Roxio and EMI Recorded Music Partner to Commercialize Consumer CD Recording
Hollywood and Milpitas, Calif., June 5, 2001 - Roxio, Inc., "The Digital Media Company," (Nasdaq: ROXI) and EMI Recorded Music announced today that they have entered into a strategic relationship to develop a secure CD recording platform whereby Roxio's software will allow a customer to "burn" EMI music onto CD when permitted to do so. EMI has additionally made an equity investment in Roxio.
Through this relationship, Roxio will provide its technology and multiple distribution channels while EMI will provide strategic guidance and advice. The two companies will work towards creating solutions designed to protect against the unauthorized reproduction of copyrighted content.
"By partnering with a market leader such as Roxio, EMI will work to develop ways for consumers to easily record authorized music onto recordable CDs," said Jay Samit, Senior Vice President, New Media, EMI Recorded Music. "Cooperation between technology companies and the music industry is at the core of our plans to develop new revenue streams for our artists."
"EMI continues to demonstrate leadership in pioneering technologies for digital distribution that are both effective and practical," said Chris Gorog, President and CEO of Roxio, Inc. "We want to continue to work with leaders in the music industry, like EMI, to not only provide for the protection of their digital content, but also to enable record companies and artists to get paid for burning. Our goal is to enable consumers to legally download and record music to CD in a consumer-friendly manner while fairly compensating copyright owners and creators."
Industry analysts have projected that by 2004, 25 percent of all media will be distributed via the Internet. By the end of this year, it is expected that 5 billion blank CDs will be shipped in support of an estimated installed base of 100 million CD recorders. The agreement between Roxio and EMI recognizes the fundamental changes taking place in the way content is distributed and the parties' intent to create a new, secure standard for digital content delivery.
Roxio, a division of Sonic Solutions, develops and markets the best-selling digital media software in the world. Roxio offers award-winning software products for CD/DVD burning, photo editing and video editing and has an installed base of over 150 million
users. Roxio distributes its products globally through strategic partnerships with major hardware manufacturers, through leading
retailers, through Internet partnerships and through direct sales at www.roxio.com. Roxio's
parent company, Sonic Solutions (NASDAQ: SNIC;
http://www.sonic.com) is the leader in digital media software and provides a broad range of software
tools and applications for creative professionals, business and home users and technology partners. Sonic's products range from professional
DVD authoring systems and interactive content delivery technologies that are used to produce the majority of Hollywood movies released on DVD,
to the award-winning Roxio- and Sonic-branded CD and DVD creation, playback and backup applications that have become the premiere solutions
for consumers and business users worldwide. Sonic's AuthorScript® is the de facto standard for CD and DVD burning and formatting and has
been licensed by major software and hardware manufacturers, including Adobe, Broadcom, Microsoft, Scientific-Atlanta, Sony, and many others.
Sonic Solutions is headquartered in Marin County, California.
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