CinemaNow promises 99 per cent firewall protection for streaming video catalogue

A Vancouver-based company has developed a new firewall technology to control access to its film catalogue. Lion’s Gate Entertainment subsidiary CinemaNow Inc hit the streets this month with the new service, which streams movies from its vast library to a user’s PC in Windows Media format – for a small subscriber fee. While the day is still far off when the service replaces traditional VCRs and DVD players as the platforms of choice, president Bruce Eisner says the additional distribution arm for Lion’s Gate is an inexpensive way to derive revenues for its existing titles. Eisen says the new rights-management system, which he describes as being 99 per cent foolproof, works in similar fashion to competitive products on the market (including the abortive iWall technology from iCraveTV.com and Border Control, a sister venture to JumpTV.com). A database of IP addresses and servers will be kept on a server that will determine the permissions different users have to view CinemaNow content. Depending on where a client is coming from, they will be presented with different options for streaming content. Eisen says it’s important that their location be determined first so that customers aren’t disappointed by being unable to view a choice which would be available to someone else. The software will be installed on the CinemaNow site sometime in the next couple of weeks when a shipment of hardware arrives. DigitalEnvoy’s product has been acquired through a licensing deal. Eisen says the 99 per cent promise has been committed to in writing. He says similar packages evaluated by the company could only deliver 75 per cent accuracy. For now, Eisen recognizes that the market for streaming movies online is nascent, and the company is experimenting with several pricing models. For the time being, the company accepts payment for its films and subscription services online, but he foresees the day when micro-payment systems become more common. The logical candidates, he says, would be companies which already have an existing billing infrastructure in place such as ISPs, cable companies, or utilities. Right now, however, he says there are no viable systems in place, and that it’s difficult to find companies with a working model amidst the hype. Though the company is still experimenting with both pricing models and technology, Eisen says the day will come when video is delivered primarily using the Internet. "We’re agnostic. I don’t care if you watch a movie on your computer, your handheld, your set top box, if it gets beamed into your retina. We’re a content company and the content that we have developed is to transfer video-on-demand given all the necessary protections and bells and whistles that the audience wants using an IP protocol." Recent announcements by global behemoths such as Sony Corp to also begin making their catalogues available via the Internet don’t worry Eisen, who says competition only bolsters the business model and validates CinemaNow’s decision to move ahead with video streaming. For the time being, the company has no plans to offer its films on any platform but Windows Media. Microsoft recently announced an undisclosed investment in the company, and is now its second-largest shareholder. Eisen says the investment has nothing to do with the company’s choice of platform. In fact, he says, CinemaNow’s early work with Windows Media attracted the Redmond-based company’s attention, and resulted in the infusion. Eisen says the image is excellent at 300 kbps, at VHS quality, and superior at 700 kbps, which he says is near DVD. Company officials are excited by an upcoming version of the platform which will offer a superior image at 300. Still, he concedes, it’s unlikely that dial-up customers using 56k modems can properly enjoy the films. "Frankly, it’s not worth it," he says.

CinemaNow promises 99 per cent firewall protection for streaming video catalogue

News | 03/08/2001 5:00 am EST

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