USPTO Examiner Finds Watermark Patent Claims Allowable

Vancouver, BC – April 12, 2011 – Destiny Media Technologies, Inc. (DSY-TSX, DSNY-OTCBB) is pleased to announce that the US Patent and Trademark Office issued an office action on April 7th, 2011 which expressed the view that eleven of the twenty five currently pending claims in Destiny's pending watermark patent application recite allowable subject matter.

The company intends to file a response with minor changes and expects that a US patent would be granted in the next three to four months. The company also intends to file a continuation (child) patent application, which will pursue claims directed toward subject matter that may not yet have been allowed and directed toward other novel features of the invention.

This technology is valuable to the music industry as it allows them to identify the source of pirated music. For example, it could be used to allow consumers to purchase and make personal copies of digital music, while making illegal online sharing traceable. With patents in place, the company will be in a position to widely license the technology.

This watermarking solution has several significant advantages over competing alternatives. Destiny's inaudible mark is nearly impossible to remove and it survives compression, conversion to other formats and on air broadcast. It is much faster to embed and detect than other techniques and it is uniquely integrated into the music industry's web crawler which finds illegal content on torrent and web sites, then analyzes the content for Destiny's mark to identify the source.

Patent applications are pending in the US, Canada, Europe and Japan.