DivX Inc, the company that owns the codec which made your early 2000s movie downloads look actually not too bad, is being acquired by Sonic Solutions, a content delivery company, for a reported $US300 million. Sonic's been working in circular media like CDs and DVDs for years - they own the popular Roxio brand - but is now looking to the internet as the content delivery platform of the future. DivX, a current competitor of Sonic's, has been helping deliver video content to internet users, legally and otherwise, for years.
Last year Sonic Solutions partnered with Best Buy to provide a video content delivery network for the retailer, with the eventual aim of providing Sonic's CinemaNow stremaing movie service on Best Buy's entire line of internet-connected devices. DivX already handles the digital content for Warner Bros, Sony Pictures, Paramount, Lionsgate and Overture Films, so from the looks of things the acquisition will quickly make CinemaNow a whole lot more cinematic. [Sonic]