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FOR IMMEDIATE RELEASE
Wednesday, February 28, 2001

Piracy and Corporate Espionage Lead FORTUNE 1000 Corporations To Limit Use of Streaming Media

New Study Shows Growth in Use of Streaming Technologies Among Corporations, But Security Concerns Pose a Significant Barrier to Explosive Growth


Seattle, WA, February 28, 2001 – Despite fears of piracy and corporate espionage, large FORTUNE 1000 corporations continue to use streaming media for internal communications, sales training, on-line education, new video-on-demand business models, live events, and other purposes. Many information technology professionals, however, limit their use of streaming, according to a new survey conducted by Market Decision Corporation, a top technology and industry trend research firm.

"According to the survey, more than 20 percent of FORTUNE 1000 companies currently using streaming limit their use of this technology, with their lead information technology officials citing security concerns as an important barrier to expanding their use of streaming," said Bill Svendsen, Ph.D., a principal in Market Decisions. "In addition, the survey found that lead information technology officials at these companies anticipate security being a growing part of their budget and use of staff expertise and time in the near and long-term future."

Widevine Technologies, Inc., of Seattle, Wash., sponsored the survey of 100 information technology professionals at FORTUNE 1000 companies in February of 2001. The study was designed to assess the mind-set and priorities of technology decision-makers at large companies that both use and anticipate using streaming technology in the near future.

"Clearly, this study shows that information technology professionals are demanding a streaming media security solution in order to trust the use of streaming to distribute and broadcast highly valuable and proprietary content," said John Beyer, chief executive officer, Widevine Technologies. "This survey demonstrates significant demand for Widevine Cypher Enterprise - the new encryption on the fly™ security solution for streaming media. In addition, it shows that information technology professionals expect a higher standard of protection for their content before they will fully commit to using streaming media for innovative new communications and business models."

"For years, the dirty little secret behind streaming has been that it is not secure. Now that Widevine Cypher is available, a significant barrier to the expansion of streaming for new and existing purposes is gone."

Highlights from the survey of 100 information technology professionals at FORTUNE 1000 companies:

  • Security Concerns Limit Streaming: One in five (21%) of the companies currently using streaming limit their use of streaming media because of security concerns.
  • Use of Streaming Technology Will Continue to Expand: Among companies that do not currently use streaming, nearly two-thirds (64%) anticipate initiating the use of streaming technology, with more than half of them planning to do so within two years.
  • Security Is a Growing Challenge for Information Technology Professionals: The information technology professionals surveyed estimate that security will demand 15% or more of their budgets over the next three years. Nearly 10% of their staff time and resources are currently dedicated to addressing security-related matters.

About Widevine Technologies, Inc.
A communications security and network technologies company, Widevine Technologies is an emerging leader in the development of Internet infrastructure security products and technologies. The company's products are platform and format independent and provide value-added services and technologies for Internet streaming media and copyright protection. Founded in 1999, Widevine Technologies is based in Seattle, Washington. The core of the company is a world-class team of streaming media and encryption technology developers. For more information about Widevine Technologies, please visit www.widevine.com.

Media Contact:
Eric Moser
Ruder Finn Chicago (for Widevine Technologies)
Tel: +1 312 329 3908
mosere@ruderfinn.com

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