MUSIC 2.0

Is MT9 or MXP4 Going to Replace MP3?

20%

45%

CD Sale

2007 Digital Music Sale

Cost

Convenience

Why consumers rather buying music online?

Average player carried 1,770 songsAverage player carried 1,770 songs

I’m MPEG

•Developed by Audizen and Korea’s ETRI, 2008•Candidate of new MPEG audio standard

•6 unmixed channels•Vocal, Piano, Guitar, Bass, Drum, Chorus

•6 volume control•Demo

MULTIPLIED EXPERIENCE PLATFORM IN 4D

“MXP4 transitions from one piece of music to another seamlessly. There’s no interruption in the transition. Music can now have element of surprise—different elements each time you listen to a song. I liken it to a live concert where each time a musician plays a song; it’s a little bit different.”

- Trish Thomson CEO of Musinaut

•Higher sound quality

•Listener and producers more controls over the song they own

•More choice and facet of discovery to the listener

MT9 / MXP4MT9 / MXP4 MP3MP3

•“Static”

•Can only change Equalizer and Balance

•WMA/AAC offer better sound quality or smaller file size, has eaten up MP3 market shares

Digital Rights Management Digital Rights Management

MT9 / MXP4MT9 / MXP4 MP3MP3

•Large file size•MT9 (1 song=30MB)•MXT4 (1 “skin”=15MB)

•Not well known

•Market inertia to change (Dvorak’s keyboard)

•Need industry leader support (Apple)

•Smaller file size (5MB)

•Maintain 76% market share

•Most consumers are satisfied

MT9 MT9 MXP4MXP4

• “Rarely do I want music to change according to my mood. Just the opposite: I mostly listen to specific music to change my mood.”

-Joe Johnson

Who is using MT9 / MXP4 ?

•Only known to few Korean audiences•Audizen is selling selected album for $2/album•Samsung & LG are interest built MXP4 player in future mobile phones

•Only known to some European Musicians and audiences•Offer Free professional-level MXP4Creator and MXP4 player to producers and consumers

MT9 MT9

MXP4MXP4

Who is likely to use MT9 ?

ANYONE ! Maybe

And Who is likely to use MXP4 ?

Not So Soon !

QuestionsWhich of the following is not true about MXP4?1. Developed by French company call Musinaut.2. Allow users to embed graphic and artworks into the music file.3. Allow musicians to record multiple version of a song in one file4. Offer a smaller file size than MP3 at the same song quality. *5. Currently, places no limit on how many “skins” or version of the song

can be included in one file.

Which of the following is not a challenge that MT9 or MXP4 is facing when trying to replace MP3?

1. Market Inertia to change2. Need music industry leaders’ support3. Files can’t transfer and shared over the internet as easy as MP34. Both formats are only known to limited audiences.5. Both formats have DRM that places restrictions on file sharing. *