PhatNoise and Audible.com Partner to Bring Audiobooks, Periodicals and Spoken Audio Content to In-Car Digital Media Systems for the First Time

    LOS ANGELES--July 10, 2002--PhatNoise, Inc., maker of the award-winning PhatNoise Car Audio System (CAS), and Audible, Inc. , today announced a new partnership to integrate the Audible.com(R) Internet audio service into the PhatNoise Music Manager interface, allowing playback of Audible content from digital media systems based on the PhatNoise platform. The companies will deliver pre-loaded Audible titles on the DMS cartridges that come with PhatNoise-based in-vehicle digital media jukebox systems beginning this summer.
    To promote this new capability, Audible and PhatNoise are offering consumers one free month of the Audible audio service, any one audiobook along with a one-month subscription to one of the 25 programs offered in Audible.com's unique Subscription Center (www.audible.com/subscriptions). Additionally, Audible is providing PhatNoise with chapters from a selection of best-selling audiobooks, as well as articles from Men's Health, Forbes and The Wall Street Journal for the in-box cartridges.
    "We are very excited to provide our PhatNoise customers with the ability to immediately access premium spoken audio content through our new partnership with Audible.com," said Dannie Lau, co-founder and executive vice president of business and new product development at PhatNoise, Inc. "Now, purchasers of PhatNoise-based systems can begin enjoying great content the minute their system is installed. We expect there will be great enthusiasm for Audible's excellent offerings among PhatNoise users."
    "This partnership represents an elegant method for delivering Audible's content to listeners in the car, and we are grateful for the opportunity to work with PhatNoise and its customers," said Guy Story, chief scientist at Audible, Inc. "Integration into the PhatNoise CAS combines the power of our award-winning spoken audio service with a great in-vehicle digital audio system."
    The award-winning PhatNoise CAS allows consumers to easily transfer and enjoy high fidelity playback of digital music and spoken audio tracks in their vehicles without having to record files onto CDs or replace their existing car stereo head unit. The system is comprised of an in-car audio player that can be installed in the trunk, glovebox or under the seat and a computer docking station for uploading and storing of thousands of audio files onto an included high-capacity, removable DMS cartridge. The system's powerful audio management software with patented Dynamic Playlist Generation Technology(TM) enables easy uploading and organization of tracks into personalized playlists using simple queries. Since the CAS is natively compatible to in-car stereo systems, consumers can utilize existing stereo CD changer controls and accessories to play their audio.

    About PhatNoise, Inc.

    Based in Los Angeles, Calif., PhatNoise, Inc. is a leading-edge, privately-funded developer of next-generation hardware, software and Web integration technologies for digital media. The company's technology takes consumers beyond current concepts in digital music and media by introducing easy and efficient ways to locate, manage, play and interact with digital content across multiple devices and environments. PhatNoise licenses its technology platforms to strategic partners to develop next-generation multimedia products. For more information, visit www.phatnoise.com.

    About Audible, Inc.

    Audible(R) (www.audible.com(R)) is the Internet's largest, most diverse provider of premium spoken audio services for content download or playback on personal computers or AudibleReady(TM) PC-based mobile devices. Audible has more than 34,000 hours of audio programs and 155 content partners that include leading audiobook publishers, broadcasters, entertainers, magazine and newspaper publishers and business information providers. Audible.com is Amazon.com's (www.amazon.com) exclusive provider of spoken word products for downloading or streaming via the Web. Additionally, the Company is strategically aligned with Random House, Inc., to pioneer the first-ever imprint to produce spoken word content specifically suited for digital distribution, Random House Audible. Among the Company's key business partners are Card Access Inc., Casio Inc., Compaq Computer Corporation, Handspring, Hewlett-Packard Company, Microsoft Corporation, Royal Philips Electronics, RealNetworks, Inc., SONICblue Incorporated's Rio Audio Group, Sony Electronics, Texas Instruments and VoiceAge Corp.

    Audible and www.audible.com are registered trademarks of Audible, Inc.; AudibleReady is a trademark of Audible, Inc. and all are part of the family of Audible, Inc. trademarks. Other product or service names mentioned herein are the trademarks of their respective owners.

    This press release contains information about Audible, Inc. that is not historical fact and may be deemed to contain forward-looking statements about the company. Actual results may differ materially from those anticipated in any forward-looking statements as a result of certain risks and uncertainties, including, without limitation, Audible's limited operating history, history of losses, uncertain market for its services, and its inability to license or produce compelling audio content and other risks and uncertainties detailed in the company's Securities and Exchange Commission filings.