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TUCoPS :: PC Hacks :: suncomm.txt

SunComm's comments on the limitations of the Shift-Key workaround to their so-called CD Protection Scheme





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> <<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.


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