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ECAST, INC.

Letter to our operators from our CEO John Taylor

To our valued Ecast Customers:

I want to take this opportunity to clarify some of the events of the past few days. First and foremost, Ecast whole heartedly supports our operators and distributors in the coin-op community. Our goal has been and will continue to be providing the highest quality products to maximize the earning potential of each and every customer.

Ecast has always been committed to developing new business relationships and technologies that allow us to continue our track record for innovation, but only when they benefit our customers. We are often approached by potential partners because we are recognized as the industry’s innovative leader. We have always stood by our operator channel and we will continue to bring new innovations to market as long as they benefit our operators.

As sometimes happens in this industry and others, competitors find it necessary to circulate false information in order to advance their own agendas. That was the case this past week, and I apologize for the number of difficult phone calls and conversations we have all had to endure due to this needless “gossiping.”

In our seven years in the industry, we have achieved an impressive list of industry breakthroughs, each benefiting our operator community:

* Ecast partners with three of the world’s leading jukebox hardware manufacturers to give operators a largest selection of form factors (over 19) and prices points to fit their financial strategy and their locations’ needs.

* Ecast partnered with View Interactive Entertainment, the jukeboxes “for operators by operators” to bring the first ever CD-to-jukebox conversion kit to market, allowing operators to enter the market at price points unheard of at the time.

* Ecast launched Easy Connect Wireless Broadband, the first ever wireless broadband connection, giving operators unprecedented speed and ease of installation.

* Ecast operates the industry’s only all-broadband network. A mature, 7-year-old network, it is the result of millions in R&D and hardware investment. Its speed and scalability are light years ahead of anyone else in the marketplace, allowing Ecast operators to capitalize on a host of unique benefits that save them time, make route management easier and give them access to advertising revenue.

* Ecast is the only jukebox content provider to share advertising revenue with their operators.

* Ecast offers operators unprecedented ease of use with its best-in-class user interface, automatic weekly music updates and remote management tools. Ecast letter to operators Page 1 3/2/2007

* Ecast has tripled the size of its Network over the last three years and has more than 1100 operators across the United States.

* Ecast has given operators $7 million in hardware subsidies over the last five quarters, making hardware even more affordable and allowing operators to rapidly expand their routes and increase their return on investment.

* Ecast provides the best connectivity plans in the industry. The current agreement with AT&T lets operators connect for a little as $19.97 and for only $5 a month more they can get a pro-install.

Ecast is proud of its achievements and we continue to stay ahead of the pack. We look forward to 2007 and the new revenue-enhancing advancements we will deliver to operators.

As always, we appreciate your continued support and I look forward to seeing you all at the upcoming ASI show.

Sincerely,
John Taylor
CEO




March 2, 2007

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