Agenda Benefits of Cloud-Delivered Video Content Dolby’s Role in Online Video Content

Agenda

• Benefits of Cloud-Delivered Video Content

• Dolby’s Role in Online Video Content

• New Developments in Cloud Entertainment Applications

Benefits of Cloud-Delivered Video Content

Instant, On-demand Accessibility

Convenient Access to Massive Content Library

• Convenient access to the ‘long tail’ of catalog & niche content.

Search & Discovery

• Example: VUDU GUI

Recommendations & Information

• Example: VUDU GUI

Enhance & Complement Physical Media Experience

• Enhances Blu-ray experience with streaming & downloaded content, such as director’s commentary, exclusive scenes, & other bonus features.

Enhance & Complement Physical Media Experience

• Market offering cloud-delivered content in conjunction with physical media sales

• Amazon’s Disc+ On Demand program
• Walmart & VUDU’s Toy Story 3 promotion
• (Forthcoming) DECE’s Ultraviolet will enable simpler deployment of combo physical & cloud-delivered media purchases

Integration Path into CE Devices

• Blu-ray players are an interesting case study

• Online connectivity & sophisticated media processing originally specified for Blu-ray experience
• Online service providers, IC providers, & CE OEMs quickly realized Blu-ray technical platform was also ideal for online applications
• VUDU, Netflix, CinemaNow, etc.

Benefits to CE OEMs

• Market products as connected digital media players

• Ex: Leading CEs have been very successful marketing Blu-ray players as online media players

• Extend a handshake between the consumer & manufacturer

• Leverage technology already going into core CE products for new applications

• Example: utilize existing audio & video decoders
• Already implemented & tested

Dolby’s Role in Online Video Content

Achieving Convenience & an Authentic HD Experience

• Consumer want the convenience of online content & an authentic HD experience

• Cinema, HD broadcast, Blu-ray, etc. feature HD video & surround sound – why not online?

• Online delivery presented multiple challenges

• Surround audio solution required that:

• Scales for cinema content (up to 7.1ch)
• Works with leading online delivery containers & formats
• Highly bandwidth efficient
• Playback compatibility on a wide range of consumer devices
• Blu-ray players, game consoles, TVs, mobile, etc.

Simplified Example of Online Video Delivery

Enabling the Online Ecosystem for Cinematic Audio

Dolby & VUDU

• VUDU selected Dolby Digital Plus exclusively for delivery of surround content to connected devices

• VUDU launched service with Dolby Digital Plus in 2008 on its own set-top box
• VUDU now deployed directly on various connected devices with Dolby Digital Plus from Samsung, Sony, LG, Sharp, Toshiba, Mitsubishi, Sanyo, Vizio and others

Dolby & Netflix

• Netflix selected Dolby Digital Plus exclusively for delivery of surround content to connected devices

• Netflix leveraging Dolby Digital Plus efficiency to ensure optimal experience and save bandwidth
• Netflix can freely utilize existing Dolby Digital Plus decoders on the tens of millions of connected DTVs, Blu-ray players, and PS3s
• First Dolby Digital Plus content delivered to PlayStation 3 in Oct ‘10
• Additional connected devices to follow…

New Developments

New Developments in Cloud Entertainment Applications

• Interactive ‘Blu-ray’ like experience for online content

• Chapters, language & subtitle selection, bonus features, etc.

• Deployment of DECE’s Ultraviolet

• Cloud-based game applications a hotbed of innovation

• OnLive announced for Vizio TVs & Blu-ray players
• Blu-ray players -> Digital Media Players -> Game Consoles?

Thank You!

Q&A