• E-mail
• Print
• Comment
• Font Size
• Digg
• del.icio.us
• Discuss article

Daktronics and Arena Media Networks Partner to Expand and Enhance Digital Display Network in Sports & Entertainment Venues

Posted on: Wednesday, 19 July 2006, 18:00 CDT

Daktronics Inc. (Nasdaq:DAKT) of Brookings, S.D., and Arena Media Networks (AMN), headquartered in New York, announced today a strategic partnership between the firms that will provide targeted, digital advertising and sponsorship opportunities at sports and entertainment facilities around the country. The agreement provides for an equity investment of $6 million in Arena Media Networks by Daktronics and creates an opportunity for the expansion of equipment sales, services and media revenues for the parties.

Daktronics is recognized as one of the world's leading designers and manufacturers of programmable displays using light emitting diode (LED) technology. The company has digital media networks in place that use LED as well as liquid crystal display (LCD) technology.

Arena Media Networks owns and operates the nation's largest network of digital flat-panel displays in stadiums and arenas across the U.S. Advertisers purchase time on the display network to present product and service information that is interspersed with real-time programming including live scores, statistics, news, and weather information.

"Joining forces with Daktronics gives Arena Media Networks the ability to further expand our national digital network of displays," said Art Williams, co-founder and CEO of Arena Media Networks. "With the support of the world's leading display designer and manufacturer, Arena Media Networks will be able to build a more advanced network that provides greater impact for our viewers and advertisers and expand our reach into related markets."

"Our partnership with Arena Media Networks is in line with our strategy to build our service related and recurring revenue based business," said Jim Morgan, President and CEO of Daktronics. "They have significant expertise in advertising revenue generation which we expect to be beneficial for Daktronics in our core businesses."

"We believe we can lever the synergies between the two firms and each can help the other expand business in areas where we both already dominate," Morgan said. "Creating content and helping our sports customers get the most from their Daktronics systems is already a very important part of our business. This network, combined with advertising on Daktronics displays in the seating bowls of arenas and stadiums, provides a unique combination for revenue generation."

"National advertisers continue to look for new ways to reach their target audiences without sacrificing the impact of sound and motion that television provides," Williams added. "The sports market in particular is an extremely effective way to reach millions of highly sought after consumers throughout the country. We believe our partnership with Daktronics will allow us to further expand our network for our customers and partners."

Daktronics and AMN have similar business philosophies, offering their sports customers integrated solutions and ongoing service that includes system design, sales support, content creation, and assistance with game day operations and network management. AMN will use some of the latest Daktronics technologies for the network, including new ProCast(TM) LCD technology for optimum brightness and visibility.

About Arena Media Networks

Arena Media Networks, headquartered in New York, reaches over 45 million people each year ranging from sports fans, music enthusiasts attending concerts and families at circuses and other entertainment events. The network enables advertising clients to target specific audiences through activation during certain events or on regular advertising schedules. AMN programming engages consumers while standing in line an average of 8-10 minutes, three times per event. Past and present advertisers include American Express, Century 21, EA Games, GEICO, Nokia, Radio Shack, Spalding, U.S. Army, and Yahoo!. More information about AMN and its network can be found at http://www.arena-media.com.

About Daktronics

Daktronics has strong leadership positions in, and is one of the world's largest suppliers of, electronic scoreboards, computer-programmable displays, and large screen video displays and control systems. The Company excels in the control of large display systems, including those that require integration of multiple complex displays showing real-time information, graphics, animation and video. Daktronics designs, manufactures, markets and services display systems for customers around the world, in sport, business and transportation applications. For more information, visit the Company's World Wide Web site at http://www.daktronics.com/, e-mail the Company at sales@daktronics.com, call (605) 697-4300 or toll-free (800) 325-8766 in the United States or write to the Company at 331 32nd Ave. PO Box 5128 Brookings, S.D. 57006-5128.

Cautionary Notice: In addition to statements of historical fact, this news release contains forward-looking statements reflecting the Company's expectations or beliefs concerning future events, which could materially affect Company performance in the future. The Company cautions that these and similar statements involve risk and uncertainties including changes in economic and market conditions, management of growth, timing and magnitude of future contracts and other risks noted in the Company's Securities and Exchange Commission filings which may cause actual results to differ materially. Forward-looking statements are made in the context of information available as of the date stated. The Company undertakes no obligation to update or revise such statements to reflect new circumstances or unanticipated events as they occur. References to websites in this press release do not include the information on those websites as part of this press release.

Source: Business Wire

More News in this Category