Sony Electronics News and Information

ANNOUNCER:

Ladies and Gentlemen, please put on your 3D glasses and hold on to your seats as Sony kicks off its 2007 NAB Press Event.

ALEC SHAPIRO:

I don't know about all of you, but that 3D HD clip playing on Sony's 4K SXRD projector gave me a whole new perspective on HD.

Welcome to Sony's NAB Press Conference.

The clip you just saw was from the NBA All-Star Game, played this past February right here in Las Vegas. It was captured in 3D by the PACE Fusion system, which uses stereoscopic pairs of Sony HDC-F950 cameras and was co-developed by Vince Pace and James Cameron.

This technology is fascinating enough, but it also opens up a wealth of entertainment and business opportunities in live production, for broadcasters, for theater owners and more.

Here to tell you more about some of this potential is Steve Hellmuth, senior vice president of operations and technology for NBA Entertainment

ALEC SHAPIRO:

Thank you, Steve.

Today we'll also be hearing from other innovators who are pushing the technical and creative boundaries of high-definition production in entertainment, news, sports and more. And we'll also be talking about new Sony products and systems that will not only change the way HD content is created and produced, but also the way the world communicates.

But first, I'd like to welcome some Sony executives who are here with us today.

Deputy Presidents of Sony's B2B solutions products company... Shinji Hanatani... and... Yoshinori Onoue.

The Head of Sony's B-&-P business... Mitsuru Ohki...

and... Sony BBSC President John Scarcella.

Thank you, gentlemen.

This year, Sony's theme at NAB is "HD for All: Real Systems, Right Now."

"HD for All" refers to our broad and growing line of HD systems and products to suit every professional application. In acquisition alone, we serve every market from affordable, handheld HDV camcorders, all the way to high-end digital cinematography with our CineAlta camera systems. You see the same depth and breadth of Sony offerings in HD monitors, studio cameras, switchers, professional media and support equipment.

"Real Systems, Right Now" refers to the practical requirements of today's broadcast infrastructures based on the MPEG-2 codec. With increasingly network-centric production, codecs must be judged by a whole new set of criteria.

High quality at low bit rates is just the beginning.

Broadcasters must also ask:

How fast will PC software be able to encode or decode HD?
How much network bandwidth will the encoded HD eat up?
How much server space will encoded HD require?
And the key question, given the urgency of DTV deadlines: how much third-party support does a codec have TODAY?

The more broadcast customers discover the answers to these questions, the more they're realizing the benefits and efficiencies of the MPEG-2 codec.

As used in Sony's XDCAM HD and HDV production systems, MPEG-2 is clearly the right choice, for Real Systems, Right Now. MPEG-2 delivers tremendous advantages in speed, tremendous savings in network and server costs and tremendous compatibility across a broad range of products from major Non-Linear and Server companies.

I am happy to announce today that key manufacturers in the editing and server world -- AJA Video Systems, Canopus, and Omneon -- have agreed to build products that incorporate Sony's MPEG-2 codec engine. And Avid plans to adopt the engine in the near future. This codec engine will also be made available to other interested manufacturers.

MPEG-2 has clearly established a critical mass of industry support. We firmly believe that for the requirements of today's broadcast infrastructure, nothing else is ready for prime time.

"Real Systems, Right Now" is also the perfect description for Sony's approach to our business, to our customers and to new markets. HD production is a reality, not only in broadcast, but also in a range of market segments including:

live sports and stadium facilities
the arts and entertainment
houses of worship
government
education... and more

For virtually for any professional communications application where HD content needs to be created, edited, shared, stored and displayed, Sony has the answer.

To help customers tackle systems issues, we have a dedicated solutions development team.

A main goal of this new team is to work closely with our systems integrators and resellers to help put in place the systems, service and support that customers need to transition their operations to HD, today.

We've also developed a complete line-up of MPEG-based real systems products that are fully mature and ready for customers to implement right now. For example, XDCAM HD recording is the gateway to a growing portfolio of our Networked HD solutions.

In the SD world, Sony established the benchmark for newsroom production with its original NewsBase system.

Today, we're proud to introduce our network news production system for the HD world. It is called SONAPS and it provides MPEG-2 recording in high definition as well as standard definition. It offers newsroom computer integration with Avid iNEWS, in addition to ENPS, and tight integration with the Omneon Spectrum play-to-air server.

The SONAPS system has been co-developed with Sobey, a company in which Sony has a significant investment and which has installed more than 200 network production systems in China.

Another example of Networked HD production is the HDXchange shared storage system. Perfect for workgroups, HDXchange holds up to 250 hours of material. Its features include proxy generation and browsing, multiple simultaneous access, plus flexible ingest, export and archiving.

Of course, much of our ability to offer "real systems, right now" is due to our strong relationships with leading technology companies and NLE manufacturers.

As I previously mentioned, Omneon is using Sony's MPEG 2 codec in their server products and I'm pleased to announce that Sony will be specifying the Omneon Spectrum play-to-air server in our Sonaps network news production systems.

Now, please welcome the executive chairman of Omneon Video Networks, a former Sony executive, Larry Kaplan.

ALEC SHAPIRO:

Thank you, Larry, for Omneon's continuing support. We look forward to selling lots of Omneon servers in the coming year.

As I said earlier, Sony HD technologies are in use in diverse non-broadcast markets.

Houses of worship are increasingly upgrading their production facilities to Sony high definition.
Hotels looking to offer guests an "at home experience" are installing flat-panel HD TVs in their rooms.
Entire school districts are using multimedia networks of hundreds of our LCD projectors all connected together and all able to be centrally controlled by a network administrator.

In TV broadcast and production, Sony continues to lead.

The sports production community has really embraced Sony's HDC-1500 series cameras. For mobile sports production, these cameras do it all. They shoot every flavor of 1080i, 1080P and 720P at a full range of frame rates. They support triax as well as fiber. And they quickly convert from portable to "hard" camera configuration.

Today we're announcing that the nation's largest mobile production company -- NEP -- has agreed to purchase one-hundred-fifty Sony HDC-1500 series cameras. So it gives me great pleasure to bring up the chief executive officer of NEP, Lou Borrelli.

ALEC SHAPIRO:

Thank you, Lou, for the largest single camera order in Sony's history.

And here's what else we have in store for Live & Sports HD.

We've upgraded our main live production switcher. The new MVS-8000G offers smooth SD to HD migration, powerful device control and minimum signal delay.

Our new HDC-1400 dual-format camera is a lower-cost version of the 1500 that can shoot either 1080i or 720P. Perfect for regional HD studio production, this camera offers a lower-cost of entry into HD for broadcasters who don't need full multi-format capabilities, but still need a high level of signal format flexibility.

And broadcasters have already responded.

CBS will install these new cameras and our new MVS-8000G series switcher to produce their network evening news broadcasts.

Fox owned and operated stations have made an exclusive commitment to Sony Production switchers, with deliveries already made to WBRC Atlanta, and KRIV Houston. Fox O-&-O's have also made a significant commitment to Sony HDC Studio Cameras.

Another OB company, Cross Creek Television Productions, is purchasing 19 Sony HD cameras, including the HDC-3300 Super Motion Camera. They will be used in Cross Creek's new "Voyager 8" HD truck that hits the road this summer. One event already on its schedule is supporting ESPN's production of the National Hotrod Racing Association. Here today from Cross Creek is John Peers.

QVC, the largest multi media retailer in the world is also now moving into remote production. At QVC's Studio Park facility in Westchester, PA, they are making a major upgrade with Sony HD studio cameras and production switchers. They've also chosen Sony XDCAM HD camcorders for a new remote broadcast vehicle that you will find on the show floor in the Sony exhibit.

Please join me in welcoming QVC's senior vice president of broadcast and TV sales, Angie Simmons.

ANGIE SIMMONS:

Thank you, Alec.

As mentioned, QVC is located outside of Philadelphia, Pennsylvania with annual revenue of over $7 billion. What you may not know about QVC is that we broadcast live 24/7, 364 days a year and introduce over 1600 products each week to viewers in over 90 million homes in the US alone. In a LIVE environment as unforgiving as ours, we demand, as do our customers, solid reliability and quality. That is why we chose Sony Products.

We have been using Sony Professional products for years and have been nothing but impressed with their performance. Our business is based upon the trust we build with our customers, and our ability to trust in our broadcast infrastructure allows us to concentrate on our customers, without worry.

With the integration of the Sony HDC 1500L multi-format HD cameras and MVS 8000 Multi-format Production Switchers, QVC is creating a solid foundation to deliver high-quality programming now and in the future to meet consumer demand. Our ability to showcase our products' function and detail is the foundation that QVC is built on and the values that we strive to accomplish each day. As an electronic retailer, our cameras provide the store window to our customers allowing them to make an educated buying decision.

With the implementation of the Sony Professional Products, QVC is poised to support the current and future needs of our broadcast.

Along with the integration of Sony Professional Products at Studio Park, we knew we wanted the same quality and state-of-the-art technology reflected in the design and development of our new remote broadcast vehicle.

By including the Sony HDC 1500L Multi-format HD cameras for our remote facility, QVC will have the ability to deliver a high-quality product to our customers from across the country and even from their own hometown.

We are proud to showcase this technology at the Sony Booth and look forward to seeing you all there.

ALEC SHAPIRO:

Thank you, Angie.

There are just a few other product highlights I want to mention.

Today I am proud to introduce Sony's first critical evaluation monitor to move beyond Trinitron CRTs: the BVM-L230 LCD monitor.

Sony's proprietary Trimaster technology delivers higher levels of color accuracy and color reproduction, precision imaging and highly consistent picture quality.

The monitor includes a customized full HD LCD panel, an LED backlight, and an enhanced display engine. This is the first LCD panel with a 10-bit driver, capable of producing 1,024 levels of gray scale.

Our confidence in this new master monitor is so high, we are displaying it side-by-side with the current "gold standard" in critical evaluation, our own BVM-F24 in our exhibit. We think you'll agree that it is equal to, if not better than, the F24.

We're also upgrading our line of LUMA production monitors, with features like 1920 x 1080 resolution, 1080/60P input, backlight control, waveform monitoring, audio level metering, and closed caption capabilities.

We're also offering an upgraded version of our popular Anycast Station live content producer. The internal signal core of the Anycast Station has always been high definition. Now, Sony is offering it pre-configured with HD interface cards at a suggested list price of under $20K.

Moving beyond HD, Sony is displaying the latest in digital cinema acquisition and projection. This year marks the official NAB debut of the F23 digital cinema camera. With its 1080/60P capability and 4:4:4 RGB data output, this is the ultimate camera for B4 mount 2/3-inch lenses.

And we already have a commitment for the purchase of 100 F23 cameras by BandPro film and digital.

And in SXRD projection, we recently announced a sale to the Muvico Theatre chain. They will be installing 4K projectors for a new eighteen theater entertainment complex opening this summer. They plan to convert all 200-plus screens in their chain to Sony 4K SXRD.

And we're increasingly selling our 4K projectors into "non-cinema" applications. We certainly feel that our SXRD technology is historic, and it deserves to be on display in a museum... say, for example, the Smithsonian. In fact, that's exactly where these projectors will be, as the presentation centerpiece of the visually stunning new "Oceans" exhibit.

Scheduled to open in the fall of 2008, this exhibit will immerse visitors in HD imagery using fifteen Sony 4K projectors.

Here to tell you more is the museum's associate director, Elizabeth Duggall.

ELIZABETH DUGGALL:

Thank you Alec, and good afternoon ladies and gentlemen.

Located in our nation’s capitol, the Smithsonian Institution is the preeminent scientific and cultural organization in the world. Our museums hold everything from dinosaurs and the Hope Diamond, to Dorothy’s ruby red slippers and the Wright Brothers flying machine. The Smithsonian’s National Museum of Natural History, which I represent, is the largest and most popular museum in America with more then 6 million visitors, this past year, alone.

As many of you are aware, the mission of the Smithsonian is the diffusion of knowledge. At the heart of everything we do is communication. Whether in our museums, through our magazines and web sites, or in our scientific research, the Smithsonian is dedicated to reaching people with knowledge and information that can enhance their lives.

Now, with the support of SONY, we have embarked on a new museum venture one that depends on communication, as never before. In September, 2008 the Museum will open the most ambitious public exhibition space in its one hundred year history. It will be a spectacular new Ocean Hall, where the mysteries and the majesty of the oceans will unfold before your very eyes. Our goal is for the millions of people who visit the Museum to have a new understanding of the essential role oceans play in sustaining life on earth.

Joining us in this endeavor is SONY, which has brought forth vital new projection technology to help us tell a story that is as old... well, as old as the Seas! The dramatic images you see behind me are being shown, at this very moment, in the Rotunda of the Museum. Soon, the same 4K projection system will be installed in the new Ocean Hall, bringing to life the wonders of the oceans, with a quality and resolution that we can only marvel at.

The new Ocean Hall is only one facet of a larger effort to raise public awareness of the importance of the oceans. To this end we have launched a program called the Smithsonian Ocean Initiative. It includes an Ocean Web Portal that will reach millions of people through the Internet and serve as an on-line gateway into ocean science. Already underway is a new Smithsonian Marine Science Program. It will utilize the expertise of our scientists and our massive collections of marine-life specimens.

Whether in the Museum, the laboratory, on-line, or in the field, the Smithsonian is dedicated to helping people appreciate the role that oceans play in sustaining life on earth. In doing so, perhaps each of us will find ways in our own lives, to help preserve this precious natural resource.

To everyone at SONY, we thank you for making this remarkable new technology available to the Smithsonian... and our millions of visitors from around the globe.

And to those of you in the audience, we offer this invitation: please come to Washington next year and visit the new Ocean Hall!

Thank you.

ALEC SHAPIRO:

Elizabeth, thank you for this HD showcase opportunity.

Of course, the core of our NAB exhibit is always about new products for the broadcast and production markets, and this year is no different. As you've heard today, HD production is really taking off in all areas of broadcast, and especially in public broadcasting.

Now in its third year, the joint Sony/PBS HD Pilot Program has been very successful. It has raised the awareness of HD production technology, and provided models for HD roll-outs that PBS stations across the country are following.

Here to talk about one of the newest member station's participation is Mississippi Public Broadcasting's executive director, Marie Antoon.

MARIE ANTOON:

Thank you, Alec. It's a pleasure to be here today.

The Sony products that we've been able to acquire in the last year have really revolutionized who we are. We're installing Sony multi-format switchers and HD cameras for studio and field work. The ability to have and use this latest and greatest HD production equipment means that we'll be able to capture the Mississippi story, in our programming, for generations to come.

The PBS -- Sony High-Definition Pilot Program has meant a great deal to us here, in that we were able to upgrade our technical capabilities and also attract more regional production work to our facility.

We've also been able to attract people from outside the state to come to Mississippi with their productions, because they've just been astounded at the quality, the equipment and the abilities we now have. We think that it's going to mean a lot to us in the future in terms of making it possible for us to not only do local programming but also have a strong regional and even a national production voice.

This equipment has made a huge difference just in the last few months. When "Between the Lions," the PBS children's program, came into Mississippi for production for the current season, they were able to complete 20 programs in 3 weeks.

Before we installed this new equipment, I can tell you, it was a much different story. The year before when they were here, we spent much more time working with the cameras, a lot more time trying to do set-ups. This year we just flew through that production schedule. It made a big difference.

Sony made it possible for us to have a state-of-the-art facility and that means a great deal to the people of Mississippi.

For 30 years, we have captured the Mississippi story. From the voices of Eudora Welty to BB King... the best and the not so good.

Mississippi Public Broadcasting was there to capture the moment when justice was finally served... and a guilty verdict was delivered in the case of the murders of three civil rights workers in Philadelphia, Mississippi. We captured that moment for history and generations to come.

But no matter how much we believed in our mission, we could not ask the state of Mississippi for millions of dollars in HD equipment in the months after hurricane Katrina.

There were over 36-thousand Mississippians living in tents in December. Their homes were a ribbon of destruction 35 miles long, and a mile and a half wide.

Sony and its staff stuck with us in the months after Katrina... and the PBS Sony Pilot program kept our dreams of telling the Mississippi story alive.

We could not have done it without you.

And we thank you Sony.

ALEC SHAPIRO:

Thank you Marie; it's a pleasure to be working with you on your transition to HD.

For Sony, Networked HD starts with XDCAM HD acquisition. We are pleased to see more and more customers embrace this vision, as well.

Worldwide, more than 21,000 units of XDCAM equipment are working, day-in, day-out for Sony customers. And those numbers continue to grow rapidly. Of course, we continue to develop and advance the XDCAM family and tapeless workflow.

This year, we're introducing the next generation of Professional Disc media -- a dual layer version with 50GB capacity. This doubles the record/playback time, capturing up to four and a half hours of high definition on a single, affordable, removable disc.

Compatible with this new dual-layer disc will be the new PDW-F355 camcorder, F75 studio deck and U1 drive unit.

And while we're concentrating on Real Systems, right now, NAB wouldn't be NAB without a glimpse of the very near future.

On the floor, Sony is previewing the next generation of XDCAM HD production: a new series, identified as XDCAM MPEG HD 4:2:2. As planned, the new series will feature 2/3-inch image sensors and record a full 1920 x 1080 high definition picture, for spectacular detail. It will also record native 720P, support dual-layer media and record at an affordable 50 megabits per second.

The new 4:2:2 series will be positioned between HDCAM and the current 1/2-inch XDCAM HD line.

Until now, the industry has always understood the XDCAM name to stand for recording onto optical disc. But at Sony, we've always considered XDCAM to mean any type of non-linear, file-based recording. Sony also believes in using the right media for the right applications.

( moves to podium )

In that spirit, we are previewing a new handheld camcorder, Sony's first to record onto flash media: the XDCAM EX Camcorder.

( holds up cam )

The fact that it's memory-based is not the only important distinction. The PC ExpressCard is the replacement for the old PCMCIA card format. More PCs are building in an Express Card slot. The flash media for the new XDCAM EX camcorder will use the S-by-S memory card specification, with high-speed transfer technology. SanDisk Corporation and Sony Corporation have agreed to a memorandum of understanding ( MOU) with the intention of developing the S by S memory card specification.

The XDCAM EX camcorder is planned to have two ExpressCard slots. A user can store approximately an hour of HD materials on just one 16 Gigabyte card.

The camcorder is a true next-generation product. It will feature Sony half-inch sensors, for advantages over other handhelds in sensitivity and depth of field. Other features will include 1080i, 1080P and 720P recording at multiple frame rates, including 24P. It also has "slow and quick motion," Sony's name for over- and under-cranking.

Our industry is a competitive one, and I recently noticed that one of my favorite competitors took one of their cameras to Alaska for the Iditarod. We know that's a challenge -- because we already did Iditarod last year with XDCAM HD.

This year, we decided we had to take it a little further south... as in Antarctica. The respected world traveler and videographer, Wade Fairley traveled around Antarctica with the PDW-F350. The footage he was able to capture demonstrates once again the XDCAM system's reliability.

Here we have a Hi-rez quick-time file that was sent to us from Antarctica via the Internet. Let's roll the tape...

Here you see Fairley holding an F350 caked in snow. As he says, "The continual fine drifting snow on the ice cap proved quite a challenge by finding its way into every nook, cranny, socket, plug and switch. Every time you opened a case it inevitably let more spindrift snow in. But impressively there were no problems with the F350."

While XDCAM applications like this are certainly exciting, we're just as excited by the growing family of broadcast organizations who have made the move to XDCAM for their ENG standard.

I am pleased to announce that CNN will use Sony's XDCAM HD Professional Disc system for ENG and studio production. This is part of a network-wide, global commitment. The XDCAM system will help CNN to supply high-quality HD native content for its upcoming launch of an HD network.

I'd like to welcome and thank Dan Darling, Chief Information Officer of Turner Broadcasting System, Inc and his CNN Senior Management Technical team, here today.

I am also happy to have key executives here today from some major Group broadcasters who have also embraced XDCAM.

I'll introduce them alphabetically starting with...

Albritton Communication and WJLA: Jim Church, and Alex Likowski.

From Belo Broadcasting, Craig Harper.

From Gannett, _____ .

From Hearst-Argyle, Marty Faubell

and from Pappas Broadcasting, Dale Scherbring and James Ocon.

And, we also just got permission to announce that Tribune will be using XDCAM for their ENG operations.

I guess in Las Vegas, we would call that a Full House!

Ladies and gentlemen, there you have it, Real Systems and just a few examples of the customers who are putting them to use -- right now.

I want to thank all our presenters today, and thank you all for your attention and for the great service you provide to our industry.

As usual, our press materials are available online at www.sony.com/ news.

Please leave your 3-D glasses on your seats...

Thanks for coming... and enjoy the show.