See PLAYWIZE under EPIC : PLW

Bits Corp PLC
15 June 2006
BITS CORP PLC
('Bits Corp' or 'the Company')

CORPORATE AND TRADING UPDATE

The Board of Bits Corp, the AIM listed developer of software for the
entertainment industry, announces today that it intends to change the Company's
name to Playwize Plc, subject to receiving shareholder approval at an
Extraordinary General Meeting ('EGM').

After due consideration, the Board has concluded that the Company's increasing
focus and investment, both in terms of management time and Company resources, in the field of online gambling, needs to be complemented with a name that more
accurately reflects the new direction of the business.

The Company expects to focus on the online entertainment industry in the
immediate future, whilst continuing to pursue opportunities in the design and
development of console video games for niche markets. The Company intends to
establish a portfolio of real money on-line games.

The Company is currently undertaking extensive testing of its new on-line real
money poker website, which it expects to launch in Q3 2006. The site will
utilize the Company's proprietary video games technology, in conjunction with
services to be provided by The Palace Group and Microgaming, to offer a new
dimension to the world of interactive gambling & entertainment.

Due to the write-off of historical video game costs, the expensing of the
investment made in the online gambling arena together with specific costs
incurred in refocusing the Company's activities and brand development costs
during the period, the Company will, subject to audit, be reporting a loss of up to 2 million for the year ended 31 March 2006 coupled with substantially lower turnover than the previous year.

As the Board recently announced, the Company now has in excess of 1,000,000 in
cash resources, in addition to the stand-by convertible loan facility of
1,500,000, which has not been drawn down. The Board believes that its new
business activities will be beneficial to shareholders in the long term.

A Circular has today been posted to shareholders convening the EGM, copies of
which will be available from the Company at 112 Cricklewood Lane, London NW2 2DP for a period of one month from the date of this announcement.

The EGM will be held at 9.00 a.m. on 11 July 2006 at 112 Cricklewood Lane,
London NW2 2DP.

CEO, Foo Katan, commented: 'This re-alignment will allow the Company to truly
embrace its new business focus to maximise opportunities in online gambling. We
will be promoting our new brands to establish our presence in this high-growth
industry.'

---ends---

http://www.citywire.co.uk/News/NewsArticle.aspx?VersionID=82882&MenuKey=News.Home&NewsPage=2


........Despite the expected loss for the year, Bits 'finances appear in robust shape with 1 million in cash and a stand-by convertible loan facility of 1.5 million........'.

Shares Magazine (Vol 8 Issue 25) on this site (Pg43) has write up on Bits Corp.....

What does it say ?..........

Write up on Bits from Shares magazine, Volume 8, Issue 25, 22-28 June 2006, Page 43.

Software Developer Bits Corp (BIT:AIM) is to rename itself Playwize PLC in July as part of its plan to move away from mainstream video games development and toward gaming and entertainment, pending the approval of shareholders.
The 7.2 million cap company struck technology deals with Palace Group and Microgaming last December as part of its push into gaming and raised 1.53 million at 15p in March to help fund development work. It followed up in April with a co-publication deal with video games publisher Digital Bros for the launch and European distribution of a Playwize Poker and Casino game, which is due for release on Sonys Playstation2 platform in the third quarter of this year. Bits also intends to launch its online real money poker website, which is currently undergoing extensive testing, around the same time.
However, the shift in direction is coming at a cost. Extra product and brand development costs, plus write offs related to prior video gaming research, mean the Cricklewood based company now expects to lose up to 2 million in its financial year, which ended in March. This compares to a break-even result in the prior year.
The shares took the news of the losses badly, falling 8% to 11.25p, way below the 37.25 year high struck in January.
Shares says: Given the difficult nature of the video console game market and the growth prospects for internet gambling, this move looks sensible, although the gaming market is no less competitive.

http://www.investegate.co.uk/Article.aspx?id=200606260700321116F

Bits Corp PLC
26 June 2006

BITS CORP PLC
('Bits Corp' or 'the Company')

PRODUCT LAUNCH

Bits first to market bespoke online poker tutorial

Helen Chamberlain signs to provide 3D likeness and voiceover


The Board of Bits Corp, the AIM listed developer of software for the entertainment industry, is pleased to announce that the first product to be launched under the newly developed Playwize brand will be its premier on-line
real money poker game, Pokerwize. The Company today launches PokerWize.com, where visitors can learn more about the game and register for advance information.

PokerWize.com aims to revolutionise the online poker experience when it launches the world's first virtual reality, 3D and Voice over IP (VoIP)-enabled poker game this summer. PokerWize.com uses state-of-the-art video gaming technology to add a whole new dimension to the world of interactive gaming.

Helen Chamberlain, Soccer AM co-host and big money winner in the 2005 Poker Million Tournament, provides a 3D visual likeness and voiceover for Pokerwize's interactive tutorial. This one-on-one personal tuition will be the first of its
kind to be included in an online poker game.

Today's news follows the Company's 15 June statement where it stated that the Board expects to focus on the online entertainment industry in the immediate future, whilst continuing to pursue opportunities in the design and development of console video games for niche markets. The Board also announced that it was seeking shareholder approval at an EGM on 11 July 2006 to change the its name
from Bits Corp plc to Playwize Plc, and that it believes that its new business activities will be beneficial to shareholders in the long term.

CEO, Foo Katan, commented: 'The Board is extremely pleased to be working with Helen Chamberlain for our unique interactive tutorial, which we are confident will help most users to become better poker players. We are excited about the Pokerwize concept and believe it will prove a strong beginning for the Playwize portfolio of products.'

---ENDS---

Enquiries:
Bits Corp plc 020 8282 7200
Foo Katan
www.bitscorp.com

Bishopsgate Communications Ltd 020 7430 1600
Dominic Barretto
Fran Read
www.bishopsgatecommunications.com

http://www.playwize.com/promo/index.html

On BIT, the boring times are nearly over, there was no point launching Playwize during the period of the World Cup, Wimbledon and summer holidays, so in many ways it all makes sense launching late summer for a peak period of autumn and winter. The marketing campaign should hit the target groups and with no distractions it should have highest impact.

All looking good, and they are putting into place the plan, cannot fault them with that, only congratulate them.

Its all about prospectivity.

Why are VOG and EME still to this day massively over their commercial assets value ? Based on they might get commercial flows, or might not.

With BIT everything is in place, the marketing campaign will start once we get Wimbledon and the World Cup and summer hols out of the way.

They have a plan, and are executing it.

There is no reason to doubt that for a start up with such a small market cap, they can have some spectatcular success. So, like others will buy into oilers once they are proven, so people will buy into BIT when its poker site is proven, but if you believe the story and want the biggest gains, you get in now sub 15p.

The placing was at 15p (which was a massive discount price) and those people were happy at 15p..........so therefore, anyone getting more sub 15p should be very very happy.

I would expect the surge to start end of July, with a solid August on BIT and September/October rising into an end of year price well above where we are now.

Those "lucky" or "clever" or "stupid" (depending on the poster) enough to buy now and hold, will have got some very very good prices, and good payback for holding BIT for a few boring weeks until the end of July, when the price should start to rise back upwards with a BIT more gusto.

Thats my thoughts.

Well its coming back at the moment, all is going to plan so far.

http://uk.pokernews.com/news/2006/6/bits-corp-plc-voip-pokerwize.htm

A very good article, I wonder whether PartyGaming (as they plan a series of acquisitions) will now observe the launch of BITS Playwize, and if it goes well, come in with a quick and nicely priced bid. They will not want to allow Playwize to become too successful before a bid, as they will end of paying a whole load more.........so the potential is there I would say for a quick and decent bid not long after launch.......


From a post on AFN:

SUNDAY TIMES BUSINESS 2nd July 2006

Poker Site to place big bet on Rival

"The world's largest internet poker compamy, Party Gamimg, is in talks to acquire Gamebookers, the online sports-betting company, for about 50M.
A deal would be the first for PG since it floated a year ago. An announcement could be made in the next 2 to 3 wks.
Gamebookers, founded in 1998, is currently owned by Trident Gaming, an IoM based firm which also controls Betbug, a person- to - person betting site. It bought Gamebookers in July 2005.
Last week PG raised a $500m ($270m) debt facility to help it finance a series of acquisitions. It is known to be eyeing a number of deals of which Gamebookers is likely to be the first.
While this debut deal is relatively small for PG which has a market value of 4.6 Billion it will allow the company to diversify it's business away from America, which accounts for more than 3/4 of its turnover. GB does not take bets from American customers.
Internet poker remains a legal grey area in the US. Conservative politicians there are working hard to try and ban online gaming, including poker. Only sports betting is explicitly deemed illegal.
As well as poker PG already offers bingo, backgammon and casino games. Moving into sports betting is the logical next step.
GB is licensed in Antigua, but also has a UK bookmakers' permit. PG is regulated by Gibraltar" -ends

BIT on the move today, was that the final bottom ? Beta2 should be live end of July and then its all systems go shortly after that.

The site is also fully updated :

http://www.playwize.com/promo/index.html

A solid days performance, it looks like the seller might be finally cleared out. If this is so we should expect another strong week ahead next week.

Nice start to Monday morning :)

Where do you envisage this in the short term PP?

Short term hovering around the sub 20p level. Once the site is up and running then from September onwards it could go anywhere, if the take up is good and initial figures good, then anything up to 85p is possible, if its not good then down to 5p.

Thanks PP that was also my predictions +- a few pence short term. LEAD is certainly progressing today please remind me why i didnt top up yesterday... oow i never had the money lol

Sector related :

http://news.independent.co.uk/business/analysis_and_features/article1174118.ece

.................Despite the US House of Representatives passing legislation aimed at curbing the activities of online gambling operators, buyers were out in force to prop up shares in PartyGaming. After three-and-a-half hours of debate it now looks increasingly likely that the bill will not pass through the Senate, which is required before becoming law. A raft of brokers published positive notes on PartyGaming. Morgan Stanley, ABN Amro and Dresdner Kleinwort all reiterated their "buy" advice on the shares, citing the group's cash generation and growth prospects. Dresdner was the most bullish, with a 210p target price for the shares, which closed 4.5p firmer at 110.25p. Surprisingly 888 Holdings, thought to be a bid target for a number of gambling groups, was unable to follow PartyGaming and shed 3p to 205p, while BETonSPORTS firmed 6.5p to 146.5p.....................

http://www.3dpokerreviews.com/Pokerwize.htm

So what...... its just another 3D site isn't it?

No its not. It looks like Pokerwize will be playing with the big boys. Pokerwize will be joining the Prima poker network. The Prima poker network is run by Microgaming, one of the giants in online gaming software. This network will provide the entire back end for PokerWize.com - that is the payment system, card dealing etc. It will also guarantee that when people go online with PokerWize there will always be at least 10,000 players online for them to play against. The relationship gives PokerWize.com instant liquidity and a robust, proven back end - which other 3d poker sites - which may try to build their own network - simply do not have. Suddenly the big boys in the gaming industry are paying attention to the impact that 3D poker could have on the online gaming industry.

OK - so they are joining the Microgaming Prima network of online poker rooms - but its a 3D site and all of the sites on the Prima network are 2D. How is that going to work?

Yep, good question that one. You will be able to play against other people on the Prima network even if they are not using PokerWize.com software - even if they are using a 2d site. All that will happen is the PokerWize.com software will generate a unique 3d character representation of that player which you will see. They will just see whatever their 2d site can handle - but if you choose to gesture them or anything like that, a description will appear in the chat console. Brilliant, isn't it!

What does 3DPokerReviews make of it?

Pokerwize have two major advantages over the competition. By now they would have seen what the revolutionary PKR product has - they can take the best features and build upon them. However, more importantly, by being part of the vast Microgaming Prima poker network they will have no shortage of real money players at their tables.

We anticipate that the arrival of Pokerwize will signal the beginning of the end for 2D poker.