Hi VIPhoners,

First of all, I'd like to say a big, sincere and heartfelt thank you to those 
of you who contributed to our Indiegogo crowdfunding campaign. As you can see 
from visiting our Indiegogo page, we did not reach our goal of $50,000. The 
question you're asking yourself is, "What happens now?" Fear not. We have an 
answer.

Over the course of our campaign and during the course of building Zagga, we 
have met and spoken to many people in the investment community here in Canada 
and the United States. The good news is that they like what we are doing. The 
better news is that they are enabling us to leverage our Indiegogo crowdfunding 
to raise the capital we need to build the website and mobile app. We've set up 
some favourable payment terms and lowered the cost of our technology build. 
This means we've cut 8 weeks off of our time to market. This is great news 
considering we didn't raise the full amount from our crowdfunding efforts. We 
are receiving pre-registrations on our website, which is also telling investors 
that there is a genuine and desperate need for accessible video-on-demand.

Long story short, we are moving ahead with building Zagga and you can expect a 
launch in the fall of 2014. We will be rolling out with a fully accessible HTML 
5 website and native iOS apps for iPad and iPhone. We will definitely be adding 
more platforms down the road including game consoles, Android and the Amazon 
FirePhone.

On the content side, we have secured our first 3 deals and are pursuing more. 
Our conversations with the major studios have been going very well and we'll be 
ready to announce details in the next 8 weeks.

For those wondering about beta testing, we should be ready to beta in the late 
summer. We will send out details closer to that date. For now, if you'd like to 
pre-register, simply visit our website at http://zagga.tv and click the 
register link. 

Again, thank you for your support, your patience and your enthusiasm for this 
project. Please feel free to reach out to me directly at [email protected] if you 
have any questions. We'll be updating the Indiegogo and Zagga pages very soon.

Kind regards,
Kevin Shaw - President
Zagga Entertainment Ltd.

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