Destiny Media Update

Destiny Media Technologies (OTC BB: DSNY.OB) mailed out a hard copy investor update booklet this week, which included the web address of a site that tracks usage stats for the company's secure music delivery service, Play MPE: Play MPE Stats. That site currently shows 189,577 "sends" in the past 7 days. Since Destiny Media gets paid per send, I called Destiny Media's CFO Fred Vandenberg to ask him what average fee the company received per send. Vandeberg didn't have an average number, but he said that Destiny generally charged $0.50 per send for major labels, and $0.60 per send for independents. He mentioned that some number of the sends might not generate fees for Destiny if these were between two individuals at the same label, for instance. Vandenberg added that if they found that this sort of traffic represented a significant percentage of the total, then Destiny Media might charge for these internal sends in future contracts.

I also asked Vandenberg about the company's Clipstream secure video delivery software. He said the firm was planning on promoting it more this year, and mentioned one potential application for it: dailies, the raw footage produced every day by film crews, which is later edited and synched to a soundtrack. Vandenberg said that, currently, dailies were transported via courier, so, for example, a film crew shooting in Vancouver might use Fed Ex to send its dailies to an editor in Los Angeles. With Clipstream, the film crew could send the dailies digitally instead. I asked Vandenberg if this was true for crews using old fashioned film stock too, i.e., did Destiny Media have some sort of technology to convert that to digital. He declined to answer that question. Destiny's second quarter numbers should be out in mid-April.

Below is a commercial, obviously modeled on the Mac versus PC ads, for Destiny's Play MPE secure music delivery service.