Major Studios Form Venture To Promote Development, Deployment Of Digital Cinema Technology

Disney, Fox, Metro-Goldwyn-Mayer, Paramount Pictures, Sony Pictures Entertainment, Universal Studios, And Warner Bros. Create Entity To Establish Open Technical Standards And Spur Installation Of Digital Projection Systems In Theatres Nationwide

3-Apr-02

Seven major studios announced the creation of an entity to develop technical standards for digital cinema technology. The purpose of this effort is to ensure a high quality digital movie viewing experience, and to facilitate the deployment of digital projection equipment in movie theatres nationwide.Initial plans for the entity include adopting technical standards that ensure competing digital exhibition formats are open, compatible, and interoperable; establishing benchmarks to ensure a uniformly high level of technical performance and quality control; and considering strategies to spur deployment of digital exhibition systems in movie theatres nationwide.In a joint statement, the studios said, ""We strongly believe that digital film exhibition will significantly improve the movie-going experience for the public. Digital technology guarantees that all patrons can enjoy the highest quality film experience regardless of the venue or whether they are attending the first showing of a film or the fiftieth.""In order to bring the benefits of this technology to the public on a large scale basis, there needs to be industry-wide standards so that movie producers, exhibitors, and equipment manufacturers can be confident that their products and services are interoperable and compatible with the products and services of all industry participants.""The digital format is not subject to the wear and tear that typically affects traditional film that is subjected to multiple showings over a period of weeks or months. Digital movies retain very high image and audio quality throughout a theatrical run. Digital exhibition also improves the efficiencies of distribution to theatres using satellite links, fiber optic networks, or DVD-ROM to deliver feature films securely and cost-effectively.A small, dedicated management team for the venture is expected to be announced within the next few months. Out of a potential 150,000 screens in North America, South America, Australia, Europe, and Asia, there are currently only about 50 cinema-grade digital projection systems. Nonetheless, 35 films from 13 distributors have been presented in the digital format to more than four million moviegoers, with additional movies being released by distributors on an ongoing basis.