Digimarc Corporation provides media identification and management solutions to commercial entities and government customers in the United States. The company’s technology permits computers and digital devices to quickly identify relevant data from amounts of media content. Products and Services The company provides media identification and management solutions to commercial entities and government customers and licenses its technology and patent inventions to other solution providers. The company’s main government customer is the Central Banks, with whom the company develops, deploys, supports, and enhances a system to deter digital counterfeiting of currency using personal computers and digital reprographics. The company licenses primarily to commercial entities who use its technology and patented inventions in the media and entertainment industry. Commercial customers use a range of solutions from its business partners and the company to identify, track, manage and protect content as it is distributed and consumed—either digitally or physically—and to enable new consumer applications to access networks and information from personal computers and mobile devices. Many movie studios, record labels, broadcasters, creative professionals and other customers rely on digital watermarking as a means to: deter piracy and illegal use of movies, music and images; protect entertainment content from copyright infringement; track and monitor entertainment content for rights usage and licensing compliance; monitor advertisements to verify ad placement and measure return on investment; enhance information access, search and marketing capabilities related to media content; and enable fair and legitimate use of content by consumers. Digital watermarks are embedded into all forms of media and are imperceptible to human senses, but quickly detected by computers, networks or other digital devices like smartphones. In 2007, the company announced a relationship with The Nielsen Company (US) LLC (Nielsen), to license its patents in support of Nielsen’s television audience measurement. The Digimarc Discover platform delivers a range of media experiences to its readers on their smartphones. Unique to the Digimarc Discover platform is its ability to use various content identification technologies as needed, including its patented digital watermarking technology. The company’s licensees include AlpVision SA, AquaMobile, Arbitron, Civolution, Digital Space, IV, Microsoft Corporation, Monic, The Nielsen Company, Signum Technologies, Verance Corporation and Verimatrix, Inc. Intellectual Property The company’s patent portfolio contains digital watermarking, pattern recognition (sometimes referred to as fingerprinting), digital rights management and related fields. The company’s patent portfolio in digital watermarking and related fields included approximately 1,200 granted and pending U.S. and foreign filings, as of December 31, 2011. Markets The company’s patented inventions are used in various media identification and management products and solutions supporting various media objects, from movies and music to banknotes and secure credentials. Each media object enabled by its inventions creates the potential for several applications, such as: counterfeiting and piracy deterrence; content identification and media management; authentication and monitoring; linking to networks and providing access to information; and enhanced services in support of mobile commerce. Customers The company’s customers include the Bank for International Settlements; Nielsen, IV; Civolution; Verance Corporation; and a joint venture with Nielsen, TVaura LLC.