Los Gatos, CA, January 8, 2008 In a significant move to protect the rights of current and future content partners such as Sony/BMG and Showtime, ZVUE Corporation (NASDAQ: ZVUE) has entered into a strategic partnership with Audible Magic, the industry’s top provider of copyright-protection technology solutions. Under the agreement, Audible Magic will provide content recognition and management services to ZVUE Corporation and the ZVUE Network of 8 leading online entertainment properties, including eBaum’s World (http://www.ebaumsworld.com).

”We respect the rights of content owners and are demonstrating that respect through our partnership with Audible Magic,” said Jeff Oscodar, CEO of ZVUE. “The ZVUE Network is and will continue to be a great distribution channel for both user-generated content and professionally produced copyrighted content. The implementation of Audible Magic’s technology is another step toward our goal of providing our visitors with the very best entertainment on the Web. “

Vance Ikezoye, founder and CEO of Audible Magic, added, “ZVUE is a leader in global entertainment with a broad customer base that contributes and views both user generated and commercial content. We are pleased to be working with ZVUE to support their continued success and to insure the protection of copyrighted content on the ZVUE Network.”

ZVUE Corporation (formerly HandHeld Entertainment, Inc.) (NASDAQ: ZVUE) is a global digital entertainment company. Its ZVUE Network (comprised of eBaumsWorld.com, Putfile.com™, Holylemon.com™, UnOriginal.co.uk™, YourDailyMedia.com™, Dorks.com™, FunMansion.com™ and ZVUE.com™) is consistently among the top-five companies providing user-generated video online. ZVUE™ personal media players are mass-market priced and currently available for purchase online and in more than 2,200 Wal-Mart stores throughout the U.S.

For more information please visit: http://www.zvue.com

ZVUE Contact

Media Contact:
Peter Evers
Double Forte
[email protected]

Investor Contact:
Scott Wilson
Blue Shirt Group
[email protected]

Audible Magic Corporation provides content management and anti-piracy services to the media and entertainment industries as well as business, governmental, and educational institutions. The company’s offerings utilize patented content identification technologies and an extensive reference database of audio and video content that includes one of the largest collections of copyrighted digital song recording fingerprints in the world. Its digital technology and services were designed to monitor, track, manage, filter and monetize digital content in all its forms. The company has been actively providing services for the Web 2.0 user-generated content video sharing sites including MySpace, Microsoft (Soapbox), and YouTube as well as Bebo, Break.com, Dada, Dailymotion, eSnips, Eyespot, GoFish, and Sony Pictures’ Crackle. The company also has agreements with Nokia, Viacom’s MTV Networks (MTVN), VideoEgg and the Harry Fox Agency, a leading U.S. music rights organization. Corporate partners include EMI Recorded Music, Palisade Systems, Sony/BMG Music, Universal Music Group, V2 Music, Warner Music Group, and EMI Recorded Music. Audible Magic is also employed by iMesh and PlayLouder MSP music service. Audible Magic products include the CopySense P2P Plug-In, CopySense Network Appliance, and RepliCheck.

For more information please visit: http://vps15579.inmotionhosting.com/~audibl8

For more information, visit Audible Magic’s website at www.audiblemagic.com or contact:

Audible Magic Media & Analyst Inquiries

Jay Friedman
Vice President of Marketing and Product Management
408-399-6405 x238
[email protected]