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Infinium Labs Signs Chicony for Production of Innovative Peripherals for Phantom Gaming Service

SARASOTA, Fla.--(BUSINESS WIRE)--Aug. 2, 2004--Infinium Labs, Inc. (OTCBB:IFLB) has entered into an agreement with Chicony, a worldwide leading manufacturer and marketer in input devices such as keyboards and PC cameras, to build a custom combination keyboard/mouse peripheral that will ship with Infinium's flagship Phantom Gaming Service(TM).
The device, dubbed the "Phantom Lapboard," is an extremely innovative peripheral that enables players to control games designed for keyboard and mouse usage with as much agility as they are used to in the office, from the comfort of the couch or easy chair. The lapboard was designed by Infinium's engineering team based in Seattle, Wash.

Chicony, headquartered in Taipei, Taiwan, will build the lapboard and mouse at its mass production base in China. The company, which maintains more than 20 offices worldwide, manufactures a wide range of input devices, including keyboards and power supplies, as well as digital image products like PC cameras an digital cameras.

Saitek and BIOSTAR are manufacturing the Phantom gamepad and receiver, respectively.

The Phantom Gaming Service, the first end-to-end, on-demand game distribution service, will give everyone in the family access to a compelling library of titles available any time, day or night, in the comfort of their home. The Phantom hardware, including the Chicony lapboard and mouse, plus a gamepad and receiver, will be free of charge to consumers who sign a two-year contract for a basic subscription to the online gaming service at $29.95 per month.

The Phantom, which made its debut at this year's Electronic Entertainment Expo (E3), was nominated for the conference's Game Critics Awards in the "Best Hardware/Peripheral" category.

About Infinium Labs

Infinium Labs, Inc. was founded by a management team with extensive experience in interactive media, entertainment, broadband services and technology. The company is set to launch a cutting edge online gaming service in the fourth quarter of 2004. The Phantom Gaming Service will be delivered online over any broadband network and offer a broad library of games designed to appeal to the avid gamer as well as the casual player. For more information, please visit www.phantom.net.

Safe Harbor Statement

Certain statements included in this press release may constitute forward-looking statements. Actual results could differ materially from such statements expressed or implied herein as a result of a variety of factors including, but not limited to: the development of the Infinium Labs technology, the successful marketing and distribution of the Phantom Gaming System, acceptance by the market of Infinium Labs, products and technology, competition and timing of projects and trends in the gaming industry, as well as other factors expressed from time to time in filings Infinium Labs will make with the Securities and Exchange Commission (the "SEC"). As a result, this press release should be read in conjunction with periodic filings Infinium Labs makes with the SEC. The forward looking statements contained herein are made only as of the date of this press release, and Infinium Labs undertakes no obligation to publicly update such forward looking statements to reflect subsequent events or circumstances.

Contacts


Infinium Labs
James Roberts, 941-917-0788, ext. 222 (Investors)
jroberts@phantom.net
or
The Bohle Company
Ellen Kardas, 310-785-0515, ext. 285 (Media)
ellen@bohle.com

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