MANILA, Philippines?(UPDATE) Technology services firm Intellectual Property Ventures Group (IPVG) has entered into a joint venture agreement with entertainment distribution firm Viva Communications to create a global online entertainment distribution company called Squirt Media, Inc.

In a disclosure to the Philippine Stock Exchange, the joint-venture company will have a $2 million capitalization.

IPVG will provide $1 million worth of hosting and hardware, while Viva Communications will provide the remaining $1 million in the form of video, audio and stock photos of current and future productions.

Viva Communications will also provide contract talent services of artists. Viva Communications is a subsidiary of entertainment production firm Viva Entertainment.

The joint venture company would allow Viva Communications to distribute its content to a global audience by leveraging on IPVG?s offshore Internet communications network.

IPVG CEO Enrique Y. Gonzalez noted that Viva Communications has a large library of content and talent, from music, television, film and talent management.

?Combined with IPVG's online expertise, we will establish a leading portal catering to domestic and international markets,? Gonzales said.

Viva Communications Chairman Vicente del Rosario, Jr. said the company aims to take their business to an international market through this venture.

?Viva has become a household name when it comes to entertainment. Our experience has given us strong track records in the exciting fields of film, music, television and talent management. Now, we want to take it to the next level and tap into the dynamic and fast-growing online entertainment industry. We have found the right partner in IPVG to help us realize this goal,? Del Rosario Jr. added.

Viva is involved in entertainment content development and production, marketing, promotion, and distribution. These content and programs come in various multimedia formats such as: film, music, video, free television, cable TV, artists and concerts as well as interactive SMS (short messaging system).

Viva and IPVG agree that the growth prospects for the entertainment industry go beyond the traditional channels. They see the online global market offering a broader audience base with unique demands and requirements.

?There is tremendous fit and synergy between IPVG and Viva. By making Viva?s content available through the Internet and mobile phone, we will be able to reach out to the growing base of online and mobile users that are seeking proprietary branded content over digital devices,? Gonzalez added.

This is IPVG?s second venture into the mainstream media after last year?s deal with broadcast giant GMA Network through its digital media arm GMA New Media Inc. that launched X-Play Online Games Inc.