Philips Digital Networks, an innovative supplier of conditional access systems and a business group of the Philips Consumer Electronics division (NYSE: PHG), and InterTrust Technologies Corporation (NASDAQ: ITRU), the leading developer of distributed digital rights management (DRM) technology, announced an agreement for the licensing and use of InterTrustís MetaTrust Utilityô DRM technology. InterTrustís DRM technology platform, which has many uses in the diverse family of electronic devices and solutions provided by Philips, was chosen as the preferred DRM solution to complement the CryptoWorks range of content protection products offered by Philips Digital Networks. Initially, the companies will focus on the secure management of digital audio and video content across the Internet and other media. The licensing agreement enables Philips Digital Networks to quickly respond to new e-business models and deploy DRM-supported solutions using InterTrustís secure, trusted and flexible system. In conjunction with the services of other MetaTrust partners, consumers will be able to purchase and use music and other digital information in a manner that respects the rights of all parties - artists, providers, and users of all types. ""We are very pleased to announce this relationship with InterTrust,"" said Rob van Oostenbrugge, President and CEO of Philips Digital Networks. ""Our mission is to develop leading products and partner with major companies to provide solutions for use both in Philipsí branded product offering and those of other leading companies. InterTrustís leading DRM technology, with the MetaTrust Utilityís model of neutrality, interoperability and security, coupled with the excellent solutions provided by our CryptoTec unit, offers an ideal platform for the multi-device, multi-format, multi-content type world that has emerged with the Internet."" ""The combined expertise of Philips Digital Networks and InterTrust provides exciting opportunities for content industries, technology and service providers, and consumers,"" said Edmund Fish, Executive Vice President and Chief Business Officer, InterTrust Technologies. Over the past couple of years we have worked alongside Philips in important multimedia standards efforts such as MPEG-4 and the secure digital music initiative (SDMI). We are extremely pleased to now be working directly with Philips to create industry leading solutions for the protection, management and use of digital audio and other valuable content"". The CryptoTec unit of Philips Digital Networks provides leading-edge content protection systems. Philipsí newly developed WaterCast watermarking technology provides monitoring and fingerprinting of audio and video signals. The CrytoWorks line-of-business offers a complete range of solutions for any broadcast requirement where conditional access and/or protection of content is essential. Philipsí INCAS (INternet Conditional Access System) is to be demonstrated at the International Broadcast Convention in Amsterdam in September. This systemís efficient streaming multicast properties, combined with the unique features of the InterTrust technology, will provide a compelling, flexible solution for mass-market delivery of persistently protected content through the Internet and other networks. In addition, CryptoTec plans to leverage Philipsí extensive knowledge of consumer electronics to provide user-friendly InterTrust technology-based systems to the CE industry. About PhilipsPhilips Digital Networks - a business group of the Philips Consumer Electronics division - is a world-leading provider of advanced digital system solutions for service and network providers in broadcasting and video distribution. Philips Digital Networks offers product and service solutions for customers in both the professional side of the distribution chain, as well as for consumers to use in the home. In the consumer domain, Philips Digital Networks is a leading provider of set-top boxes for digital television and internet delivery, as well as personal video recording. A pioneer in the development of Internet-enabling technologies, Philips Digital Networks is playing a key role in the introduction of MPEG4-based media streaming solutions. The broad professional product portfolio includes a comprehensive range of television cameras, studio and compression equipment, conditional access systems and transmission systems for broadband cable networks to deliver a full array of interactive services. A flexible customer support program and active involvement in the bodies setting tomorrowís entertainment and information delivery standards makes Philips a natural partner for the digital broadcast era. Royal Philips Electronics of the Netherlands is one of the worldís biggest electronics companies and Europeís largest, with sales of $33.5 billion (EUR 31.5 billion) in 1999. It is a global leader in color television sets, lighting, electric shavers, color picture tubes for televisions and monitors, and one-chip TV products. Its 232,433 employees in more than 60 countries are active in the areas of lighting, consumer electronics, domestic appliances, components, semiconductors, medical systems and IT services (Origin). Philips is quoted on the NYSE (symbol: PHG), London, Frankfurt, Amsterdam and other stock exchanges. News from Philips is located at www.news.philips.com.About InterTrust Technologies CorporationInterTrust Technologies Corporation is the leading developer of distributed digital rights management (DRM) technology. Its general-purpose DRM platform serves as a foundation for trusted e-commerce in digital information and related services. InterTrust licenses its technology as software and tools to partners whose digital commerce services and applications together form the MetaTrust Utility global commerce system. InterTrust administers the specifications for the MetaTrust Utility, ensuring the neutrality, security and interoperability of the platform and providing the root source of trust.
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