Los Angeles, June 28, 1999
The Secure Digital Music Initiative (SDMI) today
announced completion of the first step in creating a new digital music
marketplace. At a meeting in Los Angeles from June 23-25, more than 100
companies from the music, consumer electronics and information technology
industries adopted a specification for portable devices for digital music.
The Specification is under final technical review and will have been ratified
at the SDMI Plenary meeting on July 7-8. Achieving this milestone meets the
ambitious timetable announced just four months ago.
"In just four months, three industries have come together to agree on the
first SDMI Specification for building platforms that operate in the digital
music market," said Dr. Leonardo Chiariglione, Executive Director of SDMI.
"SDMI will enable the future of music and today's announcement signals to
consumers that this future is coming quickly. This future holds the promise
that consumers will have access to vast amounts of exciting new content with a
new level of portability."
"The SDMI specification will allow for the development of consumer friendly
systems for delivering digital music to portable devices," said Jack Lacy,
Chairman of SDMI's Portable Device Working Group. "This flexible
specification permits the immediate introduction of portable devices that work
for consumers today, and offers even more choices in the future."
The specification announced at the conference provides for a two-phase system
- Phase I and Phase II. Phase I commences with the adoption of the SDMI
Specification and ends when Phase II begins. Phase II begins when a screening
technology is available to filter out pirated music. During Phase I, SDMI
compliant portable devices may accept music in all current formats, whether
protected or unprotected. In the future when Phase II begins, consumers can
upgrade to enjoy new music released in both protected SDMI compliant formats
and in existing unprotected formats. For example, when consumers wish to
download new music releases that include new SDMI technology, they will be
prompted to upgrade their Phase I device to Phase II in order to play or copy
that music. The upgrade will incorporate a screening technology that permits
playback of all content except pirated copies of new music releases. In both
Phase I and Phase II, consumers will be able to rip songs from their CDs and
download unprotected music, just as they do now.
An important part of the work that was achieved is the creation of a reference
architecture, which comprises the elements necessary for moving music encoded
and protected in various formats onto devices in a manner which is consistent
with SDMI rules. The specification also embraces many of the principles that
are likely to be a fundamental part of the long term SDMI specification -
namely, that devices should respect the usage rules embedded in music by its
creators. This will enable new business models that will provide consumers
with new ways to enjoy the latest music.
The adoption of the portable device specification confirms that the
infrastructure necessary for a compelling marketplace is on its way. Artists
and music companies can now prepare for widespread electronic and digital
release of the music that consumers want, confident that their rights will be
respected.
The complete text of SDMI's Portable Device Specification Version 1.0 will be
made public after it is ratified at the SDMI Plenary meeting on July 7-8,
1999, and will be posted on the SDMI Web site (www.sdmi.org). Over the next
few months, the specification will be supplemented with additional detail. For
example, it is expected that example implementations will be created for an
Application Program Interface (API) in order to lay the groundwork for
standardized approaches. SDMI participants will also continue meeting in
order to finalize the screening technology necessary for Phase I devices, as
well as to work toward the adoption of further specifications.
"Through this cooperative effort each industry segment has gained a broader
understanding of and appreciation for issues important to the others. This
alone is a very significant achievement that is necessary to move forward and
develop comprehensive specifications for the digital distribution of music,"
said Lacy.
Chiariglione commented, "Jack Lacy is to be congratulated for creating the
environment in which this collaborative and collegial process could flourish.
He not only has enabled SDMI to meet this fast-track deadline, but he has also
laid the groundwork for extending the specification with new functionality."
About SDMI:
The Secure Digital Music Initiative brings together the worldwide recording
industry and technology companies to develop an open, interoperable
architecture and specification for digital music security. The specification
will answer consumer demand for convenient accessibility to quality digital
music, enable copyright protection for artists' work, and enable technology
and music companies to build successful businesses. Additional information
about SDMI can be found at http://www.sdmi.org/.
Reaction by IFPI to the SDMI Announcement:
Tuesday, June 29, 1999, IFPI Chairman Jason Berman said:
"Today's announcement by the SDMI Portable Devices Working Group is the first
major step towards the development of a worldwide legitimate on-line music
market. This will bring great benefits to all the parties involved -
consumers, record companies, artists and songwriters and a wide range of
equipment manufacturers and technology companies."
Background
IFPI is the trade organization of the international recording industry
representing more than 13,000 recording producers in over 70 countries.
International retail sales of recorded music totaled US$ 38.7 billion in I998.
Hilary Rosen, President and CEO, RIAA
Statement on SDMI Adoption of Portable Device Specification
Today's announcement brings consumers one step closer to the on-line music
market they want. The adoption of a system to respect music on portable
devices will give artists and music companies the ability to develop and offer
music fans new, innovative ways to experience music on-line and off. I
applaud the work of the more than 100 information technology, consumer
electronic and music companies who worked together in support of a common
goal, a legitimate, high-quality digital music marketplace.