BROOKLYN, N.Y., July 15, 2004 (PRIMEZONE) -- New Medium Enterprises, Inc. (OTCBB:NMEN) announced today successful completion of its first-generation product prototype of prerecorded 15GB MVD (Multilayer Video Disc), providing 150 minutes of High-Definition (1080i) Video Content in MPEG-2 format. MVD-ROM is a next-generation High Definition successor to the current DVD Standard Definition technology and is based entirely on the current Red Laser technology.
MVD-ROM (pre-recorded) is designed for viewing High Definition (HD) content requiring high storage capacity and high bit rate, such as full-motion pictures, video-on-demand, sports entertainment and other video content and data. MVD-ROM HD discs will be capable of playing next-generation, high-definition movies, making obsolete the current DVD-ROM format which is limited to Standard Definition Content (SD).
"We are thrilled with this remarkable achievement," said Dr. Alex Libin, Chief Operations Officer for NMEN. "150 minutes of real HD content on a single-sided Red Laser disc is a landmark in the history of optical storage. MVD was brilliantly conceived and efficiently executed by our world-class team of scientists."
The MVD-ROM, first-generation video disc has three layers on one side for an initial capacity of 15GB and is entirely based on the current red laser DVD industrial infrastructure. The company plans to demonstrate its prototype as soon as it completes encoding and authoring of the content in MPEG-2 (variable bit rate) format to be viewed on an MVD player.
NMEN anticipates that by late 2004 it will achieve six layers yielding 30GB of storage capacity with bit rates up 60 Mbs maximal, capable of playing High Definition content for both HDTV and Digital Cinema on a single MVD Player.
The company's plans for 2005-2007 include building cost-effective red laser MVD-ROM and MVD-R (recordable) systems with up to 50GB storage capacity for HDTV and Digital Cinema. At the same time the company will begin developing Blue Laser MVD with 200GB capacity on each disc for high-end Digital Cinema and Video-On-Demand (VOD) applications.
ABOUT THE COMPANY:
On January 13, 2004, we acquired all of the RMD-MVD (MultiLayer Video Disc) intellectual property assets from MultiDisc in London and TriGm in Belgium, and entered into a long-term Scientific Development Agreement for the development of the prototypes and products of MVD. The team consists of unique and highly qualified scientists and professors from several European countries, with extensive experience in a multitude of past and present formats of optical storage and in particular with multi-layer optical structures. The scientific team is currently developing the prototypes for the anticipated three stages of development. The overall management is conducted out of New York and Israel.
For more information about our Company, visit our website at: www.nmen.net
ABOUT MVD:
A DVD can only record data on a maximum of two layers since an increase in the number of layers in the disc increases the interlayer cross talks and the data cannot be read properly. Today a standard 120 mm single layer disc is limited to its current capacity of 4.7GB single layer or 8.5 GB dual layer. A standard DVD only contains sufficient storage capacity to store a movie in Standard Definition format, but not High Definition format.
The need to increase the disc storage capacity fivefold and, in fact, tenfold is well established. Consumers are ready to move into a new TV era-the era of HDTV movies and broadcasts. Beginning Jan.1, 2007, the FCC in USA will allow only HDTV screens to be manufactured.
The existing CD-DVD infrastructure is based on RED LASER, which is highly cost effective, since it is easily produced by hundreds of firms all over the world. The entire disc infrastructure involving manufacturing equipment including mastering and replicating processes have been created to accommodate Red Laser, with billions of investments by the industry and consumers to date.
Competing high definition formats currently proposed are attempting to change to a new technology based on BLUE LASER, which has a shorter wavelength of 405 nanometers as compared to 650 nanometers of Red Laser. This makes it possible to focus the laser beam with more precision, thus making information pits smaller and in consequence enabling to hold more data on the disc. However, on the downside, blue laser, by itself is far more costly to the entire value chain. Blue Laser based technology will necessitate the disc and players manufacturing industry-one of the largest consumer good branches of the Global economy- to refurbish their entire infrastructure to accommodate Blue Laser.
MVD discs and players, based on the existing red laser Red Laser industrial infrastructure are almost in all respects similar to DVD players. In particular as a result of its Red Laser optical head an MVD player is inherently backward compatible with DVD, which will enable viewing of HD discs as well as current DVD's on an MVD player anticipated to cost no more than $200 - $250, a price that NMEN believes will encourage mass acceptance of MVD technology MVD is a high quality format with with unparalleled built-in copyright protection that offers the most cost effective solution for next generation optical media. The size of the market for MVD technology is substantial, since MVD can be adapted to any optical storage formats proposed, adding substantial capacity, versatility of applications and ease of manufacturing to any of the formats that become MVD capable.
Forward Looking Statements:
The information contained in this press release, including any ``forward-looking statements'' within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 contained herein, should be reviewed in conjunction with the Company's Annual Report on Form 10-KSB, 8k Reports and other publicly available information regarding the Company, copies of which are available from the Company upon request. Such publicly available information sets forth many risks and uncertainties related to the Company's business and such statements, including risks and uncertainties related to that are unpredictable and outside of the influence and/or control of the Company.