HONG KONG, Aug. 14 /Xinhua-PRNewswire-FirstCall/ -- VODone Limited (“VODone” or the “Company”) (SEHK code: 82.HK), online media service provider with the leasehold of complete set internet business and internet video broadcasting licenses in China(1), announces that it has entered into a strategic cooperation agreement with Focus Media Holding Limited (Nasdaq: FMCN) to co-develop and promote new media advertising marketing in China on leveraging the advertising platform of two companies, following the cooperations with AirMedia, BIMC and Xinhua News Agency.
Dr. Zhang Lijun, Chairman of VODone Limited stated, “The resources integration enables both parties to leverage on its own competitive edge. Also, the business model is complementary and the cooperation brings about significant impact on the industry as well as industry restructuring and transformation. Being the market leader of new media advertising market in China, VODone is not only eyed on market share, but propel market growth via different forms of cooperation.”
VODone possesses comprehensive internet video broadcasting in China back with strong financial support. At present, it has operated on new media modes such as internet broadcasting, internet radio, mobile video and internet advertising. Its VODONE BUS is also influential and of high business value. According to AC Nielson, the page view of VODONE BUS exceeds 120 million on video terminal of over 18 million, recording independent IP of over 9 million, making it the largest internet video broadcasting platform in respects of coverage, hit rate and accuracy.
According relevant figures, the internet advertising grew at a rate of 51.8% and 55.6% respectively in year 2007 and 2008. The market size is expected to reach RMB11.76 billion, in which internet video advertising is expected to grow 90%. In the coming years, internet video advertising market share is expected to increase to 30% from less than 5% at present. Under this favorable condition, VODone grows rapidly to become internet video advertising market leader. The cooperative moves to develop the market with Focus Media not only avoid potential competition, also one can develop its expertise area and complement one another.
Note 1:
About VODone Limited (82.HK)
VODone Telemedia Co. Ltd., a strategic partner of VODone Limited (0082.HK), is the first and leading online video media group in China. It is also the only enterprise in the PRC to own a complete set of licenses to operate video broadcasting on the Internet. VODone Telemedia has contracted the technical and promotional services to VODone Group, for 50 years.
About Focus Media Holding Limited (Nasdaq: FMCN)
Focus Media (Nasdaq: FMCN), a everywhere and timeless digital media platform covers specific demographics of higher-than-average-income urban consumers at various out-of-home media interaction points in the surrounding cities and the largest digital media group of China. Focus Media provides a broad portfolio of media advertising platforms, including Commercial Location Network, In-store Network, residential premises posters (Framemedia), mobile handset advertising network outdoor LED network and online advertising platform (through Focus Media Wireless). The media networks of Focus Media, such as the direct management DM media and its database distribution channels can mutually compatible and target particular group of audiences. Focus Media is highly recognized by the industry while it operates under a unique business model and its diversity, vividness and popularity of media broadcasting.
