Macrovision Licenses DRM to Online Video Stores

Macrovision said Tuesday that it had signed agreements with several online providers to employ the company's Analog Copy Protection (ACP) system in Internet movie and video distribution.

Deals have been struck with Netflix, BitTorrent, Movielink, and Instant Media. Macrovision claims the DRM technology will actually give consumers more choices in how, when, and where they can view content.

For example, Netflix plans to use the technology to help expand its list of films and television shows that are available for immediate viewing online. Instant Media says the deal would also make it easier for the services to collaborate with studios to protect their content.

"Macrovision's technology is a foundation for the growth of digital distribution in an open market," Macrovision president and CEO Fred Amoroso said.

"By making media content protection easier to integrate in the distribution channel, we're enabling the distributors to execute innovative business models and respond to consumer demand for more access to their favorite content online," he continued.

According to data by Parks Associates, revenues from the sales of Internet video will reach $7 billion by 2010, with downloads and rentals making up 40 percent of that total.