XDC Boosts Development By Raising Additional Funds and Enhancing its Management Structure

December 27, 2007 Source: XDC

Implementing a series of complementary and integrated financial and personnel measures XDC’s Board of Directors is setting the accent for European Digital Cinema integration to move ahead in 2008.

Last week XDC’s Board of Directors granted authority to expand its capital and completed raising an additional EUR 7.5 million. Backed by its existing shareholders, XDC will allocate this funding for its further expansion as market leader for Digital Cinema (DC) Services across Europe. In order to face large-scale DC roll out plans, XDC is in the final stages of negotiations related to the co-financing of DC deployment by film distributors through dedicated Virtual Print Fee (VPF) agreements.

To enhance its management structure, the Board of Directors has appointed Serge Plasch as new Chief Executive Officer from January 1, 2008. He will replace Laurent Minguet, founder and CEO of XDC. Laurent will step down from his daily executive functions at XDC, but remain a Board Member of XDC International. The Board is extraordinary grateful for the vision and entrepreneurial élan with which he led XDC to the forefront of the European Digital Cinema field.

Serge Plasch has been Managing Director of Screenvision Benelux since 2001 where he reinforced and anchored the leadership of this major advertising sales company for the Cinema Industry. Speaking English, French, Dutch, and German fluently, he will greatly strengthen XDC’s position in the large and fragmented European Cinema market. Enthusiastic about this new opportunity, the new Managing Director & CEO says: “After years of talks and trials, wide spread Digital Cinema deployment is underway. All market players are convinced that Cinema will be digitized to the great benefit of the audience, and, with a viable business model, the industry can remain the pre-eminent channel for the distribution and exhibition of filmed, and increasingly in the future, large-screen, live entertainment.. XDC has proven its skills to operate DC screens through a full range of services and network technologies. XDC has the premier DC Content lab in Europe and has built the largest early-stage DC network, (exceeding 300 systems), for leading cinema groups. I am also very pleased to work closely with a very motivated team and, in particular, with Bernard Collard, General Manager of XDC.”

Last but not least, as of 1 January 2008, XDC's Board of Directors is appointing John B. Birchell Hughes as their Special Advisor and inviting him to become a Member of XDC's Management Board. XDC's Board of Directors is very pleased to recognize John’ invaluable contribution as Senior Vice President in building relationships in the production and distribution communities. His tireless work has led to dozens of digital movies being enjoyed by audiences all over Europe.

http://www.digitalcinemainfo.com/xdc_12_26_07.php

Barco Celebrates 2,000th Digital Cinema Projector Milestone

December 27, 2007 Source: Barco

Barco is delighted to announce that it has reached its 2,000th 2K digital cinema projector milestone further reinforcing its position as a worldwide industry leader in the Digital Cinema Market. Barco now holds more than 55% market share in Europe and 65% in the Asian Pacific region and is further strengthening its position in the US.

With installations in over 30 countries* around the globe today, Barco has taken a strong position in the digital cinema market. Barco’s truly global presence results not only in strong market shares in Europe and Asia, but also in a significant presence in markets such as the US, Canada and Mexico. This confirms the confidence customers have in the quality and reliability of Barco’s digital solutions.

Stephan Paridaen, President of Barco’s Media and Entertainment division, states, “We are very proud to have 2,000 Barco 2K digital cinema projectors now in the market. Over the past 12 months, Barco digital cinema projectors have been chosen by some of the world’s leading and most demanding theaters, hereby proving that our 2K digital cinema projectors are without equal in the market for both performance and total cost of ownership. I would like to thank our customers for their loyalty and support”.

Customer care has always been a very essential point of attention for Barco, and it will further continue to be so in the future. Stephan Paridaen adds: “As of the first of January 2008, our Digital Cinema entity will be headed by Wim Buyens, and re-enforced with a team of product-managers, service-experts and sales people. With this new structure, we look forward to continuing to serve the special needs of our customers and further support the needs of the fast growing digital cinema market worldwide”

All of Barco’s 2K Digital Cinema platforms are equipped with the proven DLP Cinema® technology from Texas Instruments. This ensures perfect re-production of film, time and time again, and ensures that movie fans enjoy the highest quality film experience with consistent picture brightness, contrast and vibrant colors. Barco holds one of only three exclusive licenses of TI’s DLP Cinema® technology.

*Countries where Barco digital cinema projectors are installed include: Australia, Austria, Belgium, Canada, China, Cyprus, Czech republic, Denmark, Finland, France, Germany, Hong Kong, India, Indonesia, Israel, Italy, Japan, Korea, Luxemburg, Mexico, Netherlands, New Zealand, Norway, Poland, Portugal, Singapore, Slovakia, South Korea, Spain, Sweden, Thailand, UK, USA.

http://www.digitalcinemainfo.com/barcodigitalcinema_12_27_07.php

XDC, Qubo and Dynamic Launch "DDCinema", The First Pan-European Alternative Content Distribution Initiative

December 27, 2007 Source: XDC

XDC announced today that it has signed a cooperation agreement with Qubo and Dynamic to launch, promote and manage the distribution of digital cinema alternative content through the DDCinema service platform. The initial purpose is the distribution of lyrical operas, produced at the most prestigious European theatres, with a mix of recorded and live events. DDCinema will offer to cinemas an eclectic range of alternative content, i.e. all programming content other than films, trailers and advertising content, including, but not limited to, television programs, sporting events, stage productions, concerts, documentaries, anime films and live events.

“The idea is to optimally use the potential of new technology, help cinemas to widen their range of products, as well as to screen events that have so far been restricted to smaller and exclusive venues,” said Elena Rasori, Managing Director of Qubo.

As Fabrice Testa, Marketing & Operations Manager of XDC, pointed out, “DDCinema alternative content programmes will be available to all exhibitors across Europe equipped with 2K digital projectors - about 700 screens today.” He added: “Any MXF interoperable D-Cinema server will be able to play back any alternative content prepared by the XDC Digital Content Lab, DDCinema offer is thus not only limited to the screens connected to XDC’s Network Operations Centre.”

“To watch and hear lyrical operas and concerts in digital cinema format is an exciting experience indeed,” said Alberto Dellepiane, Managing Director of Dynamic. “We view DDCinema as an important step in moving the digital cinema experience forward. We expect the demand for each DDCinema programmed event to grow significantly over time. DDCinema offers a wide range of content in digital cinema format, in particular lyrical operas and concerts, carefully chosen on the basis of their artistic and technical quality – both as live events broadcast via satellite, and recorded events.”

Today, the DDCinema platform already offers about 25 opera titles, and on 27th January 2008 it will offer the first live broadcast from Palermo, Italy, on the opening night of the season of Teatro Massimo, one of the most beautiful theatres in the world. The opera in question, featuring singers of international renown, will be a new production of Arrigo Boito’s Mefistofele, a spectacular work taken from W. Goethe’s Faust. More live events are planned from Teatro dell’Opera di Roma, Teatro La Fenice di Venezia, Teatro Liceu of Barcelona, Teatro Real of Madrid, and other renowned venues.

http://www.digitalcinemainfo.com/xdc_12_27_07.php

Disney Utilizes Realscan 3D Again for Book of Secrets

Disney Utilizes Realscan 3D Again for Book of Secrets By Neal Romanek Dec 25, 2007, 19:10

Realscan 3D (www.realscan3d.com), an industry leader in high resolution, high color structured light 3-D scanning, overcame a number of challenges to deliver high-quality scans used in the production of Walt Disney Pictures’ new film National Treasure: Book of Secrets, now in theatres. For the film, Realscan was charged with digitizing several scale set models and various set pieces used as digital doubles throughout the film. Realscan’s proprietary hardware and ability to quickly scan objects in diverse locations allowed them to deliver the doubles on time and on budget to Asylum Visual Effects. Early on, Realscan needed to acquire the scale model of the “City of Gold” for the production’s art department. The scale model was too fragile to be transported and too large and cumbersome for acquisition by a traditional VFX 3D scanning system. By utilizing Realscan’s RealCapture NexGen 3D scanning technology the production was able to digitize the detailed scale model with ease at their location without needing to move the fragile asset. The Realscan model was then scaled up and used to cut the forms for full-scale set pieces and visual effects backgrounds. Disney also benefited from Realscan’s ability to quickly acquire additional set pieces including a digital double of a golden idol. Realscan employed their RealCapture NexGen™ technology to scan the idol at a moment’s notice and delivered a visual effects-ready model in record time. This eliminated the need to model the asset from photographs, a method that is time consuming and produces varied results. By employing RealCapture NexGen the digital vfx model was ready for render and identical to the idol that was captured in practical photography, saving the production time and money. The results of Realscan 3D’s work can be seen in theatres and at their website, www.realscan3d.com. Realscan 3D (www.realscan3d.com) is a Los Angeles-based effects company specializing in solutions for the creation of low-cost, high-quality digital assets for any application. Rapidly becoming one of the most attractive technology companies working in the entertainment industry, Realscan 3D has created digital doubles for a wide variety of clients, including Jerry Bruckheimer Films’ National Treasure and Deja Vu, Walt Disney Pictures’ Underdog and South of the Border, Universal Television’s House, FOX Television’s American Idol, Nike, Nintendo, Gatorade, and Wal-Mart. RealCapture NexGen and Realscan are trademarks of Realscan 3D, Inc

http://www.uemedia.net/CPC/digitalcinemamag/articles/article_16709.shtml

The Afterlife Is Expensive for Digital Movies

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December 23, 2007

Scene Stealer

By MICHAEL CIEPLY

LOS ANGELES

TIME was, a movie studio could pack up a picture and all of its assorted bloopers, alternate takes and other odds and ends as soon as the production staff was done with them, and ship them off to the salt mine. Literally.

Having figured out that really big money comes from reselling old films — on broadcast television, then cable, videocassettes, DVDs, and so on — companies like Warner Brothers and Paramount Pictures for decades have been tucking their 35-millimeter film masters and associated source material into archives, some of which are housed in a Kansas salt mine, or in limestone mines in Kansas and Pennsylvania.

A picture could sit for many, many years, cool and comfortable, until some enterprising executive decided that the time was ripe for, say, a Wallace Beery special collection timed to a 25th-anniversary 3-D rerelease of “Barton Fink,” with a hitherto unseen, behind-the-scenes peek at the Coen brothers trying to explain a Hollywood in-joke to John Turturro.

It was a file-and-forget system that didn’t cost much, and made up for the self-destructive sins of an industry that discarded its earliest works or allowed films on old flammable stock to degrade. (Indeed, only half of the feature films shot before 1950 survive.)

But then came digital. And suddenly the film industry is wrestling again with the possibility that its most precious assets, the pictures, aren’t as durable as they used to be.

The problem became public, but just barely, last month, when the science and technology council of the Academy of Motion Picture Arts and Sciences released the results of a yearlong study of digital archiving in the movie business. Titled “The Digital Dilemma,” the council’s report surfaced just as Hollywood’s writers began their walkout. Busy walking, or dodging, the picket lines, industry types largely missed the report’s startling bottom line: To store a digital master record of a movie costs about $12,514 a year, versus the $1,059 it costs to keep a conventional film master.

Much worse, to keep the enormous swarm of data produced when a picture is “born digital” — that is, produced using all-electronic processes, rather than relying wholly or partially on film — pushes the cost of preservation to $208,569 a year, vastly higher than the $486 it costs to toss the equivalent camera negatives, audio recordings, on-set photographs and annotated scripts of an all-film production into the cold-storage vault.

All of this may seem counterintuitive. After all, digital magic is supposed to make information of all kinds more available, not less. But ubiquity, it turns out, is not the same as permanence.

In a telephone interview earlier this month, Milton Shefter, a longtime film preservationist who helped prepare the academy’s report, said the problems associated with digital movie storage, if not addressed, could point the industry “back to the early days, when they showed a picture for a week or two, and it was thrown away.”

Mr. Shefter and his associates do not contend that films are actually on the verge of becoming quite that ephemeral. But they do see difficulties and trends that could point many movies or the source material associated with them toward “digital extinction” over a relatively short span of years, unless something changes.

At present, a copy of virtually all studio movies — even those like “Click” or “Miami Vice” that are shot using digital processes — is being stored in film format, protecting the finished product for 100 years or more. For film aficionados, the current practice is already less than perfect. Regardless of how they are shot, most pictures are edited digitally, and then a digital master is transferred to film, which can result in an image of lower quality than a pure film process — and this is what becomes stored for the ages.

But over the next couple of decades, archivists reason, the conversion of theaters to digital projection will sharply reduce the overall demand for film, eventually making it a sunset market for the main manufacturers, Kodak, Fujifilm and Agfa. At that point, pure digital storage will become the norm, bringing with it a whole set of problems that never troubled film.

To begin with, the hardware and storage media — magnetic tapes, disks, whatever — on which a film is encoded are much less enduring than good old film. If not operated occasionally, a hard drive will freeze up in as little as two years. Similarly, DVDs tend to degrade: according to the report, only half of a collection of disks can be expected to last for 15 years, not a reassuring prospect to those who think about centuries. Digital audiotape, it was discovered, tends to hit a “brick wall” when it degrades. While conventional tape becomes scratchy, the digital variety becomes unreadable.

DIFFICULTIES of that sort are compounded by constant change in technology. As one generation of digital magic replaces the next, archived materials must be repeatedly “migrated” to the new format, or risk becoming unreadable. Thus, NASA scientists found in 1999 that they were unable to read digital data saved from a Viking space probe in 1975; the format had long been obsolete.

All of that makes digital archiving a dynamic rather than static process, and one that costs far more than studios have been accustomed to paying in the past — no small matter, given that movie companies rely on their libraries for about one-third of their $36 billion in annual revenue, according to a recent assessment by the research service Global Media Intelligence.

“It’s been in the air since we started talking about doing things digitally,” Chris Cookson, president of Warner’s technical operations and chief technology officer, said of the archiving quandary.

One of the most perplexing realities of a digital production like “Superman Returns” is that it sometimes generates more storable material than conventional film, creating new questions about what to save. Such pile-ups can occur, for instance, when a director or cinematographer who no longer has to husband film stock simply allows cameras to remain running for long stretches while working out scenes.

Much of the resulting data may be no more worth saving that the misspellings and awkward phrases deleted from a newspaper reporter’s word-processing screen. Then again, a telling exchange between star and filmmaker might yield gold as a “special feature” on some future home-viewing format — so who wants to be responsible for tossing it into the digital dustbin?

For now, studios are saving as much of this digital ephemera as possible, storing it on tapes or drives in vaults not unlike those that house traditional film. But how much of that material will be migrated when technology shifts in 7 or 10 years is anyone’s guess. (And archiving practices in the independent film world run the gamut, from studied preservation to complete inattention, noted Andrew Maltz, director of the academy’s science and technology council.)

According to Mr. Shefter, a universal standard for storage technology would go far toward reducing a problem that would otherwise grow every time the geniuses who create digital hardware come up with something a little better than their last bit of wizardry.

As the report put it, “If we allow technological obsolescence to repeat itself, we are tied either to continuously increasing costs — or worse — the failure to save important assets.”

In other words, we could be watching Wallace Beery long after more contemporary images are gone.

http://www.nytimes.com/2007/12/23/business/media/23steal.html?_r=2&oref=slogin&pagewanted=print&oref=slogin

2007 - the Year of Opera at the Movies

December 21st, 2007

If there was one true surprise in the digital cinema industry this year it was that people were prepared to pay a premium for a night at the opera at their local multiplex. It was the New York Metropolitan Opera (The Met) that kicked it off in the early days of the new year with a world-wide HD transmission of The Magic Flute. And it is only set to get bigger for the Met next year, as confirmed by this interview with Peter Gelb, the general manager of the Met (High-def Opera for the Masses):

Tomorrow, The Met launches its second season of the “Metropolitan Opera: Live in High Definition” - simulcasts at the multiplexes in those cities, among more than 600 movie theaters, performing arts centers and universities worldwide.

That’s triple last year’s number.

Leading off is Charles Gounod’s sensuous “Roméo et Juliette,” starring Netrebko and tenor Roberto Alagna as the doomed lovers, with another legendary tenor, Plácido Domingo, at the podium.

As opera lovers savor the last of this season’s simulcasts April 26 - Gaetano Donizetti’s sparkling “La Fille du Régiment,” with soprano Natalie Dessay in the title role and Flórez in the part that made Luciano Pavarotti famous - “Live in HD” will reach an audience approaching 1 million.

After the Met kicked it off, the rest of the arts and cinema world followed and the phenomenon seemed to grow and grow, with non-live HD play-outs of Glyndbourne Opera in the UK and announcements of the beaming of La Scala to the US. Even other stage-related performances all across the world found favour with local audiences, be they the Royal Dramatic Theatre in Sweden or the Australian Ballet in Sydney, both going out to small towns and villages i the outback normally not touched by this sort of culture. NATO president John Fithian himself declared that he was surprised by this trend.

Rounding of this year comes a confirmation of the trend in that AccessIT has found an opera to climb into bed with by announcing a deal with the San Francisco Opera in a four-year world wide agreement. Significantly a deal with the opera’s unions finally sealed the deal. From the press release:

A landmark revenue sharing agreement with the International Alliance of Theatrical Stage Employees (IATSE), American Guild of Musical Artists (AGMA) and the American Federation of Musicians (AFM) paves the way for these digital cinema presentations and other electronic media projects. The parties have reached a tentative agreement, pending final ratification, for a four-year experimental agreement that involves a supplemental media fee to clear vastly expanded rights for up to six titles per year. In this new agreement, union members would also participate in revenue sharing on top of the supplemental fee. Earned revenue received by San Francisco Opera, less 20% to the Company as a flat all-inclusive distribution and administration fee, would be split 50/50 with the unionized groups, the conductor, and the designers. The Company’s significant capital investment in technology allows for revenue sharing from the first dollar earned rather than from any calculation of net profits.

The New York Times has a very good article looking at the whole trend of operas-with-popcorn. It also nails the key differentiator between the Met and the SFO that could further spell the difference between ‘Encore!’ and ’start sweeping up the popcorn’ for cinemas, which is that “the Met shows its operas live. San Francisco will transmit them after the fact.” While Glyndbourne found and audience, opera lovers prefer their product fresh rather than caned.

Next year we are likely to see big hitters like the Covent Garden’s Royal Opera House enter this space and with it there will be increasing segmentation between A-list and non-A-list operas. There will also be a renewed look at the exclusivity that some of these distribution deals entail for cinema chains. In the case of alternative content for digital cine,a it seem tp be that it ain’t started at your local ‘plex until the Fat Lady sings.

Update: In addition to the ones above, the Washington National Opera is beaming to US college campuses (see here) while north of the border, the National Ballet of Canada is giving Cineplex patrons a taste of The Nutcracker shown live on 69 screens. Detail here.

http://celluloidjunkie.com/

Barco celebrates 2,000th digital cinema projector milestone

Kortrijk, Belgium-Dec 21, 2007

Barco is delighted to announce that it has reached its 2,000th 2K digital cinema projector milestone further reinforcing its position as a worldwide industry leader in the Digital Cinema Market. Barco now holds more than 55% market share in Europe and 65% in the Asian Pacific region and is further strengthening its position in the US. With installations in over 30 countries* around the globe today, Barco has taken a strong position in the digital cinema market. Barco’s truly global presence results not only in strong market shares in Europe and Asia, but also in a significant presence in markets such as the US, Canada and Mexico. This confirms the confidence customers have in the quality and reliability of Barco’s digital solutions. Stephan Paridaen, President of Barco’s Media and Entertainment division, states, “We are very proud to have 2,000 Barco 2K digital cinema projectors now in the market. Over the past 12 months, Barco digital cinema projectors have been chosen by some of the world’s leading and most demanding theaters, hereby proving that our 2K digital cinema projectors are without equal in the market for both performance and total cost of ownership. I would like to thank our customers for their loyalty and support”. Customer care has always been a very essential point of attention for Barco, and it will further continue to be so in the future. Stephan Paridaen adds: “As of the first of January 2008, our Digital Cinema entity will be headed by Wim Buyens, and re-enforced with a team of product-managers, service-experts and sales people. With this new structure, we look forward to continuing to serve the special needs of our customers and further support the needs of the fast growing digital cinema market worldwide” All of Barco’s 2K Digital Cinema platforms are equipped with the proven DLP Cinema® technology from Texas Instruments. This ensures perfect re-production of film, time and time again, and ensures that movie fans enjoy the highest quality film experience with consistent picture brightness, contrast and vibrant colors. Barco holds one of only three exclusive licenses of TI’s DLP Cinema® technology. *Countries where Barco digital cinema projectors are installed include: Australia, Austria, Belgium, Canada, China, Cyprus, Czech republic, Denmark, Finland, France, Germany, Hong Kong, India, Indonesia, Israel, Italy, Japan, Korea, Luxemburg, Mexico, Netherlands, New Zealand, Norway, Poland, Portugal, Singapore, Slovakia, South Korea, Spain, Sweden, Thailand, UK, USA.

http://www.dcinematoday.com/dc/pr.aspx?newsID=980

REAL D 3D DELIVERS NEARLY ONE-THIRD US GROSS FOR BEOWULF, FURTHER ESTABLISHES REAL D DIGITAL 3D AT BOX OFFICE

Los Angeles-Dec 21, 2007

Paramount Pictures’ Beowulf is benefiting from REAL D 3D theaters utilizing next-generation 3D technology. Beowulf in REAL D 3D grossed approximately $23.4 million of a total domestic gross over 79.4 million. REAL D led the 3D pack 2:1 over non-digital 3D, with nearly 30% of the total 2D and 3D gross being REAL D 3D. Following several films where REAL D exceeded 2D gross by significant multiples, this is continued proof of concept of REAL D’s digital 3D financial impact at the box office. This sets the course as the industry gears up for a big slate of 3D films leading into ’09. “We are thrilled to have delivered nearly a third of the domestic box office for Beowulf in REAL D 3D,” said Joseph Peixoto, President, Worldwide Cinema, REAL D. “We’re the world’s largest 3D platform and it is gratifying to take the financial lead in digital and non-digital 3D formats.” REAL D estimates more than 4,000 REAL D 3D screens globally by 2009.

http://www.dcinematoday.com/dc/pr.aspx?newsID=979

Christie Announces Record Year in Digital Cinema

Thursday, Dec. 20 2007

CYPRESS, Calif., Dec 20, 2007 (BUSINESS WIRE) -- Christie, a global leader in Digital Cinema, announced record sales of its DLP Cinema(R: 42.11, -1.42, -3.26%) projection systems worldwide for 2007, outpacing the entire field of competition to take a commanding 80% control of the market, a nearly 20% increase over the previous year. Christie surpassed original industry expectations, setting a strong pace of installation that has culminated in more than 4,400 digital screens to date across North and South America, Europe, South Africa, Australia and Asia.

Due to the groundbreaking work of Access Integrated Technologies, Inc. ("AccessIT") (NASDAQ: AIXD: 3.90, -0.13, -3.22%), which launched the world's first and largest deployment program for Digital Cinema, Christie is presenting digital feature films in 85% of North American installations. In addition, Christie posted record sales of its Digital Cinema projectors for large-scale 3D deployments across the U.S. teaming with REAL D on installation agreements with AMC Entertainment, Inc. (AMC: 1.07, -0.10, -8.54%), Cinemark (NYSE: CNK: 15.71, -0.87, -5.24%) and Cineplex Entertainment (TSE: CGX.UN) for the opening of the animated feature, Columbia Pictures' "Monster House".

Christie's Digital Cinema successes are marked by historic wins with some of the biggest players in the industry worldwide, including:

-- Exclusive provider for Regal Entertainment Group (NYSE: RGC: 17.35, -0.32, -1.81%), Eastvale Gateway Stadium 14 - the first all-digital Regal site in California.

-- Exclusive provider for the Cineplex Entertainment (TSE: CGX.UN) SilverCity Oakville Cinemas - the first of its kind and largest Digital Cinema theater complex in Canada with DLP Cinema, a Texas Instruments (NYSE: TXN: 30.53, -1.11, -3.50%) projection technology.

-- Exclusive agreement to digitize 100% of Circuit George Raymond ("CGR Cinemas"), France's largest cinema chain with 400 screens, as part of CGR Cinemas exclusive Virtual Print Fee (VPF: 4.90, +0.05, +1.03%) based agreement with Arts Alliance Media ("AAM"), Europe's leading provider of digital distribution services. CGR Cinemas will be the first European exhibitor to convert completely to Digital Cinema exhibition.

-- Commitment with Russian distributor Nashe Kino in partnership with Nevafilm Digital Labs to deliver all future movies in digital format. Christie is the largest Digital Cinema projection provider in the country.

-- Exclusive Digital Cinema sponsor for the Toronto International Film Festival and the Manhattan Short Film Festival; the single Digital Cinema provider for XDC, the official Digital Cinema partner of the 2007 Cannes Film Festival.

Christie's success comes just over two and a half years after introducing the groundbreaking Christie/AIX funding plan, which many analysts credit with jump-starting the large-scale deployment of Digital Cinema and revolutionizing the industry. The innovative Virtual Print Fee (VPF: 4.90, +0.05, +1.03%) formula won the backing of the major Hollywood studios and was quickly adopted as the industry standard, serving as the prototype for all new deployment agreements. Today, large national chains and major regional exhibitors are benefiting from the operational efficiencies of Digital Cinema and are reaching new audiences with alternative content programming opportunities and stunning picture quality. Christie remains committed to supporting existing and emerging customers in this new era of entertainment.

Christie's Entertainment Solutions Business Unit (ESBU) is responsible for the DCI Compliant system design blueprint for the 3,750 fully networked Digital Cinema systems deployed in the USA and financed by Access Integrated Technologies, Inc. ("AccessIT") (NASDAQ: AIXD: 3.90, -0.13, -3.22%). These systems incorporated Christie's state-of-the-art CP2000 series of DLP Cinema projectors, Doremi's DCP2000 Digital Cinema server and AccessIT's Theatre Command Center(TM: 103.94, -2.96, -2.76%) software, all of which were thoroughly tested in Christie's Digital Cinema software and hardware regression testing laboratory in Cypress, California.

"Christie is the only DLP Cinema projection manufacturer to enter the market with more than 75 years of innovation and a long-established commitment to exhibitors," noted Jack Kline, president and COO, Christie Digital Systems USA, Inc. "Our unrivaled experience is a major factor in our success, helping us secure exclusive deals with exhibitors, distributors, movie studios, and technology providers to install the next generation of entertainment in theaters worldwide. As they transition to digital, exhibitors know that the show must go on, and to ensure the systems run at optimum levels, they are going with a proven winner."

Christie's Managed Services group, the largest cinema technical organization in the world, is supporting more than 8,000 screens at over 585 sites across the U.S. and Canada. Exhibitors are contracting for the company's managed services solutions in record number, citing Christie's three-quarter century of innovation and proven reliability - more than any other DLP Cinema projector manufacturer - as a prime factor in their decision. The service features over 150 network operations center personnel, service and field application engineers, covering all manufacturers' film and digital projectors, networking and support technologies.

Kline observed that Christie has expanded its manufacturing facilities to become a state-of-the-art worldwide center of excellence, helping the company maintain and extend its formidable lead. Christie has also significantly increased its technical staff, expanded its managed services personnel, streamlined internal processes, and strengthened its quality control to ensure a standard of quality and reliability that is unsurpassed in the industry.

The renowned Christie CP2000 series projectors are installed in more than 4,400 systems worldwide and have launched major digital movie premieres including Lucasfilm's "Star Wars: Episode III - Revenge of the Sith", Disney/Pixar animated feature "Cars", Walt Disney Pictures'/Jerry Bruckheimer Films' "Pirates of the Caribbean", and most recently Paramount Pictures/Robert Zemeckis' "Beowulf" in 3D Digital Cinema.

Christie was the first exclusive licensee of Texas Instruments' (NYSE: TXN: 30.53, -1.11, -3.50%) DLP Cinema technology. Its projectors ensure perfect reproduction of movies, time and time again, as well as a vivid, 2K-resolution picture quality that delivers contrast and unparalleled vibrant colors.

About Christie

Christie is a leader in visual solutions for world-class organizations, offering diverse applications for business, entertainment, and industry. A leading innovator in film projection since 1929 and a pioneer in digital projection systems since 1979, Christie has established a global reputation as a total service provider and the world's single source manufacturer of a variety of display technologies and solutions. With its recent acquisition of Vista Controls Systems, Corp., Christie offers the most complete and advanced solutions for cinema, live venues, control rooms, business presentations, training facilities, 3D and Virtual Reality, simulation and education as well as industrial and government environments. For more information, visit www.christiedigital.com

DLP Cinema(R: 42.11, -1.42, -3.26%) is a registered trademark of Texas Instruments.

SOURCE: Christie

Christie

Dorina Belu, 519-749-3323

dorina.belu@christiedigital.com

or

Herman & Almonte Public Relations

Mario Almonte, 212-616-1190, ext. 257

malmonte@HermanAssociatesNewYork.com

Copyright Business Wire 2007

http://www.foxbusiness.com/markets/industries/technology/article/christie-announces-record-year-digital-cinema_416114_12.html

San Francisco Opera and Bigger Picture Announce 4-Year Agreement

By Neal Romanek Dec 19, 2007, 04:05

San Francisco Opera and The Bigger Picture, a subsidiary of Access Integrated Technologies, Inc. (AccessIT) (NASDAQ: AIXD), have announced an agreement for world-wide distribution of six operas per year beginning in early March 2008. Marking the first time that any opera company will utilize the Hollywood feature film quality digital cinema format, the agreement underscores how the era of digital cinema is transforming how and where great entertainment reaches new audiences. San Francisco Opera embraced technology in May 2007 by transforming its historic War Memorial Opera House into a state-of-the-art production facility with the installation of the Koret-Taube Media Suite, the first permanent high-definition, broadcast-standard video production facility installed in any American opera house. The media suite gives the Company the permanent capability to generate a high-definition, multi-camera live feed of the stage for many uses including digital cinema presentations, its expanding tradition of free outdoor simulcasts and a new program, OperaVision (a program that debuted in June offering full stage, close-up and mid-range ensemble shots in high-definition video on two 5½’ x 9½’ retractable screens for patrons seated in the balcony section of the War Memorial Opera House). The combination of the San Francisco Opera’s stunning performances, high-definition recording capabilities, and The Bigger Picture’s distribution of operas through its network of digital cinema-equipped theater partners represents a new paradigm for in-theater entertainment. The agreement calls for an all digital 2K release with 5.1 surround sound, ensuring premium picture and sound quality, on theater screens that conform with the highest digital cinema standards as set by the Digital Cinema Initiatives, LLC (DCI). DCI, a joint venture of the major movie studios, was created in March 2002 to develop specifications for the technology shift to digital cinema in theaters. San Francisco Opera will be the first opera company in the world to utilize technology at this level, including the highest quality projectors with technology from DLP Cinema® made by Texas Instruments, a key differentiator from other opera series that are currently playing in theaters on projection systems designed for cinema advertising rather than feature movies. A landmark revenue sharing agreement with the International Alliance of Theatrical Stage Employees (IATSE), American Guild of Musical Artists (AGMA) and the American Federation of Musicians (AFM) paves the way for these digital cinema presentations and other electronic media projects. The parties have reached a tentative agreement, pending final ratification, for a four-year experimental agreement that involves a supplemental media fee to clear vastly expanded rights for up to six titles per year. In this new agreement, union members would also participate in revenue sharing on top of the supplemental fee. Earned revenue received by San Francisco Opera, less 20% to the Company as a flat all-inclusive distribution and administration fee, would be split 50/50 with the unionized groups, the conductor, and the designers. The Company’s significant capital investment in technology allows for revenue sharing from the first dollar earned rather than from any calculation of net profits. “My very first opera experience was actually in a movie theater – hearing Mario Lanza sing in the film, The Great Caruso,” stated San Francisco Opera General Director David Gockley. “I vividly remember the power of hearing that incredible voice at a young age and the feeling that I absolutely had to experience a live opera. I am thrilled that this partnership will bring opera to large audiences at a very reasonable price point, an undertaking that I firmly believe will bring more new people to the art form and ultimately into opera houses all over the world. San Francisco Opera strives for the highest possible artistic quality onstage and therefore we’re doubly grateful that our partners at The Bigger Picture and AccessIT are able to take us into the theaters via the highest possible quality digital cinema technology.” “The promise of digital cinema is about more than simply exchanging 35 mm film prints for digital satellite delivery,” said Jonathan Dern, Co-President of The Bigger Picture. “It enables theaters to become cultural centers for their communities, bringing audiences together to enjoy entertainment experiences previously limited to specific live venues. Audiences will be thrilled with the innovative and world-class operas from San Francisco Opera delivered in stunning 2K digital cinema quality on the big screen – there is nothing that can compare to that experience. Our exhibitor partners across the country are delighted to be able to offer their audiences the opportunity to share in the magic of the San Francisco Opera experience through this new Bigger Picture Opera Channel.” The initial Digital Cinema Program will feature four showings each of Puccini’s La Rondine; Saint-Saëns’s Samson and Delilah; Mozart’s The Magic Flute; Mozart’s Don Giovanni; Appomattox, a new opera by Philip Glass and Christopher Hampton which premiered in October; and Puccini’s Madama Butterfly. For further information, please visit www.thebiggerpicture.us/opera . One of the most respected companies in the world, San Francisco Opera is the second largest opera company in North America. Led by General Director David Gockley and Music Director Donald Runnicles, the Company’s season features approximately seventy-five performances of ten operas between September and July. For more information, visit www.sfopera.com . A grant from the Koret Foundation provided lead funding for the Koret-Taube Media Suite initiative, with additional support provided by Tad and Dianne Taube. An anonymous donor committed the remaining required funding. The Bigger Picture is a leader in the digital distribution of movies targeted to specific audiences. The programs include Kidtoons, G-rated movies for kids on the weekends, anime films for teen and college audiences, concerts including the 2007 South by Southwest Music Festival, the Bon Jovi Lost Highways concert and the Beyonce Birthday concert and inspirational faith-based movies. The Bigger Picture has released 40+ films digitally. For more information, visit www.thebiggerpicture.us and www.kidtoonfilms.com . The company is a subsidiary of Access Integrated Technologies, Inc. (AccessIT) the world leader in providing fully integrated software and services to enable the motion picture entertainment industry and all of its constituents to transition from film to digital cinema and has converted more than 3,700 theatres across 40 states since 2005, representing 80 percent of all digital screens in the United States. Access Integrated Technologies® and AccessITTM are trademarks of Access Integrated Technologies, Inc. For more information on AccessIT, visit www.accessitx.com. All performances are recorded live at the War Memorial Opera House in San Francisco. Exact performance dates, times and venues will be announced at a later date. For further information, please visit www.thebiggerpicture.us/opera .

http://www.uemedia.net/CPC/digitalcinemamag/articles/article_16706.shtml

Cineplex Entertainment Selects Kodak For Newest Complex

By Neal Romanek Dec 19, 2007, 03:57

Kodak announced today that Kodak Digital Cinema systems will be the driving force behind all nine ‘next-generation’ digital projectors in Cineplex Entertainment’s SilverCity Oakville Cinemas in Oakville, Ontario, Canada. With nearly 2300 seats in its nine digital -- and three traditional 35mm film -- auditoriums, the entertainment destination offers VIP theaters, bowling, billiards, lounges, child minding services and a retail store, among other leisure activities. “This is a major step forward in what has been an on-going partnership with the Cineplex Entertainment team,” said Chris Simpson, Kodak’s director of digital cinema sales for North America. “For several years now, we have been working together, supplying their pre-show systems and preparing and delivering the content to those systems. As their needs have expanded to showing digital movies, we’re proud they once again called Kodak.” “It’s important for us to work with a partner we can trust,” said Dan McGrath, executive vice president, Cineplex Entertainment. “Kodak has been a great partner for us in the digital space. Every installation has happened on time and on budget. They’ve always delivered what they said they would, with no surprises. For our newest complex, it made sense to call them again.” Cineplex’s new 45,000-square-foot complex includes the Kodak Theatre Management System (TMS). Connected to the complex’s ticketing system, the TMS loads and directs all digital motion pictures, trailers and other pre-show content to the proper projector, providing a seamless, accurate, and eventually automated presentation. In addition to the Theatre Management System, the SilverCity Oakville Cinema installation includes the Kodak Content Player JMN3000. The first player to include Kodak image science, it handles a full range of feature content, in 2D or 3D, automatically playing the right format. Kodak Digital Cinema systems, including pre-show and full-feature solutions, have been installed in more than 250 sites, on almost 2000 screens, with 40 exhibition chains in 14 countries. Cineplex Entertainment’s SilverCity Oakville Cinemas, Canada’s newest and largest Digital Cinema complex – and the first of its kind – opened to the public on December 7th.

http://www.uemedia.net/CPC/digitalcinemamag/articles/article_16705.shtml

Screenvision's loss is XDCs gain

Screenvision’s loss is XDCs gain

December 18th, 2007

Pan-European digital cinema integrator XDC has poached the Benelux head of pan-European cinema advertiser Screenvision to head up its VPF effort as the company get a 7.5m euro cash injection. Serge Plasch is replacing Laurent Minguet as head and will go head to head with the likes of Arts Alliance in promoting digital cinema all over Europe. From the press release:

Serge Plasch (40), has been Managing Director of Screenvision Benelux since 2001 where he reinforced the leadership of that major advertising saleshouse for the Cinema Industry. Speaking fluently four languages, English, French, Dutch, German, he will contribute to strengthen XDC position in the large but fragmented European Cinema market. Enthusiast over this new opportunity, the new Managing Director & CEO says : “After years of talks and trials, large DC deployment is starting. All market players are convinced that Cinema will be digitized and that will improve the business model of the industry, for the good of the audience. XDC has proven its skills to operate DC screens through a full range of services and technologies. XDC is the first DC Content lab in Europe and it has built the largest early stage DC network exceeding 300 systems for leading cinema groups. I am also very pleased to work closely with a very motivated team and in particular with Bernard Collard.

Though tucked away at the bottom of the press release, but in many ways no less important, long-term consultant to XDC John Burchill Hughes has been appointed “special advisor to the Board of Directors and member of the management board for content related matters.”

In an intriguingly worded paragraph, the press release talk about how “XDC is currently finalizing some negotiations relating to the co-financing of DC deployment by film distributors through dedicated Virtual Print Fees (“VPF”) agreements.” Notice the use of the term ‘co-financing’. This serves to emphasize that XDC may not have abandoned completely its previous lease-fee based deployment model, though it does not rely as strongly on the VPF proportion of the contribution as other operators might have. With talks in the industry being that exhibitors are being asked for a 30 per cent contribution in deals such as Arts Alliance’s VPF deal, XDC could be in a good position, having never promised exhibitors that they themselves would have to pick up a significant part of th digital tab.

Next up we expect a major announcement from XDC abut its future involvement in the alternative content field, possible before the end of the year.

http://celluloidjunkie.com/

Czech film-makers see boosts in government and private funding

Screen Daily

Three recent developments in the Czech Republic -- one private, two public -- will make an additional $12.8m available in 2008.

Gewecke named president of Warner Bros Digital Distribution

Screen Daily

Former evp of global digital business at Sony BMG Music will focus on developing Warner Bros Home Entertainment's global partnerships and digital distribution strategies.

Capitol Films signs three-film distribution deal with 3-D outfit StereoVision

Screen Daily.

Further details to be announced in due course on slate of films from production outfit StereoVision and its 3-D movie model.

The Big Picture - A Sea Change Greater Than Sound

By Nick Dager December 15, 2007 Issue #118

The advent of digital stereoscopic 3D movies promises to be the biggest advancement in motion picture production and exhibition history and will have an even greater impact on the overall theatrical experience than the introduction of synchronized sound.

Live action horror films will be more chilling, thrillers more intense and the possibilities for comedy in 3D seem limitless. The realization of this promise will not come easily because, as with sound, filmmakers will have to master an entirely new way of seeing and hearing. New technologies and techniques will have to be developed. New acting styles will emerge. There will be missteps along the way but eventually there will be a true cinema Renaissance.

It all begins now. Many of the major Hollywood studios have released 3D movies and more are on the way. Meanwhile, smaller production companies have recognized the potential of 3D and are actively working on movies. One such company is StereoVision Entertainment.

Located in Van Nuys, California, StereoVision Entertainment describes itself as a vertically integrated media company with interests in film, television, and music production properties. According to its Web site “StereoVision's business is driven through the production and acquisition of cutting-edge entertainment media assets.”

Entrepreneur Jack Honour founded StereoVision, a public company because, although he had no previous background in entertainment, he recognizes the potential of the 3D market and hopes to capitalize. He wanted an experienced entertainment executive to run the production side and hired Doug Schwartz, whose most famous credit is as the creator of the hit TV series Baywatch.

Digital Cinema Report interviewed Schwartz about StereoVision and the future of 3D.

Digital Cinema Report: Please introduce yourself and tell us a bit about your background.

Doug Schwartz: My name is Doug Schwartz and I have been a professional television executive producer, writer, and director for the past thirty-plus years.

Out of all the shows that I’ve created, Baywatch is the most successful. According to the Guinness Book of World Records, Baywatch was the most watched series in the history of TV. The show sold to 158 countries in forty-seven different languages and aired on every continent except for Antarctica. It had a global audience of 1.3 billion people.

I became involved with StereoVision Entertainment when Jack Honour, the CEO of StereoVision, who expressed interest in the rights to a Baywatch 3D movie, approached me. While in discussion with Jack, Steven Spielberg heard about talks of a Baywatch movie and wanted to buy the rights because it was both his and his kids’ favorite TV show. When Steven Spielberg makes you an offer, you take it.

Throughout these negotiations, I was incredibly impressed with Jack Honour and his vision for StereoVision Entertainment, which is to exclusively develop low-cost, high-end 3D movies using new digital polarized technology. Jack was looking for someone to run the company who had Hollywood connections and offered me the opportunity to come aboard StereoVision’s management team, which I joined as chief production officer.

DCR: You’ve announced plans to produce feature films in 3D. What kinds of films will you make?

DS: We have developed a slate of movies for production that cover all the genres: family, comedy, action, and teen humor. Our first film will be Aubrey Blaze Piranha, a creature 3D horror movie that will be filmed in Puerto Rico, and will begin production in January of 2008 for a fall 2009 release. The 3D effects are amazing. The piranhas literally jump out of the screen and seem like they are going to attack the audience! 3D movies will truly give moviegoers an interactive experience.

DCR: How many films are you planning on producing?

DS: Our goal is to produce twelve-to-fifteen 3D feature films over the next three-to-five years. We hope to fill the voids left between the big studios’ tent-pole blockbuster releases. StereoVision will provide content for theaters that are equipped to show 3D when they are sitting idle and will provide “summer popcorn movies” year-round. Our movies are being produced using the same technology as the blockbusters. We have signed an agreement with Cameron/Fusion Pace 3D camera system, which is being used to film [James Cameron’s] movie Avatar.

DCR: What will the budget ranges be?

DS: Our budget range will be ten-to-twenty million dollars.

DCR: Will you shoot simultaneously for 2D?

DS: All 3D movies are always shot “flat” as well, with the 2D version used for thee eventual DVD release. That means, the only way to see a movie in 3D is in theaters, which is why the industry is so excited about this new generation of 3D technology’s prospects for bringing people back to the big screen.

DCR: Does it concern you that relatively few theatres are currently capable of running 3D?

DS: There are currently over 1,200 3D theater screens in the world, most of them in the U.S., and that number is expected to more than double by next summer. This dramatic growth should continue into the foreseeable future: by late 2009 there will be over five thousand 3D screens, and by late 2010, over ten thousand. So, if anything, the numbers are on our side.

http://www.digitalcinemareport.com/thebigpicture_118.html

A different kind of Hollywood - Eastern European Locations

Liudas Dapkus December 14, 2007 - 4:00PM

Ducking beneath a shower of bullets, three unshaven men in filthy overcoats jump out of a concealed forest dugout, dragging a heavy machine gun and shouting commands to fellow rebels. A brutal battle ensues between Nazi soldiers and resistance fighters under the leaden sky, and in the din - replete with explosions - the cattle in a neighbouring village trample away in fright.

But it's all an illusion on the set of Defiance, a World War II action flick recounting the story of a Jewish resistance movement in the Polish-Belarussian forests.

The $US50 million ($A57.24 million) production, set for 2008 release, was a major victory for Lithuania, a country of 3.4 million people, which beat out bigger Poland and Romania as potential shooting sites. Eastern European movie sites are fighting for Hollywood cash with nearly as much ferocity as the fake battles in the movies.

As producers Ed Zwick and Pieter Jan Brugge explained, while searching for ideal sites, they looked for a setting that had thick forests and an urban landscape nearby. ``We actually explored the location on the Google Earth to see how the forest was accessible to the city centre,'' said Zwick, producer of blockbusters including The Last Samurai and Blood Diamond. The two found no adequate settings around the Polish capital, Warsaw, and Romania's forests are high in the mountains and too far away from Bucharest. So they chose Vilnius, Lithuania's capital.

For the post-communist economies of Eastern Europe, international movie production is a bonanza. Foreign movie productions brought some $US76 million ($A87.01 million) to the Czech Republic in 2006, according to Dusana Chrenekova, spokeswoman for Barrandov Studios. Bogdan Moncea, marketing director of Castel Film in Romania, said foreign film studios over the past five years have injected over $US183 million ($A209.51 million) into the economy.

This year, Castel Film produced Adam Resurrected, a Holocaust-related movie directed by Paul Schrader and starring Willem Dafoe and Jeff Goldblum, as well as Mirrors, a thriller starring Kiefer Sutherland. But times have changed. In the early 1990s, Eastern European cities could entice Hollywood producers with a simple combination of Old World charm and significant cost savings.

Now they must dangle technology, experience and even tax reductions in order to lure the multimillion dollar productions. In Hungary, the government has approved a huge tax break for movie productions, and the Romanians may follow suit. The incentives are paying off. Next year, a slew of grade-A films shot in Eastern Europe - including Transsiberian with Woody Harrelson and Ben Kingsley - will be released. Competition among premier Eastern European locations is stiff, and each studio does what it can to entice foreign productions - particularly now that the region has become considerably more expensive.

MediaPro, a Romanian studio that recently produced Joel Schumacher's horror flick Town Creek, estimates that filming costs are 20 per cent lower in Romania than in the Czech Republic. But Chrenekova of Barrandov Studios, which last year opened what it claims is Europe's largest soundproof stage, cautions that you get what you pay for.

"As far as Romania and Bulgaria, which are the cheapest places for moviemaking, they don't have the proper infrastructure and lack the specialists we have,'' she said. Ramunas Skikas, director of the Lithuanian film studios LKS, agrees that the final decision often boils down to funds.

"Most of us (Eastern European countries) offer similar scenery and quality of services, but the one thing that makes up filmmakers' minds is the production cost,'' Skikas said, adding that costs in Lithuania are 20 per cent lower than in competing countries. The Lithuanian countryside was used for the sweeping battle scenes in the TV-miniseries War and Peace based on Leo Tolstoy's legendary novel.

The four-part series, produced by several European countries, was first shown in October in Belgium. But as countries such as Hungary and the Czech Republic catch up with Western Europe in terms of prices, government support can mean the difference - which is why Hungary now offers filmmakers a 20 per cent tax rebate. Incentives like these show to what extent countries are willing to go to keep producers returning and why film-making is here to stay.

"In the digital age, production travelling is a given, and films will be made where they can best be served,'' said Iain Smith, producer of Cold Mountain, a movie that was impugned by Hollywood filmmaker unions for being filmed entirely in Romania even though the subject matter was the US Civil War.

"In this, Eastern Europe has taught the western nations a huge lesson,'' he added. At one point the producers of Defiance had considered filming in Canada, but the cost factor cancelled that option.

"The reality of the labor market is such that it was less expensive (to film in Lithuania) than going to Canada,'' Brugge said. In Defiance, a true story based on a book by Nechama Tec, four brothers escape from the clutches of the Nazis and begin rescuing other prisoners. Soon they establish an armed rebellion headquartered in underground forest dugouts. Both Zwick and Brugge said that they would recommend the Baltic state to other producers.

"In Hollywood everything is more about the logistics - how to get the coolest plane or the coolest car for a film, whereas here often you have to make things and the physical skills (of) people are extraordinary in some cases,'' Brugge said. ``Being here has restored my faith in film-making.''

AP

This story was found at: http://www.smh.com.au/articles/2007/12/14/1197568234473.html

http://www.smh.com.au/news/culture/a-different-kind-of-hollywood/2007/12/14/1197568234473.html

Digital Revolution In Asia Pacific

by Bill Mead

Digital cinema in the Asia-Pacific region continues to expand on a country-by-country basis, with an interesting mix of distribution infrastructures ranging from locally created e-cinema networks up to full DCI-specified 2K networks. Unlike the U.S.—or even the European markets—progress in Asia varies by country depending much on the status of the domestic cinema industry and the local popularity of Hollywood content.

Missing so far in Asia are the pan-regional third-party providers who provide financing, integration, and distributor-provided conversion incentives. Companies like North America’s AccessIT and Technicolor and Europe’s XDC and Arts Alliance Media have yet to emerge in the Asian market. The driving factors in the Asian rollout tend to be local exhibitors themselves who want to get ahead of the curve, the equipment vendors who are trying to jump-start business, and in the case of China, government incentives.

In China, digital-cinema deployment is being supported by the China Film Group Corporation (CFGC), the Chinese state-owned company which is leading the Chinese film industry. CFGC got off to a roaring start in 2002 with initial purchases of pre-DCI MPEG-based equipment with 1.3K projection technology. China deployed 100 of these systems in major market cinemas that typically play Western content. As Hollywood standards began to evolve, CFGC took a wait-and-see attitude to further investments and remained largely quiet on further large-scale d-cinema deployment. Instead, CFGC moved forward by deploying a large number of e-cinema systems using standard three-chip DLP projectors and GDC servers in theatres that play domestic content, while keeping a close eye on evolving d-cinema standards.

In 2007 China renewed its commitment to install 2K DCI-compliant systems in large numbers. Both Belgium-based projector manufacturer Barco and the Singapore-based server manufacturer GDC Technology (GDC) have been the driving forces in the recent China rollout. In spring of 2007, GDC and Barco jointly announced a deal with Chinese exhibitors for 700 units coordinated through CFGC. Following on this announcement, GDC announced that CFGC, working with Shenzhen-based Institute of Digital Media Technology (Shenzhen IDMT), will install 2,000 of its DCI-2000 integrated systems in Chinese theatres by the end of 2008. The GDC DCI-2000 combines a GDC SA-2100 server and a Barco DP-2000 projector into one easy-to-deploy package. As of December 2007, approximately 300 of these systems have been installed in China.

GDC has also been busy installing its Total Digital Cinema Solution in various Chinese cinemas such as the Golden Harvest Shenzhen. This package includes equipment for d-cinema, onscreen advertising and in-lobby advertising, along with a central management system to control these systems.

Korea is leading the world in installation as a percentage of existing screens, with approximately 185 of its 1,700 screens equipped. Unlike China, the cinemas in South Korea didn’t begin seriously converting until DCI and 2K projection became the norm. Both Barco and Christie have established strong positions with dealer and exhibitor alliances. Initially QuVIS had the dominant server position, followed closely by GDC. Recently, Doremi has focused its sales and support in the Korean market and to date has installed approximately 50 servers. Christie has recently taken the lead in projector sales with approximately 100 installations to date.

The rollout in Korea is largely being driven by competition among the major exhibition groups. Exhibitors CJ Entertainment, The Lotte Group and Megabox, along with numerous independents, are all in competition to provide tech-savvy Korean cinemagoers the best possible experience. The Megabox COEX Cineplex in Seoul was the world’s first all-digital multiplex, with all 16 screens equipped with Barco projectors in the summer of 2005. Digital 3D has also been a huge hit with Korean moviegoers, with 11 of the Lotte screens being equipped with Real D’s stereoscopic system.

NEC, also a manufacturer of DLP Cinema 2K projectors, has recently renewed its focus on the Korean market with the appointment of Hyosung ITX Co. Ltd. as a sales partner. NEC also has a sales relationship in the Hong Kong market with Strong Westrex, a subsidiary of Ballantyne of Omaha and a leading supplier of cinema equipment for the region. NEC is actively expanding its sales and support throughout Asia in anticipation of strong demand for 2008.

The digital rollout in Taiwan is moving slowly ahead, with approximately 10 digital screens in operation. Sales are being driven by individual titles, particularly those in digital 3D. For the November 2007 release of Beowulf 3D, Ambassador Theatres will install one Dolby 3D system at their Xinmen Ding site and add one more Dolby server at its Global Mall site. Over the next year, Ambassador is planning to install three more digital screens. Also for Beowulf 3D, GDC Technology will be installing two of its SA-2100 servers along with Christie projectors in Cinemark’s Core Pacific multiplex.

Much like Taiwan, Thailand has nine d-cinema screens in operation and is adding as needed to play specific titles. Thailand’s leading integrator, Goldenduck Group, has been responsible for overseeing recent installations with SF Cinema, who recently added two additional installations using Barco projectors and Dolby servers with 3D enhancements.

In Japan, T-Joy continues to lead the conversion with approximately 30 of Japan’s 70 equipped screens. Earlier this year, T-Joy installed nine NEC NC2500S projectors at its flagship Shinjuku Wald 9, making it the first fully digital complex in Japan, and later T-Joy installed three more NEC projectors at their Nagaoka multiplex.

Dolby has been particularly active in the Japanese market with the installation of 19 of its servers and is working with T-Joy to install Dolby 3D Digital Cinema systems in a number of their multiplexes across Japan. In addition, Imagica, one of the largest motion picture film laboratories in Japan, has been equipped to generate DCI-specified files and has installed the Dolby SCC2000 mastering system.

Sony is said to have seven Japanese theatres equipped with its 4K SXRD projection technology on a trial basis. Doremi has also established a footprint in the Japanese market with 10 recent server installations in several Shochiku and Tokyu cinemas.

India has been a solid e-cinema market, with many flavors of MPEG-2 and MPEG-4 based systems being deployed around the country. In the north, the UFO Moviez network has installed over 500 e-cinema systems in cinemas playing Indian-produced titles. In the south, Chennai-based Qube System has been actively deploying e-cinema networks for several large Indian exhibitors including E-City, Pyramid Group, Cinemeta, and others. Although starting with e-cinema, Qube is expecting to upgrade many of these to fully compliant DCI systems in 2008. Recently, Sathyam Cinemas installed six Qube XP-D servers with Barco DP-100 projectors in all six of its screens at its flagship multiplex in Chennai and is planning to expand to over 100 screens throughout southern India, all with DCI-level 2K equipment and Qube servers in 2008. Working with Qube, 200 of the top independent Indian exhibitors plan on upgrading their existing e-cinema equipment to d-cinema beginning in early 2008.

With the size and potential of the Indian market, it is no surprise that many other equipment venders are looking at India with eager anticipation. Dolby Laboratories has an agreement in place with a major Indian service provider to install a Dolby SCC2000 Secure Content Creator for local content creation and mastering. In addition, the agreement includes over 250 Dolby Digital Cinema servers to be installed over the next few years to provide a DCI-compliant screen base for Hollywood movies in India.

In Australia and New Zealand, d-cinema literally means 3D, as all of the 21 digital screens in the region are 3D-enabled, most equipped with Barco projectors and Kodak servers.

Kodak Australia is Real D’s exclusive agent for Australia and New Zealand and has been responsible for the large majority of digital systems deployed in the area. Building on their success with the ACOS pre-show delivery system, Kodak has been deploying their JMN3000 server with the Kodak Theatre Management System (TMS). This TMS provides exhibitors with centralized control over the systems while also being watched over by the Kodak service and support team from Kodak’s central network operations locations.

So far, digital conversions down under have been driven by specific titles. Hoyts and Reading Cinemas have added several new installations for the November 2007 release of Beowulf 3D.

Several larger screens, the Cineplex Victoria Point in Queensland and Hoyts’ Sylvia Park in New Zealand, are set up with dual-projector 3D to achieve higher brightness on the wider screens. Australia’s Atlab Image & Sound Technology has been doing much of the system integration working with Kodak, Dolby, Christie and other vendors.

In 2007, both China and South Korea made significant progress with the conversion of their exhibition industries to digital. In China, the growth can be attributed to strong governmental support for programs to modernize their cinema industry. In South Korea, the progress was primarily the result of fierce competition among several vertically integrated—and therefore well-financed—cinema circuits.

In the smaller markets and with the independent exhibitors, however, the economics of the digital deployments remain a challenge. With no clear emerging regional deployment plan providing studio incentives to convert, installations are on a screen-by-screen basis and being driven primarily by a few titles available in 3D.

Regardless of studio incentives and deployment plans, d-cinema installations will certainly heat up in 2008, as there are many more 3D titles in the production pipeline. Whether 3D exhibition is a novelty—or becomes part of mainstream cinema for the foreseeable future—the increased box-office results make the exhibitor’s conversion a more local, immediate and understandable business decision.

 

http://www.filmjournal.com/filmjournal/search/article_display.jsp?vnu_content_id=1003679846