Sony embraces new high density CD

Motion picture company to begin readying product

NEW YORK--(BUSINESS WIRE)--Sept. 15, 1995--"Sony Corporation of America is pleased with the new single format for high density CD that was announced today in Tokyo," said Michael P. Schulhof, President and CEO, Sony Corporation of America. "This new high density CD format will address all consumer and industry needs for a single music, game, motion picture and multimedia platform."

The new format, an extension of current CD technology, integrates all of the technical requirements set forth by both the Technical Working Group of the computer industry, and the Motion Picture Advisory Committee. It provides for the seamless migration from current to future products and back. Capitalizing on the strengths of both previously proposed systems (SD and MMCD), it also promises to provide tremendous new growth opportunities for the computer and entertainment industries.

"Sony Pictures Entertainment in Los Angeles has already identified over 150 titles to begin mastering in preparation for the introduction of the new format sometime in 1996," said Bud O'Shea, Vice President (SPE). Sony Music Entertainment and Sony Computer Entertainment are exploring development opportunities for the format as well.

Representatives of the alliance led by Sony and Philips (MMCD) and that of Toshiba, seven other companies in Japan, and Time Warner (SD) have, in meetings with both the Technical Working Group of the computer industry, and the Motion Picture Advisory Committee, endorsed the prospect of a single format in the best interest of the consumer.

-0-

Philips Electronics N.V. Sony Corporation September 15, 1995

Press Statement

re: Next-Generation High-Density Optical Disc Format

On August 18, 1995, Philips Electronics N.V. and Sony Corporation issued a proposal for a single, next-generation high-density optical disc format that combines the best features of the MMCD and SD formats. This proposal was made to the presidents of the following companies of the SD Alliance:

• Hitachi
• JVC
• Matsushita
• Mitsubishi
• Pioneer
• Thomson
• Toshiba

In the following weeks, the proposal was refined and received the endorsement of major Hollywood studios and PC manufacturers.

We are pleased to learn today that the members of the SD Alliance have announced their support of the proposed single format. Sony and Philips believe that the agreed upon single format offers users the benefits of a technically superior format while maintaining compatibility with current CD and CD-ROM media.

The basic specifications of the single format agreed upon today are as follows:

• backward compatible with current CD media o 0.6mm substrate thickness, bonded disc (single-layer/dual-layer)
• and 4.7GB data capacity per layer o EFM Plus signal modulation o RS-PC error correction code