VANCOUVER, British Columbia, March 8 /PRNewswire-FirstCall/ -- Creators of the leading digital distribution system in the music industry, Destiny Media Technologies (BULLETIN BOARD: DSNY) , announces today that it has ended its agreement with marketing arm, Promo Only, and will be re-branding the MPE system as "Play MPE." This decision comes in conjunction with Universal Music Group signing a new contract with Destiny Media Technologies to utilize "Play MPE" as the primary distribution system across all of its labels.
"Play MPE" brings a new face to the same technology that users have come to depend on, with the same executive staff heading up the "Play MPE" project. Dean Ernst has left Promo Only to join DSNY as VP of MPE Operations. DSNY recently closed an oversubscribed private placement of $2.16 million through Bryant Park Capital, with use of proceeds to build marketing teams around Destiny's products, including MPE. Mr. Ernst will be responsible for building the "Play MPE" team, closing commercial agreements and expanding the "Play MPE" industry standard outside of the US.
The MPE system is fully automated making the transition to the new branding and team seamless to users. Labels will continue using their existing encoders to manage recipient lists and create content; users will be able to use their existing player software and passwords with no downtime or interruption of service.
"We came to a crossroads with our former marketing partner, Promo Only, and decided not to renew the contract," said Steve Vestergaard, CEO, Destiny Media Technologies. "We feel our strengthened relationship with Universal Music Group has put us in a stronger position to market and distribute the MPE system from within Destiny Media, in addition to giving our clients and users better service. Under the new Play MPE banner we feel very confident that we will have great success."
Destiny Media Technologies recently expanded an agreement with Universal Music Group (UMG) to be UMG's primary method for online distribution of promotional music, video and other content and to be the only company-wide method for such distribution in the U.S. After a successful two-year pilot project, Destiny and UMG have signed this agreement to distribute digital media on a price per delivery basis utilizing Destiny's secure digital media distribution system.
About PLAY MPE
The MPE(TM) system is in use by 773 labels including UMG, EMI, Sony BMG and Warner Music Group. Over 34,000 songs have been sent to radio stations and other trusted recipients since launch, representing 36,500,000 transactions. Usage has been growing, with 4.2 million of those transactions occurring in January, 2007, alone.
MPE(TM) features state-of-the-art encryption to protect content, while delivering much higher fidelity than in consumer audio technologies, such as MP3. Not only is MPE(TM) a powerful secure distribution system but it is also a strong promotional tool, as record companies can embed video, text and graphics into the MPE(TM) system, including music videos, CD covers, credits, lyrics, promotions, and other content. "Play MPE" is available on the web at http://www.plaympe.com/
About Destiny Media Technologies
Destiny Media Technologies, Inc. (http://www.dsny.com/) (DSNY.OB) is a leader in developing easy-to-use tools for distributing media through the Internet. The company's suite of streaming and downloadable products includes: Clipstream(TM), Destiny Media Player(TM), Radio Destiny(TM), and MPE(TM). The MPE(TM) suite of products includes online music store software and infrastructure, Internet jukebox software and a media distribution system for sending content securely through the Internet. Established in 1991, the company is headquartered in Vancouver, Canada.
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"Safe Harbor" statement under the Private Securities Litigation Reform Act of 1995: This release contains forward looking statements that are subject to risks and uncertainties, including, but not limited to, the impact of competitive products and pricing, product demand and market acceptance, new product development, reliance on key strategic alliances, availability of raw materials, the regulatory environment, fluctuations in operating results and other risks detailed from time to time in the Company's filings with the Securities and Exchange Commission.
