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Press Release June 24, 2008

ZVUE’s Popsauce Network™ Teams with Gorilla Nation To Expand Online Advertising Sales

Gorilla Nation to sell ads on Popsauce’s 100% owned-and-operated collection of brand-safe video sites that connects marketers to the people that help define American pop culture.

SAN FRANCISCO – June 24, 2008 – ZVUE Corporation (NASDAQ: ZVUE), a global digital entertainment company, and Gorilla Nation today announced that Gorilla Nation’s veteran advertising sales team will immediately start selling advertising on ZVUE’s recently launched Popsauce Network. Gorilla Nation becomes a cornerstone of thedomestic ad sales initiativesfor the newly launched Popsauce Network’s unique stable of video Web sites specifically targeting 18-34 year-old pop opinion leaders.

“Gorilla Nation has built a world-class sales organization with expertise in placing advertising on sites focusing on popular culture and reaching the elusive male 18-34 audience. Our partnership with them allows our recently launched Popsauce Network to be presented to the adverting community professionally and immediately,” said Jeff Oscodar, ZVUE President and CEO.

In addition to a wide variety of user generated content, the Popsauce Network has content licensing arrangements from major entertainment companies such as SonyBMG, Showtime, Warner Music, National Lampoon, Disney-ABC Television Group’s Stage 9 Digital Media (the creator of the new online hit “Squeegees”) and many others. The Popsauce Network consists of eight sites including www.eBaumsWorld.com – an online video pioneer with a 10-year track record; www.Putfile.com; www.YourDailyMedia.com; www.Holylemon.com; www.UnOriginal.co.uk; www.Dorks.com; www.FunMansion.com and www.ZVUE.com. As evidence of its commitment to culture-defining content, Popsauce Network recently signed distribution agreements with Next New Networks to feature some of its content, including the wildly popular “Obama Girl” videos. The Popsauce Network’s foundation of humor is also reflected in its rich offering of online gaming and social networking features including video/photo sharing.

Today’s announcement on the heels of the launch of the Popsauce Network illustrates ZVUE’s clear commitment to expanding its market leadership in popular online video, while simultaneously answering the call from brands to make video – and in particular UGC video – more advertiser friendly. As industry observers have noted the rapid growth of the video ad market online, ZVUE has been assembling Popsauce Network by purchasing high quality online video sites. The company expects its scale and unique product offerings across its eight sites will provide the kind of user engagement that holds the most promise for marketers focused on stimulating brand buzz.

“Brands know that both professional and user generated content have become a potent force in our popular culture,” said Oscodar. “We are creating a media property where brands reach people in environments that define our culture, but without their having to risk possibly inappropriate adjacent content.”

“These entertainment properties provide our advertisers opportunities to leverage emerging online video, UGC, and social networking trends,” added Brad Agens, SVP, Advertising Sales for Gorilla Nation. “Major national brand marketers are looking to get involved in these newer online formats, and Popsauce has resolved many of their concerns.”

Because it is 100% owned and operated by ZVUE, the Popsauce Network screens its most prominent content for brand safety. It employs ScanScout’s unique Brand Protector™ software on its main advertiser-supported pages. At the same time, Popsauce Network provides consumers a free and authentically populist environment in other areas of the sites.

The owned-and-operated model also means that the Popsauce Network crafts innovative, customized cross-platform branding programs geared to specific advertiser needs, leveraging the network’s high quality audience. Leading national brands from automotive, CPG, entertainment, retail and telecommunications have already engaged this highly influential audience on Popsauce Network sites. According to a recent company-conducted user survey, Popsauce Network users reported high propensity to be opinion leaders within their personal circles. The survey, which recruited users on the network during April 2008, showed that 70% “like to be one of the first people to know about things,” while 66% reported being “one of the first people to try new things.”

About Gorilla Nation, LLC

Gorilla Nation (www.gorillanation.com) is the world’s largest online ad sales rep firm. The company exclusively represents the online ad inventory of over 500 leading midtail web publishers, and sells integrated media and promotional programs to Fortune 500 brand advertisers. Working closely with its web publisher partners, GN’s expertise within 35 select vertical markets provides advertising clients the ability to build high impact, rich media programs across one or more properties to provide superior audience reach. The company is committed to delivering integrated creative media programs, from concept through execution, and exceptional customer service. Founded in 2001, the company is headquartered in Los Angeles with offices in New York, Chicago, San Francisco, Toronto and London.

About ZVUE Corporation

ZVUE Corporation (NASDAQ: ZVUE) is a global digital entertainment company. Its Popsauce Network™ (comprised of eBaumsWorld.com, Putfile.com, Holylemon.com, UnOriginal.co.uk, YourDailyMedia.com, Dorks.com, FunMansion.com and ZVUE.com) is consistently among the top-five companies providing user-generated video online. ZVUE™ personal media players are mass-market priced and currently available for purchase online and in Wal-Mart stores throughout the U.S. For more information, visit www.zvue.com.

“Safe Harbor” Statement Under the Private Securities Litigation Reform Act of 1995

Statements made in this release that are not historical in nature constitute forward-looking statements within the meaning of the Safe Harbor Provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by the use of words such as “expects,” “plans” “will,” “may,” “anticipates,” “believes,” “should,” “intends,” “estimates,” and other words of similar meaning. These statements are subject to risks and uncertainties that cannot be predicted or quantified and consequently, actual results may differ materially from those expressed or implied by such forward-looking statements. Such risks and uncertainties include, without limitation, risks and uncertainties associated with: (i) future financial results and financing requirements; (ii) development of new products and service offerings; (iii) the company’s ability to monetize, grow users and obtain synergies from acquired user-generated content providers; (iv) the company’s ability to integrate acquisitions; (v) the effectiveness, profitability, and marketability of the company’s current and prospective products and services; (vi), the impact of current, pending, or future legislation and regulation on the company’s industry; and (vii) the impact of competitive products, services, pricing or technological changes. More detailed information about the company and the risk factors that may affect the realization of forward-looking statements is set forth in the company’s filings with the Securities and Exchange Commission, including the company’s Reports under the Securities Exchange Act of 1934, as amended, and the company’s Registration Statement on Form S-3/A, as amended, which was declared effective by the SEC on February 12, 2008. Such documents may be read free of charge on the SEC’s web site at www.sec.gov. All forward-looking statements included in this release are made as of the date of this press release, and the company assumes no obligation to update any such forward-looking statements.

MEDIA CONTACT FOR ZVUE CORPORATION

Hank Kim, 917-647-0500, hank@hankkimconsulting.com

MEDIA CONTACT FOR GORILLA NATION

Frank Simonelli, 310-449-1890 x251, frank.simonelli@gorillanation.com

INVESTOR CONTACT

Scott Wilson, 415-785-7945, ir@zvue.com

ZVUE, HandHeld Entertainment, popsauce network, eBaum’s World, ZVUE Networks, eBaumsWorld.com, Putfile.com, HolyLemon.com, UnOriginal.co.uk, YourDailyMedia.com, Dorks.com, FunMansion.com, and ZVUE.com are trademarks of ZVUE Corporation. All other trademarks are property of their respective owners.

 
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