New Functionality For Audible Magic’s CopySense® Network Appliance Educates Users While Enforcing Network Policies

LOS GATOS, California — September 26, 2006 —

Audible Magic Corporation announced that its popular CopySense® Network Appliance now helps schools manage and educate users with respect to copyright policy and appropriate use of peer-to-peer (P2P) file sharing. With a new add-on module, the CopySense Appliance not only filters the illegal sharing of copyrighted media files but also can now help universities enforce network policies by replacing manual processes.

“We’ve spent years working closely with educational institutions and helping them find peace between students and the entertainment industry,” said Audible Magic CEO Vance Ikezoye. “Furthering the mission of education is our goal with these new features.”

The new Education and Administration Module, available for both existing and new installations of the CopySense Appliance, allows campuses to determine their own network use policies and easily select from a range of actions in response to violation attempts. “Some campuses just want to curtail illegal file trading,” said Ikezoye, “while others want to restrict all P2P activity.” In either case, the CopySense Appliance allows the institution to choose what constitutes a network use violation, what the significance of each violation is, and how many violations trigger some kind of automatic action toward the user.

Automatic actions taken by the CopySense Appliance can include redirecting the user’s web browser and/or restricting the user’s network access. In one possible scenario, when a user attempts to use a P2P application to illegally download a copyrighted song or movie, a notification could be automatically sent and the user classified as a first offender. Upon a 2nd offense, P2P and web access bandwidth could be reduced significantly, and the user could be required to complete a self-paced education module on the law and value of copyrights. The 3rd offense could block all network use for 48 hours. The 4th offense could block all network use and require the user to meet with a designated advisor before restoring access. Many other scenarios are possible, matching a wide range of institutional policies and enforcement procedures.

Selectable network violations range from attempting to exchange copyrighted music, video or software files to attempting to exchange files containing sexual content including child pornography. Violations can also extend to attempts to access web sites containing known malicious content or child pornography. Some institutions may choose to prohibit all P2P access and/or prohibit access to problem web sites.

Ikezoye remarked, “Institutions have been telling us they not only want to prohibit illegal network traffic, but they also want to gently educate and motivate students toward appropriate network use. In any of these scenarios, the institution can choose to keep user identities anonymous and just let the CopySense Appliance do the work without collecting user information.”

More About The CopySense® Network Appliance

The CopySense Appliance is widely installed in public and private educational institutions across the US. The product is best known for its ability to filter out P2P transactions containing illegal file trades in a manner very similar to the way virus filters operate.

Artists and publishers desiring to protect their copyrighted works register in Audible Magic’s continually updated database. The media ‘fingerprints’ in that database are then matched against file trades attempted on networks where the CopySense Appliance is installed. Offending file trades are blocked while legitimate file sharing is left untouched. The filtering capabilities of the CopySense Appliance also expand to the selective blocking of malicious content, including child pornography, on both P2P networks and web sites.

For more information about the CopySense Appliance and solutions available to education, visitwww.audiblemagic.com/education.

Audible Magic Corporation is the leading provider of content management and anti-piracy services. Its patented content identification technologies and extensive reference database of audio and video content enable the company to monitor, track, manage, filter and monetize multi-media digital content. The company’s core copyright-sensing technology, CopySense®, accurately identifies digital or broadcast media content based on the perceptual characteristics of the content itself. Built on a patented electronic fingerprinting process, the technology is robust, efficient, and massively scalable. Recognized throughout the music and video industry as the de factor leader in identification services, Audible Magic is headquartered in Los Gatos, California. Its customers include Web 2.0 websites, CD/DVD replicators, peer-to-peer networking companies, internet service providers and universities, which span the media and entertainment industries, major business, governmental and educational institutions markets.

For more information, visit Audible Magic’s website at www.audiblemagic.com or contact:

Audible Magic Media & Analyst Inquiries

Jay Friedman
Vice President of Marketing and Product Management
408-399-6405 x238
[email protected]