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May 20, 2016 12:35 EDT

Cryptsonic, Inc – A Data-Object DRM Overlay Service that contributes to social development for the purpose of global distribution of digital contents

iCrowdNewswire - May 20, 2016

Cryptsonic, Inc.

Cryptsonic, Inc.

A Data-Object DRM Overlay Service





Cryptsonic, Inc. contributes to social development for the purpose of global distribution of digital contents by providing a simple and secure method that enables users to take advantage of Internet distribution of media, yet still protect the intellectual properties belonging to companies, organizations and individuals.

In the exponential growth of Internet, the files in various kinds of digital formats are freely and easily downloaded and distributed. However, those file exchanges are not always legally made. In particular, the recent advancements in computer technologies allow individuals to copy files that may infringe on copyright protected contents, and the industry is suffering from it.

There currently exist many DRM (Digital Rights Management) technologies in the marketplace, but none is perfect because there has been no such DRM system that fits all digital contents and those technologies have much of risk of so-called digital piracy which is illegal use of digital contents. It is a serious problem that online community is facing with. Annual losses in U.S. are $250 billion for entertainment and $3 billion for e-books industries.

Our mission is to eliminate such unauthorized use of copyright-protected digital contents such as e-books, videos and music and offer a balanced content delivery platform to all participating stakeholders. We will contribute to prosperity of the future digital content businesses through making our technology an industry standard as we spread it among not only early adopters but also majorities and laggards of new technology.

The Company

Cryptsonic, Inc. was incorporated in 2005 in the state of California. It is owned by Mr. Seiji Eto and his friends and family. He has extensive experience in software engineering worked at several top-notch companies in Silicon Valley. The company intend to hire one person as vice president in charge of business matters such as sales and marketing. Engineering activities will be outsourcing for the time being. Recruit at later time will be under consideration depending on the situation.

Product and Service

We will solve the above mentioned piracy problem, providing a framework to protect those digital contents by implementing our newly-introduced DRM technology and its patent, #8,291,219, was granted by USPTO. Our technology allows both streaming and downloading for videos and music while most content providers are now hesitating to conduct the downloading activity which is the most promising revenue source because of a fear of piracy.

The following are our products and services to accomplish our mission:

  • We develop a movie portal with a special Set Top Box (STB) utilizing our DRM technology in software treatment.
  • We design and develop a special DRM chipset embedded in such consumer devices as PC, smartphone, tablet and e-book reader for electrical manufacturers.
  • We develop an integrated system including prototyping of a special reproducing device with which the above chipset is embedded to protect those digital contents, and provide consultation to implement our technology for the companies who need it.

Because those authentication methods of our technology are capable of not only handling right-protected digital contents, but also making digital textbooks and utilizing e-books on the daily library operation. We also plan to go into the education field in the future.


Our product is an Internet digital content delivery system utilizing our patented technology through cyber-physical approach, which can provide a perfect copyright protection for content holders, providers, electrical manufacturers who need to prevent the illegal use of digital contents. We will design and develop both special hardware devices and software programs for that purpose.

As our potential customers are only the companies who want to implement a perfect DRM technology and are either new or existing, we are an OEM for them and our business deals are all B2B sale of products and services on contract basis. Target customers are Netflix, Hulu and other companies who are conducting content delivery service and major electrical manufacturers such as Apple, Sony, Dell and NVIDIA are target for chipset. Revenue will come mainly from STB and chipset sales, licensing and consulting.

This technology can fit to all the digital contents without a fear of piracy. Therefore, the potential market losses from piracy will become soon to turn to gains.

Financial Considerations

The founder of Cryptsonic, Inc. has spent over $220,000 for the past ten years and all we have to do for the rest of our mission requires a corporate size of budget. We need $600,000 for the initial investment for the STB creation and its sales and marketing operation. Then, we need to buy a facility for chipset creation whose cost is at around $2,000,000. This may be able to come from the revenue on the STB business or we may need another equity investment round depending on the financial situation of the company at that time. As soon as the STB prototyping is completed, we will start to offer our products to those customers, expecting late 2016. The chipset business will begin late 2017.

The total profit outlook from both hardware and software for the first year would be $1.2 million, $5.3 million for the second year and $42.5 million for the third year.
















Contact Information:

Seiji Eto

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