Digital Orchid Acquires European Mobile Game Developer, Blue Tech

Wireless Application Leader Gains Strength in European Market while Fortifying Games and Technology Portfolio

San Diego, CA – September 27, 2006 -- Digital Orchid, the leading developer and distributor of wireless applications for major sports, lifestyle and entertainment brands, announced today it has acquired Blue Tech, the prominent European developer and distributor of branded mobile games and wireless applications. The acquisition provides Digital Orchid with advanced Java and gaming application technology as well as an extensive line of popular games for carrier distribution. Digital Orchid’s current wireless line-up includes real-time mobile applications, wallpapers, gaming, ringtones, WAP services, SMS services, and other content from more than 65 worldwide brands.

Founded in Spain in 2004 and headed by Javier Gracia Álvarez-Ossorio, Blue Tech has built its reputation with notable expertise in Java applications and mobile games development. It is the parent company of the renowned brand, Kato Studios which produces more than 40 leading European mobile games including Ibiza, Grand Prix 2006, 7 Days of Terror, and puzzle game Sudoku. While helping to cement the company’s presence in Europe, the acquisition also enhances Digital Orchid’s growth in the Hispanic and Latin America wireless markets.
“By leveraging Blue Tech’s European stronghold and rich technical skills we will be able to further represent our partner brands in the wireless marketplace,” said Daniel Daou, CEO and co-founder of Digital Orchid. “And with Kato Studios’ robust games catalogue, we can provide an all encompassing mobile solution to our brand and carrier partners worldwide.”

Nour-Dean Anakar, president and C0O of Digital Orchid Inc, will oversee Digital Orchid expansion throughout Europe and Javier Gracia Álvarez-Ossorio, president of Blue Tech, will remain based in Spain overseeing all Blue Tech operations as the senior vice president for Digital Orchid Europe.
“We are thrilled to join the Digital Orchid family,” said Álvarez-Ossorio. “Digital Orchid’s advanced technology platform allows us to easily and quickly distribute our gaming products through multiple handsets across multiple regions. By joining forces with Digital Orchid, Blue Tech has gained worldwide reach for our partner products along with access to popular U.S. brands for games development.”

About Blue Tech/Kato Studios
Based in Madrid, Blue Tech is the leading developer and publisher of mobile games in Europe and is the parent company of Kato Studios. Blue Tech’s gaming applications are distributed in multiple languages across Java, Doja and Brew, and on popular mobile handsets. For more information: http://www.katostudios.com.