CinemaNow will be first retailer to use platform

LAS VEGAS — Technicolor introduced on Tuesday a system for delivering entertainment to homes via the Internet and announced the first deal with a retailer, movie download service CinemaNow, to use the platform.

Technicolor’s system, dubbed Prisma, charges content owners a fee for each download. It requires only a contract with Technicolor that need not be exclusive. It charges no upfront fees.

“We’re assuming part of the risk,” Scott Dougall, Technicolor senior VP of home entertainment services, told Daily Variety.

“What you’re seeing in this space is rapid growth by iTunes, and everybody else has to compete with that,” Dougall added. “We’ve taken millions off the upfront costs for getting into online retailing.”

The Prisma platform will include content encoding and encryption, digital rights management (DRM), hosting and storage, promotions and ad management, streaming or download delivery, order fulfillment, reporting and forensics.

It can deliver features, episodic, games and music. Dougall said Technicolor is nearing a deal with a major record label to use the system.

The Technicolor-CinemaNow pact includes special projects including adding HD movies to CinemaNow’s library of more than 10,000 titles.

CinemaNow works with more than 250 licensors including 20th Century Fox, ABC News, Disney, HDNet, Lionsgate, MGM, Miramax, NBC Universal, New Line Cinema, Paramount Pictures, Sony, Sundance Channel and Warner Bros.

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