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OTCPicks Featured Company: USA Video Interactive Corp. (USVO.OB)

USA Video Interactive Corporation was founded in 1986 as First Commercial Financial Group Inc. and eventually became USA Video Interactive Corp in 1995 to focus on the digital media business. The company operates through five wholly-owned subsidiaries: USA Video Corp., USA Video (California) Corp., Old Lyme Productions Inc., USA Video Technologies, Inc., and USVO, Inc. Operating through these subsidiaries, USA Video Interactive designs and markets technology for delivery of digital media. Their products add anti-piracy solutions to existing distribution channels and extend distribution into interactive channels with Video-on-Demand.

Its products and services include MediaSentinel, a digital watermarking technology used to deter piracy of digital content; SmartMarks, forensic digital watermarks imbedded in various video frames to protect digital video from piracy; StreamHQ, a collection of source-to-destination media delivery services to businesses; EncodeHQ, a service that digitizes and compresses analog-source video; Zmail, a service that delivers Web media content to targeted audiences; hardware server and encoder system applications under the brand name Hurricane Mediacaster; and mediaClix, a service that delivers content originating from an existing Web presence.

MediaEscort is the most well-known service the company employs, and it is currently used by Twentieth Century Fox to protect its online digital content. In layman’s terms, this software creates a digital watermark for producers and distributors of online content to track their products. These security devices are invisible to the user, but they provide the proof courts need to protect intellectual property rights and ultimately indict and convict the individuals who steal copyrighted material.

Recent estimates have suggested that the digital watermarking and fingerprinting industry could surpass $500 million worldwide by 2012. USVO is a clear leader in the field with their nearly 200 patents and superior credentials. They face competition from companies such as Cinea, Inc. which is a subsidiary of Dolby Laboratories, but rivals do not possess the same diverse product lines and applications as USA Video Interactive Corporation.

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