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DECE MC ECPWG Presentation

Cinavia for UltraVioletCinavia for UltraViolet

February 17, 2012

VERANCE CONFIDENTIALProvided Subject to Confidentiality Provisions of DECE Membership Agreement

© 2003-2012 Verance Corporation. VERANCE CONFIDENTIAL

About Cinavia

Watermark standard for audiovisual content protection

– Adopted by AACS for use with the Blu-ray Disc format

Audio-based copy status signaling to consumer devices

– Persists across all distribution paths and formats

Mature, proven technology with significant deployments

– 12-year track record in over 100 million consumer devices (BD and DVD-A)

2

Adaptable to evolving market needs, technical requirements

– Extended payloads enable expanded applications

© 2003-2012 Verance Corporation. VERANCE CONFIDENTIAL

Theatrical Piracy Protection

Cinavia Watermark Embedded

Into Movie SoundtrackPost Production Theatrical Distribution

3

Exhibition

Cinavia Watermark Detected Playback DisallowedEnforcement Message Displayed

Capture

Unauthorized Distribution(Physical or Electronic)

© 2003-2012 Verance Corporation. VERANCE CONFIDENTIAL

Home Video Piracy Protection

AuthoringWatermark Embedding Retail Distribution

4

DRM Circumvention

Cinavia Watermark Detected

Audio Muted Enforcement Message Displayed

Unauthorized Distribution (Physical or Electronic)

© 2003-2012 Verance Corporation. VERANCE CONFIDENTIAL

Pirate Conversion Potential

73%

27%

Don't Watch Pirate Movies

Watch Pirated Movies

(2010 LEK Piracy Survey)

25

Pirate Conversion Potential

5

© 2003-2012 Verance Corporation. VERANCE CONFIDENTIAL

0

5

10

15

20

25

Annual # of Pirated

Movies Each Pirate Watched

Annual # of Pirated Movies

Each Pirate Is Willing to Pay For

How do pirates actually respond to Cinavia?

51%49%

Converted to Pay Models

Cinavia Conversion Results

Non

Pay

16%

Paid Subscription

Purchased VoD/PPV

Paid

6

(2011 LEK PS3 Piracy Survey)

© 2003-2012 Verance Corporation. VERANCE CONFIDENTIAL

16%

16%

21%14%

17%

16% Purchased VoD/PPV

Rented DVD/BRD

Purchased Download

Purchased DVD/BRD

Watched in Theater

120

140

160

Cinavia-Enabled Devices

Cinavia Deployment in Devices

Cinavia is deployed on over 50M PS3’s worldwide , with mandatory inclusion in all new BD players (2011 TSR Forecast)

7

0

20

40

60

80

100

2010 2011 2012 2013 2014

PS3 BD Total

2010 2011 2012E 2013E

© 2003-2012 Verance Corporation. VERANCE CONFIDENTIAL

Watermark Performance

Transparent

• Imperceptible to consumers

Efficient

• Detectable in short clips

Reliable

• No impact on authorized uses

• Low implementation cost

8

• Irreversible & tamper resistant

• High certainty of detection

Flexible

• Multiple embedding profiles

• Robust to distortion

• Low false positive rate

• Multiple data payloads

© 2003-2012 Verance Corporation. VERANCE CONFIDENTIAL

Window Protection

9

© 2003-2012 Verance Corporation. VERANCE CONFIDENTIAL

No Home Use Watermark State

For content “not intended for use in a home environment”

– Theatrical and Airline releases

Any use of No Home Use content by consumers is unauthorized

Device response is immediate

– Playback is stopped

– On-screen or front panel

10

– On-screen or front panelnotification is provided

© 2003-2012 Verance Corporation. VERANCE CONFIDENTIAL

For content “permitted to be used within an approved DRM only”

Verance maintains a list of approved DRMs for Trusted Source (TS)

– All DECE Approved DRMs to be included on list

– Additional studio-approved DRMs are also included

TS content should never be in “unapproved” format

– Must be distributed in format from list of approved DRM

Trusted Source Watermark States

11

– Must be distributed in format from list of approved DRM

– Must not be authorized for output or copying into any format not on list of

approved DRM

– Must carry “Copy Never” in CCI

– This ensures that authorized copies remain usable

© 2003-2012 Verance Corporation. VERANCE CONFIDENTIAL

Trusted Source Enforcement

Use of TS content in unapproved format is unauthorized

– Playback will be muted for 15 seconds with each TS enforcement

Response occurs when unauthorized use exceeds grace period

– Grace period measures repeated detection of mark across timeline of content

– Enables limited consumer use of unauthorized copies without restriction

– Provides flexibility for “edge” use cases ( “birthday party” scenario, etc.)

Grace period duration, calculation depends on TS modifiers

12

Grace period duration, calculation depends on TS modifiers

– Modifiers are manually selected during embedding, carried in watermark

– Grace period is 10 minutes for titles shorter than 1 hour, 20 minutes for

longer titles, according to Duration modifier (Long/Short)

– Measurement of “repeated detection of mark” varies according to

Enforcement Logic modifier (Primary/Secondary)

© 2003-2012 Verance Corporation. VERANCE CONFIDENTIAL

DECE Flag

A watermark bit can be designated to carry a DECE Flag

– DECE can establish eligibility criteria for embedding of DECE Flag in content

– DECE can require devices to protect only content carrying DECE Flag

AACS has employed a similar mechanism (AACS Flag)

13

© 2003-2012 Verance Corporation. VERANCE CONFIDENTIAL

Consumer Notification

Notification in Device User’s Guide

– Basic explanation of purpose with pointer to Consumer Information Website

On-Screen/Front-Panel Notification of Enforcement

– Basic explanation of reason with pointer to Consumer Information Website

Notification of Marked Content

– Short statement with pointer to Consumer Information Website to be

14

© 2011 Verance Corporation. VERANCE CONFIDENTIAL

– Short statement with pointer to Consumer Information Website to be

included within packaging and on websites distributing Marked Content

Consumer Information Website (cinavia.com)

– Expanded information for consumers on the technology and its use

– International support (19 languages)

Device Manufacturer Support

Component Vendors

– Source Code

– Technical Specifications

– Validation Tools

– Technical Services

Product Integrators

– Object Code

– Technical Specifications

– Validation Tools

– Technical Services

15

© 2003-2012 Verance Corporation. VERANCE CONFIDENTIAL

Cinavia Implementer Licensees

OEMs & ODMs

16

Software Player Developers

Chipset Manufacturers

© 2003-2012 Verance Corporation. VERANCE CONFIDENTIAL

Implementation Cost

Detector Reference Implementation

– Portable, efficient C code

– No system or library dependencies

– Fixed or floating point math

– ~20 MHz, 32 kB code RAM, 32 kB static data RAM, 64 kB dynamic RAM,500 bytes non-volatile RAM

Commercial Detector Libraries

17

Commercial Detector Libraries

– x86, ARM 9/11/A8/A9/Neon, MIPS 4k/24k, AM3; others on request

– Currently available from Broadcom, Samsung , Intel, MediaTek, Renesas,

Panasonic, Sigma, Sunplus, and Vixs

© 2003-2012 Verance Corporation. VERANCE CONFIDENTIAL

Battery Life Impact

789

1167

1459

797

1175

1476

500

750

1000

1250

1500

1750

+1.0%

+0.75%

+1.2%

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Effect on Mobile Phone Power Consumption

This is a smaller

1% is the difference

between

10 hours of video

playback and

9 hours 54 minutes

of video playback.

18

0

250

500

Neo Freerunner

(Samsung S3C2442

@ 400 MHz)

2008

HTC Dream

(Qualcomm MSM7201A

@ 528 MHz)

2009

Google Nexus One

(Qualcomm QSD8250

@ 1 GHz)

2010

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(mW)

This is a smaller

impact on battery

life than a 3%

change in display

brightness.

Based on analysis of independent data from (Carroll, USENIX 2010).

Assumes “continuous mode” screening. Impact of DRM, hardware and software security are not included.

© 2003-2012 Verance Corporation. VERANCE CONFIDENTIAL

Licensing Terms

Offered to DECE client implementers on RAND terms

License fees for DECE to be the same as for BD

– Combined BD/DECE devices will not be subject to multiple fees

Simplified licensing process for joint DECE/BD adopters

19

Simplified licensing process for joint DECE/BD adopters

Form licenses to be made available on request

© 2003-2012 Verance Corporation. VERANCE CONFIDENTIAL

DECE MC ECPWG Presentation

Cinavia for UltraVioletCinavia for UltraViolet

February 17, 2012

VERANCE CONFIDENTIALProvided Subject to Confidentiality Provisions of DECE Membership Agreement

© 2003-2012 Verance Corporation. VERANCE CONFIDENTIAL

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