NetZero Signs 200,000 Users in 11 weeks; Adds Advertisers

Ad-backed Internet access service NetZero Inc. said it has attracted more than
200,000 subscribers in 11 weeks. New advertisers include Compare.net and Deja
News

Sign-ups are occurring at a rate of at least one every 45 seconds, NetZero
said, and the site is delivering more than 100 million page views per month.

NetZero said it has exceeded its ad revenue goals and is currently 100 percent
sold out. The newest advertisers are Compare.net and Deja News, which join BellSouth, Music
Blvd., The Trip.com and Nissan. All told, the company said it has signed up
more than 40 major advertisers, evenly split between Web sites and companies
offering products or services.

“As these figures indicate, both subscriber and advertiser acceptance of
NetZero’s service has been nothing short of outstanding,” said Ronald T. Burr,
CEO. “This performance reflects the overall value of our service–not just
the ability to get online without paying, but to receive advertising that is
relevant and appropriate. While we’re modeled after network TV and radio,
we’re actually redefining Internet advertising with targeting capabilities not
previously seen in any medium.”

“We’re also heartened by the spontaneous emergence of NetZero-oriented
communities around the Internet,” Burr said. “In addition to an array of
newsgroups, more than 600 sites now feature ‘NetZero Now’ buttons that permit
immediate downloading of our software. This is viral marketing at its best. . .”

NetZero provides free Internet access via a local dial-up account and an e-
mail account for each individual user in a household, a business or at
specific location, such as a school or library. To subscribe to NetZero, users
must complete a profile that captures their interests and demographic data .
NetZero’s patent-pending zCast software allows advertisers to target by
geographic, demographic, psychographic and behavioral information in real
time.

On the desktop, NetZero opens a movable, 1-inch-by 3-inch portion of an 800×600 display that continuously delivers high-quality, 30-second ads. The
subscriber can move the NetZero window to a preferred location on the screen,
but cannot close it.