Product Launch

28 September 2011

Phorm, Inc. ("Phorm" or "the Company")

Consumer Deployment in Romania

Phorm (AIM: PHRM and PHRX), the internet personalisation technology company, today announces the deployment in Romania of its Discover internet personalisation engine and the Open Internet Exchange ("OIX") advertising marketplace.

Romanian ISP Romtelecom has today commenced a roll-out of Discover to its more than one million broadband customers. The service brings relevant content and advertising to users based on their web browsing interests and is free to both consumers and websites. Based upon the Company's experience in Brazil, a substantial majority of users are expected to choose to opt in to use the service.

Phorm has been working with partners such as the country's main web publishers and advertising agencies in anticipation of the user base reaching a commercially meaningful scale in the near term.

Kent Ertugrul, Founder and Chief Executive of Phorm, commented: "We are very excited to have been given the opportunity to partner with Romtelecom and many of Romania's leading content and advertising players. We believe that this launch will bring a higher quality browsing experience to Romanian consumers whilst opening up significant revenue opportunities to the online economy.

-Ends-

About Romtelecom:

Romtelecom is one of the most significant operators in the telecom market in Romania, with approximately 4.9 million RGUs at the end of the second quarter of 2011. Romtelecom is a provider of complete communication solutions, which is strengthening its position in the broadband internet and TV markets as well as constantly developing its ICT and online services. For more details, visit www.romtelecom.ro.

About Phorm:

Phorm is a global personalisation technology company that makes content and advertising more relevant to the consumer. Phorm's innovative platform preserves user privacy and delivers a more interesting online experience. Phorm's partners include leading ISPs, Publishers, Ad Networks and Advertisers.

Phorm is a Delaware, US incorporated company, with offices in Bucharest, London, Moscow, Sao Paulo and Seoul. The Company was admitted to the AIM market of the London Stock Exchange in 2004 and has over 150 employees and direct contractors. For more information, please visit: www.phorm.com.

Enquiries:

Phorm, Inc.

Andy Croxson (analysts & investors) +44 20 7297 2326

Alex Laity (media) +44 20 7297 2710

Mirabaud Securities LLP +44 20 7321 2508

(Broker)

Jason Woollard

Peter Krens

Canaccord Genuity Limited +44 20 7050 6500

(Nominated Advisor)

Mark Williams

Andrew Chubb