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Satnews Daily
October 20th, 2010

Sonic Solutions + DivX... Acquiring Minds Wish To Know...


[SatBroadcasting(tm)] Sonic Solutions has completed the acquisition of DivX, Inc., based in San Diego, California.

The addition of DivX brings widely deployed digital media technologies, an embedded CE footprint of over 300 million devices, a strong consumer brand, and a global market presence to Sonic's expanding position as a supplier of services and technologies for the distribution of premium video content over the Internet. As a leading developer and supplier of professional DVD and Blu-ray authoring systems, Sonic has worked with Hollywood for more than a decade to bring movies to consumers. Sonic's Roxio division leads the industry for consumer media creation and management applications with hundreds of millions of units shipped. Sonic's RoxioNow division develops and licenses a universal ‘over-the-top' video platform for retailers, Hollywood studios, consumer electronics manufacturers, and PC OEMs to offer movies and TV shows over the Internet. Major retailers embed the RoxioNow platform in over 350 product models.

The acquisition of DivX brings Sonic a vast installed base of CE devices, all of which ship with digital rights management (DRM) for the secure playback of Hollywood movies even when not connected to the Internet. DivX's DRM, an important ingredient for the secure distribution of copyrighted video content, has been approved by major Hollywood studios. DivX's H.264 video encoding tools serve as the de-facto standard for a wide variety of premium content stored in ‘the cloud' for delivery over the internet. Finally, DivX's strong global presence and recognised brand will speed Sonic's expansion into more geographical markets.