AANIE, fantastic news, Motorola deal! News for 'AANI' - (Amedia Networks Announces A New IPTV Home Gateway
Licensing Agreement With Motorola)
EATONTOWN, N.J., Jun 12, 2007 (BUSINESS WIRE) -- Amedia Networks, Inc.
(OTC BB:AANI;AANIE), a provider of next generation media gateways to distribute and
manage ultra-broadband triple-play services in the home, today announced
that ithascompleted a licensing agreement with Motorola, Inc. (NYSE: MOT), a
worldwideleaderin wireless and broadband communications, for the jointly developed MIPX
home gateway platform. Under this agreement, which is intended to replace
theStrategicAlliance Agreement of April 2006, Motorola will assume all
engineering, manufacturing, and support duties for the family of three IP
Homegateways,and pay Amedia Networks a production fee of $5.00 per unit of the
gateway product, including an advance of $200,000 for the first 40,000
units tobemanufactured. Separately, Motorola has also committed to paying Amedia
Networks an additional $333,333 for a combination of remaining
deliverables fromthecompanies' original strategic alliance agreement and for specific
transitiondeliverablesunder the new licensing agreement, of which $250,000 has been
received."We are very pleased about the terms of this licensing agreement with
Motorola,whichgenerates immediate and ongoing revenue for Amedia without additional
investments in a capital intensive manufacturing effort - and for the fact
thatourrelationship with a leading global industry force remains strong," said
Frank Galuppo, Amedia Networks President, CEO, and Director. "It is truly
a
win-win for both companies, as Motorola can leverage its extensive supply
chaininthe manufacturing of the MIPX line of products, while Amedia can continue
toconcentrateon its strength of innovating and developing software for
next-generation home networking and residential gateways."Jointly developed by Amedia Networks and Motorola, the MIPX gateway was
originally designed to enhance data, IPTV, High Definition TV, and Digital
VideoRecordercapabilities using Motorola's proprietary Multi-Service Access Platform
- offering Motorola customers a seamless migration to an open third-party
IPTVarchitecture.About Amedia Networks
Amedia Networks, Inc. (OTC BB: AANI) provides next generation residential
mediagatewaysto distribute and manage high-quality voice, high-definition video, and
high-speed data services throughout the networked home. The Amedia
residentialgatewayoffers a single, compact, configurable device with the collective
functionality of a modem, wireless access point, router, VoIP adapter, andfamilyfirewall - all in one. In addition, it features external media storage
and a built-in operating system for carriers to continuously develop and
delivernew,ultra-broadband applications to the home. The company is led by an
executive team with a long and proven history in the voice, data, and
telecomindustries,and its core technologies have been co-developed by Lucent
Technologies, Inc.'s renowned Bell Laboratories unit. For more
information,visitwww.amedia.com.
All company names, brand names, and product names herein are trademarks of
theirrespectiveholder(s).
This press release may contain "forward-looking" statements as that term
isdefinedin the Private Securities Litigation Reform Act of 1995. A number of
factors could cause Amedia's actual results to differ from anticipated
resultsexpressedin such forward-looking statements. Such factors are addressed in
Amedia's filings with the Securities and Exchange Commission (available atwww.sec.gov)and include, but are not limited to, the success and market
acceptance of Amedia's triple play solution, the sufficiency of cash
reserves tomeetoperating and other requirements, the relatively fast pace of obsolescence
in the broadband communications equipment market, and the competitiveenvironmentin the economy generally and in the telecommunications specifically.
Amedia assumes no obligation to update any forward-looking statements.SOURCE: Amedia Networks, Inc.
CONTACT: Amedia NetworksJD Gardner, 732-440-1959CFO and SVP
Business Operationsjdgardner@amedia.comorResound MarketingKevin
McLaughlin, 609-279-0050 x102Principalkevin@resoundmarketing.comCopyright Business Wire 2007
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