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Microcap & Penny Stocks : QuesTec.com (QSTI)

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To: Greenie who wrote (2266)2/1/2000 12:02:00 AM
From: Bruce Cullen   of 2393
 
I will not speculate on this in depth.
Read into this and think about (QSTI) and (LPAC)
These are two of my recommendations as of late.
It has been known that IATV and QSTI have been spoken about before in regards to working possibly along side each other.
AND ALWAYS AN OPINION
Bruce Cullen
Sherwood Coasts Group
geocities.com
See my website for disclaimer.
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This from the Public Offering statement of ACTV, Inc.
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Under the terms of our agreement with General Instrument, we have licensed five of our patents
to Digital ADCO in exchange for 51% of the common stock of Digital ADCO, and General
Instrument has licensed six of its patents plus made a $5 million capital commitment for 49% of Digital
ADCO?s common stock. Any capital contribution after General Instrument has fulfilled its initial
$5 million commitment will be made pro rata based on ownership interests. We anticipate that Digital
ADCO will generate revenues from three major sources: subscription fees for software, advertisement
handling fees and an advertisement encoding fee for digital insertion, a process called ??striping.??
We have entered into a master license agreement that sets forth the framework for negotiating
with each of FOX Sports Net?s 19 owned or affiliated regional sports networks to provide content for
our planned individualized sports programming service. FOX Sports Net, which reaches more than
72 million homes nationwide, features professional basketball, hockey and baseball games, as well as
college sports events. To date, we have entered into licensing agreements with the following five
regional sports networks FOX Sports Net Southwest, FOX Sports Net West, FOX Sports Net
Northwest, Sunshine Network and FOX Sports Net Bay Area.
We expect to launch our first regional service in the area served by FOX Sports Net Southwest,
which distributes programming to more than 6 million subscribers in Texas, Louisiana, Arkansas,
Oklahoma and New Mexico. We have produced over 100 individualized live sporting events and have
tested distributing the programs through AT&T Broadband & Internet Services (formerly Tele-Communications,
Inc.). We plan to systematically expand Individualized Television into the other
regions served by FOX Sports Net. We expect to launch our second regional sports network in the area
served by FOX Sports Net West, which distributes programming to approximately 4.8 million
subscribers in Southern California.
Although we chose to focus our initial commercialization efforts on marquee events, advertising
and regional sports, we believe that our Individualized Television system will have universal
applications. It is our objective to expand our Individualized Television to include many other genres of
television programming. We believe that Individualized Television can become a standard for interactive
digital television programming distributed through cable systems, DBS, and digital broadcast television.
Production
The master license agreement that allows us to negotiate with FOX Sports Net?s regional networks
provides that we must bear the incremental content, transmission, delivery and master control costs
incurred in connection with the production and distribution of individualized programming for our
regional networks. Currently, we have a state-of-the-art master control facility in a building we share
with FOX Sports Net Southwest in Irving, Texas. Our master control receives multiple video/audio
feeds from FOX Sports Net Southwest via fiber lines. We intend to construct or lease similar facilities
for creating and distributing individualized programming for each of our future regional sports
networks.
We expect to lease a master control facility from National Digital Television Center, a leading
digital television creation facility, to produce and distribute individualized programming for our planned
regional network in Southern California. The National Digital Television Center has production,
post-production, digital compression and network origination services and is the largest production
facility on Los Angeles? west side. This facility enables us to work closely with Liberty Media?s Liberty
Digital division and with other major entertainment and advertising content creators on the
development of Individualized Television programming. Our Los Angeles office is currently located in
this center.

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