IMHO, this is a demonstration of what MIGHT be done, once standards are in place, and equipment and digital delivery become cost effective. The SMPTE DC28 digital cinema study groups have not yet officially reported their recommendations, and much work remains to be done in developing and agreeing on standards. Most agree that at least 2K horizontal resolution is needed (today's projectors have only 1280 x 1024 displays, less than many laptop computers, so pixels are obvious in the front rows), and costs must come down dramatically. A 35mm film print shown 300 times only costs about $5 per showing --- when will digital cinema be competitive with that?
"Film Done Right" is hard to beat. 
"Film Done Wrong" is a poor excuse to accept lower quality at higher cost. 
Even worse, "Film Done Wrong" may drive audiences away from theatres and into their DLP-equipped "home theatre" environment before digital cinema ever even becomes viable. Please "Do Film Right", or you may someday be "Watching the Pixels, Not the Movie". 
------------------
John P. Pytlak, Senior Technical Specialist
Worldwide Technical Services, Entertainment Imaging
Eastman Kodak Company
Research Labs, Building 69, Room 7419
Rochester, New York, 14650-1922 USA
Tel: 716-477-5325 Fax: 716-722-7243
E-Mail: john.pytlak@kodak.com
For some reason, many theatre-chains' management does not fully realise this, and does not seem to recognise the connection between the bottom-line and flawless presentation. What I've observed is that they instead focus almost all their efforts on concessions (which they perceive to be the profit centre) and they see the projection department (equipment, staff quality, etc.) as almost incidental to their business.
While most of the profits at a theatre level are indeed derived from concession sales, people need to be at the theatre in the first place to purchase them, and they won't be there if the on-screen presentation is someone else's idea of 'good enough'.
They (management) need to take note that it does make a difference that is noticed by the public, even if it's on a subliminal level, and that that is the key to their survival. Somehow, I believe that the public do know if the presentation was excellent or if 'something was missing', even if they can't articulate it.
So in other words, if they want to sell more popcorn, they have to focus on presentation quality rather than just on the popcorn. An abstract concept, perhaps, but I believe it is so. Once they make this connection, they will see that chasing a 'digital panacea' is no longer necessary.
I agree, weather can affect transmission (error rates), and many theatres do not have line-of-sight to a satellite (mountains, tall buildings, too far north, etc.). So hard media (DVD) or broadband fiber (T-3) are also being considered/demonstrated. Note that T-3 service today is about $30,000 per month. Contrary to what they may say, delivering 40 gigabytes of data reliably and quickly is NOT cheap. Not to mention the very high cost of financing and maintaining the equipment, which is likely to be obsolete within a few years. Remember, a new 35mm print costs about $1500 -- if used for 300 shows, the cost is therefore only about $5 per showing. "Film Done Right" is hard to beat both for quality and cost.
IMHO, digital cinema is "not ready for prime time".
------------------
John P. Pytlak, Senior Technical Specialist
Worldwide Technical Services, Entertainment Imaging
Eastman Kodak Company
Research Labs, Building 69, Room 7419
Rochester, New York, 14650-1922 USA
Tel: 716-477-5325 Fax: 716-722-7243
E-Mail: john.pytlak@kodak.com
Right now you can buy a 40 gig external firewire hard drive for about $250.00. If future digital projectors have built-in hard drives, distributing a movie will be as easy as filling up a hard drive with the movie,
then shipping it to each theatre. Heck, you could even just hire someone to drive from multiplex to multiplex and copy the movies into the projectors. No satellites needed.
Here's what I find interesting.
Digital cinema is going to make film distributors completely obsolete. No need to pay to have hundreds or thousands of prints manufactured. No need to warehouse them, transport them, keep track of them, and dispose of them. No print damage. No broken reels. Just dirt cheap, commodity computer hardware.
If distributing a digital movie is as easy as filling up a hard drive, then anyone can do it. No need to spend a million dollars plus on film stock & lab fees.
If all you need to have to distribute movies is something you can buy at the local computer store for $250.00 or less, then a very wealthy, powerful segment of the motion picture production industry is about to find itself as obsolete as the pony express.
This could blow away a huge barrier for independent filmmakers. The barrier of having to get picked up by a distributor to pay for your prints.
Interesting times ahead.
“Right now you can buy a 40 gig external firewire hard drive for about $250.00.”
1) Multiply that by the number of theatres.
2) Multiply that by the number of movies you want to show in each theatre
3) Multiply that by your back-up ratio. (At least X2 maybe X3 maybe more.)
4) Don’t forget to add in system overhead.
5) Don’t forget that those cheap-o hard drives might not cut it for 24-7 operation. Look at what’s happening to DTS!
Now what’s the price?
“distributing a movie will be as easy as filling up a hard drive with the movie...”
How easy is that? What will you “fill them up” from? How long will that take?
“Heck, you could even just hire someone to drive from multiplex to multiplex and copy the movies into the projectors.”
Have YOU ever done that? Driving from theatre to theatre is NOT what you think it is!
“No need to pay to have hundreds or thousands of prints manufactured.”
1) How much will duplicating digital movies cost?
2) How much will the duplicating equipment cost?
3) How much will the projection equipment cost?
4) How much maintenance will all this take?
5) Who’s going to DO all this work?
6) Who’s going to PAY for it all?
“No need to warehouse them, transport them, keep track of them, and dispose of them.”
What are you going to do with all these movies? Erase them?
What happens when you want to play “Star Wars: Episode 9” a hundred years from now? Will you still be able to.... Assuming you can find a copy of it? Did you know that there are 100-year-old movies floating around that, (with proper duplication to prevent damage), you can STILL play in some projectors?
“No print damage. No broken reels. Just dirt cheap, commodity computer hardware.”
Are you the kind of guy who’s the first person to go flying out into the lobby, stamping your feet and demanding that “somebody DO something” when the movie is even the LEAST but out of whack?
(Just a hair bit out of focus, aperture plate got a hair in it?)
I know I am! You’ll probably be i line right behind me, and I know a lot of others here will be right behind you.
What WILL the problems be with digital movies? How willing are you to put up with them? How often will this happen? How often does your computer crash at home? How much more (or less) reliable will the computers in digital projectors be?
“If distributing a digital movie is as easy as filling up a hard drive...”
“If all you need to have to distribute movies...”
“This could blow away a huge barrier for independent filmmakers.”
IF....IF....IF....COULD....SHOULD...WOULD...
You brought up the points! You answer them!
I really wish that this forum had a "preview" function, cause this is long. Well, here goes ...
My argument isn't that sending out hard drives would be the most efficient way to distribute digital movies. My argument is that it's feasable and probably cheaper than manufacturing and sending out film prints. I'm pretty confident that five or ten years from now, disk drives will start at a couple of hundred gigs and go up. Plus, there's removable media in the works that are supposed to hold 140 gigs. Eventually, you might receive a small packet of disks each months with a dozen movies on them.
> Right now you can buy a 40 gig external firewire hard drive for about $250.00.?
> 1) Multiply that by the number of theatres.
> 2) Multiply that by the number of movies you want to show in each theatre
Still cheaper than 35mm film prints. By a ratio of about six to one. Don't forget that you can erase them and put new movies on them. The recurring cost is in damaged drives.
Also ... you forgot to divide by the number of theatres that are close enough together that they can share a distribution drive.
> 3) Multiply that by your back-up ratio. (At least X2 maybe X3 maybe more.)
You wouldn't be projecting the movie off of the distribution disks. Instead, you would attach the distribution disk to the projector, and download the movie into the robust, expensive, reliable hard drive built into the projector.
No reason why an expensive, reliable hard drive in a projector couldn't store more than one movie either.
Remember that as time goes on, film becomes more and more expensive per foot, while the cost of digital media is falling through the floor with no end in sight.
> 4) Don?t forget to add in system overhead.
Well, system overhead is the very high cost of the projector. That's a problem no one has solved yet. Myself included.
> 5) Don?t forget that those cheap-o hard drives might not cut it for 24-7 operation. Look at what?s happening to DTS!
So don't run the films off of the distribution drives. That way you don't have to have the drives tied up in the theatres during the theatrical runs. Once all the theatres have copied over the movies, they can send the drives back, and you can immediately start copying the next batch of releases onto them.
> distributing a movie will be as easy as filling up a hard drive with the movie...?
> How easy is that? What will you ?fill them up? from? How long will that take?
I would assume that you would use the same technology that the big computer manufacturers use to pre-load hard drives. When you buy a computer from Dell, for instance, it comes with Windows and a bunch of other stuff installed. They aren't installed by hand -- they do the install once, then copy the disk. Of course, with this application, you would have to copy the entire drive instead of just load a small amount of software onto the drive, so it would take longer. However, given that the profit margins on computers are razor-thin, the cost of hard-drive copying equipment are probably reasonable.
But I can say this. Recording consecutive bytes on a hard drive is the fastest way to use a hard drive. It minimizes the amount of head motion, and maximizes the life of the device. I'll take a wild-ass guess of one hour. However, I understand that bulk hard-drive loading machines can write to a gang of drives at once.
On the other hand, how long does it take to manufacture a 35mm film print?
> Heck, you could even just hire someone to drive from multiplex to multiplex and copy the movies into the projectors.?
> Have YOU ever done that? Driving from theatre to theatre is NOT what you think it is!
Nope, and I'll take your word for it that that would be a lousy job. But remember, that person would be driving around with a briefcase full of hard drives, as opposed to a truck full of film.
> No need to pay to have hundreds or thousands of prints manufactured.?
> 1) How much will duplicating digital movies cost?
> 2) How much will the duplicating equipment cost?
> 3) How much will the projection equipment cost?
> 4) How much maintenance will all this take?
> 5) Who?s going to DO all this work?
> 6) Who?s going to PAY for it all?
1,2) Depends on how many copies you want to make. There's different ways to run such a business. You could have a small number of disks, and ship them back and forth between theatres to be copied into the projectors, or you could have a large number of disks and reduce your labor.
4) About as much as an equivalent computer system requires. If you have a distribution disk go bad, you throw it away.
5) A smaller staff than a film lab.
Fixed costs: The duplication machine and the hard drives.
Recurring costs: Replacement hard drives & labor. No film. No chemicals.
> ?No need to warehouse them, transport them, keep track of them, and dispose of them.?
> What are you going to do with all these movies? Erase them?
Yep. Record the next movie right over them.
> What happens when you want to play ?Star Wars: Episode 9? a hundred years from now? Will you still be able to.... Assuming you can find a copy of it? Did you know that there are 100-year-old movies floating around that, (with proper duplication to prevent damage), you can STILL play in some projectors?
You go to your vault. You'll find the movie sitting right next to that Nitrate print of London After Midnight.
Digital cinema doesn't solve that problem at all. On the other hand, making a preservation copy of a digital movie is as simple as copying the data to a new disk every few years. Much cheaper, no image degradation, and the color won't fade. On the other hand, if you lose your last copy due to accident or negligence, bye bye movie. Just like celluloid. One would imagine that the studios & filmmakers would independently archive copies of their movies. After all, it's cheap!
> ?No print damage. No broken reels. Just dirt cheap, commodity computer hardware.?
> Are you the kind of guy who?s the first person to go flying out into the lobby, stamping your feet and demanding that ?somebody DO something? when the movie is even the LEAST but out of whack? (Just a hair bit out of focus, aperture plate got a hair in it?) I know I am! You?ll probably be i line right behind me, and I know a lot of others here will be right behind you.
No, in general, I just make a mental note to never go that theatre again. I've quit half the theatres in the Chicago area because of poor presentation.
> What WILL the problems be with digital movies? How willing are you to put up with them? How often will this happen? How often does your computer crash at home? How much more (or less) reliable will the computers in digital projectors be?
Well, being heavy-duty industrial machines, and being very expensive (by all accounts), I would hope that they would be built to professional standards. A dedicated computer can be very reliable. For instance, we regularly had six-month continual uptimes on our mainframes. Again, digital projector reliability is an unknown.
I'm not a advocate of digital cinema. I don't think that it will necessarily provide a superior, or even equal viewing experience to well-presented film. I do think that the economics so favor digital distribution that it can't help drive the industry in that direction.
> I continue to take the somewhat unpopular position that this whole digital cinema thing is going to really hurt independent filmmakers and that they will be among the last to convert, because of the high cost of entry.
I would have said the same thing about 15 years ago about digital recording technology and CDs. Then an amazing thing happened -- the technology went mainstream. DAT recorders were released, and suddenly the cost of building a home recording studio went through the floor. You can go into a Guitar Center right now, pay about $10,000, and walk out with a bunch of equipment that can produce better sounding master recordings than a half million dollars worth of equipment 20 years ago. Then CD recorders came out, and the cost of making small runs of CDs fell through the floor also. With the internet, you don't even necessarily have to make CDs if you don't want to. You can let people download your work.
This has been a GODSEND for independent musicians. It's created a path where you can become a successful musician without signing your copyrights and most of your profits away to a recording label. Not all musicians can do that, but some have. Phish was filling basketball arenas consistantly without a recording contract. When they finally signed with Elektra, it was on their terms.
You're right about the current state of the technology. It's early. I don't think that development has maxed out on digital video. For instance, the highest resolution digital still camera I'm aware of is 2160 x 1440, or 3 megapixels. I'll bet that resolution steadily increases, and also that the chips used in still cameras start working their way into video cameras. At some point, you're going to overtake film's resolution. Maybe around 6K x 3K, which would be 18 Megapixels. Not unreasonable.
But let's say you're right, and for the forseeable future, an independent filmmaker must still use film. Their cost is then the same right up to the point where they want to distribute their film, so they're neither ahead nor behind.
> Compare that with the $150k (estimated) cost of scanning an entire feature into some digital format that can be shown with one of the electronic projectors
The high cost of those scanners is because they are expensive prototypes. There's no reason why film scanners should remain this expensive. Conceptually, you could build a film scanner using a projector head and a high-end fully manual digital camera exactly focused on the film plane using a bellows. Heck, why not take a high-end desktop film scanner -- the type that you use right now to scan in negatives and slides, and adapt it to scan continuously?
I seriously doubt that film scanning will remain ultra-expensive for long. If Hollywood really does switch over to digital projection, they're going to need dozens or hundreds of these machines, and thousands of cheaper, lower resolution scanners for dailies.
Even if the results on an inexpensive film scanner aren't as good as a $150,000 top of the line transfer, the independent filmmaker is still ahead. Ok, so you spend $2000 to have your film scanned on a low-budget system. Now you have something you can put in as many theatres as you want. It won't wear out like a film print. It isn't difficult to store. It won't fade.
Suddenly, your film becomes the next Blair Witch, and you are approached by a big-time distributor, who then fronts the money to have a better scan done.
What makes digital cinema attractive and important to filmmakers is the idea that eventually it should be possible to make a professional-grade movie without having to sign your copyright, creative control, and most of your potential profits away to a studio. I think that digital technology is the only direction that leads to that result.
E cinema is a lowwering of the current standards not raising them.
The e cinema projectors are far from acceptable in both resolution and artifacts comparrec to 35mm film let alone a 70mm print
By keeping the bar high has kept the chaff out of the picture not flooding it with the equivelent of a bunch of super 8 style movies
If you ever pick up any of the home theatre magazines, and particularly "Home Theatre", their stance is very clear. In one article discussing HOME theatre design, they begin by saying "Assuming you can't afford film projection equipment and the film prints to feed it". They then compare the options CRT, LCD, DLP.
CRT- better picture, limited size, brightness and constant maintenance.
LCD- brighter and bigger picture, but high "black levels" and noticable pixel structure.
DLP- same as LCD, slightly less pixels, still high "black levels".
They continually say that none will ever match "Mann's Chinese" and film.
None on this forum like to think about poorly trained projectionists, but I think it's a bigger nightmare with digital. More expensive, less reliable (has to be, "talkie"
film is perfected for 70 years), but you'll actually have to pay a very specialized computer technician to be at the theatre at all times (that is, if you care about your patrons).
I still think DLP is for home use.
------------------
Greg Mueller
Amateur Astronomer, Machinist, Filmnut
Of course, it doesn't matter that the actual picture quality is not as good, the equipment will need some service, and more ads just gives patrons a reason to stay home. Most owners are not technically aware or interested in anything other than a short-term gain.
Usually when you're bankrupt, it means that you don't have money to pay your bills. Coming up with $100k per screen would probably be pretty tough, unless your banker is far stupider than mine. Also, I don't think that many people will agree that "the picture will be better".
Is this a joke that I didn't get?
------------------
Greg Mueller
Amateur Astronomer, Machinist, Filmnut
I was told by this guy that they are going to rip it out and put in a laser disk or something. Kinda makes me sad. What they have there is PERFECTLY functional. All they need is some Film-Guard and that picture would be almost PERFECT!
Check out the park here:
http://homepage.mac.com/randystankey/VtourGCNMP.html
There are mostly puctures of the park and stuff but there's one shot of the auditorium.
It's a little table top Elmo. It's been hooked to a remote control system. There's a cable hooled up to the lens somehow. I presume for remote focusing.
The endless loop system didn't have any labels on it. It was a tower about 3 or 4 feet tall and about 2 feet square. There was a port in the top where the film fed out of and there was a take-up port at the bottom. It seemed to be powered by the projector drive. There were some pulleys at the top that seemed to be turned as the projector pulled the film out. I presume the film was taken up on an elevtor mechanism inside. The whole show was only about 20 minutes long, so I figure that much film could be taken up inside a box of this size.
There was a Kodak Ektagraphic slide projector there too. There was a small counter that ran the width of the port, which was a full-wall size glass window.
Couldn't really tell much about the sound system but, I assume it is just an all-in-one mono box somewhere under the counter.
There were a couple of remote switches in the outer lobby. One for Start/Stop and the other for volume control. The folks there don't know much about the stuff, as you can imagine. I got as much information from them as I could, but what do you expect from Park Rangers? They've got other things to do.
What surprises me about it is that I EXPECTED it to be a video projector. When I saw that it was an actual FILM, I expected it to be one of those rear-projection cartridge loading jobs.
The place was really nice. A lot more than I expected.
They want to put in a laser disk system because they say they want to put in more programs and what they have now isn't easily changeable. I guess it's okay for the purpose but I told the Ranger that they should keep what they've got. He agreed with me, saying, "At least I can FIX this if it breaks!"
Maybe some other time I'll see if I can get them to let me in the booth. (It's Government property, so I'll probably not have much luck.)
PS: Where do you think they could put the Kelmar Media cleaner so I could talk them into a little Film-Guard? 
"Film Done Right" is hard to beat. A $1500 35mm release print only costs about $5 per showing. Digital Cinema will not be competitive until the image quality is better than film, and the costs come down dramatically. IMHO, it will happen, but not soon.
------------------
John P. Pytlak, Senior Technical Specialist
Worldwide Technical Services, Entertainment Imaging
Eastman Kodak Company
Research Labs, Building 69, Room 7419
Rochester, New York, 14650-1922 USA
Tel: 716-477-5325 Fax: 716-722-7243
E-Mail: john.pytlak@kodak.com
Most of you will like Spielberg's take on this: "I am going to direct all my films ON FILM until they close the last lab down."
Yes, it is... and I didn't explain it very well.... my fault...
My impression was/is that the cost of e-projectors will be subsidsed by advertisers. (You are right; no owner is going to fork out $100,000.)
So, now might be a good time for advertisers to go to broke theater owners and offer low terms to install e-projectors.
Advertisers could say stuff like, "Even though you are taking a loan from us, don't worry, you will start seeing a return soon because you can fire all your operators.. the picture is as good, no maintaince, etc."
Sorry about that!
Don't believe it? Just listen to the trailers.
"On November 17... Whatever Pictures presents...." etc.
I disagree. Certainly film companies want their films to make money. They know that audiences won't continue to go to theatres if prints get dirty and damaged. And having to sort and replace damaged reels in sub-runs adds to the cost of distribution.
The filmmakers themselves are very concerned about quality. When cinematographers visit Kodak, they always express concern about presentation quality in theatres --- especially having proper screen luminance (16 footlamberts), proper image size (no cropping, attention to framing) and clean, scratch-free prints.
If a print arrives in bad condition, you are justified in blaming someone else, and demanding replacement reels. But if a print leaves your theatre in worse condition than when it arrived, look in a mirror to find the likely cause. It is your responsibility to "Do Film Right" to the best of your ability.
------------------
John P. Pytlak, Senior Technical Specialist
Worldwide Technical Services, Entertainment Imaging
Eastman Kodak Company
Research Labs, Building 69, Room 7419
Rochester, New York, 14650-1922 USA
Tel: 716-477-5325 Fax: 716-722-7243
E-Mail: john.pytlak@kodak.com
As a reminder I would point out that the Genesis of the THX program (like it or not) was from a trip to a local theatre by George Lucas, where he did not see anything like the "Starwars" he thought he had made. Maybe this is part of why he is so supportive of digital everything.
I forgot to put a 
on my last post. I was making a joke about the dates in the trailers and on the one-sheets.
I just think it's silly of the studios to promote films for "one day" and then dropping the advertising ball literally within hours of the film's release.
If they would promote a while longer, maybe the film would stick around and make some more dollars. And small places like ours (where we play most films "off the break") would benefit from such advertising too.
Having said all of the above, if the studios REALLY cared about pic quality, they would come down on whoever is damaging all those prints. There are too many people not "doing film right."
Paul
*****
Copyright 2000 Business Wire, Inc.
Business Wire
November 29, 2000, Wednesday 09:09 AM Eastern Time
DISTRIBUTION: Business/Entertainment Editors, High-Tech Writers
LENGTH: 741 words
HEADLINE: Boeing Satellite Systems Selects Harmonic for Feature Film Distribution
DATELINE: Nov. 29, 2000
BODY:
Harmonic, Inc. (Nasdaq:HLIT) announced that its CyberStream IP-over-Satellite technology, by Harmonic Data Systems, was successfully used by Boeing Satellite Systems to enable the theatrical distribution of the first digital feature-length movie delivered to a theater over satellite.
Miramax Films' "Bounce" starring Ben Affleck and Gwyneth Paltrow, was successfully transmitted using the Harmonic system over a geo-stationary satellite to the AMC Empire Theatre in New York City, on November 14, 2000.
The concept of Digital Cinema, the digital distribution of films, news, concerts and other entertainment events, is not new. However, it is only over the last few years, that the technology to address the required data rates and security issues associated with film distribution has become a reality. Studios and filmmakers worldwide may financially benefit from not having to pay for hundreds or thousands of prints for distribution to movie theaters. Instead, they may now choose to transmit the film as digital files.
"Harmonic played a very important role to the success of the project," said Fred Medina, co-director, Digital Multimedia Systems, at Boeing Satellite Systems. "The CyberStream end-to-end solution provided key elements of the overall delivery platform."
"Choosing the CyberStream system and working with Harmonic greatly improved the project," added David Baker, co-director Digital Multimedia Systems, at Boeing Satellite Systems.
"Boeing Satellite Systems has successfully proven the viability of distributing digital movies to theaters," said Tom Dennett, director of Strategic Accounts, Harmonic Data Systems. "It was exciting working with Boeing on this historical event and we feel privileged to be involved in this distribution model."
About the Technology
A Hybrid Fiber Satellite (HFS) network was used to digitally distribute "Bounce." The movie was compressed in a proprietary digital format using a QuBit digital disc recorder by QuVIS. A Harmonic CyberStream system was utilized to uplink the movie from the VyVX earthstation in Tulsa, Oklahoma, then downlinked at the AMC Empire Theatre in New York City to be stored and projected.
About Harmonic Data Systems
Harmonic Data Systems Ltd. (HDS) is a leading provider of fast Internet and Push systems for satellite, cable and wireless cable networks. Formerly known as New Media Communication, the company was founded in 1995 to offer high-speed data-over-broadband solutions, originally developed in alliance with IBM. A wholly-owned subsidiary of Harmonic Inc., HDS operates from its headquarters in Tel-Aviv and offices in the United States. For more information, please call +972-3-623-6222 in Tel-Aviv, 858/675-7797 in San Diego or check the company's website at www.harmonicdata.com.
About Harmonic Inc.
Harmonic is a leading provider of innovative broadband solutions that deliver video, voice and data to communications providers around the world. Harmonic's technically advanced fiber optic, digital video and IP data delivery systems enable network operators to provide a range of interactive and advanced digital services that include high-speed Internet access, telephony, digital video, HDTV, video & audio streaming, and video-on-demand.
Headquartered in Sunnyvale, Calif., Harmonic employs approximately 1000 people and operates more than 15 R&D and sales & system integration centers globally. Harmonic's customer base includes the world's largest communications providers. Harmonic's stock is traded on the Nasdaq stock market under the symbol "HLIT." For more information, check the company's website at www.harmonicinc.com.
This press release includes forward-looking statements, including, but not limited to, financial benefits of transmitting films as digital files and integration of IP capabilities into existing MPEG-2 networks, within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These forward-looking statements are also subject to risks and uncertainties which could cause actual results to differ materially from those projected in the forward-looking statements as a result of the risk factors detailed in Harmonic's filings with the Securities and Exchange Commission, specifically reports on Form 10-K and 10-Q.
Note to Editors: Product and company names used here are trademarks or registered trademarks of their respective companies.
CONTACT: Aries MarketMasters
Dawn Danaher, 714/378-5841 (Public Relations)
or
StreetConnect
Michael Newman, 408/542-2760 (Investor Relations)
URL: http://www.businesswire.com
quote:See related thread, Qualcomm pulls out of Technicolor Digital Cinema.
Boeing looking to sell its digital cinema business
LOS ANGELES (AP) - A major player in the struggling effort to replace celluloid copies of feature films with digital bits is ready to call it quits.
Boeing Digital Cinema is seeking a buyer three years after it beamed the movie ``Bounce'' via satellite from a facility in Oklahoma to a New York theater using military-strength encryption.
Since then, the company has placed about 30 systems, which includes digital projectors and storage systems, as well as encryption technology.
The move from celluloid to digital has stalled in part because the industry has been trying to set a common standard for the technology and also because movie theaters and studios have yet to decide who would pay for the conversion.
In can cost up to $150,000 per screen to install digital projection equipment, compared to about $35,000 for a traditional projector.
Thursday, a group backed by the seven major studios formally adopted a technology standard for digital projection. But the development, while significant, isn't expected to speed the pace toward widespread digital projection fast enough for Boeing.
![[Frown]](frown.gif)
quote:Then you have George Lucas who has assured us that he will never shoot film again.
Most of you will like Spielberg's take on this: "I am going to direct all my films ON FILM until they close the last lab down."
![[Cool]](cool.gif)
quote:
Boeing sells digital cinema unit to AccessIT
Boeing's St. Louis-based Integrated Defense Systems unit has sold its Boeing Digital Cinema unit to Morristown, N.J.-based Access Integrated Technologies Inc. for an undisclosed amount.
AccessIT (Amex: AIX) has acquired Boeing's Digital Cinema's base of digital projection systems in cinemas throughout the United States, digital projectors, spares and associated servers and satellite transmission equipment. AccessIT will also provide Boeing with the use of its data services.
The digital cinema technology allows pre-recorded entertainment content from the major motion picture studio to be delivered to local movie theaters in digital form, eliminating physical film.
Chicago-based Boeing Co.'s (NYSE: BA) Integrated Defense Systems unit, its largest subsidiary, is based in St. Louis and is the area's second-largest employer.
quote:http://biz.yahoo.com/prnews/040330/cgtu016_1.html
Access Integrated Technologies to Acquire Boeing Digital Cinema Assets
Tuesday March 30, 10:58 am ET
- Transaction Solidifies AccessIT's Leading Position in the Emerging Digital Cinema Industry -
- Boeing and AccessIT Enter Into Agreement for Data Services
MORRISTOWN, N.J., March 30 /PRNewswire-FirstCall/ -- Access Integrated Technologies, Inc. ("AccessIT") (Amex: AIX - News) has acquired the assets of Boeing Digital Cinema, a business unit of Boeing Integrated Defense Systems (IDS), a unit of The Boeing Company (NYSE: BA - News).
Under the agreement, AccessIT will acquire Boeing Digital Cinema's installed base of digital projection systems located in cinemas throughout the United States, digital projectors, spares, and associated content servers and satellite transmission equipment. In addition, Boeing and AccessIT have reached agreement for AccessIT to provide for the utilization of its data services. Additional details were not disclosed.
"If there were any questions about AccessIT's position as the leading technology service provider for the digital cinema industry, this acquisition should put those to rest," commented Bud Mayo, Chief Executive Officer of AccessIT. He continued; "Boeing's in-theatre projection systems will allow us to service our distribution customers immediately as a proof-of-concept while we await a larger rollout of 2K systems later this year."
The digital cinema technology involves the delivery and exhibition of pre-recorded entertainment content from the content owner, such as a major motion picture studio, to local movie theatres in digital form, eliminating physical film. This technology offers many advantages over traditional or analog celluloid film. It provides vastly superior visual and audio quality and importantly, eliminates the inefficient and time-consuming printing and distribution of bulky film prints.
Digital cinema requires the seamless integration of many complex technologies including projection, content management and storage, and secure distribution -- elements that, only recently, have been brought together by AccessIT and its subsidiaries, Hollywood Software, Access Digital Media and Core Technology Services.
AccessIT's end-to-end solution ranges from distribution scheduling where film release schedules and distribution instructions are determined to digital master storage in one of AccessIT's carrier-grade data centers, through to managed, secure delivery via satellite and fiber technology to a digitally enabled cinema.
Russell Wintner, President and COO of Access Digital Media the AccessIT subsidiary which will utilize the Boeing assets to complement its robust digital delivery platform added, "With this installed base of cinema projectors and related hardware, AccessIT now possesses the first truly end-to-end digital cinema solution, one that is capable of seamlessly scheduling, storing, delivering, and exhibiting full-length digital entertainment content."
Dr. Ron Maehl, Vice President of Network Enabled Solutions for The Boeing Company, stated, "Boeing has long been an early supporter of digital cinema and is pleased to transition its industry-leading technology to AccessIT, an organization that clearly sees the future and the potential this technology offers. With these digital cinema assets, AccessIT's system is the first-of-its-kind and one that can seamlessly support this emerging market place."
Access Integrated Technologies, Inc. (AccessIT) is an early mover in offering a fully managed storage and delivery service for owners and distributors of digital content. Supported by its robust platform of fail-safe Internet data centers (AccessColocenters(SM)), AccessIT is able to leverage the market-leading role of its Hollywood Software subsidiary with the innovative digital delivery capabilities of its Access Digital Media (AccessDM) unit to provide the highest level of technology available to service the emerging digital cinema industry.
A unit of The Boeing Company, Integrated Defense Systems is one of the world's largest space and defense businesses. Headquartered in St. Louis, Boeing Integrated Defense Systems is a $27 billion business. It provides systems solutions to its global military, government and commercial customers. It is a leading provider of intelligence, surveillance and reconnaissance; the world's largest military aircraft manufacturer; the world's largest satellite manufacturer and a leading provider of space-based communications; the primary systems integrator for U.S. missile defense; NASA's largest contractor; and a global leader in launch services. For more information, visit http://www.boeing.com/ids/flash.html.
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Boeing Sells Digital Cinema Assets to Access Integrated Technologies
Tuesday March 30, 9:49 am ET
LOS ANGELES, March 30 /PRNewswire-FirstCall/ -- The Boeing Company (NYSE: BA - News) today announced the sale of Boeing Digital Cinema assets to Access Integrated Technologies, Inc. (AccessIT) (Amex: AIX - News) of Morristown, N.J.
Boeing Integrated Defense Systems sold the digital cinema equipment assets and will provide intellectual property licenses for the Boeing technology applicable in the digital cinema market and support transitioning existing theater contracts from Boeing to AccessIT. Boeing employees will not be transitioned to AccessIT as part of the deal.
"The digital cinema market is evolving every day," said Ron Prosser, vice president and general manager of Homeland Security & Services for Boeing. "Boeing Digital Cinema achieved significant operational reliability and now the technology is ready to be elevated to the next level."
Boeing Digital Cinema technology provides for the capability to transmit first-run films and alternative media, such as sporting events, concerts, plays and corporate events, directly to movie theatres via satellite or physical media. It provides secure, end-to-end transmission using encryption technology endorsed by the National Institute of Standards and Technology for protection of commercial and government information. The end-to-end multi- layered security system ensures protection from encryption of the content upon receipt to decryption upon projection in designated theatres.
"Boeing successfully pioneered and demonstrated many advances in the deployment of advanced satellite and secure digital distribution of large data files from a single point to multiple locations simultaneously," said Dr. Ron Maehl, vice president, Boeing Network Enabled Solutions. "AccessIT can now take that technology to the next level with its focus on the entertainment industry and its ability to put a capital structure in place for full-scale market implementation."
Boeing Digital Cinema provides an integrated delivery solution from the studios to the exhibitors. The open-architecture design makes it possible for integration of off-the-shelf hardware meeting industry standards to compress, store, forward and project digital content with the primary goal of interoperability. The ability to use a wider range of equipment benefits both the studio and theatre owners.
"If there were any questions about AccessIT's position as the leading technology service provider for the digital cinema industry, this acquisition should put those to rest," said Bud Mayo, Chief Executive Officer of AccessIT. "Boeing's in-theatre projection systems will allow us to service our distribution customers immediately as a proof-of-concept while we await a larger rollout of 2K systems later this year."
A unit of The Boeing Company, Integrated Defense Systems is one of the world's largest space and defense businesses. Headquartered in St. Louis, Boeing Integrated Defense Systems is a $27 billion business. It provides systems solutions to its global military, government and commercial customers. It is a leading provider of intelligence, surveillance and reconnaissance; the world's largest military aircraft manufacturer; the world's largest satellite manufacturer and a leading provider of space-based communications; the primary systems integrator for U.S. missile defense; NASA's largest contractor; and a global leader in launch services. For more information, visit http://www.boeing.com/ids/flash.html .
Access Integrated Technologies, Inc. (AccessIT) is an early mover in offering a fully managed storage and delivery service for owners and distributors of digital content. Supported by its robust platform of fail-safe Internet data centers (AccessColocentersSM), AccessIT is able to leverage the market-leading role of its Hollywood Software subsidiary with the innovative digital delivery capabilities of its Access Digital Media (AccessDM) unit to provide the highest level of technology available to service the emerging digital cinema industry. For more information, visit http://www.accessitx.com/ .
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Source: Boeing Company