FiEE, Inc. (NASDAQ:FIEE) ("FiEE" or the "Company"), a technology company integrating IoT, connectivity, and AI to redefine brand management solutions in the digital era, is making a strategic investment in the future of the AI music ecosystem.

FiEE has entered into an agreement to acquire a 51% equity stake in YinLian Culture for an aggregate purchase price of $51,000. Through this acquisition and the associated variable interest entity ("VIE") structure, FiEE now effectively controls and captures the economic benefits of Maltose Culture, an AI-empowered music ecosystem that integrates content creation, intelligent platform distribution, and next-generation home entertainment.

The Company is also providing a convertible loan of approximately $2.9 million, bringing FiEE's total investment to approximately $3.0 million, to YinLian Culture to support its planned expansion initiatives. Upon conversion of the loan, which may occur solely at the Company's option, the Company's equity interest in YinLian Culture will increase to 60%. By combining Maltose Culture's deep music expertise with FiEE's cutting-edge AI capabilities, the Company is building what it believes will be one of the world's most advanced, end-to-end AI music infrastructures. From AI-driven songwriting and production to smart distribution and immersive home listening experiences, FiEE believes it is positioning itself at the forefront of the global music revolution.

Through this strategic acquisition, the Company expects to acquire a diverse portfolio of assets, including an expansive music copyright library, a broad roster of top-tier performers, and a developed network of domestic distribution channels in China. These elements are intended to complement and supercharge FiEE's existing cultural business portfolio, potentially addressing key operational areas for the Company, and providing a foundation for potential future growth.

Furthermore, Maltose Culture brings an experienced operating team with more than two decades of extensive industry knowledge. Led by its accomplished General Manager, Zhang Rong, who has collaborated with numerous Chinese musicians, Maltose Culture delivers industry connections and market insights into evolving trends and consumer preferences, which the Company believes will support its ongoing initiatives.