Artificial Life (ALIF) announces 96% increase in iPhone/iPod/iPad downloads

Today Artificial Life (ALIF) revealed its current iPhone/iPod and iPad title sales, download numbers and key ranking statistics.

The total number of iPhone/iPod/iPad application downloads generated for the year of 2010 was over 15.7 million in comparison to 8 million downloads in 2009.

As of December 31st, 2010, the Company has produced and released 36 applications for the iPhone, iPod touch and iPad. The top title was downloaded for over 6.2 million times, the second most for over 3.4 million times, and the third most for close to 3.1 million times. The average number of downloads per game was about 0.66 million. Paid iPhone games were sold at between USD 0.99 to USD 4.99 with an average price per game of USD 2.27. All the new games released have achieved Top 100 or higher download rankings in their categories. Artificial Life's (ALIF) games have reached #1 on Apple App Store Top Charts in over 74 countries or 83% of all the offered countries.

The Company has also gained successful results from penetrating the iPad market. For instance, since the launch of Linkin Park 8-Bit Rebellion! iPad Edition in April, 2010, the game has firmly remained in US Top 20 Paid Music Apps in many countries around the world. Other iPad games have also continued to secure their places in the Top 50 charts even months after their releases. GluCoMo™, the first newly launched healthcare iPhone application for monitoring and coaching diabetic patients, has also received positive results with the achievement of being in the US Top 50 Healthcare & Fitness Apps. The highly popular iPhone games: Amateur Surgeon, Red Bull Racing Challenge, and iSink U have also been ported onto the iPad platform with enhanced features and gameplay.

Among the 36 produced games, 26 are based on licensed and branded intellectual property from a variety of licensors while 10 games are based on Artificial Life's proprietary IP. The games have been sold in a total of 89 countries worldwide. The distribution of game downloads by region is: 44% in North America, 34% in Europe and Africa, 17% in Asia Pacific, 3% in Latin America and 2% in the Middle East. The Top 5 countries in terms of download numbers for our products are: United States, United Kingdom, France, Germany, and Canada (with 40%, 10%, 5%, 5% and 5% of downloads respectively).

"2010 has been a very successful year for Artificial Life. Our R&D and technology advancement have greatly contributed in delivering outstanding iPhone/iPod/iPad applications. We will continue to invest in R&D and new game and business apps design to provide highest quality games and business applications for the iPhone and iPad in the year 2011," said Eberhard Schoneburg, CEO of Artificial Life, Inc

The average price per game went up from USD 2.05 to USD 2.27. Also the penetration were they have reached #1 went from 70 to 74 countries.

The distribution of game downloads in the Asia Pacific region is steadily rising from Q2 13%, Q3 15% to Q4 17%. This is a very important sign that their efforts are succesful. We think 2010 results will be astonishing and the stock price does still not reflect the value of the underlying businesses.



POSITION: LONG