To: StockDung who wrote (41 ) 12/20/2001 9:57:05 PM From: afrayem onigwecher Respond to of 120 Frequently Asked Questions about TTR Technologies, Inc. What is TTR's mission and its approach for growing the Company? How does SAFEAUDIO® work? Can I hear the difference between a disc protected by SAFEAUDIO® and one that is not? Has SAFEAUDIO® been hacked? How big is the market for TTR's copy protection products? I am a reporter or editor. How can I get more information on TTR? [Close this window.] Q. What is TTR's mission and its approach for growing the Company? A. TTR Technologies, a leading developer of digital anti-piracy solutions, has developed a revolutionary, cost-effective remedy for the $5 billion music CD piracy problem. Through a strategic alliance with Macrovision Corporation (MVSN), the Company is in the process of marketing its SAFEAUDIO® media-based copy protection to the major music labels. TTR's technology is embedded in CDs during the manufacturing process and is therefore not susceptible to “hacking.” TTR is also researching and investing in related copy protection and security solutions. It is adapting its patented CD anti-piracy technology to the market for DVD-ROM copy protection. TTR's 50% owned subsidiary, ComSign Ltd., is the exclusive marketer of VeriSign, Inc.'s (VRSN) digital authentication certificates and PKI [Public Key Incryption] enterprise systems in Israel. PKI enterprise systems enable secure transactions on the Internet. [Return to Top.] Q. How does SAFEAUDIO® work? A. SAFEAUDIO® introduces subtle distortions onto the music CD. If a buyer has the original CD, the CD player's inherent error correction will eliminate these distortions and the CD will play normally. The user will be unable to tell the difference between a SAFEAUDIO®- protected CD and one that is not protected by SAFEAUDIO®. If a user tries to play a copy of a SAFEAUDIO®- protected CD, the copied CD will play with loud clicks and/or buzzes over the music, making it useless. Hear SAFEAUDIO® for yourself! Press here to hear an unprotected music sample. Press here to hear a music sample copied from a SAFEAUDIO® - protected source. [Return to Top.] Q. Can I hear the difference between a disc protected by SAFEAUDIO® and one that is not? A. No. Despite an erroneous report in the press (the interviewee was actually referring to watermarking which is a different technology), the error correction inherent in CD players eliminates the SAFEAUDIO® distortions. SAFEAUDIO® was first tested by the so-called "golden ears" at the major record labels. These are trained professionals whose job it is to check the quality of audio recordings. They could not tell the difference between SAFEAUDIO® protected discs and unprotected discs. A major label also sold approximately 200,000 unmarked SAFEAUDIO®-protected discs through its normal distribution channels. The return rate on these discs was no different than the return rate for unprotected discs. To conclude, SAFEAUDIO® has been tested both by professionals and by consumers and neither was able to detect SAFEAUDIO®-protected discs. [Return to Top.] Q. Has SAFEAUDIO® been hacked? A. Despite an ambiguous reference on a bulletin board, SAFEAUDIO® has not been hacked. [Return to Top.] Q. How big is the market for TTR's copy protection products? A. The music industry ranks among the largest victims of consumer piracy. With annual sales of $40 billion, approximately 5 billion music CDs are replicated each year. At the same time, content piracy has been exacerbated by recent reductions in the cost of CD recording equipment and the use of MP3 compression technology to transmit pirated recordings over the Internet. [Return to Top.] Q. I am a reporter or editor. How can I get more information on TTR? A. You can request background or interview information by contacting TTR's media relations representation: ttrtech.com