DivXNetworks, the maker of video compression technology and an aspiring Internet VOD provider, signed its first content deal with indie distributor Strand Releasing. San Diego-based DivXNetworks makes the DivX compression/decompression system widely used for transmitting video through the Internet. In August, the company released its latest version, DivX 4.0, which is the centerpiece of its VOD products that will soon include encryption and digital rights management tools (added by Strand Releasing). The company has had conversations with Hollywood about adopting its technology for Internet movie distribution but has not signed deals with any of the major Hollywood studios Source: Videobusiness