Samsung El.gdr Regulatory News (SMSN)

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A new category of flat screen LCD and plasma displays is being developed and marketed by major consumer electronics companies that provide stereoscopic 3D images both with and without the need for the viewer to wear glasses. Stereoscopic 3D images appear to have natural in and off-screen depth. 3D displays have already been included in mobile phones in Japan and Korea, in desktop PC displays and notebook computers in North America and Japan and in HDTVs in North America and Japan.

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DDD's solutions provide an important bridge between conventional two-dimensional (2D) software applications and content and the new 3D displays. Normal 2D pictures, video and computer graphics images are manipulated by DDD's patented software enabling them to be displayed on 3D displays without requiring the content to be created specially for a 3D display. DDD's solutions also enable automatic conversion of virtually any media from 2D to 3D without any pre-processing of the 2D image.

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DDD licenses these software applications, marketed under the TriDef® and DDD Mobile™ brand names, to consumer electronics manufacturers for inclusion with the 3D display products supplied to their end users. DDD also licenses its software directly to end users who already own 3D displays and through an international sales channel. DDD's customers include Sharp Corporation, Samsung Electronics, Wistron Corporation, Acer and Arisawa Manufacturing Company.

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In January 2010 Intel demonstrated DDD's 2D to 3D game conversion capabilities at the Consumer Electronics Show in Las Vegas. Intel's engineers worked closely with DDD's engineers to optimize the performance of the TriDef 3D software on Intel's latest notebook and desktop processors.

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In November 2009 DDD launched the Yabazam.com 3D movie portal. Visitors to Yabazam can preview and download a wide range of specially made high definition 3D movies that are compatible with DDD's TriDef 3D Experience PC software.

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In October 2009 Acer launched the Aspire 5738DG 3D notebook PC. The Acer Cinereal 3D entertainment application is based on DDD's TriDef 3D software and enables consumers to play popular PC games in 3D, watch normal 2D DVDs in 3D and automatically convert photos and videos to 3D. Over 70,000 Acer Aspire 3D notebooks were manufactured in the seven months ending March 31st, 2010.

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In January 2009 DDD signed a memorandum of understanding (MoU) with Wistron Corporation in relation to the licensing by DDD of its range of TriDef 3D solutions to Wistron and an equity investment by Wistron in DDD. DDD and Wistron intend to enter into five-year licence agreements, whereby DDD will receive licence fees relating to the use of DDD's TriDef software and hardware technologies by Wistron in various markets.

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In February 2008 Samsung and DDD entered into an development and license agreement to integrate DDD's TriDef 3D real time 2D to 3D conversion solution and 3D image processing architecture in a custom 3D image processing chip that will form the basis of Samsung's next generation 3D HDTVs.

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In February 2008 Samsung and DDD entered into an agreement to supply DDD's TriDef 3D Experience software solution as part of Samsung's 3D accessory pack for their range of 3D-ready plasma and DLP rear projection HDTVs.

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In February 2008 DDD delivered the first embedded 3D HDTV processor for the Hyundai IT 46" 3D LCD TV that is based on Arisawa Manufacturing's X-Pol 3D materials. The TriDef Core processor decodes the 3D television signal being broadcast to consumers in Japan on the BS11 TV network as well as converting high definition 2D content to 3D automatically.

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In July 2007 Samsung released the SCH-B710 'glasses-free' 3D mobile telephone in South Korea. DDD entered into a development and license agreement with Samsung Electronics allowing Samsung to include DDD's 3D mobile telephone software solution in Samsung's SCH-B710 3D mobile telephone. The license agreement yields a royalty to DDD for each handset manufactured.