DUBAI, June 6 /PRNewswire-FirstCall/ -- KIT digital (OTCBB: KITD) and Media Gateway, the leading international digital media content clearing house, have agreed to work together to provide a broad suite of video content for various mobile TV launches in the Middle East and North Africa (MENA) region, together with a global handset manufacturer. This new mobile content will be made available on next-generation handsets first in the United Arab Emirates and will then reach mobile consumers throughout the rest of MENA and in other places around the world where mobile IPTV is becoming the most exciting feature of cellular phone usage.

KIT digital, a global provider of IPTV enablement technology and video-centric interactive marketing solutions, has a wide selection of mobile TV content, including a unique, daily, global sports programming, SportCall, which gives subscribers access to sport news from the world's leading sports news video agency, SNTV.

Adrian Wood, managing director of Media Gateway, said, "Working with over 400 content providers, we are focused on delivering the widest array of new digital media to our customers and various platforms around the world. In the expanding world of mobile TV, sports content continues to take the lead. Therefore, it is important to have the strongest partners on board. KIT's offering is a key differentiator for us and will play an integral role in selling mobile TV to subscribers."

"Video-over-mobile offerings are burgeoning worldwide. Consumers want to instant access to their preferred content and carriers and handset manufacturers are looking for companies that can make this happen in a localized and cost effective manner-both from a technical services and from a content programming perspective," said Henrik Eklund, president of Kamera and KIT digital's mobile solutions division. "Through the recent merger of Kamera and KIT digital, we have created a broad platform that meets the needs of the mobile video consumer and the companies that serve them."

Kaleil Isaza Tuzman, chairman & CEO of KIT digital, commented, "KIT digital continues to create partnerships with leading corporations in high-growth geographies. Anyone who has done business in the new media content marketplace outside of the traditional North American and the U.K. context knows and respects what Media Gateway has achieved over the years. We are very pleased that our first enterprise partnership in the region involves another Dubai-based industry leader, and look forward to revealing our handset manufacturer relationships at a later date."

About KIT digital

KIT digital, Inc. (OTCBB: KITD) is a leading, global provider of proprietary IP-based video distribution technologies and video-centric interactive marketing solutions. Through its end-to-end platform, KIT digital works closely with consumer brands, content providers and telcos to maximize the value of video content via the Internet and mobile networks. The KIT platform allows clients to publish, manage and distribute digital video content, build online/mobile communities and integrate advertising. The Company offers businesses a full range of interactive marketing solutions and KIT clients can access approximately 100 KIT-syndicated channels and 40,000 KIT-syndicated videos. KIT digital clients include News Corp., Verizon, IMG, China Mobile, Telefonica, Vodafone, K-Mart, Coles, NASDAQ, Hummer and RCS. KIT digital has principal offices in Dubai, Melbourne (Australia), Stockholm, New York and London. For additional information, please visit http://www.kit-digital.com/.

About Media Gateway

Media Gateway is the leading international content clearing house for digital media license rights of regional and international TV, film, music, radio and games content. Media Gateway ensures these rights are fully exploited by securing alternative modes of distribution, with a focus on live signal streaming or server-based play-out via IPTV, PC/broadband, Internet TV, video-on-demand, mobile telephony, and PDAs. Media Gateway also has a technology company providing technical services for mobile and IPTV, as well as an events company, bringing both talent and producing events from start to finish in areas including but not limited to music, sports, business and corporate environments. For additional information, please visit http://www.mediagatewayme.com/.

Certain statements in this document constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual results, performance or achievements of KIT digital, Inc ("the Company"), or industry results, to be materially different from any future results, performance, or achievements expressed or implied by such forward-looking statements. The Company's future operating results are dependent upon many factors, including but not limited to the Company's ability to: (i) obtain sufficient capital or a strategic business arrangement to fund its plan of operations when needed; (ii) build the management and human resources and infrastructure necessary to support the growth of its business; (iii) competitive factors and developments beyond the Company's control; and (iv) other risk factors discussed in the Company's periodic filings with the Securities and Exchange Commission, which are available for review at http://www.sec.gov/.

CONTACT: Todd Fromer, Investor Relations, +1-212-896-1215,
tfromer@kcsa.com, or Lewis Goldberg, Public Relations, +1-212-896-1216,
lgoldberg@kcsa.com, both of KCSA Strategic Communications, for KIT digital

Web site: http://www.kit-digital.com/
http://www.mediagatewayme.com/