Sony, DivX to Team for Content Distribution

Lost in the news at CES about another Sony product (Blu-ray) was the announcement of a deal between Sony and DivX which will allow onlnie retailers to serve up DivX files (legally) and also for those files to be played on DivX-Certified devices. The timing, of course, couldn't be better as PS3 Firmware 2.10 was just released with DivX support.

"This milestone agreement lays the foundation for Sony to offer high
quality video content in the DivX format to its retail partners for
playback on next-generation DivX Certified devices," said Kevin Hell,
CEO of DivX, Inc. "Consumers want the flexibility and choice to enjoy
high-quality video content from a range of retailers across a variety
of devices. We are very pleased Sony Pictures Television recognizes the
value of the DivX digital media solution and look forward to working
together to offer a great experience to consumers."

For obvious reasons, such as the fact that DivX is very popular for use in online distribution of video - illegally, that is - DivX has had a hard time making such deals.  Naturally anything released going forward is going to be loaded with DRM, however.