SPE Recommendations for NEXT GENERATION DIGITAL DELIVERY 2013/9/27

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Jane Dean
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1 SPE Recommendations for NEXT GENERATION DIGITAL DELIVERY 2013/9/27 1

2 The SPE Proposed App/File-based Solution Immersive experience with enhanced picture quality Enhanced experience across multiple devices Value of devices and content continuously improve over time 4K UHD creates an opportunity to define a new content viewing experience and format Physical Streaming and Download Internet Scope of Current Sony Proposal to BDA FORMA DELIVER T Y Single format for video and audio + application Satellite Fiber Cable DEVICES

3 Sony s current proposal to BDA Physical disc based Format Blu-ray specific AV Format + Minimum 4K Video Extension Video: HEVC 10bit, ITU-R BT.2020 color space, Standard Dynamic Range AV File: MPEG Transport Stream (Same as HD Blu-ray) Interactivity: BD-Java, or DVD-Like Navigation commands (Same as HD Blu-ray) Universal Disk Format (UDF) File System (specialized for optical disc) BD-ROM 50GB delivery, 66/100GB Primarily targeting SetDisc Top BD Player onlyunder study Format study has been done only focusing Set Top player platform BD Player LSI Vendors (MediaTek, etc.) Discussion bound to HDMI2.0 capability Use case: Blu-ray Disc stand alone playback only Target launch : End of 2015 Expecting to take long time in: Test Tool development, Licensing preparation 66/100GB ROM replication test New content protection for 4K/UHD Blu-ray

From Limited Use Cases to Unlimited SPE Proposal, Open Platform: Unlimited Use Cases Sony Proposal, Fixed Platform: Limited Use Cases Use cases grow as new

) Makers set all the foreseeable use cases and features before release Design hardware devices which accomplish all the features with minimum cost Software solutions

4 From Limited Use Cases to Unlimited SPE Proposal, Open Platform: Unlimited Use Cases Sony Proposal, Fixed Platform: Limited Use Cases Use cases grow as new applications created by developers. (Hundreds of thousands of Android/Apple applications have been released.) Makers set all the foreseeable use cases and features before release Design hardware devices which accomplish all the features with minimum cost Software solutions are replacing hardware devices for content delivery Little flexibility in usage after market launch Devices functions grow with new firmware/software updates What are the Use Cases? How can we design platform for Unlimited Use Cases?

5 Blu-ray Disc Association BDA Organization 18 Board Companies Board of Directors Task Forces Joint Technical Committee (JTC) Compliance Committee Secretary Office Promotion Committee FEST: Format Extention Study Taskforce Study new technologies such as 4K, HFR, etc. 3 Studios 7 CEs

6 Three Key issues in BluRay Disc Association Mandatory transfer of content from disc to server (Bridge to Digital) Audio/Video performance Digital Right Management (DRM)

7 Fox and Warner Bros. Plan to introduce new distribution system (SCSA) in 2014 File based New DRM Partners: SanDisc Western Digital Samsung LG Would like option to deliver content via disc

BDA Key Topic 1 : Bridge to Digital Extract video/audio from BD, copied to other devices in new digital format Proposed only because Sony refused to agree to a file based format.

8 BDA Key Topic 1 : Bridge to Digital Extract video/audio from BD, copied to other devices in new digital format Proposed only because Sony refused to agree to a file based format. Studios prefer file based format on disc providing it meets time to the market. Mandatory function supported by Fox, Warner, Disney, Samsung, LG Proposed DRM is SCSA, DRMs are possible Board other Vote 9/12 (Disapprove) 9 : NO 8 : YES 1 : Abstain 9/20: Sony requested further time for study in BDA 8

9 The SPE Proposed App/File-based Solution Immersive experience with enhanced picture quality Enhanced experience across multiple devices Value of devices and content continuously improve over time 4K UHD creates an opportunity to define a new content viewing experience and format Physical Streaming and Download Internet Scope of Current Sony BD Proposal FORMA DELIVER T Y Single format for video and audio + application Satellite Fiber Cable DEVICES

KEY TOPICS 2: 4k/UHD Video Specs 4k/UHD Video Specs Studio proposal: - XYZ color - High Dynamic Range - 12-bit - Higher Frame Rates CE response: - ITU-R Rec 2020-10-bit maximum - Standard Dynamic

10 KEY TOPICS 2: 4k/UHD Video Specs 4k/UHD Video Specs Studio proposal: - XYZ color - High Dynamic Range - 12-bit - Higher Frame Rates CE response: - ITU-R Rec bit maximum - Standard Dynamic Range ( no commitment in HDR support) BDA Studios Other Major Studios Studio Joint R&D BDA Supporter s Studios conceded 12-bits / Rec 2020 in vote but may not be final position SPE believes that an enhanced picture is vital to the success of the 10

KEY TOPICS 3: DRM Founders Security Leadership Potential Adopters SCSA Secure DRM Binds content to physical

NSM Initiatives SeeQVault Secure DRM Binds content to physical media File format Widely respected experts in

Unknown to SPE AACS Secure DRM for HD BluHD Blu-ray Founders ray Binds content to optical Players & themselve

11 KEY TOPICS 3: DRM Founders Security Leadership Potential Adopters SCSA Secure DRM Binds content to physical media Ecosystem support for binding/moving. File format Other features? NSM Initiatives SeeQVault Secure DRM Binds content to physical media File format Widely respected experts in tamper resistance, content protection, network security, and financial services security Unknow n to SPE Unknown to SPE AACS Secure DRM for HD BluHD Blu-ray Founders ray Binds content to optical Players & themselve media Discs s No file format, protects HD Blu-ray format. AACS is repeatedly hacked. Does not meet studios Enhanced Content Protection requirements for 4k/UHD

12 Blu-ray Disc Association BDA Organization 18 Board Companies Board of Directors Task Forces Joint Technical Committee (JTC) Secretary Office Compliance Committee 3 Studios Promotion Committee FEST: Format Extention Study Taskforce Study new technologies such as 4K, HFR, etc. BDA Updates: 9/11-12: BDA Berlin - FEST proposal was rejected in Board meeting. Sony agreed to follow up by 9/20 9/15: SPE report was shared with Sony Tokyo 9/16-20: SPE spoke w/other studios - Studios originally proposed file based format on next generation optical disc. - CE insisted to re-use BD format on disc. - Studios want 4K/UHD content to be played back on any platform. - Studios are open to reconsider the original studio proposal(= File based format on disc) 9/20: Sony (7CE) requested BDA for more time to study. 9/21: BDA President (Roel Klamer) accepted the Sony request. 7 CEs

13 Solution Components Picture Format Two Screen Experience Management Interactivity Video Codecs Video Container Format Content Package Key to color codes Existing Standards Standard Requires Extensions Content Protection Physical Disc Format Digital Inputs Download & Streaming Protocols Video Format Display Transforms New Standards or Specifications A/V Link 13

14 Key Format Components Details Component Exist ing Stan dard s Candidate Standards / Specifications Action Plan Digital Inputs Ethernet, WiFi, USB, Flash Memory, BD ROM drive. Content Package W3C Packaged Web Apps: Android APK: Sony WG to study existing standards Interactivity HTML5, Android Platform Sony WG to study existing standards Download/Streaming Protocols MPEG-DASH, HTTP Sony WG / DECE should define MPEG-DASH profile (e.g. DECE s CSF) Req uires Exte nsio ns Video Container Format CFF (Common File Format): Sony WG / DECE to create 4K UHD extension Video Codecs AVC and HEVC MPEG WG to specify extensions Audio/Video Link HDMI, Miracast, MHL each with HDCP2.2 Sony should drive extensions for picture format. New Stan dard s Spec ificat ions Picture Format Movielabs Next-Gen Video Requirements MPEG, SMPTE, ITU-R each have work to complete Video Format Display Transforms To implement new MPEG, SMPTE and ITU standards (XYZ, rec2020, HDR) Sony WG to study Physical Disc Requirements BDA (25, 50, 66, 100 GB) Sony should work with BDA Content Protection Movielabs Best Practices for Enhanced Content Protection Sony should lead industry to define Two Screen Experience Management Open version of Chromecast (DIAL, HTML5, etc.) Sony should create open standard similar to Google Chromecast 14

15 Does Sony want BluRay to be part of next Generation Digital Distribution?

16 Format Strategy Proposal Format Strategy 1. Sony to make decision to pursue a App/File based solution 2. Confirm 3 Studios (SCSA) are open to engage with Sony about App/File based format Fox, Warner, Disney working with Samsung on file based solution outside BDA. Likely to be launching in No Format War: Obtain key manufacturer/studio support, then bring full specs to BDA Proceed with key companies, minimize time/resource waste in standards negotiation Successful video formats (e.g. DVD, Blu-ray) were all made by a few key companies 4. Sony WG Action Plan (In parallel to Partnership activities) 1. Define UX & format design based on existing standards 2. Create demonstrable implementation 3. Consider feedback from other manufacturers/studios, decide next steps 4. Make specs open to expand use of file/app-based solution 5. Utilize existing modern security solutions (if not ready, improve them for Sony) BDA Approach 5. Enlist key company support. 6. If BDA companies support File/App based solution, bring it to BDA jointly. 7. If not, proceed with key companies outside BDA, without spending much time in BDA negotiation. Sony must lead industry. Successful formats have been developed by a few key

17 Sony Must Lead Successful format introductions: Developed by a few key companies Not negotiated in large Study groups Bring other companies to support Examples: VHS CD DVD BD

18 Action Plan CY 2013 Sony WG / Implementation Feedback Decision Points Sony need to Regroup No [SPE] Confirm 3 studios (SCSA) are open to engage with Sony about App/File based format Format Design: Sony Corp experts, SPE, Relevant Sony group companies Implementation/Demo/Deployment: Sony Mobile, TV, BDP, Media Players [Sony/SPE] Confirm BDA company Yes support on App/File base format Yes No Launch out side BDA with key companies Partnersh ip Hollywood StudiosEnlist key SPE studio support CE(+IT)/Studio Joint CE(+IT)/Studio/Retail er Sony CE Companies Hollywood Studios: SPE to lead discussions w/ other studios CE Companies (Panasonic and/or Samsung): Sony to lead discussions 18 Standardization Bodies - MPEG, SMPTE, ITU-R, DECE, BDA, etc.

19 Next Steps Sep 27: Confirm Sony Taskforce members / Discuss BDA strategy Oct Nov: 10/8-9 Sony/Panasonic/ Studio meeting Confirm 3 studios (SCSA) position => SPE Define UX & format design based on existing standards Create demonstrable implementation => WG => STEF Demo 11/5-8 BDA All Members F2F meeting Obtain key manufacturer/studio support => Sony(CE) / SPE(Studio) Content protection discussion with other studios and security providers => Sony/SPE 11/18-22 STEF Week Nov 20-22: STEF: Apps/File-based solutions demo => SPE, SEL, DADC, Sony Video Encoder Gp. Mar, 2014: Bring full specs to each standardization body (BDA, etc.) => Sony/SPE Sep, 2014: Make specs open to expand use of App/file-based solution beyond BDA Product/Content Launch => Sony/SPE =>Sony 3/11-14 BDA All Members F2F meeting

20 Thank you. 20

The Movielabs Specifications Movielabs has published specifications for 4k/UHD content Specifications for Next Generation Video Movielabs

Same requirements Studios presented to BDA XYZ color High dynamic range 12-bit Higher frame rates Specifications for Enhanced Content

21 The Movielabs Specifications Movielabs has published specifications for 4k/UHD content Specifications for Next Generation Video Movielabs is an R&D company owned by the 6 Hollywood studios. Same requirements Studios presented to BDA XYZ color High dynamic range 12-bit Higher frame rates Specifications for Enhanced Content Protection Significantly raises the level of security required for 4k/UHD content Requires HDCP 2.2 which Sony TVs and X1 4k player support Sony should assume that SCSA meets these requirements since two studios are SCSA founders

22 App/File World Example: MOVIE TOUCH Filmography Content Manager Interactive Playlist Behind The Scenes 360 Turnarounds Bookmark Multi Angle Clip & Share Fun Facts, etc.

4k Theoretical Discussion. What content is 4k? Mastered in 4k Blu-ray Digital Cinemas Cameras Differentiating 4k from HD

4k Theoretical Discussion. What content is 4k? Mastered in 4k Blu-ray Digital Cinemas Cameras Differentiating 4k from HD 4k Theoretical Discussion What content is 4k? Mastered in 4k Blu-ray Digital Cinemas Cameras Differentiating 4k from HD 4k Definition 4k Files Finish in 4k 4k Digital Cinema Sony F65 shoot in 4k Scan in