[Politech] SunnComm's final statement on the "shift key" and the facts [ip]

From: Declan McCullagh (declan@private)
Date: Tue Oct 21 2003 - 16:23:04 PDT

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    From: Hugh Lilly <h.lilly@private>
    Organization: http://hugh.orcon.net.nz
    Subject: Fwd: SunnComm wants you to hear the real facts surrounding the 
    "shift key"
    Date: Mon, 20 Oct 2003 13:19:53 +1300
    User-Agent: KMail/1.5
    To: Dave Farber <dave@private>, Declan McCullagh <declan@private>
    
    
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    Hi Dave, Declan,
    
    As a finale to this saga, SunnComm has released the following press statement.
    
    - -hdl
    
    - ----------  Forwarded Message:  ----------
    Subject: Hi Hugh, SunnComm wants you to hear the real facts surrounding the 
    "shift key"
    Date: Sat, 18 Oct 2003 06:47
    From: <SunnGramm@private>
    To: <h.lilly@private>
    
    AOL users, if you are having trouble viewing this e-mail, click on this
    link:
    SunnComm Press Releases <http://www.sunncomm.com/press/listpr.asp>
    
    Here are the real facts surrounding the "shift key"
    
    It's important to note that SunnComm made a conscience decision to have
    its license management technology reside on the user's computer (with
    their permission) rather than just on the CD itself. Doing it this way
    increases playability of the CD to near 100%. The shift-key work-around
    was a consequence of building universal playability into the CD and
    thus, was a byproduct of a conscience decision made by staff. This was
    NOT something Mr. Halderman discovered. He represented his disclosures
    as newly discovered, but, in fact, every SunnComm customer and most
    analysts covering Macrovision/SunnComm knew of this work-around weeks or
    months prior.
    
    1. A consumer must hold down the shift key for about 30 seconds at same
    time the CD is loading in his PC tray in order to bypass the computer's
    autorun feature. However, if a customer has previously enjoyed the bonus
    features of one of the 1000's of MediaMax CDs anticipated to be in the
    marketplace, THEN THE SHIFT KEY WORK-AROUND IS RENDERED USELESS because
    the License Management technology is already on the person's PC. This
    very important fact was missing from Mr. Halderman's report and almost
    every news story on the subject. It's important because as MediaMax
    grows in usage, the shift key becomes less and less of an issue.
    
    2. By bypassing the autorun feature, the consumer also bypasses all of
    the "second session" value that is added to the CD such artist
    promotions, discount artist tickets, lyrics, photos, bonus tracks, etc.
    In other words, even if the consumer knows about this workaround,
    there's a better chance than not that he (or she) will choose NOT to try
    it in order to not miss out on the album's bonus features.
    
    3. The main purpose of MediaMax is to provide a structure for users
    empowering them to make and share copies of the music in a licensed and
    legal way. This is in sharp contrast to ripping and unprotected (and
    possibly unauthorized/illegal) duplication. MediaMax provides this
    important "first-step" structure without getting in the way of the
    user's listening experience.
    
    4. It was always a given that some people will choose to circumvent
    MediaMax (Ver 1). The record companies accept this and believe (as we
    do) that MediaMax can be an effective tool in slowing down unlimited
    "casual" copying...the kind of copying which occurs when one person, who
    buys a CD, makes copies for friends, who then make copies for friends
    and so on. We think the early numbers on SunnComm's recent release will
    bear this out.
    
    5. Why would a great many people even attempt to bypass MediaMax and
    why? With MediaMax, users can make and share copies. Now, if MediaMax
    prevented them from doing any of that, it would be different. Fact is,
    average users can now make copies easier than through the use of ripper
    programs...it's just that their copies are limited.
    
    6. Penn Gillette (of Penn & Teller fame) said (and he wasn't the first,
    I'm sure) that "if you don't buy the premise, you won't buy the bit."
    Mr. Halderman of Princeton Shift-Key fame discovered nothing new in his
    report. The fact that he created a media circus surrounding these issues
    is no accident. He is a vocal and recognized opponent of the use of
    technology to reduce unprotected copying, and masqueraded to the press
    as just a simple, "scholar" trying to find the best solutions for copy
    protection for the industry. He did this because he had to sell his
    "bit" to the press.
    
    There will be much more on this subject coming up, but I must end this
    now in order to get to work.
    
    In recapping:
    
    Nothing was new in Mr. Halderman's report.
    
    The shift-key workaround was included in the technology as a conscience
    trade-off for playability.
    
    All of SunnComm's customers, prospects and most analysts already knew
    about the work-around, so the report served no purpose other than as
    attempt to embarrass the music industry into backing down on the use of
    copy control technology altogether. Mr. Halderman, himself, said this.
    
    I believe Mr. Halderman had an undisclosed agenda in writing this report
    that he did not disclose to the onslaught of reporters he charmed to his
    doorstep, and thus has proven himself to be intellectually dishonest.
    The press fell for his "I'm just a simple researcher trying to do God's
    work" bit, and he bought his "15 minutes of fame" with very little
    "research" on his part.
    
    Mr. Halderman made it appear that all one needs to do is "tap the shift
    key" to circumvent MediaMax. He made it "news" for the press and most of
    them "bought it."
    
    All in all, it was a stellar performance for Mr. Halderman, and although
    I give him "two thumbs, way up" for his performance, we at SunnComm,
    believe it won't slow us down a bit.
    
    More to come.
    
    Peter
    
    ABOUT SUNNCOMM
    
    SunnComm Technologies Inc. became the first company to commercially
    release a content-protected audio CD utilizing an early version of the
    Windows Media Data Session Toolkit. SunnComm´s copy-management
    technology was commercially released by Music City records in 2001 which
    became America´s first copy-protected audio CD. It has become a leader
    in digital content enhancement and security technology for optical media
    with its MediaMax CD-3 suite of products.
    
    SunnComm´s MediaMax CD3 Suite of Digital Content Enhancement
    technologies are built using Microsoft (NASDAQ:MSFT) Windows Media 9
    Series but operate on both Apple (NASDAQ:AAPL) and Windows-based
    systems. For more detailed information about the company, its vision or
    philosophy, personnel, partners, and customers, please visit the
    company´s Web site at www.sunncomm.com <http://www.sunncomm.com> , or
    call the company directly at (602) 267-7500, and ask for shareholder
    relations.
    
    MediaMax Digital Content Cloaking Technology, DC2, PromoPlay,
    Secure-Burn and SunnComm are registered and/or trademarks of SunnComm
    Technologies, Inc., in the United States and/or other countries. The
    names of actual companies and products mentioned herein may be the
    trademarks of their respective owners.
    
    NOTES ABOUT FORWARD-LOOKING STATEMENTS
    
    Statements contained in this release, which are not historical facts,
    may be considered "forward-looking statements" under the Private
    Securities Litigation Reform Act of 1995. Forward-looking statements are
    based on current expectations and the current economic environment.
    
    We caution the reader that such forward-looking statements are not
    guarantees of future performance. Unknown risk, uncertainties as well as
    other uncontrollable or unknown factors could cause actual results to
    materially differ from the results, performance or expectations
    expressed or implied by such forward-looking statements.
    
    - --#eof
    - --
                               (C) 2003 Hugh Lilly
                              mail: h.lilly@private
                         blog: http://hugh.orcon.net.nz
        Registered Linux User # 295486, register @ http://counter.li.org
    	______________________________________________________
    	There's only so much stupidity you can compensate for;
    	there comes a point where you compensate for so much
    	  stupidity that it starts to cause problems for the
    	      people who actually think in a normal way.
    		-Bill, digital.forest tech support
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