changes name to Digital Lifestyles Group to reflect
new vision, strategy and product line.
Digital Lifestyles Group Poised to Introduce hip-e™ – The
First Digital Lifestyle Platform Designed Exclusively for the Underserved
CITY OF INDUSTRY, CA, JUNE 28, 2004 – Northgate Innovations, Inc.
(OTCBB: NGTE), today announced that the Company has changed its name to
Digital Lifestyles Group, Inc., to reflect an aggressive new vision and
strategy. The name change coincides with the announcement of hip-e – a
new line of products that will seek to define a new “teen computing
and digital lifestyle” category within the computer industry. Set
to begin roll out on August 11, 2004, hip-e will focus on products, services
and customized technologies that address the unique needs of the growing
and underserved teen market.
“The creation of Digital Lifestyles Group is the final step in preparing
our Company for its next phase of aggressive growth, driven by the launch
of the hip-e brand of products and services that taps into the growing and
influential teen market,” stated Kent Savage, Chairman and CEO at Digital
Lifestyles Group, Inc. “hip-e defines a new experience in computing
that is simple, fun and relevant to teens’ digital lifestyles. Our
research shows that hip-e resonates with teen audiences and we believe it
will create a new category of teen computing and digital lifestyle products.
Our intent is to dominate this category and own the teen market.”
hip-e: A Big Idea with a Simple Concept
Developed after conducting extensive market research studies and in-depth
audits on what teens want in a computer experience, hip-e is the first
digital lifestyle platform that gives teens a complete all-in-one solution,
with a cool design language and brand that conveys the teen digital lifestyle.
hip-e will be marketed to a 33 million strong US teen audience in which
$660 billion is spent annually on products and services. Digital Lifestyles
Group will implement several traditional and non-traditional sales and
marketing tactics to generate excitement and spur interest within this
market for the hip-e brand. Through an innovative direct-to-consumer communication
structure, hip-e will seek to build customer loyalty as well as generate
multiple, recurring streams of revenue for Digital Lifestyles Group through
sales of hardware, accessories, software and services.
Digital Lifestyles Group has established new corporate headquarters in
Austin, Texas. The Company has also recruited a distinguished new management
team that comprises accomplished executives who have track-records of successfully
executing breakthrough strategies at major public companies including Compaq,
Dell, Netpliance, Direct TV and Credit Suisse First Boston.
Digital Lifestyles Group consists of two wholly-owned subsidiaries. Northgate
Operating Company will continue to focus on the Company’s existing
lines of products and services, while hip-e Operating Company will focus
on digital lifestyle products and services for the teen marketplace. The
new hip-e brand and product line will serve as the key growth driver for
the Company and is designed to become the cornerstone of the digital lifestyle
experience for teens.
About Digital Lifestyles Group, Inc.
Digital Lifestyles Group,
Inc. designs, manufactures and markets digital lifestyle products,
including software, personal computers, accessories and entertainment and
communication solutions. The Company’s products
include hip-e, the first digital lifestyle platform for teens, and the
Northgate line of desktop and notebook computers for consumer, business
and education customers. The Company sells its products through its online
stores (www.hip-e.com, www.northgate.com) , direct sales force, third-party
resellers and retail stores. More information about Digital Lifestyles
Group is available at www.dig-life.com.
This announcement contains forward-looking statements within the meaning
of Section 27A of the Securities Act of 1933, as amended, and Section 21E
of the Securities Exchange Act of 1934, as amended. These forward-looking
statements are subject to significant risks and uncertainties. Although
the Company believes that the expectations reflected in its forward-looking
statements are reasonable, the Company can give no assurance that such
expectations or any of the forward-looking statements will prove to be
correct, and future results may differ materially from those discussed
in this press release. Important information regarding the factors that
may affect the Company's future performance is included in its public reports
that it files with the Securities and Exchange Commission. The Company
disclaims any intention or obligation to revise any forward-looking statements,
whether as a result of new information, future event, change in expectations,
conditions or circumstances, or otherwise. Readers are cautioned not to
place undue reliance on these forward-looking statements, which speak only
as of the date hereof. The inclusion of any statement in this release does
not constitute an admission by the Company or any other person that the
events or circumstances described in such statement are material.