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CDV enters MMOG growth market

    * Exclusive development and distribution cooperation with Enlight Software Ltd., Hong Kong

    * Publication of MMOG Imagine in Europe and USA as early as Q1 2007

    * New MMOG development in HY1 2008

    * Acquisition of further MMOG licenses planned

CDV Software Entertainment AG ("CDV", Prime Standard, ISIN DE0005488126), one of the leading German publishers and distributors of computer and video games, is entering the globally booming market for Massive Multiplayer Online Games (MMOG). It is doing so in the context of an exclusive development and distribution cooperation with Enlight Software Ltd., Hong Kong, the Chinese publisher and developer. MMOGs are PC games where several thousand players simultaneously play with and against each other using broadband internet connections, paying a monthly subscription fee for doing so.

As part of its two-stage market entry strategy, CDV will initially adapt Enlight’s role playing game Imagine, which is to be published in China in July this year, to Western markets, license it and from the first quarter of 2007 market and distribute it exclusively in Europe and the USA.

Parallel to this, in a second step, CDV and Enlight will develop a further high-end (Triple A) MMOG, in which the experience from the first project will be used. Publication for this product specially planned for the Western market is scheduled for 2008. It will be exclusively marketed and distributed in Europe and the USA under the CDV label.

The cooperation with Enlight allows CDV AG to access an existing, high-performance mechanism for MMOGs and the extensive experience of Enlight in operating MMOGs. As a result, the cost structure can be well calculated and the risk-return ratio is excellent.

Christoph Syring, Chairman of the CDV AG Management Board, “We have been observing the market for online games for some time and are pleased that the time for the long-awaited breakthrough has come. With the cooperation with our experienced partner of many years, Enlight Software Ltd., we are in the position of systematically implementing our two-stage market entry strategy quickly with a manageable investment level. At the same time we are participating in the MMOG mega trend. We are confident that this strategic expansion of our business model with the MMOG genre will positively impact our growth as early as the 2007 fiscal year.“

Comments:

Growth surge for MMOGs imminent

In 2005, increasing popularity of rapid broadband internet connections (DSL, cable, wireless), resulted for the first time to significant revenues from on-line game fees. According to a study published in March 2006 by DFC Intelligence Online Game Market Forecasts, revenues from online games in 2005 totaled USD 2 billion and will increase to approximately USD 6.8 billion by 2011. According to PriceWaterhouseCoopers, in Germany alone the market will grow by almost 60 percent annually to more than EUR 910 million by 2009.

About CDV Software Entertainment AG

With around 100 employees and the highest level of sector expertise, CDV AG is one of the leading German publishers and distributors in the growing market for computer and video games. As a publisher, CDV develops and markets computer games in line with international quality standards. As a distributor, CDV enjoys a global network of licensing and distribution partners for computer and video games around the world. As a result, CDV benefits from the complete value added chain and operates in an exciting market with a bright future in which it repeated gains top rankings in the European sales charts, mainly with high-quality strategy games of the real-time strategy genre. The strategy series Sudden Strike, Cossacks, Blitzkrieg and Codename: PANZERS are some of CDV’s greatest successes.

About Enlight Software Ltd.

Enlight Software Ltd. (www.enlight.com) is one of the world’s leading developers and publishers of entertainment software. After being founded in 1993, Enlight has won many industry prizes for its innovative and high-quality games. The company founder, Trevor Chan is considered worldwide to be one of the most progressive designers in the industry for computer and video games. In addition to two development studios, Enlight has a solid publishing and distribution network in North America, Europe, and Asia.

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By: MMOGInfo.Com Publish date: 31/03/2006

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