National Raceline(TM) to Stream Live Thoroughbred Horse Racing to Mobile Phones Through SmartVideo

ATLANTA--(BUSINESS WIRE)--Aug. 3, 2005--SmartVideo Technologies, Inc. (OTCBB: SMVD.OB) today announced that it has entered into a revenue sharing partnership agreement with The National Raceline(TM) to stream live horse racing to mobile phones from racetracks around the country. The National Raceline has provided instant race calls and results via the telephone to the racing community since 1989. This development allows racing fans to watch their favorite races live directly on their handheld mobile devises via mobile phones, PDAs and Wi-Fi connections. Horse racing has a base of tens of millions of fans among American adults (18 years or older) who have wagered on races in the past two years.

"We are very excited to extend National Raceline's services to mobile video feeds so that racing fans can watch and hear results from virtually anywhere," said Eric Cherry, president of National Raceline and a longtime owner and breeder. "In 1989, we were on the cutting edge in delivering live audio feeds of races to fans and with our partnership with SmartVideo this will bring us to the cutting edge again. This will give today's fans access to what they need and want."

“We are very excited to extend National Raceline's services to mobile video feeds so that racing fans can watch and hear results from virtually anywhere”

"I am extremely pleased that The National Raceline has recognized the significant value we bring to the table," said Richard E. Bennett, Jr., president and CEO of SmartVideo. "Our ability to deliver a high quality viewing experience for thoroughbred racing fans around the world to their cell phones is truly revolutionary. We continue to be on track with the implementation of our sales and marketing strategies and look forward to announcing other similar revenue generating partnerships over the coming weeks."

About The National Raceline

The National Raceline(TM), based in Delray Beach, Florida, has allowed horsemen to listen to actual race calls from racetracks coast to coast including Canada for sixteen years. The Company has also operated telephone services for many publications including Daily Racing Form and Harness Eye.

About SmartVideo Technologies, Inc.

SmartVideo Technologies offers the first and best-in-class services for broadcasting live, on-demand and download-and-play television content for mobile video consumers around the world. SmartVideo's television solutions deliver sharp video images with fully synched audio for broadcast to video-enabled cell phones and other handheld devices, via current and next-generation cellular and Wi-Fi systems. SmartVideo's proprietary technologies include a full suite of television content management services for wireless telco carriers as well as content owners, to provide an end-to-end mobile television broadcast and business solution. SmartVideo's robust library of content includes news, weather, sports, children's programming and more, from such leading international brands as ABC News, NBC Universal, Fox Sports, The Weather Channel and dozens of others. SmartVideo's mobile video solutions provide exceptional image quality on all existing 2.5G and Edge cellular networks, and near-broadcast quality on 3G and Wi-Fi networks. SmartVideo is a Microsoft Windows Media(R) 9 Series Certified Hosting Provider. For additional information and to subscribe to SmartVideo's Live TV content packages visit www.smartvideo.com or using your smartphone visit www.windowsmedia.com/mobile.

Forward Looking Statements

This press release includes statements that may constitute "forward-looking" statements, usually containing the words "believe," "estimate," "project," "intend," "expect," or similar expressions. These statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements inherently involve risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. Factors that would cause or contribute to such differences include, but are not limited to, the inability of SmartVideo to obtain the additional financing needed to fund operations, the failure of SmartVideo to convert its present and future customer contracts into profitable arrangements for SmartVideo, unexpected costs, delays and other difficulties related to the timing and success of product development and marketing plans, adverse changes in the market for the delivery of full-motion, streaming video content, the failure of SmartVideo's hosting infrastructure, the complexity of SmartVideo's services and delivery network, pricing and other activities by competitors, difficulties involved in retaining and motivating key personnel and other risks detailed in SmartVideo's periodic report filings with the Securities and Exchange Commission. By making these forward-looking statements, SmartVideo undertakes no obligation to update these statements for revisions or changes after the date of this release. Microsoft, Windows Media, PowerPoint and Windows are registered trademarks or trademarks of Microsoft Corp. in the United States and/or other countries.