Feeds

Chosen few to rake it in thanks to SDMI support

Aris watermarking technology costs up to $50,000 per year plus 25 per cent of gross revenues

  • alert
  • submit to reddit

High performance access to file storage

Everyone knows the digital music market is a licence to print money -- and none more so than the technology companies at the heart of the Secure Digital Music Initiative (SDMI). Take Aris, developer of the watermarking system to be incorporated into Phase One of the SDMI's specification for protecting music held on portable playback devices. According to the Aris licensing agreement obtained by online music retailer MP3.com, hardware manufacturers who wish to use the company's watermark decoding software will have to cough up $10,000 per year to do so. If the vendors also want access to Aris' source code, the licensing fee shoots up to $25,000. What's more, if they want encoding software, that's another $10,000 per year, rising to $25,000 for the encoder source code, and -- get this -- licensees have to hand over to Aris 25 per cent of gross revenues made through the sale of development tools. Anyone concerned they might need technical help with Aris' software will be pleased to know that it's included in the fee -- well, four hours' worth is, at any rate. And that's only for the first year -- after that, Aris will bill you at a rate of $100 per hour phone help or $1000 per day on-site support. Of course, to us mortals, all that sounds horrendous, but to the companies planning to flog solid-state Walkmans to a new generation of music buyers and/or music encoding software to the music industry, such monumental fees are just a small fraction of their total income. That said, vendors have rebelled against excessive technology licensing fees before -- witness the trouble Apple got itself into over its $1-per-port FireWire IP licence -- so Aris could be forced to rethink its pricing plan, not least because the watermarking technology won't be a pre-requisite for SDMI support until Phase Two comes in. ®

High performance access to file storage

More from The Register

next story
Sorry London, Europe's top tech city is Munich
New 'Atlas of ICT Activity' finds innovation isn't happening at Silicon Roundabout
MtGox chief Karpelès refuses to come to US for g-men's grilling
Bitcoin baron says he needs another lawyer for FinCEN chat
Dropbox defends fantastically badly timed Condoleezza Rice appointment
'Nothing is going to change with Dr. Rice's appointment,' file sharer promises
Audio fans, prepare yourself for the Second Coming ... of Blu-ray
High Fidelity Pure Audio – is this what your ears have been waiting for?
Did a date calculation bug just cost hard-up Co-op Bank £110m?
And just when Brit banking org needs £400m to stay afloat
Zucker punched: Google gobbles Facebook-wooed Titan Aerospace
Up, up and away in my beautiful balloon flying broadband-bot
Apple DOMINATES the Valley, rakes in more profit than Google, HP, Intel, Cisco COMBINED
Cook & Co. also pay more taxes than those four worthies PLUS eBay and Oracle
prev story

Whitepapers

Securing web applications made simple and scalable
In this whitepaper learn how automated security testing can provide a simple and scalable way to protect your web applications.
Five 3D headsets to be won!
We were so impressed by the Durovis Dive headset we’ve asked the company to give some away to Reg readers.
HP ArcSight ESM solution helps Finansbank
Based on their experience using HP ArcSight Enterprise Security Manager for IT security operations, Finansbank moved to HP ArcSight ESM for fraud management.
The benefits of software based PBX
Why you should break free from your proprietary PBX and how to leverage your existing server hardware.
Mobile application security study
Download this report to see the alarming realities regarding the sheer number of applications vulnerable to attack, as well as the most common and easily addressable vulnerability errors.