DVD-CCA to allow CSS in DVD burning

Approval to help pave way for download services, kiosk companies

By Jennifer Netherby -- Video Business, 6/28/2007

JUNE 28 | After a series of false starts, DVD burning has cleared its last technical hurdle, smoothing the way for movie download services and DVD kiosk companies to offer on-demand disc burning using CSS copy-protection technology.

The DVD Copy Control Assn., the administrator of CSS, approved a final amendment last week clearing the way for burning. The group is expected to finalize the language of the amendment next week, making the change effective immediately.

Movie download services will then be able to offer downloads that can be burned to DVD and played in set-top DVD players, a move that is expected to make downloads more appealing to consumers.

“CSS is that line in the sand,” TitleMatch chief technology officer Aaron Knoll said last week during the Entertainment Supply Chain Academy conference in Los Angeles. “Once there is the ability to legally replicate CSS [on such discs], we expect the coffers to open up.”

Passage of the final amendment had not been announced by DVD-CCA at press time and was not a part of the discussion at the conference.

CSS is the copy-protection system used on commercially manufactured DVDs and its use in on-demand burning would ensure compatibility between burned discs and set-top DVD players.

The DVD-CCA was expected to pass the amendment back in April, but Panasonic, one of the companies that controls the master license, opposed the move. Studios and consumer electronics companies met with Panasonic to get the company on board.

Studios and tech companies were anxious to get the amendment passed in June in order to launch download-to-burn by the fourth quarter.

With the new license, retailers, kiosk companies and others will be able to go through companies such as Sonic Solutions for software that provides CSS-encrypted burning.

“Up to 50% of retail purchasers can’t find the title that they want to buy, because it’s not in stock,” said Jim Taylor, senior VP and general manager of the advanced technology group at Sonic Solutions. “There is a huge untapped demand that can’t be met because of shelf space” limitations.

Taylor noted that Amazon.com derives 50% of its book revenue from titles that are not widely available at retail locations.

Sonic has developed a software package to enable retailers to implement in-store burning using CSS, but deployments have been awaiting approval of the license amendment.

With the new agreement, movie download services also will be able to offer users the option of burning content to discs, but consumers will need to buy a new DVD burner and a new type of DVD-R disc.

Until now, companies had to apply for a replicator license to burn movies to DVD. Kiosk companies and retailers were able to get a replicator license and burn movies for consumers in stores. However, movie download services couldn’t offer download-to-burn for consumers at home without the manufacturing-on-demand license.

Consumers will need to buy a new DVD burner and a new type of DVD-R disc to burn downloaded movies to DVD.

Movielink said it plans to offer download-to-burn by the end of the year but declined to say anything beyond that.