The principal asset of EGTH is a long term marketing, sales and distribution agreement, as amended (the “Agreement”) by and between EGTH and Datawind Net Access Corporation (“Datawind”) relating to the PocketSurfer and any subsequent next generations of such product. The PocketSurfer is a robust, handlheld, wireless internet access and mobile telephone device which delivers the internet in approximately 5 to 7 seconds per page and displays full content HTML web pages, graphic and java scripts, offering a full desktop web experience, together with a larger functional keyboard than competitive products. The Agreement provides for EGTH to market, sell and distribute the PocketSurfer domestically and internationally in five exclusive vertical markets: (i) fantasy sports and sports book; (ii) online poker; (iii) music, movies and television; (iv) adult markets (adult rated content); and (v) financial services markets. Ongoing exclusivity for such markets is subject to certain minimal annual subscriber thresholds, as well as for the payment by EGTH to the licensor of such product of delineated monthly service fees per subscriber, as further discussed below.
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