Austin, Texas. Performers include leading Moonshine Music artists DJ Micro, Cirrus and D:Fuse, playing their sets accompanied by a live LAVA! MusicVideo light show.

Visitors to www.lava.com can download the LAVA! Player for free to immediately enjoy interactive 3D music videos with their existing library of MP3 songs, and may select from an expanding library of LAVA! Music Videos provided by content partners. The LAVA! Producer will be available for on-line purchase and digital download from www.lava.com in March for 29.95.

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This announcement relates to products launched in the United States of America. The product names, contents, prices and availability are subject to change and may differ elsewhere in the world according to local factors and requirements.

Sound Blaster and Blaster are registered trademarks of Creative Technology Ltd. in the United States and/or other countries. LAVA! is a trademark of Creative Technology Ltd in the United States and/or other countries. All other products mentioned herein are trademarks or registered

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