To: chris431 who wrote (8446 ) 11/13/1999 12:08:00 PM From: bob Respond to of 18366
REPOST FROM RB.... WOW!!!!! By: TWOMIL Reply To: 98877 by bksd Saturday, 13 Nov 1999 at 11:56 AM EST Post # of 98921 MUSIC INDUSTRY SEES UNIVERSAL WORKING WITH e.DIG The article below was apparently on the streets of Los Angeles starting around its publication date. The company has a high cost subscription only web site but no other electronic presence. The number of the publisher is 818-501-7900. I did not speak with the author of the article nor do I know whom that person may be. I am restating the entire article for this readership's review. From HITS October 29, 1999 Column HITS BYTES Page 14 "TI chip versus Cirrus chip versus IBM Microdrive. The player wars are in full swing, with the line being drawn between players hitting the street in time for the holiday shopping season with MP3, AAC and ePac TI DSP, ePAC? That's right, the long-time digital audio chimera may soon make its debut, with our sources saying ePAC is at the heart of Universal Music Group's soon-to-be- released digital integration strategy. Said strategy is rumored to include ePAC-encoded music content, a UMG-created proprietary software interface and even an InterTrust DigiBox-supporting a portable player designed and manufactured by e.Digital. Key in the eDigital component is their highly coveted micro OS that gives portables the "outernet" intelligence Net pundits say is one of the most crucial elements of consumer interaction and marketing in the digital space. From any vantage point, this UMG strategy, if employed, will mark the strongest 'Net play' to date by a traditional company (a company, by the way, which at this point isn't also a hardware manufacturer like Sony). When will the details be revealed? Stand by?.Hits Bytes@ aol.com" As written, the author knows something about Intertrust's terminology, and I suspect had to have contact with Universal. This type of information doesn't just go floating around the street without some basis in fact. Intertrust began to formulate its enterprise in the early 90's and has some of the most extensive patents one could imagine in this field. Their patent portfolio is being sought for licensing by both Intel and Microsoft and others. Universal Music and its affiliates control between 33 to 38% of the music market. They often work with BMG and both BMG and UMG are in with Intertrust. BMG may own another 18 to 22% of the market to bring their combined forces to over 50%. Universal is 10% owned by Matsuchita (Panasonic). It would seem very probable that Matsuchita will be looking at Universal's needs and even more probable that Matsuchita will in some way be considering conferring if not working with eDig. They have nothing to lose and everything to gain by this combined effort. All the labels will need to test their infrastructure for both security and ease of use. In the case of Universal, Nov. and Dec. are testing months. If all proceeds without major problems, UMG's new label content will be available via net distribution in January 2000. Personally I've always felt that the handheld player does not need brand name recognition so necessary as on store shelves. I see this as an item that could succeed as a PC bundled add-on and an internet sale by labels or computer forces such as Dell, IBM, and Compaq. I also foresee Lucent needing to do much more to brand "ePac" because it's getting more obvious that the buzzword can easily become, "Where can I get an ePac player?" e.Dig will be showcasing the player at Webnoize and Comdex. I look for this to be a very hot subject coming out of Comdex that the press will pick up on. Our new PR company has to be moving eDig down that track and JUSTRI should have also immensely helped going into these two exhibitions. With the labels about to release, players have to be ready for the public. THE TIME IS NOW and those in the wings, who had been in an indecisive mode, will move into the batter's box. There is a ton of private money in the hands of music executives. As they see the role that eDig can and will play in their industry, e.Dig like INTR, will probably receive their investment interest. Good luck to all: