INTRODUCTION

Digital Lava is a provider of "rich" mixed media software products and services for use in corporate training, communications and sales and marketing applications. Each of these markets (e.g. sales, training) represents multibillion expenditures each year by Fortune 1000 companies. We are positioned within the developing streaming media industry.

Rich media is defined as streaming video and streaming audio technology. Streaming technology allows an Internet or intranet user to access information in a file before the file is completely downloaded. As a result, large files containing audio and video can be heard or seen almost immediately even...