Disney licenses Microsoft DRM software

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Feb. 09, 2004

Microsoft and The Walt Disney Company announced an agreement that the companies say is intended to make Disney movies and TV programming available in high-quality digital format, and on a new generation of interconnected TV sets, personal computers, and handheld devices (including the Portable Media Center shown above). As part of the agreement, Disney will license Microsoft Windows Media Digital Rights Management (DRM) technology.

(Click here for a larger Portable Media Center photo)

The two companies say the multiyear agreement covers "cooperation on several long-term digital media initiatives to improve the quality, security, and reach of digital content within the home and on Microsoft Windows XP-based PCs as well as on a growing number of home and portable entertainment devices."

Disney and Microsoft say they have identified the following three areas of joint focus that utilize effective rights management:

The creation and secure delivery of compelling high-resolution digital content
The overall acceleration of digital content flow to consumers -- over networks, on optical media and on devices
Ensuring the seamless flow of secure content between devices, whether in the home or on portable devices

Under the agreement, Disney has licensed Microsoft Windows Media DRM software on a non-exclusive basis to enable the seamless delivery of secured digital media over the next several years.

Disney says the agreement signifies its "innovative stance and continuing commitment to providing new digital media experiences for consumers," and Microsoft says it underscores Microsoft's role as "a key technology provider for the entertainment industry."

"Disney is dedicated to providing consumers with entertainment content on various platforms, and this agreement with Microsoft helps facilitate those new business initiatives," commented Peter Murphy, senior executive vice president and chief strategic officer for The Walt Disney Company. "The continuing migration of content from analog to digital formats has exciting implications for both consumers and content owners, and we believe this agreement will accelerate this evolution and bring about a vibrant market for legitimate, high-quality entertainment delivered to new categories of end-user devices, such as personal media players and home media center PCs."

"With technologies now available to bring new experiences to consumers, including high-quality digital movies through a range of secure delivery methods, the time is right for a significant cooperative effort such as this one between Microsoft and Disney to help guide the industry," added Will Poole, senior vice president of Microsoft's Windows Client Business. "Our shared goal is to ensure that consumers will have access to great content on many different devices including Windows XP Media Center PCs, high-definition TVs or Portable Media Center devices -- without having to worry about compatibility issues. Together we aim to prove that the distribution and consumption of digital media can be done in ways that benefit everyone."

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