IBM Announces "Digital Media Factory"

IBM Hardware, Software, and Services Help Companies Create, Manage and Distribute Digital Content

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WHITE PLAINS, NY - 22 Feb 2002: IBM today announced the Digital Media Factory (DMF), an open-technology framework comprised of IBM e-business infrastructure that can help all types of companies manage, store, protect and distribute digital video, audio and images. Also today, the company announced that IBM provided key consulting and technology integration services for the newly launched online version of The Wall Street Journal at

According to industry analysts* the digital media market opportunity for information technology is growing at a 50 percent compounded annual rate worldwide and will reach $30 billion by 2004.

Digital media is already being used in many ways across a range of industries, from retail kiosks, to government video surveillance, to wireless content distribution in the telecommunications industry. According to Forrester Research, there are over one million terabytes of data stored in digital file systems and over 30,000 times more than that stored as analog.* *

"We see significant opportunities for IBM as companies around the world incorporate rich media into everyday business processes," said Dick Anderson general manager of IBM's Global Digital Media Group. "What we do, at our core, is help companies translate technology into real business return, and together with our partners, we have already begun helping businesses manage the complexities associated with their digital transformations."

The IBM Digital Media Factory
Under the umbrella of the Digital Media Factory are servers, workstations, storage, middleware, applications, and services that utilize technology from IBM and a growing array of third-party technology providers. IBM products include: IntelliStation Workstations, Electronic Media Management System, IBM Content Manager, based on DB2 Universal Database, WebSphere Commerce For Digital Media, IBM eServer, Total Storage solutions, and IBM Global Services.

"What we have discovered, after many years of working with the world's top media and entertainment companies, is that there is a common thread to bind technologies into general business processes across all industries," said Jurij Paraszczak, chief technology officer for IBM's Digital Media. "The Digital Media Factory provides an opportunity to deliver a standards-based framework combining technologies from IBM and other technology providers."

Technology Partner and Service Provider Strategy
Central to IBM's digital media strategy is collaborating with leading technology, services, and application providers. For example, IBM is working with Ancept Inc., a provider of media asset management and storage technologies, Virage Inc., which digitizes and logs video, and Divine (previously Open Market), which is expert at Web publishing. Throughout the year IBM expects to add many more companies to the list.

Software developers Liquid Audio and ION Systems announced today they are licensing the IBM Electronic Media Management System (EMMS), which helps companies produce, distribute, and protect digital content. Liquid Audio a leading provider of software and services for the online delivery of music will use EMMS in its new music player software. ION Systems, Inc. will use EMMS for, a Web site that offers on-screen reading technology and ePublishing services.

IBM Digital Media Customers
Among the companies where IBM has delivered comprehensive digital media solutions are Cable News Network (CNN), and The Coca Cola Company, where analog-format content was digitized, organized and repurposed to improve productivity and open the possibility of using their precious corporate assets to generate new revenue streams. IBM digital media projects also include joint research with NTT DoCoMo, Japan, to deliver next-generation wireless media services. At, IBM's Atlanta e-business Innovation Center helped design the look and feel of the site based on extensive research among users, and also provided content management and integration services. Other IBM customers include satellite broadcaster XM Radio, where IBM technology is used to store and manage audio content, and Threshold Digital Research Labs, where IBM's Linux Digital Studio solution is used for creating and rendering digital animation.

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