To: Ausdauer who wrote (18898 ) 2/1/2001 9:24:57 AM From: Road Walker Respond to of 60323 NTT Unit, Matsushita Electric Form Alliance for Online Music Distribution Dow Jones Newswires TOKYO -- NTT Communications Corp. said Thursday that it, Matsushita Electric Industrial Co. and U.S. company Preview Systems Inc. have formed an alliance to provide music distribution services via the Internet after March 1. Under the tie-up, NTT Communications will provide a digital content platform service, called Arcstar Music, to deliver music that can be downloaded from the Internet to various devices, including memory cards for use in Matsushita's portable players. The move is aimed at heading off competition from Sony Corp. in establishing industry standards for music storage media and in providing music distribution infrastructure. By using an "EMDLB" music distribution system and Matsushita Electric's "SD Jukebox" and "ED Jukebox" software applications, NTT Communications's Arcstar Music service will enable consumers to access and download songs from record companies in a timely manner. Consumers will be able to pay for the songs with credit cards. "We are currently in talks with several record companies about this service and we hope to make announcements in February and March," said an NTT Communications official at a press briefing. The NTT Communications official also said that the company is considering providing video distribution services in the future. NTT Communications is the long-distance and international phone arm of Japanese telephone giant Nippon Telegraph & Telephone Corp. NTT Communications said that its digital contents platform was developed based on Preview Systems's "ZipLock DDM System." Ziplock utilizes digital rights management technology developed by Convera Corp., an affiliate of U.S.'s Intel Corp. In early January, NTT DoCoMo announced the launch of a Japan-wide service that offers music downloads through a personal handyphone system, or PHS. Matsushita Communication Industrial Co., Sony and Itochu Corp. will invest in the joint venture, which will be called Trinotes Inc.