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Technology Stocks : Destiny Software (DSNY)
DSNY 0.430+35.9%Dec 22 11:11 AM EST

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To: scouser who wrote (322)8/11/2000 9:24:13 AM
From: scouser  Read Replies (1) of 369
 
A good write up in the daily news ...> >

Options, options, options - they are the hallmark of the Internet.
In the wake of all the controversy over free music sharing systems on
the
Internet (Napster of course, and MP3 and Gnutella) I was interested this
week in looking at locally-developed music-download systems that
actually
kick back some cash to the artists and record labels who create the
tunes
we enjoy.
The music market in cyberspace is whopping in scope: Industry experts
predict the market for digitally distributed music will be valued at $6
billion by 2005, representing 15% of music sales worldwide.
Provided, of course, people pay for the products they haul in from the
Net.
One local company has come up with, what I consider, an excellent
approach
to the issue of online music piracy.
Vancouver's Destiny Media Technologies, a former video games company in
> > business since 1991, is offering a solution based on encrypted MPEG
Audio
> > Layer 3 (MP3) technology.
> > "The system is MPE, it's a proprietary delivery technology developed
here
> > in Vancouver," says Keith Gillard, director of content development with
> > Destiny Media. "We consider it to be the most complete solution to the
> > problem of music piracy on the Internet. It really solves the Napster
and
> > Gnutella problems by allowing music to be openly and widely distributed
on
> > the Internet while ensuring, through sophisticated security devices,
that
> > the artist or record labels get the control they need over their content
> > and the money they deserve."
> > Sounds complicated, but for a music consumer, the process is quite
simple.
> > Here's how it works:
> > + A surfer visits www.destinympe.com and browses through its
comprehensive
> > music collection.
> > + The surfer will find three options:
> > 1. Free MPE's. Provided gratis by record labels or artists, these are
> > usually single tracks and include album covers and lyrics (a major
bonus).
> > Links to other websites allow the surfer to pursue the purchase of the
> > entire CD.
> > 2. Free samples. 40 or 50 seconds of free music followed by a prompt to
> > purchase the entire track (prices range from 50-cents to $2 per
download)
> .
> > 3. More free MPE's. These are called "sponsored files." Says Destiny's
> > Gillard: "Let's say Coca Cola was not selling enough product to
> > 14-year-old girls. They might call up 'N Sync and say, 'Hey, we want to
> > sponsor your new track.' They reach a deal and put out the track. The
only
> > cost to the consumer is a visit to the sponsor web site."
> > + If a surfer is interesting in buying entire CDs or tracks, she uses a
> > credit card to deposit money into her own "digital wallet," a sort of
> > online piggy bank safeguarded by Destiny Media. (Ideal for parents, by
the
> > way, who might drop $10 or $20 in the wallet for their teenage son or
> > daughter).
> > + The surfer clicks on tracks/albums he or she wishes to sample for free
> > (or purchase) and they are downloaded.
> > The beauty of www.destinympe.com, launched just last month, is the
> > self-executing nature of its downloads. A patent, Gillard says, is
pending
> > on the technology. Essentially, each file comes with a small, built-in
> > player and fires up in seconds (there is none of the usual long waits
for
> > an external player to download or activate from a music fan's hard
drive).
> > "Ours is a tiny player built in," says Gillard, whose site received over
> > 40,000 hits last month. "We saw that as a barrier to entry for most
people
> > and we decided to eliminate it."
> > Destiny is currently soliciting artists and record labels to join its
> > service. Many, well over a thousand at last count, seeing the simplicity
> > and financial viability, have already signed on.
> >
> >
> > ---
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