Turnkey Solution for Digital Audio and Video
Distribution, Monitoring, Payments and Copyright Protection

Problem/Need

The music and movie industries have not streamlined digital data handling and nor leveraged interconnected technologies to address rapid changes in the digital marketplace. A comprehensive one-stop solution is needed throughout the music, movie and digital media industry value chain that provides accurate payment accounting to content owners and secures digital media copyrights.

The Solution

Leyi’s platform and Cugate’s technology delivers a complete system for digital audio/video production and rights management integrated with sales and market analytics that 1) Monitors, controls, manages distribution channels; 2) Protects and controls neighboring rights, copyrights and royalties; 3) Tracks for anti-piracy and IP protection; and 4) Generates market and trend reports for royalty control, YouTube monitoring, monetizing and collecting procedures. [See Appendix below]

Validated in World Markets

The technology was used to monitor 2,000 digital broadcasters in Europe and 150 broadcasters in China to track royalty payments for over 18 million digital music titles, including Warner’s European music library. The results: Payments to content owners increased by 20% to 50% because of accurate transaction reporting; with copyrights and intellectual property successfully enforced in all markets.

Business Strategy

1) Licensing the Technology to Companies, Industry Organizations and Government Agencies.
Telecom, radio broadcasting, TV and film companies, royalty collection societies and industry groups can use the system without interfering their proprietary back-end and confidential data systems.

2) Developing Firmware for Computer and Mobile Devices.
A firmware version of the system can be licensed to computer and mobile device manufacturers in Taiwan. These firms represent 85% of all computer and mobile devices sold worldwide.

3) Establishing a Showcase B2C/B2B Digital Sales Platform Applying the Technology.
The technology will be used to develop and launch a revenue-generating digital sales and streaming platform in multiple markets to showcase the technology to product owners and industry clients.

Market and Sales Strategy

The B2C/B2B Platform will be launched simultaneously in the European, North American and Chinese markets. It will be used to demonstrate the technology to potential licensing clients as it generated revenue for Leyi and digital product owners. Leyi will target major telecoms, digital broadcasters, and digital sales platforms as potential licensing partners, showing how it can increase their revenue.

Overcoming Market Resistance: Potential licensing clients may be reluctant to use the tracking and payment accounting system because of the perceived potential to reduce their revenue in favor of digital product owners. Leyi will address this by 1) Showing how the system creates new revenue streams, and 2) Establishing license agreements with collection societies and government regulatory agencies thus motivating companies to comply with industry leaders using the technology.

Competitor Situation

While there are numerous metadata systems, content aggregators and radio/TV monitoring systems, none license their proprietary business systems. There are no major digital media platforms using watermark-based affiliated marketing tools, audio operating systems and proximity marketing tools.

Progress to Date

The technology received multiple patents in the United States, Europe and China. A major Chinese TV media group signed a Letter of Intent to license the technology for their business operations in China and in their international operations.

The State Administration of Radio & Television (SART, 国家广播电视总局) reviewed the technology, stating it is superior to their system and their interest in using it for managing censorship approvals and monitoring of all digital media transactions in China. The Shenzhen (深圳) Collection Society has signed a Letter of Intent to use the technology to monitor all digital broadcasting firms in their regio

Competitive Advantage in the China Market

Leyi balances private and public business sectors in China, working with the government representatives to avoid the risks and problems typically experienced by private Chinese and foreign companies. The Chinese Ministry of Science and Technology has reviewed technology business model. As a result the National Government has endorsed it as an effective solution for paying all royalties, protecting copyrights, and improving the digital media industries in China, giving Leyi a high-priority status in China.

Business Growth and Goal

The B2C/B2B Platform will expand to multiple sites in Europe and China to increase revenue and licensing clients. Leyi’s goal in China is to license technology to SART for monitoring all digital sales platforms in China. The firmware initiative has the potenital for a US$10 Billion IPO valuation within five years after product launch.

Contact Information

Leyi works with digital media companies, creative and entertainment industries, infrastructure development firms and business investors interested in developing new effective solutions for managing digital media markets worldwide.

For more information please email: info@leyimedia.com.

Appendix: Technology Description

Leyi’s technology partner, Cugate, Ltd, lead the development of the key business technology that creates a unique ID code for each digital or physical product so all online transactions can be tracked, recorded and analyzed to provide product owners with accurate payment accounting, market and consumer data analytics, and a wide range of business, marketing and sales services.

Delivers a One-Stop Service

The technology provides a “One Stop Service” that monitors, controls, manages distribution channels; protects and controls neighboring rights, copyrights and royalties; tracks for anti-piracy, IP-control and management; generates market and trend reports; royalty control and payments, YouTube monitoring and monetizing and collecting procedures.

ID Tag Encoding

The key technology creates an ID Tag code that uses multi-level watermark/footprint technologies to encode all types of digital media and merchandise with a unique code that cannot be deleted or changed, even when copied or streamed on other platforms. It provides easier and greater control of metadata compared to traditional ID3 and APE tag methodologies.

The ID Tag also supports Blockchain data and financial data encryption, ensuring 100% secured copyrights, multi-level marketing and interconnected consumer and industry transactions and consumer device background and proximity marketing, advertising pointers and affiliate marketing initiatives throughout the entire value chain.

Creates a Virtual Barcode

The unique ID Tag acts as a “Virtual Barcode” that links to a comprehensive database that creates an expandable metadata data structure allowing collection and analysis of all current and future content transactions. This allows reliable tracking of all transactions so that product owners and rights-holders receive all payments while capturing market and consumer data in all consumer networks.

Intelligent Data System

The Barcode links with intelligent software so each transaction can independently determine what information is needed and how it will be used, thus creating multiple layers of content and market data, diving greater control over managing licensing, terms of use and marketing initiatives.

Add-On Component Integration

The technology is an add-on component on top of a company’s existing technology, so they can easily expand their capability without modifying their existing content management systems. It provides automated control for ID Tag encoding and production to multiple digital and physical formats. This allows efficient management of large quantities of audio and video materials, and supports real-time broadcasts that can be securely tracked for payment accounting.

Business Features

  • Advertising Pointers, Proximity Marketing and Affiliate Marketing: Helps traditional and mobile advertisers target specific regions, event areas via Wi-Fi, retail/kiosk areas and USB transactions. Enables content owners to directly manage and redirect advertisement.
  • CRM and Data Analytics: Captures market and consumer data to improve business and marketing activities. Drives Big Data analytics for business intelligence reports.
  • Royalty Collection: Provides weekly, monthly, or yearly reports for royalty collection.
  • YouTube Monitor: Sales monitoring for: Control, Monetizing, Collection and Anti-Piracy.
  • Real Time Chart and Radio Monitoring: Monitors digital radio worldwide on a 24x7 basis.
  • Music Synchronization: Provides search service to help professionals to find the right kind of music or tracks for movies, advertising, background music.