MUSICRYPT AND EMI MUSIC CANADA MAKE INTERNET HISTORY

Toronto, Canada (PRWEB) May 29, 2003 – Joint release –

EMI Music Canada/Musicrypt Inc.

Music history was made at 12:55 PM ET, Tuesday May 20, 2003 when, for the first time, a major record company completed the delivery of music files securely from recording studio to record label to radio stations across Canada via the Internet using Musicrypt’s Digital Media Distribution System (DMDS).

EMI Music Canada serviced the new single “Generation Genocide” by Canadian recording artist Jersey to Canadian rock radio stations in Victoria, Vancouver, Calgary, Edmonton, Saskatoon, Regina, Winnipeg, London, Hamilton, St. Catharines, Toronto, Kingston, Ottawa, Montreal, Quebec City, Fredericton and Halifax using the groundbreaking DMDS, developed by Toronto’s Musicrypt Inc. The delivery was the last in a series of Internet transfers that saw the Jersey track moved from its creation in the recording studio to the record label, internally at the record label and finally to radio; completely protected from piracy and illegal use by one million bit encryption and biometric authentication.

Rough mixes of the Jersey single were sent from EMAC Studios in London, Ontario to EMI’s Toronto A&R (Artist & Repertoire) department using DMDS. Subsequent mixes were transferred via DMDS from Metalworks Recording Studios in Mississauga, Ontario to EMI’s head office. When the final mix of the single was approved DMDS was used to circulate the track internally at EMI for review and preparation of the release by the Marketing, Sales and Promotion departments which included key personnel at branch offices in Vancouver, Calgary, Edmonton, Kitchener, Toronto, Ottawa, Montreal, Quebec City and Halifax.

DMDS was also installed at the offices of selected broadcasting consultants, a major music industry publication and also at Broadcast Data System’s (BDS) Canadian office and its head office in the United States.

Jersey’s major label debut “Generation Genocide” is scheduled for release August 5th on Virgin/EMI Music Canada. “Generation Genocide” is an album of punch-your-fist-in-the-air punk anthems filled with power, hope and optimism.

Deane Cameron, President of EMI Music Canada said, “It is exciting to participate in the development of new technological advances for our industry. We believe that this is the future of how we as a music company will securely deliver music to our media partners.”

Gary Slaight, President & CEO of Standard Broadcasting, said, “Musicrypt’s DMDS is a breakthrough technology that will make it easier for radio to receive and manage new releases from the record industry. Standard was an early supporter of DMDS. We’re pleased to be working with EMI on this pioneering development.”

John Heaven, President & CEO of Musicrypt said, “This is truly a great achievement for our company and our team. EMI Music Canada has demonstrated its ability to innovate, adopt and support new advances in its industry.”

Rob Brooks, Vice President of EMI Marketing, EMI Music Canada said, “In this age of digital piracy, finding ways to protect our artists’ copyrights has been of paramount importance. This ‘cradle to grave’ test using DMDS has proven we can successfully do this.”

Derrick Ross, Vice President National Promotion & Media Relations Capitol/Virgin Music Canada said, “DMDS is a great servicing vehicle that enables us to get music to our promo team and radio across the country quickly, easily and safely. It’s the wave of the future and we look forward to using it.”

Raine Munro of Metalworks Recording, Mastering & DVD said, “Musicrypt provided a fast and effective method of supplying EMI with daily mixes. Our client also had the added confidence of knowing that the tracks being sent from the studio to the label were completely secure.”

Musicrypt’s Digital Media Distribution System (DMDS) enables user-friendly and secure distribution of media via the Internet. DMDS is a web-based content delivery system that pioneers secure digital file distribution by incorporating biometrics. The first application of DMDS replaces the physical distribution of new musical recordings by record companies from the studio, internally, and to radio stations with more secure, more effective and less costly digital distribution via the Internet. DMDS delivers broadcast quality media from the sender securely and on time to authorized recipients. DMDS delivers the content person-to-person, rather than machine-to-machine.

Musicrypt trades on the TSX Venture Exchange (TSX-V) under the symbol MCT.

www.musicrypt.com

Suite 300, 225 East Beaver Creek Road, Richmond Hill, Ontario, Canada L4B 3P4

Contacts: Musicrypt, Inc.

John Heaven, President & CEO, 905 763 3553 – [email protected]

Peter Diemer, VP, Sales & Marketing, 604 913 1358 – [email protected]

EMI Music Canada – Ken Witt 905 677 5050 or [email protected]

Media – James Monaco 416 686 3395 or [email protected]

The statements contained in this release that are not purely historical are forward-looking statements and are subject to risks and uncertainties that could cause such statements to differ materially from actual future events or results. Such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform.

###