A behind-the-scenes player
Newton firm's technology to power Morgan Freeman's Net video start-up
By Hiawatha Bray, Globe Staff | December 16, 2006 | Boston Globe
ExtendMedia Inc. of Newton is going Hollywood, thanks to a deal with an Internet video start-up cofounded by actor Morgan Freeman.
ExtendMedia will provide a service that formats movies to play on desktop computers or TV sets while limiting the number of times a film can be viewed or the devices on which it can be shown. The company's software is designed to provide these features while remaining invisible to the end user. "We're striving to achieve the technology behind the scenes that'll make the consumer experience easier," said ExtendMedia founder Keith Kocho.
ClickStar Inc., a company launched by Intel Corp. and Freeman, will offer on-demand movies over the Internet and digital cable TV systems. The service, which launched yesterday, offers specialized channels devoted to classic movies, science fiction films, and documentaries. It will also offer movies from independent filmmakers, which will be made available while they are still in theaters. ClickStar also has signed deals with three major film studios to offer downloadable versions of their latest DVD releases.
But it's tough to format the same movie for either TV or personal computer and deliver it over either cable or broadband Internet. Besides, the moviemakers need a way to prevent unauthorized copying, and to ensure that a video is automatically deleted after a certain time period or number of viewings.
Dan Graham, vice president of operations at ClickStar, said the company has outsourced these complex tasks to ExtendMedia. "We had a requirement to find somebody who would host the service for us," said Graham. "We did a feature-by-feature comparison of the other providers out there, and Extend came out on top."
When ClickStar receives an order, it will be routed to server computers at ExtendMedia. These machines will identify the correct format in which to deliver the movie and lock in any limits on how the film can be used. The movie will be dispatched with a digital "wrapper" that enforces the usage limits and prevents piracy.
ExtendMedia was founded in Canada and maintains its production offices in Toronto. But Kocho moved the executive offices to Newton because he wanted access to Greater Boston's venture capital community. "I think in Canada they're a lot less inclined to celebrate entrepreneurship," he said.
In addition, Boston is a haven for companies that deal in digital media delivery, including Akamai Technologies Inc., Maven Networks Inc., ChoiceStream Inc., and Brightcove Inc., all based in Cambridge. "The vast majority of companies we see as competitors and collaborators are in the Boston area," Kocho said.
Hiawatha Bray can be reached at bray@globe.com.
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