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Patent 2368858 Summary

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Claims and Abstract availability

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(12) Patent Application: (11) CA 2368858
(54) English Title: SECURE ELECTRONIC COMMERCE SYSTEM
(54) French Title: SYSTEME DE COMMERCE ELECTRONIQUE SUR
Status: Deemed Abandoned and Beyond the Period of Reinstatement - Pending Response to Notice of Disregarded Communication
Bibliographic Data
(51) International Patent Classification (IPC):
  • G07F 17/16 (2006.01)
  • G06F 01/00 (2006.01)
(72) Inventors :
  • RAUBER, TY P. (United States of America)
  • HEADRICK, SAMUEL P. (United States of America)
  • CAMPBELL, ROD I. (United States of America)
  • FASULLO, BRETT P. (United States of America)
  • HESTER, STEPHEN D. (United States of America)
(73) Owners :
  • DIGITAL MEDIA ON DEMAND, INC.
(71) Applicants :
  • DIGITAL MEDIA ON DEMAND, INC. (United States of America)
(74) Agent: SMART & BIGGAR LP
(74) Associate agent:
(45) Issued:
(86) PCT Filing Date: 2000-04-12
(87) Open to Public Inspection: 2000-10-19
Availability of licence: N/A
Dedicated to the Public: N/A
(25) Language of filing: English

Patent Cooperation Treaty (PCT): Yes
(86) PCT Filing Number: PCT/US2000/009774
(87) International Publication Number: US2000009774
(85) National Entry: 2001-09-26

(30) Application Priority Data:
Application No. Country/Territory Date
09/546,813 (United States of America) 2000-04-11
60/128,846 (United States of America) 1999-04-12

Abstracts

English Abstract


A secure electronic commerce system and method provides for the distribution
of artistic works in electronic formats. The system includes a server system
which permits the author or owner of a work to upload and store an electronic
copy of the work and allows a plurality of client systems to access the server
system to download encrypted copies of the work. The server system can also
include an electronic commerce system which enables a client system to
transfer value from a credit account or a debit account to an account
associated with the server system in exchange for permission to download
works. The server system includes an encryption system which stores a unique
key for each client system and uses the key to encrypt each work download to a
corresponding client system. Each client system includes an encryption system
and a unique key which enables only that system to decrypt the work to all a
consumer to use the work. The unique key can also be used to verify the
identity of the client system.


French Abstract

L'invention concerne un système et un procédé de commerce électronique sûr permettant la distribution d'oeuvres d'art en formats électroniques. Ce système comprend un système serveur qui permet à l'auteur ou au propriétaire d'une oeuvre de télécharger et de mémoriser une copie électronique de l'oeuvre et à une pluralité de système clients d'accéder au système serveur afin de télécharger des copies de l'oeuvre sous forme chiffrée. Le système serveur peut en outre comprendre un système de commerce électronique qui permet à un système client de transférer un montant à partir d'un compte de crédit ou de débit sur un compte associé au système serveur en échange d'une autorisation de téléchargement des oeuvres. Ce système serveur comprend un système de chiffrement dans lequel une clé unique est enregistrée pour chaque système client, et utilise cette clé pour chiffrer chaque téléchargement d'oeuvre à l'intention du système client correspondant. Chaque système client comprend un système de chiffrement et une clé unique qui permet uniquement à ce système de déchiffrer l'oeuvre de manière que le consommateur puisse utiliser l'oeuvre. Cette clé unique peut également servir à vérifier l'identité du système client.

Claims

Note: Claims are shown in the official language in which they were submitted.


21
What is claimed is
1. ~An apparatus for distributing a units of information representative of
copyrightable
works over a network, said apparatus comprising:
an information database adapted for storing said units of information
representative
of copyrightable works;
a media server, connected to said information database, including a computer
system, associated memory, and media server software, said media server
software being
adapted to retrieve said units of information from said information database
and to
transmit said units of information to a plurality of client systems over said
network;
an encryption engine connected to said media server and adapted for processing
each of said units of information to create encrypted units of information
according to a
unique key for each client system.
2. ~An system for distributing a units of information representative of
copyrightable
works over a network comprising:
an information database adapted for storing said units of information
representative
of copyrightable works;
a media server, connected to said information database, including a computer
system and associated memory, said media server including media server
software, said
media server software being adapted to retrieve said units of information from
said
information database and to transmit said units of information to a plurality
of client
systems over said network;
an encryption engine connected to said media server adapted for processing
each of
said units of information to create encrypted units of information according
to a unique
key for each client system;
a client system including a computer system, associated memory, and client

22
software, said client software being adapted for communicating with said media
server to
receive said encrypted units of information from said media server;
said client system including a reader adapted for decrypting and presenting
said
information to an end user;
wherein said reader includes a unique key adapted decrypting said encrypted
units
of information and said media server is adapted for encrypting said units of
information
according to at least one key that is unique to the reader of each client
system.
3. ~A method of distributing units of information representative of
copyrightable
works over a network comprising the steps of:
storing each of said units of information in a database;
upon request from a client system for a particular unit of information,
retrieving
said unit of information and encrypting said unit of information using a key
unique to said
client system; and
transferring said encrypted unit of information to said client system.

Description

Note: Descriptions are shown in the official language in which they were submitted.


CA 02368858 2001-09-26
WO 00/62232 PCT/US00/09774
1
SECURE ELECTRONIC COMMERCE SYSTEM
COPYRIGHT NOTICE
Copyright, 1998, 1999, DMOD, Inc. A portion of the disclosure of this patent
document contains material which is subject to copyright protection. The
copyright owner
has no objection to reproduction by anyone of the patent document or the
patent
disclosure, as it appears in the U.S. Patent and Trademark Office patent file
or records,
but otherwise reserves all copyright rights whatsoever.
CROSS-REFERENCE TO RELATED APPLICATIONS
1o This application is related to and claims the benefit of U.S. Provisional
Application
Serial No. 60/ 128,846, filed April 12, 1999, which is hereby incorporated by
reference
in its entirety.
STATEMENT REGARDING FEDERALLY SPONSORED RESEARCH
Not Applicable
t5 REFERENCE TO MICROFICHE APPENDIX
Not Applicable
BACKGROUND OF THE INVENTION
This invention relates to secure methods and systems for conducting electronic
commerce and the distribution of audio, video, and text works and, more
particularly, to a
2o method and system which utilizes encryption in a client-server environment
to provide
secure electronic commerce transactions and the encrypted distribution of
audio, video and
text works for value.

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WO 00/62232 PCT/US00/09774
Traditionally, entertainment and artistic works such as music and movies, are
distributed by incorporating a copy of the work in a medium from which the
work, such
as a song or a movie, can be heard or viewed using a device. For example,
music is
distributed on records, tapes and compact discs and movies are distributed on
tapes and
digital video disks. The technologies associated with these media have
developed over
time in order to permit very high quality reproductions of the original work.
The technology also exists to convert these works into digital data that can
be
stored in memory in a computer or distributed via a network. This technology
permits the
works to be stored on digital media such as compact discs ("CDs") and digital
video disks
~o ("DVDs"). One of the disadvantages of this technology is that in order to
provide a high
level of sound and video quality, the works require very large quantities of
memory. For
example, a four minute song recorded on a CD occupies approximately 40
Megabytes of
digital data in its native format, thus limiting the number songs that can be
contained on a
single CD and making distribution of music using the present network
infrastructure
impractical.
Alternative technologies have been developed which enable that same four
minute
song to be stored in less than 4 Megabytes of digital data. One such
technology, MPEG
1, audio layer 3, which is more commonly known as MP3, defines how digital
audio can
be stored and transmitted using computers and networks. Other standards and
2o technologies currently exist and still others are being developed.
These digital media technologies allow a consumer to store music in non-
volatile
memory such as a harddisk drive in a personal computer and use a software
program,
applet or plugin, commonly referred to as a media player, to play the music
using the
multimedia resources of a personal computer. Well known media players for MP3
technologies include WinAmp available from NullSoft, Inc. of Sedona, Arizona
and

WO 00/62232 CA 02368858 2001-09-26 pCT/US00/09774
Sonique available from Mediascience, Inc. of San Francisco, California. These
products
allow a user to play MP3 encoded audio on a personal computer. Other products,
such as
the Rio available from Diamond Multimedia, Inc. and the MPMan available from
Saehan
Information Systems, Inc. of Seoul, Korea, enable a consumer to store and play
MP3
encoded audio in a portable device. These electronic devices typically store
the MP3
encoded audio in a flash memory that allows non-volatile storage of the audio
and allows
the MP3 encoded audio to be erased or over written.
Digital medial technologies such as MP3 facilitate the ability to distribute
audio
and video via the current network infrastructure such as the Internet. These
technologies
1o enable independent authors and artists to setup websites on the World Wide
Web
("WWW") to distribute their works and overcome conventional barriers to
distribution,
which typically require the author or artist to enter into an agreement with a
third party
organization, such as a publishing or recording company, to promote and
distribute the
author or artist's work. These technologies also provide a means for the
unauthorized
1 s distribution of the work.
In addition, there is no integrated system or infrastructure in place to
enable music
distributors, for example, to collect royalties on a per track (or per song)
basis. Presently,
music is distributed in album format which includes multiple tracks. There is
no effective
way to track which consumers were licensed which works. There is no effective
way to
2o verify the identity of consumer who is attempting download a copy of a work
over a
network such as the Internet.
Accordingly, it is an object of this invention to provide an improved method
and
system for distributing audio, video and text works.

WO 00/62232 CA 02368858 2001-09-26 pCT/US00/09774
-1
It is another object of the present invention to provide an improved method
and
system for distributing audio, video and text works which prevents the
unauthorized
distribution or redistribution of the works.
It is yet another object of the present invention to provide an improved
method and
system for managing the electronic commerce of the distribution of works and
other goods
or services over a network such as the Internet.
SUMMARY OF THE INVENTION
The present invention is directed to a method and system for distributing
goods and
1o audio, video and text works over a network, such as the Internet. The
method and system
according to the invention allow for the transaction to occur in a secure
manner which
permits the distributor to verify the identity of the consumer (or customer)
and impedes
the unauthorized distribution of the works by the consumer (or customer) and
third
parties.
~5 The system according to the present invention includes a server system
which
permits the owner of the work or the distributor to store and distribute the
work over a
network and a client system which is adapted to communicate with the server
system to
receive copies of the work over the network. The server system can include
storage
memory for storing copies of the works to be distributed or alternatively the
server system
2o can be adapted to access a storage facility which stores copies of the
works, such as over a
network or other data connection. The server system can also include an
electronic
commerce system which is adapted for receiving value (payment) from the
consumer or
customer and distributing that value to various parties for example the owner
of the work
and the authorized distributor of the work. The electronic commerce system can
receive
25 value from the consumer on either a credit basis (such as using a credit
card account) or a

WO 00/62232 CA 02368858 2001-09-26 pCT/US00/09774
debit basis (such as allowing consumers to purchase credits against which they
may
receive works). The server system can also include an encryption system which
allows
the distributor to uniquely encrypt the works distributed to a consumer. Thus,
the works
distributed to one consumer could be differently encrypted from the works
distributed to
s another consumer. The server system can include an encryption key database
which
maintains a unique key for each consumer. The unique key can also serve to
allow the
distributor or retailer to verify the identity of the client system (and the
consumer) and to
uniquely encrypt the copy of the work or any other data that is transmitted to
the client
system (and the consumer).
1o The client system according to the present invention can be adapted to
interface
with the above described server system to transfer value from the consumer to
the
distributor (and the owner) and transfer a copy of the work to the consumer.
The client
system can include an encryption system which is uniquely adapted to decrypt
the work
distributed to the consumer in possession of the client system. In one
embodiment, the
is client system can incorporate the unique key from the server system. The
client system
can include several unique keys from several different server systems.
The client system according to the present invention can be adapted to
interface
with the electronic commerce system of the above described server to
facilitate the
transfer of value and enable to the distributor or retailer to verify the
identity of the client
2o system and ultimately the consumer. In one embodiment, the server system
maintains a
unique encryption key which is embedded (or hard coded) into the client
system. The
server system can verify the identity of the client system by requesting the
client system to
transmit a predefined message, identification code, or electronic certificate
which is
encrypted using the key embedded in the client system. The server system can
use the
25 unique key stored in the key database to verify the encrypted message came
from the

WO 00/62232 CA 02368858 2001-09-26 pCT~S00/09774
6
client that is registered in the database by decrypting the predefined message
and
comparing it to an expected value. The same message can include other
information such
as a credit card information (number and expiration date) or an authorization
to debit an
account (including an account number). Alternatively, other known
identification
verification methods can be used to verify the client system.
In another embodiment, a public key encryption system can be used to encrypt
the
work and any messages that are transferred between the server system and to
the client
system. In this embodiment, the system can further include a public key server
which is
adapted to transmit the server system's public key to the client and the
client system's
l0 public key to the server system. Digital signatures can be used by both the
client system
and the server system to verify the identity of the other. Public key
encryption systems
are available from RSA Data Security, Inc. of San Mateo, California.
In one embodiment, the client system can also include a media player adapted
to
enable the consumer to use to the work as permitted by the owner, such as
listen to an
is audio work, view a video work or read text in a manner similar to the way
one would read
a book. Alternatively, a separate media player could be used. As used herein,
the client
system can reside on a personal computer or the client system can be a
combination of
hardware and software that is configured or adapted to perform the functions
described,
such as a portable device similar to a portable tape or CD player.
2o In an alternative embodiment of the present invention, the client and
server
systems can be part of a universal electronic commerce system. In this
embodiment, the
client system can be a universal electronic commerce client to facilitate
electronic
transactions over a network such as the Internet. In this embodiment, the
client can be
embedded into a web browser or be a "plug-in" software module that provides
additional
25 functionality to a browser or other program. The universal electronic
commerce system

WO 00/62232 CA 02368858 2001-09-26 pCT~S00/09774
7
can include several server systems which can reside on a single system or be
distributed
over a network, such as a virtual private network or the Internet. This
embodiment can
include a retailer or distributor server which is adapted to interface with
the client to
facilitate an electronic transaction with a consumer. The system can also
include a key
server which is adapted to manage the key database to transfer consumer keys
to the
retailer or distributor and transfer retailer or distributor keys to the
consumer. In one
embodiment, the key server is managed by an independent company, trusted
industry
organization, or the government. The system can further include a credit or
debit account
server which manages the various accounts, including the consumer account, the
retailer
1o account, the distribution account and the owner account. In one embodiment,
the credit or
debit account server can be managed by a credit card company, a bank or
similar
organization. Alternatively, the key distribution and credit/debit functions
can be
managed on the same server or jointly by one or more of the organizations
identified
above.
The method according to the present invention can include the following steps:
The consumer or customer can use the client system to establish a connection
with the
server system. If the client system does not have a unique key and thus is not
registered
with the server system (and the owner, distributor or retailer), the client
system and server
system interact to enable the consumer to register with the distributor or
retailer such as
2o providing the customer name, address, telephone and even credit card
information. The
server system generates a unique key for the client system and transmits the
unique key to
the client system to use in connection with transactions with the server
system.
Preferably, the unique key is embedded into the software and/or hardware which
makes
up part of the client system, and is transmitted or delivered to the consumer.
The client
zs system which contains the unique key is now used in all subsequent
transactions with the

WO 00/62232 CA 02368858 2001-09-26 pCT~S00/09774
s
distributor or retailer server. The consumer uses the client system to
purchase a work
such as a song or group of songs, such as an album, from the distributor or a
product or
service from a retailer. Because the client system has a unique key, the
client system can
be used to enter into an electronic transaction with the distributor or
retailer by simply
s selecting the work or the good or service desired from a list, such as a
menu or a web
page, and manifesting an intent to enter into the transaction, such as by
clicking on a
button, typing a letter or word or transmitting information (such as
credit/debit card or
account information) to the server system. Once the consumer manifests the
intent to
enter into the transaction, the act can be recorded by the server system and
the server
io system can utilize the electronic commerce system to affect the transfer of
value to the
appropriate parties or the server system. If the value is successfully
transferred, the
server system can encrypt the work using the consumer's unique key and
transmit the
work to the client system or in the case of hard goods or services, interact
with other
systems to cause the goods or services to be delivered to the consumer. In an
alternative
is embodiment, the method and system of the invention can use a public key
encryption
system in which the server system uses the consumer's public key to encrypt
the work to
be transmitted to the client system and the client system uses the client's
private key to
decrypt and use and enjoy the work.
2o BRIEF DESCRIPTION OF THE DRAWINGS
The foregoing and other objects of this invention, the various features
thereof, as
well as the invention itself, may be more fully understood from the following
description,
when read together with the accompanying drawings in which:
FIGURE 1 is a diagrammatic view of a system for distributing works over a
25 network according to the present invention;

WO 00/62232 CA 02368858 2001-09-26 pCT/US00/09774
9
FIGURE 2 is a diagrammatic view of an alternate system for distributing works
over a network according to the present invention;
FIGURE 3 is a diagrammatic view of a method of operating a media server in
accordance with the present invention;
FIGURE 4 is a diagrammatic view of a method of distributing low quality copies
of a work according to the present invention:
FIGURE 5 is a diagrammatic view of a method of distributing high quality
copies
of a work according to the present invention:
FIGURE 6 is a diagrammatic view of a method of using a media player to decrypt
~ o and play an encrypted work according to the present invention;
FIGURE 7 is a diagrammatic view of a method of searching a database for a work
according to the present invention;
FIGURE 8 is a diagrammatic view of a method of demonstrating a low quality
copy of a work according to the present invention;
is FIGURE 9 is a diagrammatic view of a method of downloading a high quality
copy
of a work according to the present invention;
FIGURE 10 is a diagrammatic view of method of purchasing a copy of a work
according to the present invention;
FIGURE 11 is a diagrammatic view of a method of uploading music to a
2o distribution server according to the present invention;
FIGURE 12 is a diagrammatic view of a method of transferring value in exchange
for the receipt of a work according to the present invention;
FIGURE 13 is a diagrammatic view of a method of registering a client system
with
a server system according to the present invention;

WD 00/62232 CA 02368858 2001-09-26 pCT/US00/09774
FIGURE 14 is a diagrammatic view of method of browsing a server system
database to select a work according to the present invention; and
FIGURE 15 is a diagrammatic view of a universal electronic commerce for
distributing works and conducting electronic transactions for the sale of
goods and
5 services over a network according to the present invention.
DETAILED DESCRIPTION OF THE PREFERRED EMBODIMENTS
The present invention is directed to a method and system for conducting secure
electronic commerce transactions. In order to illustrate the application of
the invention
and to facilitate a better understanding of the invention, the invention is
described below
10 as embodied in a method and system for distributing music over a network
such as the
Internet. While the invention is suited for distributing copyrightable works
(such as, for
example, music, audio, video and text) in electronic form, a person having
ordinary skill
in the art will appreciate, the invention can be embodied in a method and
system for
conducting electronic commerce such as retail sales over a network.
The method and system according to the invention allow customers to browse a
list
of music, listen to a preview, and purchase a copy of encoded music files
(such as MP3
encoded files) over the Internet. In accordance with the invention, three
components can
be used to accomplish this task: 1) a Media Server; 2) a Remote or client
system
(customer); and 3) a website and associated backend system. In one embodiment,
the
2o media server is primarily responsible for distributing music to users
across the Internet.
In this embodiment, the system server can be a physical machine connected to
the Internet
and the media server can include a computer program software that runs on one
or more
system servers. The remote or client system can include any device (such as, a
computer,
personal digital assistant or portable MP3 player) that can be used for
searching, playing,
and purchasing music. The web site has a mufti-purpose role. The web site is
used for

CA 02368858 2001-09-26
WO 00/62232 PCT/US00/09774
11
database maintenance and searching, credit card processing, and song playback.
Each of
these components utilize a database of information centrally stored on the
system servers.
Figure 1 shows a system 100 for distributing music over a network such as the
Internet 105 in accordance with the present invention. The system 100 includes
a media
web server 110 such a Unix or LINUX based web server, for example Slackware
Linux,
installed on an Intel Corp. (Santa Clara, CA) or Digital Equipment
Corporation/Compaq
(Houston, TX) or Sun Microsystems SPARC (Palo Alto, CA) based computer 112.
The
media web server 110 is connected to the Internet 105, for example by a T1
connection.
The media web server 110 can include a database 114, such as a SQL compatible
database
1o created by MySQL available from T.C.X DataKonsult AB of Stockholm, Sweden.
The
media web server 110 can include a media server engine 112 which includes
software
which enables the media web server to distribute encoded music. The media web
server
110 can include an electronic commerce engine 116, such a CyberCash
CashRegister
Payment Services available from CyberCash, Inc. of Reston, Virginia. The media
web
server 110 can further include an encoding/decoding engine such as an MPEG
encoding/decoding engine for converting audio such as music to various levels
of quality
and an encryption engine for generating unique keys and encrypting music
streams to be
downloaded by the client. One such MPEG encoding/decoding engine is Xaudio
available
from MPEGTV of San Francisco, California. One such encryption/decryption
engine is
2o BlowFish available from Counterpane Systems of Minneapolis, Minnesota.
Another
encryption/decryption engine can be a public key - private key system such as
Pretty Good
Privacy available from Network Associates. Inc. of Santa Clara, California.
The system 100 can also include a customer computer system 120 to enable the
customer/consumer to transfer payment to the distributor or owner and download
music,
videos or text. The customer computer system 120 can be any personal computer
122,

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12
such as an Apple Maclntosh or an IBM compatible personal computer. In one
embodiment, the customer computer system 120 is an IBM compatible personal
computer
running the Windows operating system available from Microsoft Corp., Redmond,
Washington. The customer computer system 120 can also include Netscape
Communicator or Microsoft Internet Explorer as the browser software used to
access the
web site on the Media Web Server 110. The browser can be equipped with a media
player "plug-in" software module or media player computer program or applet
124 which
can decrypt and decode the encrypted, MP3 encoded work (music, video or text
stream) to
allow the user to utilize the work. Alternatively, the media player 124 can be
a stand
to alone application that can be enabled to access the Media Web Server 110
via the Internet
to browse a list of songs (videos or texts) available for download and
complete the
electronic transaction.
The system 100 can further include an author/artist system 130 which can
permit
an author, artist, musician or owner of a work to upload a work to the media
web server
110. This function can be incorporated in the media player 124 on the same
system that is
used by the customer as discussed above or can be a separate component that is
installed
on separate client system 230. Like the customer client system 120, the
author/artist
system 130 can be any computer, such as an Apple Macintosh or an IBM
compatible
personal computer 132.
2o Figure 2 shows an alternative system 200 for distributing music (audio,
video or
text) over the Internet in accordance with the present invention. In this
embodiment, the
functions of the media web server described above can be distributed over
several server
systems 210 and 211. For example, the an incoming media server 211 can be
provided
for uploading works such as music, videos and text to a common database 214
and an
outgoing media web server 210 can be provided for distributing low quality
music (for

WO 00/62232 CA 02368858 2001-09-26 pCT~S00/09774
13
browsing) and high quality music (for purchases) to customers. The outgoing
media
server 210 can include a media server engine 212 to distribute music and an
electronic
commerce engine 216 to facilitate electronic transactions. The outgoing media
server 210
can also include the encryption engine 218 and a key database which allows the
high
quality music to be encrypted prior to being transferred to the customer
system 220 to
prevent unauthorized distribution of the music.
In accordance with one embodiment of the invention, the media server is a
central
element of the system. The media server is primarily responsible for
distributing music to
users of the system. The media server can run on one or more system servers
connected
1o to the Internet. The media server is continuously running; it waits for
requests from
remote clients at customer systems and then processes those requests. In
accordance with
the inventions, there are two types of download requests the media server acts
upon: (1) a
request for a low quality stream, and (2) a request for a high quality stream.
Both
processes are handled in a similar manner, but an additional step is required
for a high
quality stream.
As shown in FIGURE 3, when the media server program loads, it enters the ready
state at step 310 and begins listening for requests on a predefined port, such
as, for
example port 3005. Whenever a remote client requests a stream, the request is
received at
port 3005 on the system server for processing by the media server at step 312.
Upon
2o receipt of a request, the media server determines whether the received
request is a request
to browse or preview a song (low quality) or a request to purchase a song
(high quality) at
step 314. Depending upon whether the request is a request for a high quality
stream or a
low quality stream, the media server will initiate a process to transmit a
high quality
stream at step 316 or a low quality stream at step 318. Typically, the media
server will
begin a new process to handle the client (the remote) individually. This new
process will

WO 00/62232 CA 02368858 2001-09-26 PCT/US00/09774
14
connect back to the remote on a different predefined port, such as, for
example, port 3006
to handle the data stream. This design allows for the media server to handle
simultaneous
streams without any interference between them. The media server seems to be
limited
only by the available hardware.
As shown in FIGURE 4, when a remote client requests a low quality media stream
(a browse), the media server responds by creating a new process to serve the
request at
step 412. This process identifies the stream requested and opens the
appropriate low
quality file on the server at step 414. The media server then begins to send
the file in
packets across the Internet to the remote client at step 416. This process
continues
1o sending packets until either the end of the file is reached, or the
connection to the remote
client is lost at step 418. When the process terminates at step 420, it
returns the media
server to its previous state.
As shown in FIGURE 5, when a remote client requests a high quality stream (a
purchase), the server reacts responds in a similar manner. The server again
creates a new
process to handle the request at step 512. Because this file will be written
to disk for
multiple playbacks, the file is opened at step 514 and the file is encrypted
so it can not be
distributed after it has been purchased. This is accomplished by using the
unique
registration or key number assigned to the remote client. This information is
then used to
encrypt the file as it is being sent to the customer in step 516. Again, the
process
2o continues until the entire file has been sent to the remote client at step
518. After the
process is finished, it returns the server to its previous state at step 520.
The remote client can be a program that resides on the user's computer. The
remote client can include the functionality to play MPEG or any other encoded
music file,
search the music database at the website, request music streams from the media
server,
and allows purchasing of music. Except for the playback of local (on the hard
drive)

WO 00/62232 CA 02368858 2001-09-26 pCT~S00/09774
MPEG music files, all other processes require an Internet connection to
communicate with
the servers. There are two types of the remote client: (1) a basic player
client which is
limited by not allowing the purchase of songs, and (2) a registered player
client which has
all of the functionality required to use purchase and upload music to the
system servers.
5 After a user has downloaded the basic player client, they can register the
client. This
registration process is performed through the web site, and provides the
information
needed to process transactions (transfer value), and assigns a unique key to
be used in the
encryption and decryption process for purchased music. When a user has
completed the
registration process, a custom version of the registered player client is
downloaded to the
to user's computer.
Song playback is handled by song lists at the remote client. A customer can
create
custom song lists from low quality streams, purchased songs, and any non-
encrypted
audio file on the customer's computer. As shown in FIGURE 6, when a song is
played,
the remote client checks to see if the file is a local file at step 612 and if
so, the remote
15 opens the file at step 622, and passes it to the MPEG decoder. The decoder
takes the file
and decompresses it for playback, and then plays it. If the song is a
purchased audio file
at step 618, the file is first decrypted at step 620 and then passed to the
decoder at step
622. If the file is not a local file at step 612, the remote client
initializes a process to
download a low quality stream at step 614. In one embodiment, the MPEG
2o encoder/decoder is the X audio MPEG audio engine available from MPEGTV, LLC
of
San Francisco, California.
The song lists used by the remote client can be created from local files, or
streams
from the system server. As shown in FIGURE 7, when a customer wishes to add a
stream to the song list, the information needed to play the song is retrieved
through a
search of the database. When a customer enters a query, by band name for
example, the

WO 00/62232 CA 02368858 2001-09-26 pCT/US00/09774
16
remote client must pass the request to the system server. The remote client
connects to
the system server at step 712 and passes the request to the system database at
714. The
database then performs the search and passes the information back to the
remote client
where the information can be added to the song list at step 716 before closing
the
s connection at step 718.
As shown in FIGURE 8, when a user requests a low quality stream (a browse)
from the media server at step 812, the media server can establish a separate
connection to
the remote client for the purpose of transmitting the music data to the remote
client. As
the remote client receives the information from the media server, it is passed
to the MPEG
1o decoder at step 814 for playback. At this point the stream is treated as if
it were a local
file. As the information is retrieved from the media server, it is stored in
memory. The
information is never written to disk because it is intended that the song will
not be stored
permanently on the user's machine. In one embodiment, the low quality stream
is a
24Kb/s, 22KHz MP3 encoded stream or lower quality.
15 A shown in FIGURE 9, when a customer requests a high quality stream (a
purchase) at step 918 from the media server, the process is similar to a
browse. A high
quality stream is initiated in step 912 and the song is downloaded. A
purchased song is
not played as it is downloaded. Because the file is purchased, the file is
stored in its
encrypted form on the memory of the customer's system in step 914. This allows
the
2o customer to listen to the file without the need to be connected to the
Internet. In one
embodiment, the high quality stream is a 128kb/S, 44.1KHz MP3 encoded stream
or better
quality.
As shown in FIGURE 10, customers can purchase songs with the remote client.
Customers must first purchase points from the web site before purchasing
songs. When a
?5 customer buys a high quality sound file, the remote handles the
transaction. A connection

W~ 00/62232 CA 02368858 2001-09-26 pCT/US00/09774
17
is established to the database on the system server in step 1012. The remote
client checks
the database for points to purchase the song at step 1014. If a customer has
points
available at step 1016, the number of points is automatically updated in the
database at
step 1020, the database connection is closed at step 1022, and the remote
client initiates a
high quality stream from the media server at step 1024. If the customer
doesn't have
enough points at step 1016, the customer is informed of the deficiency and the
process is
terminated at step 1018.
As shown in FIGURE 11, musicians can upload their music to the database using
the remote client. The musician needs only a high quality audio file such as a
128 kb/s,
44.1 kHz, Stereo MP3 file and a musician account in the database. A musician
account
can be created on the web site by a registered customer. When the process
begins, the
musician can be prompted to select the items to be uploaded at step 1110 and
to input
information about the song at step 1112. This information can be stored and
later used in
searches of the database. The remote client then connects to the database at
step 1114,
updates the information in the database at step 1116, and uploads the file to
the system
server at step 1118. After the song upload is complete, the database
connection is closed
at step 1120. Once the file is saved on the server, a separate process can be
used to create
the low quality file at step 1122. For example, the high quality file is
decoded into .wav
format, then encoded into a low quality (24 kb/s, 22 kHz, Stereo) MP3 and
saved. The
2o song will be available once it has been checked for errors.
The web site provides a range of functionality to both customers and
musicians.
Some of the functions the web site can perform are: (1) To collect a variety
of user
information, (2) Credit card processing, (3) Client registration, and (4)
Generating listings
from search of the database. Information can be collected throughout the web
site using
2s HTML forms and stored in the database. Credit card processing can be
handled through a

WO 00/62232 CA 02368858 2001-09-26 pCT~S00/09774
18
3'd party service, such as cyber cash payment services available from Cyber
Cash, Inc.,
Reston, Virginia. Client registration provides the customer with a fully
functional remote
client that can be used to purchase music. The band information features,
musician listings
and musician information, rely on querying the database for information, and
presenting it
to the user.
One portion of the e-commerce system is credit card processing. As shown in
FIGURE 12, when the customer purchases points, the customer must select a
payment
method at step 1210 and enter the transaction information such as credit card
information
to complete the transaction at step 1212. Points can be used to purchase
songs. The
1o number of points a user currently has is tracked in the database. Unlike
the rest of the web
site, the credit card processing pages use secure sockets (SSL) to handle the
communications. The web site sends the appropriate information to a 3'd party
service for
authentication at step 1214. When a response is received from the
authentication service,
if the transaction is approved at step 1216, the program updates the database
at step 1220
and if the transaction is not approved, and informs the user of the result of
the transaction.
Although a customer can browse music and play MP3 files with the basic remote
client, a customer must have a registered remote client to purchase high
quality files. As
shown in FIGURE 13, when a customer wishes to register at step 1310, they
provide
general information about themselves for use by the distribution source at
step 1312.
2o After this information is stored in the database at step 1314, a unique key
is assigned to
the customer for use in the encryption and decryption process of the high
quality sound
files at step 1316. A custom registered remote client program is then created
with the
appropriate registration information and sent to the customer at step 1318. A
customer
can now purchase high quality sound files and listen to them.

WO 00/62232 CA 02368858 2001-09-26 pCT~S00/09774
19
The artist and band listings provide the customer with the ability to locate
artists
and bands based upon a variety of criteria. The artist/band listing is
maintained by the
website backend. When a search is passed to the backend, it first establishes
a connection
to the database. When the connection is established, the backend sends the
request to the
database and waits for a response. As the information is returned from the
database, it is
formatted according to template files. These templates provide instructions
for how the
information is formatted in standard HTML. The generation of artist/band
listings can be
initiated by: (1) custom searches of the database from the web site, or (2)
changes to the
database.
to In addition, as shown in FIGURE 14, a customer can also initialize a browse
function from the web site at step 1410. When a customer selects a song from
the web
page, the web backend sends a file associated with the remote to the user's
web browser at
step 1412. When the web browser receives this file, it automatically launches
the remote
client at step 1414. This file contains instructions that initiate a low
quality stream of the
1 s song selected from the web site.
Figure 15 shows a system 1500 for conducting electronic commerce over the
Internet in accordance with the present invention. In this embodiment, the
system
includes a plurality of servers 1510, 1520, 1530 and a universal electronic
commerce
client 1550. The client 1550 can include a web browser 1554 which is
configured to
2o include a unique encryption key or other unique identifier 1556 which is
used for all
electronic transactions with a retail web server 1530 which allows for the
secure purchase
of goods, services or works (audio, video or text). The retail web server 1530
can include
any computer server coupled to a retailer/distributor database 1532 that is
used in
electronic transactions for the sale of goods. services or the distribution of
audio, video or
25 text works. The system 1500 can also include a key encryption system in
which the

W~ 00/62232 CA 02368858 2001-09-26 pCT~S00/09774
client's unique private key is stored in an independent, trusted public key
server 1520 and
associated key database 1522 which can only accessed by authorized retailer or
distributor
servers. The system 1500 can also include a credit/debit web server 1510 which
permits
the customer to establish an account and provides for the transfer of value
(payment) in
5 exchange for works downloaded. The credit/debit web server 1510 can include
a
credit/debit database 1512 in which customer, retailer, distributor and owner
accounts can
be stored.
As one of ordinary skill will appreciate, the system of the present invention
can be
used to distribute works (audio, video or text) in a business to business
context as well as
1o a business to consumer or customer context. For example, music can be
distributed for
use in offices, waiting rooms and elevators using the above identified system.
In this
embodiment the music can be downloaded as needed based on a predefined program
or
downloaded and stored for later playback according to a predefined program.
Alternatively, the browse mode can be used to receive predefined or random
streams of
15 music for use in offices, waiting rooms or elevators, etc.
The invention may be embodied in other specific forms without departing from
the
spirit or essential characteristics thereof. The present embodiments are
therefore to be
considered in respects as illustrative and not restrictive, the scope of the
invention being
indicated by the appended claims rather than by the foregoing description, and
all changes
2o which come within the meaning and range of the equivalency of the claims
are therefore
intended to be embraced therein.

Representative Drawing
A single figure which represents the drawing illustrating the invention.
Administrative Status

2024-08-01:As part of the Next Generation Patents (NGP) transition, the Canadian Patents Database (CPD) now contains a more detailed Event History, which replicates the Event Log of our new back-office solution.

Please note that "Inactive:" events refers to events no longer in use in our new back-office solution.

For a clearer understanding of the status of the application/patent presented on this page, the site Disclaimer , as well as the definitions for Patent , Event History , Maintenance Fee  and Payment History  should be consulted.

Event History

Description Date
Inactive: IPC expired 2022-01-01
Inactive: IPC expired 2013-01-01
Inactive: IPC expired 2012-01-01
Inactive: IPC expired 2012-01-01
Inactive: IPC deactivated 2011-07-29
Application Not Reinstated by Deadline 2006-04-12
Time Limit for Reversal Expired 2006-04-12
Inactive: IPC from MCD 2006-03-12
Inactive: IPC from MCD 2006-03-12
Inactive: IPC from MCD 2006-03-12
Inactive: IPC from MCD 2006-03-12
Inactive: First IPC derived 2006-03-12
Inactive: Abandon-RFE+Late fee unpaid-Correspondence sent 2005-04-12
Deemed Abandoned - Failure to Respond to Maintenance Fee Notice 2005-04-12
Inactive: Entity size changed 2002-04-04
Inactive: Notice - National entry - No RFE 2002-03-18
Letter Sent 2002-03-18
Inactive: Cover page published 2002-03-12
Application Received - PCT 2002-02-21
Application Published (Open to Public Inspection) 2000-10-19

Abandonment History

Abandonment Date Reason Reinstatement Date
2005-04-12

Maintenance Fee

The last payment was received on 2004-03-18

Note : If the full payment has not been received on or before the date indicated, a further fee may be required which may be one of the following

  • the reinstatement fee;
  • the late payment fee; or
  • additional fee to reverse deemed expiry.

Patent fees are adjusted on the 1st of January every year. The amounts above are the current amounts if received by December 31 of the current year.
Please refer to the CIPO Patent Fees web page to see all current fee amounts.

Fee History

Fee Type Anniversary Year Due Date Paid Date
Basic national fee - small 2001-09-26
Registration of a document 2001-09-26
MF (application, 2nd anniv.) - standard 02 2002-04-12 2002-03-27
MF (application, 3rd anniv.) - standard 03 2003-04-14 2003-03-25
MF (application, 4th anniv.) - standard 04 2004-04-13 2004-03-18
Owners on Record

Note: Records showing the ownership history in alphabetical order.

Current Owners on Record
DIGITAL MEDIA ON DEMAND, INC.
Past Owners on Record
BRETT P. FASULLO
ROD I. CAMPBELL
SAMUEL P. HEADRICK
STEPHEN D. HESTER
TY P. RAUBER
Past Owners that do not appear in the "Owners on Record" listing will appear in other documentation within the application.
Documents

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Document
Description 
Date
(yyyy-mm-dd) 
Number of pages   Size of Image (KB) 
Representative drawing 2002-03-10 1 12
Abstract 2001-09-25 1 68
Description 2001-09-25 20 872
Claims 2001-09-25 2 63
Drawings 2001-09-25 15 157
Reminder of maintenance fee due 2002-03-06 1 113
Notice of National Entry 2002-03-17 1 195
Courtesy - Certificate of registration (related document(s)) 2002-03-17 1 113
Reminder - Request for Examination 2004-12-13 1 116
Courtesy - Abandonment Letter (Maintenance Fee) 2005-06-06 1 174
Courtesy - Abandonment Letter (Request for Examination) 2005-06-20 1 166
PCT 2001-09-25 10 415
PCT 2001-09-25 1 56