Cellufun Becomes Largest Marketplace for Mobile Virtual Goods in North America

NEW YORK, November 10 - While retailers are once again forecasting meager sales this holiday
season, there is one sector of the market expected to do well: companies
selling virtual goods. Cellufun (m.Cellufun.com), the world's largest mobile
social gaming community, had over 2.5 million transactions in the first three
months after introducing virtual goods into its mobile marketplace.

"We are now the largest and fastest growing marketplace in North America
for mobile virtual goods. Cellufun members are encouraging their friends to
purchase virtual goods on an unprecedented scale," said Cellufun CEO Neil
Edwards. "It doesn't take a retail expert to figure out that virtual goods
are the hot sector now among mainstream consumers. The success of these
numbers shows that in a down economy, users are willing to splurge on items
that may be out of reach in the real world."

Cellufun offers over 3,500 items for sale, and the company adds virtual
goods daily. Soon Cellufun will allow individual members or companies to
author and sell their own virtual goods in their mobile marketplace, similar
to an eBay-like open market.

From July 2009 until October 2009, Cellufun users purchased more than 2.5
million goods: 

    -- 30% of all transactions were clothes and fashion accessories
       -- Cellufun users buy customized outfits for their avatars. With women
          generating 65% of transactions, the company sold 4,051 necklaces,
          6,807 dresses, and 11,070 pairs of women's designer shoes.
    -- 5% of all transactions were for virtual pets
       -- Cellufun offers virtual pets for adoption along with the purchase
          of goods, like kibble and special exercise equipment, for their
          animals. Users purchased 4,667 premium goldfish pets.
    -- 40% of all transactions were for game related items
       -- Cellufun offers several items for purchase which give in-game
          competitive advantages to users.
    -- 25% of all transactions were flirts and greetings
       -- Animated greetings called FunFlirts can be sent from one Cellufun
          member to another or to non-members via email or SMS.

Prices for virtual goods range from US$.05 for virtual kisses to US$4.00
for designers dresses to US$15.00 for the rare dragons up for adoption in
Cellufun's virtual pet store. Members aged 24-49 led the online purchases.
Their participation accounted for almost three-quarters of the total
transactions.

Virtual goods are non-physical objects that are purchased or exchanged
for use within online social, gaming, or dating communities. A virtual good
has no intrinsic value in the real world beyond personal use value to the
consumer buying the item. In North America, companies have thus far only
created virtual goods markets for computer users. Yet, global demand has
grown exponentially since 2007 and is now a US$5 billion dollar market. Much
of this activity has occurred in Asia, where many consumers use their mobile
phones to make purchases. Cellufun is the first US company to anticipate this
trend, and now allows members to purchase and use virtual goods on any mobile
phone, wherever they may be. The company anticipates that, by the end of
2010, virtual goods revenues will outpace their advertising revenues by a
large margin.

About Cellufun

Cellufun is the world's largest mobile social and gaming community where
people meet, shop, and play social games. It is available in 10 languages on
any phone with a data plan with no download required. Cellufun partners with
mobile operators and media companies to deliver branded entertainment and
custom-designed mobile marketing solutions. Cellufun garners over 200 million
page views per month. 

    Keith Katz, Cellufun, +1-212-385-2255
    Joel Mazmanian, Rubenstein PR, +1-212-843-8295,
    jmazmanian@rubensteinpr.com

Keith Katz, +1-212-385-2255; Joel Mazmanian, +1-212-843-8295, jmazmanian at rubensteinpr.com