SOURCE: USA Video Interactive Corp.

July 10, 2008 12:15 ET

USA Video Interactive Corp. Discusses Digital Media Stocks Sector Close- Up; Digital Downloads of Movies and TV Changing the Industry

Security Spending and Copyright Legislation to Protect Filmmakers in Transition

POINT ROBERTS, WA and DELTA, BC--(Marketwire - July 10, 2008) - USA Video Interactive Corp. (OTCBB: USVO) (TSX-V: US) discusses www.DigitalMediaStocks.com, an investor and industry portal for the digital media sector within Investorideas.com, reports on industry developments in the digital media sector. As attention shifts to focusing on the impact of digital downloads of movies and TV, comparable to the dramatic shift in the music industry, how is the industry reacting? From analyst downgrades to new legislation, to shifts in spending in security, the industry is in transition.

Lehman analyst Anthony DiClemente shook up the industry with his recent downgrades and comments, "Shifts from physical to digital will disrupt the marginal economics of the TV and movie businesses, just as it did for music."

Canadian Industry Minister Jim Prentice recently introduced new federal copyright legislation in the House of Commons, stating, "With this bill, we have introduced important measures to support industries whose success depends on copyright -- software companies and filmmakers, for example. We are providing stronger protection of digital locks online so that companies that choose to use them in their business models will have the support of the law. We have also introduced stronger provisions to address Internet piracy."

Leading expert on IT spending, purchases, budgeting trends, and tech sector economics, Andy Bartels at Forrester, recently noted,"Many products, such as security software, are viewed as essential by corporate tech buyers."

In a previous DigitalMediaStocks.com interview, Patrick Gregston of USA Video Interactive Corp. (OTCBB: USVO) (CDNX: US.V) provides listeners with the significance of Twentieth Century Fox Home Entertainment's implementation of MediaEscort™. MediaEscort™ is currently being deployed to protect the Studio's filmed entertainment content that is streamed via the Internet to its various trade business partners in advance of DVD availability.

To Listen to Podcast/Audio Interview: http://s3.amazonaws.com/static.investorideas.com/podcasts/2008/041008a.mp3

New technologies are popping up like PopTok's ( http://www.poptok.com) messenger chat application that has licensed clips of scenes, gestures and great movie and music lines from partners including Sony, Universal, Warner and Paramount studios.

In a June update from Sony, the company stated, "The business environment in which Sony operates is changing rapidly and, with the advance in digital technology and broadband networks, technological innovation is moving at a pace never experienced before."

As the entertainment industry reports DVD sales are down, they have to turn to new technology that can enable the transition to online distribution.

Digital Media Showcase Company:

USA Video Interactive Corp. ("USVO") designs and markets technology for delivery of digital media. USVO developed its MediaEscort™, MediaSentinel™ and SmartMark™ digital watermarking products and technology to provide a robust means for producers and distributors to invisibly protect their content. USA Video Technology Corp., a wholly owned subsidiary of USVO, holds the pioneering patent for store-and-forward video, filed in 1990 and issued by the United States Patent and Trademark Office on July 14, 1992; it has been cited by at least 165 other patents. USVO holds similar patents in Germany, Canada, England, France, Spain, Italy, and Japan. Visit www.usvo.com or the company showcase on Investoideas.com at: http://www.investorideas.com/CO/USVO/Default.asp Read the Company's Blog at : http://blog.usvo.com/

About InvestorIdeas.com:

InvestorIdeas.com is a leading global investor and industry research resource portal specialized in sector investing covering over thirty industry sectors and global markets including China, India, the Middle East and Australia.

The site also features a growing directory of Digital Media Stocks for independent investor research at: www.digitalmediastocks.com/DMS/Stock_List.asp

InvestorIdeas.com Disclaimer: www.InvestorIdeas.com/About/Disclaimer.asp Our sites do not make recommendations, but offer information portals to research news, articles, stock lists and recent research. Nothing on our sites should be construed as an offer or solicitation to buy or sell products or securities. We attempt to research thoroughly, but we offer no guarantees as to the accuracy of information presented. All Information relating to featured companies is sourced from public documents and/or the company and is not the opinion of our web sites. This site is currently compensated by featured companies, news submissions and online advertising. Disclosure: USA Video Interactive Corp., (OTCBB: USVO) (TSX-V: US) $4000 per month and 200,000 options (renewal as of April 3, 2008)

USA Video Interactive Corporate Headquarters Office: 8 West Main Street, Niantic, Connecticut, 06357 Telephone (860) 739 - 8030 Facsimile (860) 739 - 8070; Canada Office: 507 - 837 West Hastings Street, Vancouver, BC V6C 3N6. Trading symbol on the (OTCBB: USVO) Trading symbol on the TSX Venture Exchange (TSX-V: US); Trading symbol on the Berlin and Frankfurt Stock Exchanges: (BERLIN: USF) (FRANKFURT: USF) CUSIP 902924208. For more information contact (860) 739 - 8030 or contact@usvo.com.

The press release may contain forward-looking statements. Actual results may differ materially from those projected in any forward-looking statements. Investors are cautioned that such forward-looking statements involve risk and uncertainties, which may cause actual results to differ from those described.

MediaEscort, MediaSentinel and SmartMark are trademarks of USA Video Interactive Corp. The names of actual companies and products mentioned herein may be the trademarks of their respective owners.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • For more information contact:

    For USA Video Interactive Corp. Investor Relations Contact:
    (860) 739 - 8030


    Dawn Van Zant:
    800.665.0411
    Email: dvanzant@investorideas.com