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SanDisk And NDS Securing Mobile Content Delivery
Integrated Video Security In SanDisk Flash Memory

SanDisk Corporation and NDS, a leading provider of technology solutions for digital pay TV and digital content protection for mobile devices, announced a long-range partnership to provide an end-to-end solution for delivering high value video/audio content into SanDisk's new generation of secure flash storage cards for mobile devices. This will allow mobile network operators, service and content providers to protect their content property rights and ensure that consumers gain access to premium content, such as pay-per-view movies, video clips, digital images, video games, ringtones, realtones, MP3 music tracks and more on their mobile phone or portable device.

SanDisk plans to integrate NDS mVideoGuard Mobile DRM technology directly into its flash memory cards that are used in a growing range of mobile phones. mVideoGuard fully complies with the Open Mobile Alliance (OMA) DRM (Digital Rights Management) standard and lets service providers and mobile network operators offer revenue-enhancing business opportunities such as content subscriptions, single purchase, pay-per-time, pay-per-level, gifting, free preview, pay-per-use and metering functions.

"NDS is a global leader of mobile content protection solutions," said Eli Harari, president and CEO of SanDisk. "Integrating their technology with our new generation of cryptographically secure mobile flash storage cards will provide a complete end-to-end solution to bring premium entertainment content to consumers while addressing the security concerns of content providers."

Dr. Abe Peled, president and CEO of NDS said, "NDS's Mobile DRM provides the high security needed by mobile operators to offer strong content protection and to offer new revenue generating opportunities. This is becoming increasingly important as service providers and mobile network operators seek to leverage their distribution capabilities in order to build revenue streams by providing downloadable content to their handset customers. SanDisk is a leader in the flash card market and has close relationships with their customers through retail, handset and mobile network operators."

Yoram Cedar, senior vice president of Engineering and Emerging Markets at SanDisk said, "Security on the storage card provides several important advantages. Consumers gain virtually limitless storage capacity and handset manufacturers are not burdened with the cost of providing large amounts of embedded storage in the phone. Consumers benefit because as content providers are assured that their content is secure, they will offer for sale their high-quality content."

The market for mobile phones with card slots reflects high growth according to IDC, whose research shows that 87 million such phones were sold in 2004 and forecasts that 164 million will be sold worldwide in 2005. Industry sources indicate that more than 200 new models of mobile handsets to be introduced in 2005 will have a slot for flash storage cards. These new phones will utilize a variety of card formats, all of which are offered through SanDisk's mobile products line.

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