Even though a lot of media attention has been given to businesses that generate revenue using broadband Internet connection and video content, Video on Demand services are not as widely used as industry executives would have predicted. To better understand why the growth rate for Video on Demand (VOD) services has not yet soared to its enormous potential, we will explore the unique issues facing the industry and then illustrate the solutions objectCube offers.

objectCube presents viable solutions for overcoming these technological and economic issues by offering objectCube Media Server (OMS) and objectCube Media Client (OMC), a suite of software, hardware and hosting services that are designed to deliver media content such as video and audio to broadband Internet users using a Video on Near Demand approach.

Bandwidth Speed: One issue that limits the quality of Video on Demand services is bandwidth speed. Even though over 20 million households in the U.S. have access to broadband connection, such as cable modems or DSL connections, the connection speed for Video on Demand services is still slow. In fact, current broadband does not provide real-time Video on Demand at TV or HDTV quality. With these limitations, the user can either rely on pay-per-view services or sacrifice quality by using existing streaming technologies.

Advantages of objectCube technology: Our new software suite is designed to provide Video on Near Demand, delivering high-quality content without a dependency on bandwidth speed. Rather than place emphasis on instantaneous gratification (or "fast food" VOD services) at the expense of quality, objectCube focuses on providing quality without sacrificing affordability or convenience.

With a Video on Near Demand service, the ordering process is simple. Just as a customer might order a book from a Web site, he can now select a movie (or other owner-provided content) in advance from our media server (OMS). If, for example, the customer were to order their movie in the morning, the movie would be transferred to the user gradually during the day and be ready to be viewed at their convenience and at a much higher quality than current streaming technologies. Our client software is designed to take advantage of bandwidth speeds during non-peak hours to transfer media files. On average an hour-long video can be transferred in about three hours using the traditional broadband connections such as a cable modem or DSL connections.

Our client (OMC) software uses a peer-to-peer model to transfer media over the Internet. The client uses intelligent network algorithms to locate the most optimal connection to the nearest server on the network. This server may be the primary server at the data center or another user’s machine. Also the software has the ability to retrieve different parts of the movie at the same time from various systems on the network, thus speeding up the retrieval process.

If the user wants to watch a movie by streaming we offer that option also, but due to speed limitation on thier connection they may not view very high-quality streams that can be had from download-only model.

Network Reliability: Broadband connections are still not 100 percent reliable. Connections go down, network servers go down and speed fluctuates, depending on network traffic. In addition, the quality of current streaming technologies is seriously degraded under poor network conditions, providing the user with an inconsistent experience (at best).

Advantages of objectCube: We have built a very high level of reliability based on a custom network protocol. Movie files are exchanged between the clients in a peer-to-peer model or between the client and the server in a client/server model. If a network disruption occurs while a client is retrieving a movie, the client‘s software will automatically restart the process by connecting to a different set of computers. The file retrieval will resume at the point of disruption. Our primary servers, which store our movie content, are distributed and hosted at different data centers. If a server were to fail, the client software would connect to the backup server.

Content Security: Content owners are afraid to distribute their media content in a storable digital media such as a computer file, which they fear could be easily copied and freely distributed using a Napster-type model.

Advantages of objectCube: We have integrated Microsoft’s Digital Rights Management technology with our own added security functions to achieve content security for all media files that are distributed using our media server.

The process can be explained as follows: a user surfs to a Web page of a content owner and selects, for example, a movie to retrieve. The movie file is stored on our media server and will be delivered to the user in an encrypted format. At this point the user is not able to view the movie. When the user clicks the play button on our client software to start the movie, they will be connected again to the media server. The user is then given options that include: buying a permanent license, renting for 24 hours, renting for 48 hours and one-time viewing. The user will select an option and then be prompted to pay by credit card. Once the payment is processed, the key, which allows the user to unlock the file and view the content, will be delivered to the user’s media player. The system is very flexible and capable of offering different business solutions such as pay per mintue, subscription vod etc.

Cost of Bandwidth: The cost of transmitting large data files containing, for example, movie content is very high. Also, hosting centers that cater to media hosting have been traditionally expensive.

Advantages of objectCube: Because our system features a distributed architecture, the bandwidth is not consumed from a single point such as a large data center. Also, we provide a hosted model where our private network of computers will distribute digital content for our customers. This allows us to buy bandwidth in bulk from large service providers and thus offer substantial savings to content providers.

Cost of Software: This has been an economic drawback for smaller companies interested in Video on Demand services. Currently, media-streaming software lacks functionality, such as an integrated suite of back office functions for billing, customer support, royalty management and reporting. However, the cost of implementing these features is affordable only to very large companies.

Advantages of objectCube: We use open-source software tools, which cut the cost of deployment substantially, and a mix of commercial software tools to develop our client and server software. We also save money by contracting with companies in Russia and India to develop our software. We use Linux as our primary operating system; most of our server-side software is developed using Java.

Cost of Hardware: A data-intensive application such as Video on Demand needs sophisticated hardware. In addition, these systems need to operate 24/7, which makes the cost of hardware even more expensive.

Advantages of objectCube: Our complete software system is capable of running on standard Intel-compatible hardware and does not need any high-end hardware components. This allows us to set up multiple systems at different locations at a lesser cost than the purchase of one preparatory system. Because the software achieves fault tolerance the hosting provider does not have to deploy complex high availability systems.

Cost of Management: The ongoing expenses required to operate a Video on Demand system and manage a stand-alone data center for high-end streaming is expensive. A highly experienced staff with high-end skills is needed to operate and monitor a 24/7 data center.

Advantages of objectCube: We are offering our media server technology on an ASP (Application Service Provider) model in conjunction with our hosting partners. Content owners do not have to own any infrastructure and only pay for the amount of video or audio content sold through our service.

What we are offering is a revolutionary way to deliver content to the end user. Currently our client software works with personal computers, and in the near future it will port software to game consoles such as Xbox and video set-top boxes. This powerful combination of client and server technologies will change the way we watch movies.

We will examine, step by step, how objectCube Media Client and objectCube Media Server distribute content to users.

Five Steps

1. The owner of video or audio content will first encrypt their file, using our digital encryption software, and then upload the file to one of our servers. The content owner will then log on to the Media Server and set parameters (such as selling price and other marketing information).

2. The file will be immediately replicated to multiple geographically-separated and highly-available servers in the U.S., Asia and Europe.

3. Customers will access Web pages hosted by the content provider, then will be automatically re-directed to our servers where they may select the content of their choice. All this is done using our automated client software. Even though the movies are downloaded from our servers, the user will still think they are comming from your servers since we use your sub domain. The user will purchase the video file and then be allowed to download the movie or audio file.

4. They can access these Web pages using a standard browser or mobile phone. Once the request is made the content is pushed to the user's box.

5. A single client can retrieve all or part of a selected movie or audio file from multiple clients as well as multiple servers. These transactions can work parallel to each other, meaning a single piece of content can be partially serviced by one or more clients and/or servers.

6. If the user rents the content, then every time the user attempts to watch a movie or listen to an audio file, they will be connected to our server to verify the authenticity of the license. If the user has purchased a permanent license, they will only have to complete the license authentication process one time, prior to the first viewing or playing of the file.

In this section we will closely examine the objectCube Media Server architecture and the services offered. The following diagram shows a high-level architecture.

Media Distribution

• A MMS compliant-streaming server is used to stream video and audio.
• A VTP/SSL server is used to distribute a video on near-time demand.

Management

The complete solutions are offered as an ASP module with a Web-based front end that will work with Microsoft Internet Explorer.

The customers will see your personalized, branded Web site with your own logo and design.

To clarify users of the system, we will rely on the following definitions:

• Customer: The person who is buying the video or audio content.
  
• Service Provider: The company that is selling the content using our media server.
  
• Content Provider: The company or entity that owns the rights to the distributed media.
  
• Infrastructure Provider: The company that provides the hosted server solution as an ASP service (in this case, objectCube).

Customer Management Module

The Customer Management module will provide the service provider with the ability to manage customer needs. This is our basic Customer Relationship Management (CRM) module.

User Management: Add, delete and update user information. Customizable attributes allow additional information to be added about a user.

Category Management: Users can be categorized and content can be restricted based on users’ attributes. For example, no users under the age of 17 can view an NC-17 movie.

Groups: The user can be grouped into various pools for billing purposes. For example, a user can belong to a group that receives an unlimited number of movies every month -- the VIP group.

The Billing System is used to track customer-billing activities and to provide billing services such as credit card processing, dispute resolution, etc.

Billing Support: Allows the customer to view their own bills and settle payments online.

Account Hierarchies: Allows the management of account relationships where the bills of one account can be paid by another account.

Sponsorship: Supports innovative pricing solutions by splitting charges between accounts (for example, between studios and viewer).

Billing Flexibility: Enables a wide variety of billing scenarios, including immediate billing, billing before or after watching a movie, and bulk billing, such as monthly subscriptions.

Pro-Rated Billing: Allows the ability to bill for partial billing periods.

Payment Methods: Supports a variety of payment methods, including check, cash, credit card, pre-paid, and online bill-pay. Out-of-the-box integrations support credit card processing with various providers.

Customer-Activity Tracking: Creates an accurate and detailed audit trail of any changes made to an account.

Real-Time Usage Analysis and Feedback: Allows service providers to suggest finely tailored offers to customers based on customer behavior.

Discounting Features: Real-time discounting features allow a user to buy discounted items after they have spent a set amount.

Powerful Pricing Tool: Quickly creates and changes prices for products and services without the need for programming.

Branding: All aspects of the user experience will have your branding and personalized “look and feel.” Even your invoices will have your brand, and your credit card transaction will include your name.

Credit Management: Ability to fix billings after it has been charged, for example refunds or credit card charge-backs.

The content management module is used to manage your media inventory. The module is capable of handling any media assets such as video, audio, images and software.

Categorization: This module will allow you to categorize your content and add marketing information that will be viewed by the user.

Grouping of Content: This is the ability to group content into pre-defined groups such as free content, paid content, etc.

Syndicate Option: Allows your content to be shared by other service providers on the network in exchange for a royalty.

DRM: Digital Rights Management server from Microsoft is integrated into our video server to ensure that only authorized viewers will gain access to our media content. By using technology from Microsoft, we rely on their R&D efforts to provide very advanced security solutions.

User Security: Using full 128-bit encryption; all user transactions and data are fully protected.

Since most service providers do not actually own the content, we have built a robust royalty management system for managing royalty payments to content owners.

Reporting: Basic Reporting includes quantity sold, media type, and purchase type (purchase or rental). Reports that go beyond the basics can be produced with the reporting engine (described below).

Real-time Royalty Calculation: At any given time a service provider can view the amount owed to a content owner.

Royalty Owner Management: The owner of the content can also log on to the system and view payments owed to them.

Payment Manager: The system will keep track of royalty payments that were made to the content owner, including type and date of payments.

A Customer Reporting module will allow service providers to generate any type of reports on the data that resides on our database. User does not have to know SQL, or any other complicated data-manipulation languages, but can use a query-building wizard to build customized reports.

The Ad Serving module will allow you to place ads on Web pages and cross-sell services. The ads can be dynamically served with the content.

Targets: Ads can be targeted toward a customer based on real-time usage analysis.

Advertisement Statistics: Very specific information is captured and can be reported based on the type of ads that are served, clicked through, etc.

One of the most important features of our application is the ability to integrate with other third-party products and services using an open API.

JMS: Java Messaging Standard is a Java-based API for messaging; we provide a JMS adaptor to our media server. Third-party products, such as TIBCO, IBM MQ, etc., can be used to connect to our servers using JMS.

Java: The media servers provide and open Java API, which allows developer to write third-party plug-ins using Java.

Data Export: All the data that belongs to a service provider can be exported to a common file format such as CVS.