Thomson: New Achievements in the Implementation of the Integrated Services Strategy Towards Digital Production and Online Distribution

Thomson (Euronext 18453; NYSE: TMS), through its Technicolor services business, today announced new digital production and online distribution solutions, as part of its unique Integrated Services Strategy, which will address and support the media, entertainment and communications sector in its transition to fully digital technologies.

The objective of the strategy is to provide an integrated set of “one-stop” service offerings designed to improve time to market, reduce costs and reduce complexity by eliminating or reducing multiple vendors and platforms. Thomson today improves its unique Integrated Services Strategy by offering a great range of software and hardware programs/platforms, tailored with its customers, like MIDAS, and by the acquisition of SyncCast, a key-provider of complete end-to-end solutions in the delivery of digital content over IP networks.

Addressing changing market requirements

In order to respond to the increasing demand from consumers for immediate access to digital content, Media, Entertainment and Communication companies are seeking to manage, store, and quickly deliver content through a variety of distribution channels including online, broadband and mobile.

Thomson’s Integrated Services Strategy anticipates and supports the changing market requirements, providing customers with a comprehensive offering of market leading digital support services, ranging from initial content preparation to consumer or enterprise digital delivery. With this suite of digital services, Thomson provides its customers the capability to distribute more content, to more consumers, faster, at reduced costs and with reduced complexity.

Lanny Raimondo, senior executive vice president of Thomson’s Technicolor Services Division, said, “Establishing an integrated services strategy to guide our technology developments and future investments is key to Thomson’s global expansion of electronic production and distribution services. With this strategy, we will support media, entertainment and communications companies in creating, managing and distributing content with greater efficiency, reliability and security across a wide variety of new and existing platforms.”

Integrated Services Strategy Key Elements

The strategy ensures that Thomson’s Technicolor services business is properly positioned and technologically equipped to support customers, during and after, in the transition to fully digital work environments.

In parallel with the introduction of these newly expanded digital service offerings, Thomson will continue to support existing platforms and processes thereby enabling customers to make a cost-effective transition to fully digital environments - while maintaining the highest of quality and security standards.

Key components of the Integrated Services Strategy include a newly expanded range of digital applications : content preparation, file-based workflow automation across geographies, business systems intelligence, global media asset management, digital rights management, back-end billing support integration, and an extensive network connectivity infrastructure which includes a rich media content delivery network.

A new digital platform: MIDAS

The creation of the MIDAS (Media Ingest, Distribution and Storage) platform enables many of these key elements. MIDAS is a software and hardware platform supporting digital content preparation, storage, security and distribution. The variety of its solutions enables one of the largest ranges of digital production capabilities and online distribution solutions. MIDAS integrates: asset management systems, production and billing systems, workflow automation systems and production networks to seamlessly enable integrated digital services across all Thomson businesses. The platform includes a secure global private network for rapid and seamless file delivery, streaming and collaboration with key clients and between all Thomson’s post-production locations.

SyncCast Acquisition

To further complement its Integrated Services Strategy, Thomson recently completed the acquisition of SyncCast, a world leader in online distribution of rich media content, founded in 1999 in Anaheim, California. SyncCast’s extensive client portfolio, combined with Thomson’s existing video expertise and technologies, will further position Thomson as a world leader in electronic content distribution.

SyncCast is a leading outsourced application delivery network and digital media services provider mainly over IP networks. Unlike traditional content delivery networks that only distribute content, SyncCast provides complete end-to-end solutions – including content preparation and publishing; content delivery optimization; complex digital rights management (DRM); back-end integration with billing and payment platforms; and services for storing, managing, securing, and reporting the consumption of digital content. The company’s solutions enable some of the largest digital video distribution services in the world.

Lance Ware, CEO of SyncCast, said, “SyncCast offers robust, rights-based digital media solutions that are critical for delivering and protecting content in the rapidly growing IP video delivery market. The combination of our innovative solutions with the customer strength and extensive video resources of Thomson will delight the digital entertainment world. The integrated end-to-end offering that we will collectively provide to the media, entertainment and communications industries addresses a major need for a comprehensive suite of back-end content delivery support systems for content owners and aggregators alike.”

SyncCast currently provides digital media services to a wide range of customers, including Microsoft’s Xbox LIVE® Video Marketplace, the Motion Picture Association of America, and National Geographic, and the company also manages and prepares content for companies such as CBS, MTV, HBO, and LionsGate. SyncCast built one of the first digital music video libraries for a major music label, designed one of the first IPTV solutions for a leading cable provider and engineered a music download site for one of the world’s largest retailers. Over the years SyncCast has worked closely with Microsoft to help media, entertainment and communications companies around the world build solutions on the Windows Media platform.

SyncCast has extensive experience throughout the interactive digital media community, including experience in application development, system integration, hosting, managed services, connectivity and content distribution solutions. The company also offers a host of security features, including digital rights management applications, DVD protection systems, and logging and reporting tools to its digital asset management application.

Blair Westlake, corporate vice president of the Media and Entertainment Group at Microsoft, said, “SyncCast has been a trusted partner and helped Microsoft build the second largest video delivery service on the Internet, Xbox LIVE Marketplace, in a matter of months. Thomson’s acquisition of SyncCast expands its strength in video technology, content management and distribution, offering Microsoft more ways to extend our relationship in these core areas.”