Falcon Regulatory News (FAL)

 NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, WITHIN, INTO OR IN THE UNITED STATES, AUSTRALIA, CANADA OR JAPAN.

24 May 2017

Falcon Media House Limited

("Falcon", the "Group" or the "Company")

Partnership to deliver first secure OTT service in West Africa

Falcon Media House (LSE:FAL), the global internet broadcast media group focused on the over-the-top ('OTT') market, is pleased to announce that it has partnered with Verimatrix, the specialist in securing and enhancing revenue for multi-network, multi-screen digital TV services around the globe, to deliver the first secure OTT service in West Africa ('the Partnership'). The service will be powered by the Company's revolutionary Q-Flow technology, which is proven to prevent the frequent loss of signal or 'buffering' that currently affects the OTT video streaming market. The new OTT service has been commissioned by a leading oil organisation to provide, for the first time, uninterrupted live and on-demand TV to 3,000 employee households (approx. 6,000 users) on Bonny Island in West Africa which currently suffers from poor TV quality. The revenue model is based on an initial upfront fee plus on-going annual licence and support fees.

Falcon's video delivery expertise and Q-Flow technology has been combined with the Verimatrix award-winning revenue security solutions to create a closed system that converts the content of Sub-Saharan Africa digital satellite TV provider, DStv, into a standalone OTT service. This new OTT service will be delivered to set top boxes in the home and to mobile devices and will include features such as VoD and multiscreen support for mobiles and tablets.

Unlike traditional delivery of content to the door, which even when fibre is used can face bandwidth challenges when large numbers of users are streaming content, Falcon's Q-Flow technology will enable users of the OTT service to enjoy seamless video experiences across all devices. Thanks to Q-Flow, the Partnership's closed system overcomes traditional satellite TV transmission issues caused by heavy rainfall, distance as well as network congestion, while integration with the Verimatrix Video Content Authority System (VCAS™) solution will ensure premium content is delivered securely.

The stand-alone OTT service is due to go live during summer 2017 and will consist of 21 channels at launch with more to be added. This represents the first deployment of Falcon's Q-Flow technology in the region and is in line with the Company's strategy to build dedicated OTT channels for organisations in the corporate and sporting arenas. Falcon has identified West Africa as a target market for its technology: Nigeria is the fastest-growing entertainment and media market globally and is projected to be the largest free digital television platform globally with an estimated 30 million TV households. In 2014, the Nigerian market grew by 19.3% to reach US$4.0 billion.

Falcon Media House Executive Chairman, Gert Rieder commented, "Delivering the first secure OTT service in West Africa, which will enable thousands of people on Bonny Island to enjoy high quality content streaming for the first time, demonstrates the transformative impact of our Q-Flow technology on the fast-growing OTT market. As leading experts in our field working to the highest standards, we're proud to be partnering with Verimatrix, whose award-winning security credentials allow video service providers to cost-effectively extend their networks and enable new business models. Together we are able to provide a best in class OTT service which delivers a seamless live and on-demand TV experience for users, while at the same time extends the reach of network providers securely.

"We continue to make progress in widening our commercial relationships and establishing dedicated channels for corporations and sporting entities. I look forward to reporting further on developments as we deliver on our growth strategy of building Falcon Media House into a global internet broadcast media group focussed on the OTT market."

President of Verimatrix, Steve Oetegenn commented, "Our integration with Quiptel's technology enables service providers to take advantage of the quickly expanding OTT video market in a fully secure fashion. Our joint customers can now deploy and easily scale knowing that they have the best-of-breed platform, featuring our award-winning revenue security."

**ENDS**

For more information visit www.falconmediahouse.com or enquire to:

About Falcon Media House

Falcon Media House (LSE:FAL) is a multi-divisional, global internet media group. We are building a new breed of media entertainment house for the way people want to consume live and on-demand video content. Our goal is to create an ecosystem where great technology meets great entertainment ideas and finds the right audience. The Group is capitalising on explosive demand for digital video, streamed "live" and "on-demand" known as the Over-The-Top (OTT) video streaming market. Falcon Media House operates three distinct and synergistic divisions:

· Quiptel - the Technology Division: Innovative patented technology enabling "intelligent streaming" on any network to any device, dramatically reducing bandwidth consumption.

· Teevee - the Broadcast Distribution Division: Direct to Consumer (D2C) branded OTT service, to bring unique and exclusive content to a global audience.

· Teevee Makers - the Content Division: Specialist media and production company to produce content for own and third party broadcast distribution.

About Verimatrix

Verimatrix specialises in securing and enhancing revenue for multi-network, multi-screen digital TV services around the globe and is recognised as the global number one in revenue security for connected video devices. The award-winning and independently audited Verimatrix Video Content Authority System (VCAS™) family of solutions enables next-generation video service providers to cost-effectively extend their networks and enable new business models. The company has continued its technical innovation by offering the world's only globally interconnected revenue security platform, Verspective™ Intelligence Center, for automated system optimisation and data collection/analytics.

Forward-looking and cautionary statements

Certain words and statements in this release concerning Falcon Media House and its prospects, and other statements, including those relating to Falcon Media Houses' expected financial position, business strategy, the future development of Falcon Media Houses' operations, are forward-looking statements. Such statements involve known and unknown risks, uncertainties and other factors, including financial, regulatory and environmental, as well as those relating to industry growth and trend projections, which may cause actual results, performance or achievements of Falcon Media House, or industry results, to differ materially from those expressed or implied by such forward-looking statements. The important factors that could cause actual results, performance or achievements to differ materially from such forward-looking statements include, among others, failure to increase the volume of subscribers on Falcon Media Houses' operating companies; failure to develop new products and services that meet customer demands and generate acceptable margins; failure to successfully complete commercial testing of new technology, consumer services and information systems to support new products and services. Additional factors that could cause actual results, performance or achievements to differ materially from such forward-looking statements, many of which are not in Falcon Media Houses' control, include, but are not limited to, those risk factors discussed in Falcon Media House Limited's Annual Reports. The Annual Reports of Falcon Media House Limited are available at www.falconmediahouse.com. Falcon Media House is under no obligation to, and expressly disclaims any obligation to, update or alter its forward-looking statements.