Abstract: A system and method for securely downloading digital music data includes a portable handheld device having a detachable smart card for decrypting encrypted music as it is played thereby allowing the portable device to receive and play encrypted music files. The smart card includes both a digital decryption key and hardware that decrypt the encrypted music using the key. The portable handheld device is configured to connect to a remote server, using the decryption key to establish a secure data communications channel, in order to receive the encrypted music files from the remote server. In an alternative system, a personal computer (PC) that is configured to connect to the smart card allows the PC to download and play the encrypted music. In another aspect of the system and method, the smart card provides the remote server with information that is used to pay for the downloaded digital music data. In one embodiment, the smart card has a stored monetary value that is read and modified by the remote server.

Abstract: A portable device including a player capable of playing and recording digital data and a hard disk connected to the player for storing a relatively large capacity of digital data that can be transferred to and from the player. The hard disk is dedicated to the storage of digital data and program files for use with the player. The portable device can include a player and hard disk that are selectively detachable from one another. Alternatively, the player and hard drive can include an integrated construction wherein the player and the hard disk are incorporated into a single housing, preferably having a single circuit, such as a printed circuit board (PCB). In the integrated portable device, the typical electronics for managing the data on a hard drive are preferably integrated with the recording, playing, or displaying electronics. In addition, certain electronic components may be shared by the hard disk controller and player electronics, thus further reducing the cost and size of the portable device.