PITTSBURGH-- Wizzard Software (NYSE Amex: WZE) announced 2010 financial results today, recording overall revenues of $5,540,122 in 2010, a 7% increase from revenues of $5,193,690 in 2009. The overall increase in revenue for 2010 reflects a slight decrease in Speech segment revenues for the year (1%) and an increase in revenue within our Healthcare (6.7%) and Media (10.7%) segments due to a modest increase in the economy, but primarily due to an increase in our podcast services and Apps revenues within our Media segment.

Operating Expenses for 2010 were down 16% from 2009. Wizzard’s loss from operations decreased from $3,884,285 in 2009 to $2,805,858 in 2010, a decrease of 28%. Including non-cash expenses, Wizzard’s net loss per share for 2010 was $.06 vs. $.13 in 2009, a 37% decrease. In terms of net loss, this was Wizzard’s best annual performance in over 8 years.

“While our legacy Speech business revenues were down slightly in 2010, we saw growth in our healthcare and media segments as predicted, and continued our string of eight consecutive quarters of revenue growth for our Media segment,” said Chris Spencer, Wizzard Software CEO. “Our Media business experienced its highest level of audience and episode requests in the fourth quarter and throughout the entire year of 2010. With the new ability to charge for podcast episodes and create ongoing subscription packages through mobile Apps and websites, combined with the continued growth of the network and audience, Management believes we have found a working business model for achieving growth and profitability for our Media business going forward.”

Business Overview

For 2010, Wizzard Media, through our premier podcast-hosting service Libsyn, received a record 1.64 billion download requests for podcast episodes, with an average of 4.47 million episode requests per day vs. an average of 3.81 million requests per day in 2009.

During the fourth quarter, 2010, the Wizzard Media Network hit a record high of 19,660,000 monthly unique audience members requesting 465,701,849 podcast episodes, both new milestones for the Wizzard Media Network.

Wizzard Media finished 2010 with 1,002 Podcast Apps and delivered 77 million advertising impressions over the course of the year. We now currently have 1,154 Apps for sale in the various App marketplaces. Wizzard plans to grow its App business in 2011 with a focus on Network Apps (one App with many podcast Apps inside) along with focusing on App and web based subscription packages for the top podcasts based on audience size.

“We believe Wizzard is very well positioned for the mobile entertainment lifestyle shift currently taking shape and believe we can accelerate the growth of our media business to keep up with the rapidly changing entertainment consumption habits of consumers worldwide,” Spencer continues. “It is Wizzard’s mission to become the leading online content distribution and monetization service for the serious podcast publisher by providing state of the art distribution services, unique monetization solutions and compelling audience engagement experiences. This is the future consumption and monetization model for online media and Wizzard is working to deliver it today.“

Management stated that it continues to see very positive trends in its App business in terms of early in-App purchasing numbers and subscription purchases. The first test of a complete set of its current subscription/premium upgrade products show conversion rates for App users to subscription packages and premium upgrades at 35%.

In 2010, Wizzard Media expanded its monetization platform to include Android Apps for Google Marketplace and subsequently, the ability to sell monthly content subscriptions through a podcast producer’s website. Additionally in 2010, Wizzard participated in the launch of Blackberry Podcast and integrated Google’s AdMob and Apple’s iAds to our monetization platform.

The previously mentioned numbers and statements are highlights from Wizzard’s 2010 10K filing. For a complete and detailed financial description of Wizzard Software Corporation, please visit www.sec.gov, where all of Wizzard’s SEC filings can be found.

About Wizzard Software

Through its Media business segment, Wizzard Media provides podcast publishers with distribution and monetization services. Our clients include Microsoft, National Geographic, Harvard Business Review, NPR and more than 14,000 others who use Wizzard Media products to measure their podcast audience, deliver popular audio and video entertainment and monetize their content through advertising and App sales. In 2010, the Wizzard Media Network received over 1.64 billion podcast requests from approximately 18 million monthly users worldwide through iPods, iPhones, iTunes, Zunes, Androids, BlackBerrys and many other devices and destinations. Wizzard Media is part of a publicly-held, Pittsburgh based company with Software and Healthcare business segments, thousands of shareholders and a world-class team. Visit us on the web at www.wizzardsoftware.com/media, email us at contact@wizzard.tv.

iPod, iPad, iPod Touch, iPhone and iTunes are all registered marks or trade names of Apple, Inc. Zune is a registered mark of Microsoft (NASDAQ:MSFT - News). Blackberry is a registered mark of Research in Motion (NASDAQ:RIMM - News). Android and Android Market are trademarks of Google (NASDAQ:GOOG - News).

Legal Notice

Legal Notice Regarding Forward-Looking Statements: “Forward-looking Statements” as defined in the Private Securities litigation Reform Act of 1995 may be included in this news release. These statements relate to future events or our future financial performance. These statements are only predictions and may differ materially from actual future results or events. We disclaim any intention or obligation to revise any forward-looking statements whether as a result of new information, future developments or otherwise. There are important risk factors that could cause actual results to differ from those contained in forward-looking statements, including, but not limited to risks associated with changes in general economic and business conditions, actions of our competitors, the extent to which we are able to develop new services and markets for our services, the time and expense involved in such development activities, the level of demand and market acceptance of our services, changes in our business strategies and acts of terror against the United States.