JPEG2000 is the latest international standard for image compression. The rich feature set and the state of the art image compression performance make JPEG2000 an attractive alternative for many applications. One of the latest applications to utilize JPEG2000 is digital cinema. Digital Cinema Initiatives (DCI) is a joint venture of seven major Hollywood studios. DCI was formed to establish specifications for an open architecture for digital cinema. As part of these specifications, DCI has selected JPEG2000 for future distribution of motion pictures. In this paper, we provide a brief overview of the DCI specification and discuss how JPEG2000 is utilized within this specification.