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TouchTunes Music Corporation TOUCHTUNES STRIKES UP THE BROADBAND: OFFERS YEAR OF FREE HIGH-SPEED INTERNET SERVICE WITH EACH NEW JUKEBOX

Also Announces Product Rebates of Up to 21 Percent

Lake Zurich, Ill., — To position operators for the April 2 launch of its new Gen 3 operating system for broadband, digital-jukebox leader TouchTunes Music Corporation has announced that every new jukebox purchased this year will come with 12 months of free AT&T high-speed DSL Internet service.

TouchTunes says an operator’s annual savings will amount to almost $360 per jukebox, based on the groundbreaking $29.95 AT&T broadband rate that TouchTunes negotiated for operators in mid-2006, an industry first.

Alternatively, in areas where AT&T broadband service is unavailable, TouchTunes will provide operators with a $29.95 monthly broadband subsidy per jukebox, to be credited on account, provided the unit remains broadband connected.

The offer applies to 2007 purchases of TouchTunes’ Allegro floor model and jumbo Ovation and compact Maestro II wall-model jukeboxes. CD-to-digital jukebox conversion kits aren’t eligible.

“With a real-time, high-speed broadband connection, our new Gen 3 operating system delivers amazing new features that simplify music management, allow patrons to download Web-based personal playlists for jukebox use, and simplify song search and selection to boost plays and revenues,” said Dan McAllister, TouchTunes’ senior vice president for sales and marketing. “Beyond the patron-pulling power of personal playlists, Gen 3 provides the platform for broadband-based, social-networking features that will make TouchTunes’ jukeboxes even more sociable and more popular with patrons.”

The company also announced price rebates for quantity purchases of its Allegro, Ovation, and Maestro II jukeboxes.
Rebates range from nine percent for purchases of three to four jukeboxes up to 21 percent for purchases of 20 to 29 jukeboxes. Rebates are credited on account and represent an additional savings on top of the free broadband offer.

TouchTunes Music Corporation introduced the world’s first digital downloading, coin-operated commercial jukebox in 1998. Today, TouchTunes’ online network of some 24,000 pay-per-play Internet jukeboxes in bars, restaurants, and other establishments throughout North America is the industry’s largest, representing a market share of more than 60 percent.

A privately held U.S. corporation, TouchTunes’ principal offices are in Montreal, Canada, and Lake Zurich, Ill., a Chicago suburb. The company is backed by VantagePoint Venture Partners, one of the largest venture capital firms in the world with offices in Silicon Valley, New York, and Montreal. VantagePoint has over $4 billion in capital under management, including a substantial portfolio of consumer-oriented digital-media companies that complement TouchTunes’ growing leadership in out-of-home, interactive entertainment.

For product and sales information, call TouchTunes toll-free at (888) 338-5853 or e-mail sanmi@touchtunes.com.