To: Jim Bishop who wrote (57013 ) 7/28/2000 5:23:31 PM From: CIMA Read Replies (2) | Respond to of 150070 DSNY - Record Company Boycott: haveyouseenthis.com DSNY issued this earlier today: Regarding the recent news on Napster and its potential effect on Destiny Media Technologies. There can be no questioning the fact that the internet is the best distribution mechanism to date for the delivery of digital media, especially music. I believe that there is great value in services such as Napster provided that they work within the law. Unfortunately it is these recent tests of the law that will define the law itself as we go along. I think the issue here is really about control. The major record labels control the distribution of the majority of new music. Napster, et al, began to take away this control. The internet is also increasing the power of the individual artist which becomes another problem for the major labels. There are technology solutions to these technology situations. Our company, Destiny Media Technologies, has developed a product, MPE, that we feel satisfies some of the issues that are central to the Napster court case. Because of the way each individual MPE (the name of Destiny's secure mp3 format) is encrypted, piracy of our product is an incredibly difficult thing to achieve. Each song has a 30 second preview of the track. Once decoded, the file immediately becomes the full length version of the song. However, if you send that decoded file to a friend after you've "unlocked" the MPE, all they will get is the original encoded 30 second preview version. If you burn the decoded MPE onto a cd, it will be the encoded version rather than the decoded version. To find out more go see: destinympe.com . The MPE product would work perfectly within a file sharing product such as Napster. We have several independent electronic musicians working for us and they state that this is the only secure mp3 solution that they have seen on the market that satisfies their concerns about piracy for their work. We are following this current situation very closely as it has great ramifications for our little company. The legal decision on Napster has created a tremendous opportunity for Destiny and its MPE product. Best regards, Paul Andreola Destiny Media Technologies, Inc. 950 555 West Hastings Street Vancouver, BC Canada T: 604 609 7736 x229 F: 604 609 0611 destiny-software.com