Intel Veteran Joins HandHeld Entertainment as Chief Operating Officer

SAN FRANCISCO – November 17, 2005 – HandHeld Entertainment today announced that the former head of Intel Capital Europe, Tim Keating, has joined HandHeld as its chief operating officer.

Keating is the former managing director of Intel Capital Europe where he spearheaded more than 70 equity investments between 2000 and 2003. He is a 21-year veteran of Intel where he helped grow the Fortune 500 company’s core processor business into one of the strongest in the world by heading up the microprocessor business in Europe in the 1990’s and launching the original Intel Pentium™ brand and chip.

“As a pioneer in making portable media players available to the masses at mass-market prices, HandHeld Entertainment’s family of ZVUEs hits the sweet spot of a very hot market,” Keating said. “But it’s not just about the technology. As the head of Intel Capital Europe, it was clear to me that the most critical aspect of any successful investment was always the existing team, and that is just one more reason why I have joined HandHeld Entertainment.”

Keating has been a key figure in driving the innovation of the new family of ZVUE products to be released in January 2006.

“Tim’s experience and expertise cut across all aspects of HandHeld Entertainment’s business on both domestic and international levels, and that makes him a great asset to our company,” said Jeff Oscodar, chief executive officer of HandHeld Entertainment. “It’s not often that you find an executive from one of the world’s great companies who has a deep understanding of operations and manufacturing, product marketing, content relationships and the venture capital market.”

HandHeld Entertainment recently announced that it is introducing a ZVUE product family at CES 2006 in Las Vegas, Nevada. The upcoming next-generation ZVUEs will feature on-board flash memory, a rechargeable lithium-ion battery, and be compatible with Windows Media Video (WMV) and Windows Media Audio (WMA) through the use of Microsoft’s secure Digital Rights Management (DRM) software.

Keating is a graduate of University of California, with a degree in electrical and computer engineering, and a graduate of the Harvard University Graduate School of Business General Management Program (PMD 1990).

About the ZVUE
ZVUEs give digital media lovers the ability to take their favorite video, audio and digital picture content on-the-go by simply downloading films and music from the ZVUE download Web site, http://www.zvue.com/downloads/ and other content sites. About the size of a pack of playing cards, the highly-portable ZVUE plays videos, music and audio files that can be taken anywhere, anytime.

About HandHeld Entertainment
HandHeld Entertainment is the world's first portable digital entertainment company to offer mass-market portable media players at mass-market prices via mass-market distribution at more than 1,500 retail locations across the United States. ZVUE users can download thousands of free media titles at www.zvue.com/downloads. For more information, visit http://www.zvue.com.
HandHeld Entertainment and ZVUE are trademarks of HandHeld Entertainment.