Despite the current economic uncertainties, one industry that continues to expand at a rapid pace is the wireless device marketplace, especially in the ‘smartphone’ sector. Consumers are purchasing these phones at a rate never before seen in wireless telecommunications history, and are looking for products to protect their technological investment. ZAGG Inc. (OTC BB: ZAGG) designs, manufactures, and distributes protective coverings for consumer electronic and hand-held devices under the brand name invisibleSHIELD. The invisibleSHIELD is a protective, high-tech film covering, designed specifically for iPhones, laptops, cell phones, digital cameras, PDAs, watch faces, GPS systems, gaming devices, and other items. The patent-pending invisibleSHIELD is the first scratch protection solution of its kind on the market. This market is rapidly expanding with worldwide smartphone sales totalled 32.2 million units in the second quarter of 2008, a 15.7 per cent increase from the second quarter of 2007.

Portable devices such as laptops and smartphones are expensive machines that the world has come to rely upon. With that in mind, the company that creates a simple and efficient method of protecting them would be in a position for expansive growth and market share dominance. ZAGG is a company that is doing exactly that. ZAGG (OTCBB: ZAGG), click here for investor profile, has become the leading provider of protective film coverings for personal electronics. The company recently announced that it is now shipping the invisibleSHIELD for the new T-Mobile G1, the first phone to run on Google’s Android operating system. They are also introducing the invisibleSHIELD for the new MacBook 13” and MacBook Pro 15” models.

Ahead of expectations, ZAGG demonstrated profitability in 2Q08 which we believed, comparatively, to be a sluggish quarter. The Company maintained its revenue drift, accomplishing 240% year-over-year revenue growth in the second quarter, and we expect firm growth going forward as the third and fourth quarters are usually fundamentally strong.