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Should replicators be worried? Maybe they should be excited. A new music format has been announced from the four major record labels. It’s not a download technology, but rather something most people are familiar with on their cameras. It’s a microSD card with pre-loaded DRM-free MP3 music that can be listened on a cell phone or MP3 device and requires no dependence on a computer or internet connection. Could this actually be a new technology for replicators to get involved in and possibly make money?

Sony BMG, Universal Music Group, EMI Music and Warner Music Group have all agreed to release slotMusic. The technology is being driven by SanDisk, the creator of microSD. The preloaded discs will be available at brick and mortar stores and then through online stores in the U.S. including Best Buy and Walmart. Europe is expected to follow. Initial titles became available last week. New release albums are available from artists like Coldplay, Katy Perry, Leona Lewis, Rihanna, and Robin Thicke. Catalog titles are available also.

My question is, why do we need this format at this time? I went out to industry observers with this question. Admittedly, there is a pre-existing installed base of multimedia phones, and computers as well as in-car sound systems. However, as David Sidebottom of Futuresource Consulting said, while there are several mobile phones with the capability to play the cards, many people don’t use the slot, and others don’t even realize they have the capability. “There is a consumer behavior mission which will be a big sticking point,” he said.

This is not the first time card technology has been explored. Going back four or five years ago, Sidebottom said it might have been a good transition for disc to digital, “but now digital media has developed so much, people can just rip a CD and sideload to their mobile phone or to their MP3 player or download directly.” While he feels the time has passed in terms of possible consumer interest, he said the technology is being explored because the price of the cards has fallen so much. "Last time around, card prices were price prohibitive. The memory card market, like the optical disc market, is becoming increasingly commoditized. Price pressure is intensifying. SanDisk has good brand awareness and they are looking at alternative ways to extend revenues from related sources.”

The reason I wanted to write about slotMusic is because it is a physical format. I called several industry friends to see if that factor peaked their interest as well. Not so much. Many said it wasn’t something they were even considering. I went to Sony DADC to try and get comment. They sent me to Sony Music, who sent me to SanDisk, who never returned my call. So I’m really not sure how committed anyone is to the format. As for the record labels, they have nothing to lose. If the product shows revenues, everyone’s happy.

Sidebottom said, he’s not sure if replicating the cards is an opportunity for replicators, but he didn’t think it to be a threat either. Cost for replicating these cards is high compared to replicating a CD. Secondly, getting the product into the stores could still be complicated.

Rod Streeper, Customer Operations Director at Entertainment Distribution Company, said his company has been watching the SD card plans with interest, but at this time, they are choosing not to get involved in the manufacturing. “At launch, the volume will amount to less than a tenth of a percent of the CD volume in the U.S. this year. In addition to manufacturing costs, the fundamental problem is the SD format has weak supply chain issues including audio quality versus CD and lack of consumer familiarity with the format. The last can be overcome with time and money thrown out at a consumer education campaign, but it already has the buzz of half-hearted support by its backers.”

Steve Nazarian, director of sales and marketing for Spinergy, has an even stronger opinion. “Speaking as a replicator/duplicator, we want no part of it. In short, the new format is a dog with fleas.” The greatest reason the format won’t take hold, he said, is that it doesn’t add any function or quality to the options already available. Like Sidebottom, Nazarian said, it is a plus not to have to buy a player, “but you have to use your phone and you need to know how to do that.”

Another announcement that came out during the same week revealed that Toshiba Corp. and NCR Corp will invest $35 million in MOD Systems. Consumers will download digital video content to Secure Digital (SD) cards and portable devices such as mobile phones through kio sks and other self-service devices deployed, integrated and maintained by NCR at retail stores, airports, quick-service restaurants, and other outlets. Toshiba will develop dedicated set-top boxes for the service, and develop and market high-capacity SD cards for the system, improving the speed of downloads in the future.

Sidebottom said MOD’s model is probably a little stronger than the slotMusic model. It can almost work as a rental model; getting the content and erasing it when you’re done watching. Brick and mortar stores are the dominant distribution channel for content that is sold. I’ve actually heard that 75 percent of movies purchased are bought on impulse. No one actually confirmed that number, but most everyone I asked said it sounded right. “Content does two things for a retailer,” said MOD’s Anthony Bay. "It drives store traffic. It also increases the gross profit of every visit. If I can get you to impulse buy a couple of movies while you’re in the store, it didn’t cost me to get you there.”

Sidebtottom added that the MOD Kiosks could perhaps be made available in non-traditional media outlets such as a cellular stores. However, “there are significant investment costs associated with these kiosks in terms of training and maintenance."

One again, there is no easy yes or no answer. What catches on with consumers has often been a surprise. Perhaps what is most significant with these products is that people are still thinking about physical formats and are not yet ready to go 100 percent digital. No one knows what will happen this holiday season, but perhaps with the worldwide financial crisis, physical media will have a good year. Traditional, reasonably priced, CDs and DVDs may be the answer for presents this year. Only time will tell. Debbie Galante Block (debgalante at comcast.net) is a freelance writer based in Mahopac, N.Y.

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The Authoritative Blu-ray Disc (BD) FAQ: Updates

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Primera Announces Linux Developer Support for its Disc Publishers

Primera Technology, Inc., the world's leading developer and manufacturer of CD, DVD, and Blu-ray Disc(TM) duplication and printing equipment, today announced its support of Linux printing on its Bravo II, BravoPro, Bravo XR and Bravo XRP Disc Publishers (DP-II, DP-PRO, DP-XR and DP-XRP in Europe and Scandinavia).

Addressing the needs of the fast-growing Linux developer and user communities, Primera's fully-featured Linux printer drivers can be easily integrated with open-source or commercially-available disc burning engines. Together, these components provide a complete, automated disc production solution.

"Primera is committed to make our best-selling disc publishing systems available to users of all popular operating systems,” said Mark D. Strobel, Primera's vice president of sales and marketing. "We were the first in our industry to support Windows® Vista®. We recently completed Mac® drivers for virtually every product we make. We introduced our new, best-in-class PTPublisher(TM) and PTPublisher Network Edition software. Starting today we support Linux printing. This latest announcement is just one more example of how we continue to expand our compatibility to meet the varied needs of our broad user base.”

The Linux printer drivers will officially be announced by Primera Technology Europe GmbH at the Systems trade fair being held October 21-24, 2008 at Messe Munchen in Munich, Germany. Primera Europe's stand is located in Hall B2, Stand 450.

The Linux printer drivers are available now at www.primera.com/support.

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Pioneer Brings DVD Download-to-Disc Entertainment for Consumers

Advancing the current state of digital downloading for entertainment fans everywhere, Pioneer Electronics (USA) Inc. today introduces two DVD/CD computer writers featuring Qflix™ DVD Download & Burn technology, enabling users to download their favorite movies directly from the Internet to DVD. As personal computers become media centers for many consumers, the new Pioneer® internal DVR-2920Q and external DVR-X162Q DVD/CD writers allow users to take advantage of this exciting technology while expanding their entertainment collections with a tangible, familiar media that will maintain into the future.

Jointly developed by Pioneer and Sonic Solutions®, Qflix is an emerging DVD technology that gives consumers the opportunity to purchase licensed Hollywood films, and eventually TV shows, from CinemaNow, some of which have previously been unavailable at retail.

"Consumer adoption of digitally distributed entertainment will happen at a far greater rate than the extinction of the DVD player," said Mark Ely, executive vice president of Strategy, Sonic Solutions. "Qflix is an important and necessary bridging technology that allows content owners to deliver a more flexible product that combines the convenience of digital distribution with the permanency and portability of the DVD."

For home audiences who were previously relegated to viewing downloaded content on a small computer screen, Pioneer’s new writers with Qflix technology enables users to preserve digital content for playback on standard DVD players and then watch it on a big screen television. The result is a richer viewing experience that transcends current digital entertainment options.

"Our commitment to enhancing the digital entertainment experience has driven us to expand offerings in new ways, far beyond the traditional computer screen. Now we can provide a packaged media option that can be enjoyed on multiple disc drives or players located throughout a home," said David Cook, president and COO of CinemaNow. "Being able to offer a selection of feature films that are compatible with Qflix technology, unlocks a dynamic collection of content for consumers who are searching for movies or shows that do not even exist on DVD."

Streamlining the user experience, both Pioneer drives incorporate Roxio’s Venue™ software that provides simplified management and writing of downloaded digital content. Also included in the software bundle are applications that allow users to back-up and play their disc media on a PC via the Roxio CinePlayer® and Easy CD & DVD Burning software.

Besides featuring 20x write speed to DVD-R and +R, the internal DVR-2920Q and external DVR-X162Q writers boast a variety of other sophisticated features for maximum convenience:

Optimal Write Support – Recognizes the disc media and adjusts the drive’s write speed to ensure the highest quality digital preservation of vital files
Quiet Drive – Unique interlocking design ensures low acoustic noise by “trapping” the airflow noise generated by the spinning disc
Improved Durability – Improved chassis insulation helps protect the drive’s internal components from dust and small particles that can hinder the product’s operability and lifespan

Available at retail stores nationwide and at www.pioneerelectronics.com, the Pioneer internal DVR-2920Q and the external DVR-X162Q DVD/CD writers will begin shipping in October 2008 for a suggested price of $69.99 and November 2008 for a suggested price of $114.99, respectively.

www.pioneerelectronics.com
www.qflix.com

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ZC DVD Creator Platinum v. 6.2.2 Burns All Video Files to Hollywood Style DVD D5 and D9 Movie

ZC Software today is happy to announce the release of ZC DVD Creator Platinum v. 6.2.2 a -new version of a DVD creator software package that converts almost any video source to burn on DVD directly without having to store it on a hard drive.

ZC DVD Creator Platinum gives the user the possibility of customizing their own menu templates that will match to the user's style and give the movie a polished look. The software will edit, author and burn all DVD formats ever known. With ZC DVD Creator Platinum, it is possible to broaden creativity and easily create personal DVDs. "It is so unfortunate that people involved in a home disaster such as a fire lose all irreplaceable videos such as old wedding videos or even favorite video slip movies. Somehow the means to do this has been either too expensive, time consuming or technically beyond our abilities. There is no longer any reason to procrastinate, ZC DVD Creator Platinum is a simple, low cost ($39.95 MSRP) software package that can convert almost any video source to burn DVD directly without having to first store it on a hard drive", says Linette for France, one of the software users.

ZC DVD Creator Platinum video source supports all known formats, such as AVI, DIVX, XVID, RM, RMVB, MPEG, MPG, VCD, SVCD, WMV, ASF, ASX, SWF, MOV/DAT, FLV (Flash Video), 3GP (3gpp, 3gp, 3gp2), MP4 (mp4, mpeg4), Nullsoft Video (NSV),AVS, Decrypted DVD File (VOB), MKV, DV video, mts, m2ts. Besides, that the user has new themes of menu templates, he can easily customize new Hollywood-style DVD menus. It is possible to trim and split-cut the videos, specify the DVD background Music and Images, edit the DVD Menu short description and playback preview the video file.

The world-class video encoder will guarantee the best DVD picture quality within one hour. In case of installing Nero 7.2.0.0, the software automatically selects Nero as the default burning engine. ZC DVD Creator Platinum supports wide screens (16:9) as well as usual TV screens (4:3). It also supports both NTSC and PAL TV systems.

The advanced Dolby Digital audio will strengthen the movie with theater quality sound. The software includes automatic matching of a broad range of DVD-R/RW and DVD+R/RW burners. The user can burn a DVD Movie image files placed on a hard disc to a DVD Disc directly without storing them on a hard disc.

It is easy to check the DVD Writer Device detail information and to erase the writable DVD Disc directly. After the job done, the computer will be automatically shot down. ZC DVD Creator Platinum gives more space for imagination with the function creating your own DVD on a disc.

No more worries about the errors and abortions of the burning process with new reliable burning engine.

ZC DVD Creator Platinum has a friendly and easy to use interface that allows the user to create a DVD movie just by one click.

The new version of ZC DVD Creator Platinum has an upgraded video clip edit feature and fixed DVD menu bugs.

Pricing and Availability
ZC DVD Creator Platinum is compatible with all versions of Windows. The software is available on a CD-ROM at 14.90 USD shipping service. The CD will be produced and mailed within 24 hours after the payment. Shipment by mail can take 3 to 8 working days within the EU and USA and 10 to 25 working days in other countries and regions.

A special offer for user groups includes the following:

ZC DVD Creator Platinum and ZC Video Converter at 60 USD;
ZC DVD Creator Platinum and QR Photo DVD Slideshow at 60 USD;
ZC DVD Ripper and ZC Video Converter at 65 USD;

By purchasing ZC DVD Creator Platinum the user gets lifetime FREE Technical Support and FREE upgrade. Besides, for firsthand acquaintance, the free trial version is available. In case of any problems, the user has a 30 day money back guarantee.

www.videoxdvd.com/product.htm

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German Court Finds DVD Disc Manufacturer Odeon Infringes MPEG-2 Patents

The District Court Düsseldorf, Germany recently pronounced 12 verdicts finding that DVD disc manufacturer Odeon Cineplex S.A. (“Odeon”) of Greece, has infringed certain MPEG-2 patents as a result of Odeon’s manufacture of DVD video discs.

The 12 verdicts of infringement were issued in each of the 12 cases for infringement of MPEG-2 patents owned by CIF Licensing, LLC; GE Technology Development, Inc.; Koninklijke Philips Electronics NV; Mitsubishi Electric Corporation; Panasonic Corporation; Sony Corporation; Thomson Licensing S.A.; The Trustees of Columbia University in the City of New York; and Victor Company of Japan, Ltd. (JVC). Those MPEG-2 patents are also included in the MPEG-2 Patent Portfolio License offered by MPEG LA, LLC.

As a result of these 12 verdicts and upon the patent owners providing the requisite security bonds, enforcement of the verdicts will require Odeon to cease its distribution of DVD video discs in Germany and to pay damages to the patent owners for past DVD video disc distribution in Germany. Odeon may appeal these verdicts.

The MPEG-2 Standard is the core technology underlying the efficient creation, transmission, storage and display of digitized moving images and sound tracks on which DVD and other digital technologies are based; and the DVD-Video Standard (DVD Specifications for Read-Only Disc, Part 3: VIDEO SPECIFICATIONS) requires DVD Video discs to contain information formatted in accordance with the MPEG-2 Standard.

www.mpegla.com

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Target Enters into MPEG-2 License with MPEG LA

MPEG LA, LLC today announced that Target Corporation has entered into the MPEG-2 Patent Portfolio License offered by MPEG LA. Under the License with MPEG LA, Target will be responsible for paying royalties on its own store branded MPEG-2 products including digital TVs and DVD players sold under the name Trutech®. As a result of this agreement, several companies that license their essential MPEG-2 patents through MPEG LA dismissed a patent enforcement action pending before the U.S. District Court for the Southern District of New York.
www.mpegla.com

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