Macrovision and TTR Technologies Announce Partnership to Develop Music CD Copy Protection System
SUNNYVALE, Calif.--(ENTERTAINMENT WIRE)--Dec. 8, 1999-- Macrovision Corporation (NASDAQ:MVSN - news), known for its video and CD-ROM software copyright protection technologies, and TTR Technologies, Ltd., (OTC BB:TTRE - news) a developer of optical media-based copy protection technologies for the software and music industries, announced today a strategic partnership to develop and market a copy protection system which will inhibit casual copying of Music CDs using dual-deck CD recorder systems and personal computer based CD-Recordable drives.
The two companies plan to pool their respective technologies and related patents for Music CD and DVD Audio copy protection. Macrovision will be responsible for licensing the technology to music rights owners on an exclusive basis worldwide. The two companies intend to work cooperatively with encoder manufacturers and CD replicators to implement the manufacturing and quality control systems necessary to commercialize the jointly developed Music CD copy protection technology. As part of the strategic partnership agreement, Macrovision intends to make an 11.4% equity investment in TTR, subject to the satisfaction of certain conditions.
An additional aspect of the agreement grants Macrovision an exclusive license to TTR's CD and DVD signature technology and related encoder software that is used to embed signatures during the replication process. Digital signatures are a critical element of both Macrovision's and TTR's computer software copy protection systems. Macrovision intends to use this technology to enhance its existing CD-ROM software copy protection technologies which it currently markets under the SafeDisc(TM) and SafeCast(TM) brands. TTR and Macrovision intend to work cooperatively to transition existing software customers of TTR's DiscGuard(TM) technology to SafeDisc or SafeCast early in the year 2000.
Macrovision's entry into the Music CD copy protection market coincides with the recent proliferation of inexpensive CD-recording products and software based ``music jukeboxes' in the Consumer Electronics and Personal Computer marketplaces. A CD-Recorder retailing for less than $200 is capable of copying any Music CD onto a blank CD-R disc costing less than $1.00, or onto the hard disk of a personal computer. In addition to the copying threat already posed by professional pirates and unauthorized Internet websites, inexpensive CD-recording technology now allows PC owners with just basic computer skills to make replicas of any Music CD for the price of a blank disc.
``This agreement allows Macrovision to leverage its existing CD copy protection technology base and more than a decade of experience in developing and marketing copy protection solutions to the home video and multimedia software industries, to address important problems currently being faced by the music industry on a worldwide basis,' stated John Ryan, Chairman and CEO of Macrovision. ``The partnership arrangement with TTR on this project will take advantage of the collective skills, patents, and expertise of each company - and should enable us to deliver a commercially viable Music CD copy protection system to the music industry.'
``We're very pleased to have Macrovision as a strategic investor and partner,' added Marc Tokayer, Chairman and CEO of TTR. ``Macrovision's worldwide scope of operation and its 15 years' experience in developing, licensing and supporting robust, commercially viable copy protection technologies and TTR's leading edge music CD copy protection technology will be a good combination to drive widespread deployment of the resulting system.'
About TTR
TTR Technologies, Inc., a leader in digital anti-piracy technology, designs, markets, and sells proprietary anti-piracy products. TTR has developed and commercialized products for the software and entertainment industries and is in the process of broadening its product range through in-house development and joint ventures.
About Macrovision
Macrovision Corporation develops and markets content copy protection and rights management technologies and products to prevent the illicit duplication, reception or use of video and audio programs and computer software. The company provides its products and services primarily to the home video, pay-per-view, cable, satellite, video security, consumer multimedia and application software markets. Macrovision has its headquarters in Sunnyvale, California with subsidiaries in London and Tokyo.
Macrovision is best known for its video copy protection technologies that are used by Hollywood studios and other rights owners worldwide to deter unauthorized VCR copying of prerecorded videocassettes, DVDs, and digital cable/satellite pay-per-view programs. Its SafeDisc software copy protection technology is used by Microsoft, Electronic Arts, and other software companies worldwide to deter unauthorized copying of CD-ROM based consumer multimedia, entertainment and business application software. With its recent acquisition of C-Dilla, Ltd. (UK), Macrovision's product range now includes a suite of copyright management technologies that support secure software downloads over the Internet.
All statements contained herein, as well as oral statements that may be made by the Company or by officers, directors or employees of the Company acting on the Company's behalf, that are not statements of historical fact, constitute ``forward-looking statements' and are made pursuant to the Safe-Harbor provisions of the Private Securities Litigation Reform Act of 1995.
Such forward-looking statements involve known and unknown risks, uncertainties and other factors that could cause the actual results of the Company to be materially different from the historical results or from any future results expressed or implied by such forward-looking statements. Such risks and uncertainties are outlined in Macrovision's Annual Report on Form 10-KSB for 1998 and its Quarterly Report on Form 10-Q for the quarter ended September 30, 1999, both as filed with the Securities and Exchange Commission. These factors may not constitute all factors that could cause actual results to differ materially from those discussed in any forward-looking statement. The Company is not obligated to revise or update any forward-looking statements in order to reflect events or circumstances that may arise after the date of this release.
Note to Editors: Additional background information on Macrovision Corporation can be obtained from our Web site at www.macrovision.com.
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Contact:
Macrovision Corp.
Mark Belinsky, 408/743-8600
mbelinsky@macrovision.com
or
TTR Technologies Inc.
Emanuel Kronitz, +972 9 766 2393
kronitz@ttrtech.com |
