Thursday, August 04, 2005 3:19:27 AM
Musicrypt Inc., (TSX VENTURE:MCT - News; OTCBB:MCYPF - News), the industry's leading digital music distribution company, today announced that it has reached agreement with Canada's largest independent distributor. Koch Entertainment will exclusively use Musicrypt's Digital Media Distribution System (DMDS) to securely deliver music to radio and other destinations.
Amx, as an example you said this....
Corey, This guys worried about music delivered to radio stations? Maybe he bought SCMI by mistake?
Perhaps you may not have read the most recent PR from SCMI?
MediaMax Technology Corp. (OTC BB:MMXT.OB - News) seller of MediaMax(TM), America's most accepted and best-selling content protection and enhancement technology for audio CDs, has expanded its mission statement to include the delivery of a unified technology capable of protecting audio and video entertainment content across all file formats and distribution models currently used in the marketplace.
That puts musicrypt right up against us as a competitor.
However, even though many might see that PR as positive, again I see it somewhat differently. Look back at the earliest PRs from SunnComm and even their previously filed SEC docs and you will see that SunnComm's mission statement (although it was not called that) already included distribution via physical media and the net and included protection of music, movies, software and games.
However, I have noticed that the company is very quick to limit its 'scope' when it suits them. Rather than accept we are running a distant 2nd to Macrovision in Music protection (450M v 20M), we reduce the scope to the US only and pretend that the rest of the world doesn't count. Then we can issue great PRs saying how we are first in this and first in that.
Whenever someone points out a weakness in our technology, we are told that is not our arena and not to worry. This happened to me when I pointed out we had no solution to address P2P. I don't have time to locate the post, but one of the comments was that P2P was not an area we were interested in. As if anything that diminished the value of our protection should not be of interest to us. The same with Musicrypt. If they can deliver to radio stations without needing physical media then that should concern us as it erodes the market for Studiomax.
Lets stop putting our heads in the sand. Every type of content distributed by every medium is our concern. Customers want unified solutions. If a competitor establishes a hold on a particular distribution medium then that competitor becomes a threat to us in 2 ways.
1. It can reduce our market for physical media (more music distributed via the net means less than otherwise on CD).
2. The competitor can work on a solution that competes with MediaMax and then offer our customers a solution that covers multiple distribution methods.
The analyst contact that I posted on a month or so ago made that very point in relation to Macrovision and EMI. Although EMI saw CDS-300 and MediaMax as similar in capabilities, the deciding factor was Macrovision being able to combine CDS-300 with Hawkeye (their P2P solution) that made the combined solution the most attractive offering.
While on EMI, I noticed a post a day or so back from one of the faithful proclaiming that EMI was a long time customer of Macrovision and that was why they decided to go with Macrovision. Didn't another of the faithful tell us some time ago that EMI wouldn't even talk to Macrovision because they had lied to them about something?
The news we are getting from the analyst is that EMI are doing a full roll-out using Macrovision's CDS-300 for commercial CDs in Europe and the US, later to be followed by the rest of the world, which are either not protected currently or on CDS-200. He has been told that they will continually evaluate all technologies, but that there is no current intention to use MediaMax.
This is different to what is been stated here, so I will hold judgement until I can see an EMI CD with MediaMax on it.
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