Internet Access: Digital Sight/Sound Rolls Out 1st Patented Method for Sale of Digital Audio/Video Over Internet. Forges License Agreement With AT&T's A2B Music to Produce Pre-Sale "Microshows" Hosted by Internet "EJs"

EDGE, On & About AT&T, May 25, 1998

Digital Sight/Sound Inc., the first media company focused on the electronic sale of audio and video recordings in download fashion, and A2B Music, "the sound of A&T," have entered into a watershed agreement to promote the download sale of music over the Internet.

Under the terms of the agreement, DS/S becomes the first commercial licensee of the A2B Music platform, which in turn becomes the first platform to enjoy patent protection under United States Patents 5,191,573 and 5,675,734.

"A2B is a superb platform for the download sale of audio recordings, and we are pleased to be the first commercial licensee of the system," stated Arthur R. Hair, chairman and chief technology officer of Digital Sight/Sound.

Commenting on the pact, A2B Music CEO Larry Miller said: "This agreement further indicates the potential of electronic commerce. Our platform, which combines compression and encryption technologies, allows consumers to purchase digital music quickly and securely over the Internet."

"We are committed to serving the needs of the major record labels as they explore the market potential of digital downloads," offered Scott Sander, CEO and president of DS/S. "The A2B platform is impressive because it so clearly addresses the protection and fidelity of the recordings, which are key areas of concern to the music industry."

In tandem with Parsec Sight/Sound, a company focused on the development and protection of intellectual property related to the sale and/or distribution of digital audio/video recordings, Digital Sight/Sound was founded in 1995 by engineer Arthur Hair and entreprenuer Scott Sander.

DS/S and PS/S find their roots in the mid-'80s when Hair, an engineer formerly with Texas Instruments schooled in industrial management, aeronautics and astronautics, was invited to a party at a friend's house. His friend excitedly pulled him aside and showed him a new device he had just bought -- one of the first compact disc players on the market.

Hair examined the silver-colored disc. After looking at it for a moment, he thought, "This is stupid." The engineer recognized there was something fundamentally wrong with the idea of taking pure digital information and encapsulating it in a hard medium, reducing its ability to be efficiently transferred. At that moment, Hair conceived a better way.

Hair later called longtime friend and associate Scott Sander, described his invention, swore him to secrecy and advised him not to buy a CD player. Hair, who had worked on various digital networks such as ARPANET, the forerunner of the Internet, realized that such a network could effectively serve as the telecommunications medium for digitally recorded audio, as well as video entertainment.

Hair went on to develop a method and system to transfer to a consumer -- into the home, business or anywhere else -- exactly the kind of digitally recorded audio and video signals they desired.

In September 1995, two years after Hair obtained his first two U.S. patents, Hair and Sander tested their concept in the marketplace through a demonstration Web site using an entire album, the debut of rock band The Gathering Field. The band was subsequently signed by Atlantic Records, and Digital Sight/Sound made history with the first Web site to offer music for sale in download fashion over the Internet.

Since that time, DS/S has assembled a mosaic of partners to fully realize its concept. In addition to A2B Music, they include Exodus Communications, whose data centers provide high-speed Internet connections; Computer Sciences Corp., offering scalable network solutions; Avery Dennison, incorporating printed materials (coupons, stickers, posters, etc.) into all programming; and TBWA Chiat/Day, involved in ongoing creative work for original DS/S programming.

While its corporate Web site (www.sightsound.com) offers a glimpse of things to come, the company produces digital programming available only through other sites, depending on content. Using Java-based streaming audio and video, its Microshows feature EJs (Electronic Jockeys) in 2- to 3-minute programs that incorporate sight, sound, print and the opportunity to purchase a full recording.

Among the company's properties are: Virtual Tour 98, offering backstage, in-studio and on-the-road access to bands; Road Trip 98, a chance to follow EJ Cricket Leigh as she samples the hottest bands playing national college campuses; The COR, a "Cavern Of Rock" where previously released songs may be rediscovered; Music @Work, playlists specially formatted for the office; Classical Tastings, an easy introduction to timeless works; and a movie soundtrack property still in development.

FMI: Digital Sight/Sound graphics are available through www.sightsound.com/prgraphics.>

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