In a world first, Linius Technologies (ASX: LNU) plans to create a virtual video blockchain, which the company claims will “revolutionise” the way video is distributed and consumed across the world and eradicate piracy.
Currently, video files are too large and the standard MP4 format does not work in a blockchain. Linius has developed a virtual video technology which is a much smaller size than traditional video files.
The company believes its Linius Blockchain video technology will enable users safely and securely transfer video. The transfer will be visible to all parties and the video can’t be played until the parties agree the transfer was legitimate.
According to the company, its video blockchain technology will protect, distribute and monetise the video itself.
This would give studios automatic transparency across the distribution chain and remove intermediaries.
Content creators would be able to distribute and monetise their creations with guaranteed tracking, royalty payments and auditing capabilities.
With users often illegally passing content between themselves, Linius anticipates its technology will ensure all owners are paid.
The company plans to use Proof of Work to guarantee the integrity of its blockchain ledger, which is also used by Bitcoin and Ethereum.
Linius to use Microsoft AI to boost video search
This news follows Linius’ latest move to incorporate Microsoft’s artificial intelligence services into its Video Virtualisation Engine, which transforms video search capabilities.
Similar to a text-based search, the integration of Microsoft’s cognitive artificial intelligence services for video and Video Virtualization Engine enables users to search within videos to instantaneously return only relevant results.
The technology can be used to search videos across sports, entertainment, education, corporate communications and other industries.
According to Linius, it’s technology is the only one that can do this search within a video or videos, with video making up almost 80% of all internet traffic. Linius predicts video will account for 82% of internet traffic by 2021.
How Video Virtualization Engine works
Linius’ Video Virtualization Engine works by converting traditional static video files into an interactive virtual video that can be manipulated in transit to its destination.
In the final step, the video file is instantaneously reassembled at its destination.
The company describes it as “splitting the atom of traditional video”, which can then be tagged, indexed, parsed, spliced, managed and manipulated on the fly.
Shares in Linius soared 18% in early morning trade to peak at A$0.13 before dipping slightly to A$0.12 – up more than 9% on yesterday’s closing price of A$0.11.