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ArchivesPenn. Judge Says File-Swappers Targeted by RIAA Must Be Advised of RightsAuthored by Mark Hefflinger on October 29, 2004 - 4:28am.
Philadelphia -- A federal court in Pennsylvania has ruled that Internet service providers in the state who are served "John Doe" lawsuits by the Recording Industry Association of America (RIAA), asking for the identities of subscribers accused of copyright infringement, must first provide these subscribers detailed notices on the subpoenas, including information on their rights and how they can contest them. U.S. District Judge Cynthia Rufe ruled on Oct. 12 that ISPs must provide information, including a list of attorneys, to their subscribers targeted by the RIAA. "Receiving notice from your ISP that you are being sued by the record companies is a terrifying experience for the grandmas, students, and working mothers who have been caught up in the RIAA's lawsuit crusade," said Electronic Frontier Foundation legal director Cindy Cohn. "By requiring ISPs to include basic information such as the right to challenge lawsuits and where to go for help, the court took a big step toward helping people understand their options." Groups including the Electronic Frontier Foundation, Public Citizen and the ACLU filed briefs in the case supporting the judge's decision. While the ruling only applies to ISPs in the Eastern District of Pennsylvania, Public Citizen attorney Paul Levy noted, "We can only hope that judges throughout the country will follow this example."
RIAA Sues Another 750 Alleged Song-Swappers for Copyright InfringementAuthored by Mark Hefflinger on October 29, 2004 - 4:27am.
Washington -- The Recording Industry Association of America (RIAA) announced on Friday that it has sued another 750 alleged music file-swappers for copyright infringement, including 25 users from 13 different universities. In addition to the 750 "John Doe" lawsuits filed to obtain file-swappers' identities from their Internet service providers, the RIAA said it filed 213 separate lawsuits against defendants in 34 states and the District of Columbia identified through previous "John Doe" suits who declined or ignored an RIAA settlement offer. The RIAA has now sued a total of over 6,100 individual file-swappers for copyright infringement. The students targeted by the RIAA on Friday include some studying at Iowa State University, Ohio State University, Grinnell College and Indiana State University. "In order for legitimate services to continue their growth, we cannot ignore those who take and distribute music illegally," said RIAA president Cary Sherman. "There must be consequences to breaking the law or illegal downloading will cripple the music community's ability to support itself now or invest in the future." The RIAA also announced this week that CD shipments increased 10.2% in the first half of 2004.
L.A. Times: Sony BMG, Grokster Partner on Mashboxx Song Download ServiceAuthored by Mark Hefflinger on October 29, 2004 - 4:25am.
Los Angeles -- The Los Angeles Times reported on Friday that, in a major departure from the industry's legal campaign against peer-to-peer file-sharing technology, major record label Sony BMG is cooperating with Grokster -- a file-sharing company it also sued for copyright infringement -- on a new venture called Mashboxx that will offer its songs as paid downloads. Mashboxx is being headed by former Grokster president Wayne Rosso, who resigned last year to head Spanish P2P firm Blubster. While it's unclear if Mashboxx will be a true peer-to-peer service, people familiar with the venture told The Times that it would likely only offers users who search for a Sony BMG track the ability to download an authorized version of the song, such as a free low-quality version that included an offer to buy the CD-quality version. The service will also likely use technology developed by Snocap, a start-up founded by Napster founder Shawn Fanning. The Times reported that impetus for the Mashboxx project came from Sony BMG CEO Andrew Lack, who has urged other labels to support the venture.
Report: Cell Phone Games to Generate $1 Billion This YearAuthored by Mark Hefflinger on October 29, 2004 - 4:23am.
London -- Mobile game downloads will generate over $1 billion worldwide this year, a figure that will grow to $6.4 billion by 2010, according to a report from U.K.-based market research firm Screen Digest. Japan and Korea are currently responsible for nearly 80% of the market, where game download rates per handset are dramatically higher and average revenues per user were four times higher last year than in the U.S. and Western Europe. The report found 49 different game services offered in Europe, compared to just nine in the U.S., although U.S. cell phone users have on average more than twice the number of games available to them (203 games) than Europeans. The firm said a move towards flat-rate pricing for games, which is prevalent in Japan, would help fuel growth for the industry elsewhere, where customers are often charged for each game download as well as for the data airtime required to download the game. "It's barely two years since the first games download services were established in Europe, but now availability is almost ubiquitous and some operators offer more than 200 titles to their subscribers," said Screen Digest analyst Tim Green. "As the networks make their payment models more flexible and games developers apply more creativity to their designs, I'm sure we will see significant growth in the future."
N.Y. Times: MarketWatch Could be Sold for Up to $400 MillionAuthored by Mark Hefflinger on October 29, 2004 - 4:21am.
San Francisco -- The New York Times reports that MarketWatch, a San Francisco-based provider of online business news, financial information and analytical tools, could be sold for as much as $400 million. According to the report, the company, which operates the popular CBS MarketWatch.com site, has been actively seeking bids, though company officials declined to comment. Possible suitors may include The New York Times, the CBS unit of Viacom and Dow Jones & Co, publisher of The Wall Street Journal.
Report: World Market for Wireless Adult Content to Hit $1 Billion in 2008Authored by Mark Hefflinger on October 29, 2004 - 4:19am.
Boston -- The market for wireless adult entertainment content is expected to reach $90 million in the U.S. and $1 billion globally by 2008, according to a report this week from Boston-based market research firm Yankee Group. The firm said provider PhoneBox Entertainment receives more than 75 million hits per week at its PhoneErotica.com site. That company says less than 5% of users will enter credit cards to access premium content, while over 30% will allow direct billing to their wireless accounts. The report notes that most European wireless adult content consumers locate content by sending a premium SMS message, rather than browsing to a WAP site, as the network operator thus distances itself from being the actual provider of the content, acting instead as the delivery mechanism. Yankee Group said that if U.S. operators can develop a mechanism for protecting minors like the one used by Vodafone UK, they can safely profit from the opportunity.
U.K. Online Casino Sportingbet to Acquire Paradise Poker for $298 MillionAuthored by Mark Hefflinger on October 29, 2004 - 4:12am.
London -- Sportingbet, a U.K.-based online casino, announced this week that it has agreed to acquire Paradise Poker, a U.K.-based Internet poker website, for $298 million. The acquisition stands to make Sportingbet the largest online betting firm in the world. "This more than doubles us in size," said Sportingbet CEO Nigel Payne. "If we believed we were number one before, then we certainly are today." Sportingbet said that it currently has more than 1.2 million customers, a 30% increase compared to July last year. Sports bets increased by 36% over the same period, the company said. Paradise Poker, which boasts more than 97,000 active players, is currently the third-largest poker website in the world.
"Shrek" Producer DreamWorks Animation Raises $812 Million in IPOAuthored by Mark Hefflinger on October 28, 2004 - 4:49am.
Glendale, Calif. -- DreamWorks Animation, the computer-animated film production unit behind the successful "Shrek" franchise, raised $812 million in its initial public offering of shares (IPO) yesterday, and saw its stock rise nearly 40% in its first day of trading on Thursday. The company has estimated a share price of between $23 and $25, but the IPO price outperformed at $28 and climbed to close at $38.75 today. DreamWorks Animation will be headed by CEO Jeffrey Katzenberg, while David Geffen will sit on the board and former Pepsi chairman and CEO Roger Enrico will serve as chairman. The company will use funds from its IPO to pay off debt and fund future productions, which in 2005 will include "Madagascar" and "Wallace & Gromit."
Report: European Song Download Market to Reach $5.7 Billion by 2009Authored by Mark Hefflinger on October 28, 2004 - 4:46am.
Paris -- According to a new report by research and analysis firm Generator, the digital song download market in Europe will reach $5.7 billion (4.5 billion euro) by 2009, a figure that would account for about 40% of the total recorded music market. The report also predicted that the mobile channel will soon figure largely as a sales vehicle for digital music. "Depending on how the mobile operators play their hand, European consumers could spend as much as $777 million (610 million euro) on song downloads during 2009, about 13.5% of the total, and ringtones will be on top of that," said Generator research director Andrew Sheehy. To encourage the successful use of the mobile channel, however, Europe will first need to change its usage-based mobile data tariffs and adopt flat-rate 3G tariffs similar to those introduced in Japan by DoCoMo and KDDI, Sheey said.
Yahoo Unveils Mobile Search ServiceAuthored by Mark Hefflinger on October 28, 2004 - 4:45am.
Sunnyvale, Calif. -- Looking to expand its wireless Internet offerings, Yahoo has unveiled a new search service specifically designed for mobile users. The service, which launched Wednesday on Yahoo's wireless Internet portal on several major carriers across the U.S., allows mobile users to search for local information, images and Web resources on an array of mobile devices. Users will have access to standard search engine features, as well as business listings with phone numbers and maps, professional and community generated ratings, thumbnails of more than a billion images, a search shortcuts page enabling quick access to information and a feature that allows users to place phone calls from the search results page. The search engine is just the latest Yahoo stable to go mobile over the past year. Others have included the company's instant messenger and photo service.
3D Online Multiplayer Community "Second Life" Raises $8 MillionAuthored by Mark Hefflinger on October 28, 2004 - 4:43am.
San Francisco -- Linden Lab, creator of a 3D online multiplayer gaming community called Second Life, announced on Thursday that it has raised $8 million in a recent round of venture capital financing. Benchmark Capital led the investment round; Omidyar Network and existing investor Mitch Kapor also participated. For $9.95 per month, Second Life participants can "build everything from skyscrapers and medieval castles to games to vehicles of all kinds to clothing lines to nightclubs, in a richly immersive 3D landscape." Linden Lab says Second Life users buy and sell goods valued at over $1 million each month. The new funds will be used to purchase and develop new resources, servers, tools and features for the online world.
McDonald's to Offer DVD Rentals, Free Games from Shockwave.comAuthored by Mark Hefflinger on October 28, 2004 - 4:40am.
Los Gatos, Calif. -- DVDplay, a provider of self-service DVD rental kiosks, announced that it has extended a trial agreement with fast food chain McDonald's, and will install its kiosks in 13,000 restaurants over the next several years. The company has already installed 157 of its machines in 107 Denver-area McDonald's restaurants. Los Gatos, Calif.-based DVDplay also has deals to install its kiosks in 3,000 Albertsons and 3,500 Safeway grocery stores. Separately, McDonald's announced on Thursday that it has partnered with online games publisher Shockwave.com to give away 2 million 30-day subscriptions to Shockwave.com's GameBlast subscription service, through its Monopoly Best Chance Game 2.0. GameBlast, which normally costs under $10 per month, offers over 100 premium online games in an ad-free environment.
Sony to Release Smaller PlayStation 2 in U.S. on Nov. 1Authored by Mark Hefflinger on October 28, 2004 - 4:38am.
Tokyo -- Sony announced on Thursday that it will launch the new slimmed-down version of its PlayStation 2 video game console in Europe and the U.S. on Nov. 1, and in Japan on Nov. 3. The new PlayStation 2 is 2.8cm thick, compared to the current 7.8cm thick model, while its weight has been halved and its internal volume reduced by 75%. Sony also said the new model will feature technology enabling game play without the use of a controller. "In the future the combination of the new PlayStation 2 with new software you are able to play games without the controller and this is going to bring in lots of new people," said Sony Computer Entertainment Europe president David Reeves.
Ronning Lipset Radio to Sell Audio Ads for MSNAuthored by Mark Hefflinger on October 28, 2004 - 4:36am.
New York -- Ronning Lipset Radio, a recently launched online radio ad sales agency, announced that it has signed an agreement to sell 30- and 60-second audio ads on Microsoft's MSN Entertainment and Windowsmedia.com. The sites will join existing affiliates including the AOL Radio Network, Yahoo's LAUNCHcast and Live365 to combine their online radio audiences into a single media entity. "It is a huge event that these four players have come together under our company to go to market," said Ronning Lipset managing partner Andy Lipset. "Close to 10% of the total U.S. population, or 19 million people, listen to online radio every week according to Arbitron/Edison. Prior to this network being formed, it was impractical for traditional radio advertisers to look at this medium."
Bonds 700th Home Run Ball Draws $804,129 in Overstock.com AuctionAuthored by Mark Hefflinger on October 28, 2004 - 4:34am.
Salt Lake City, Utah -- Online retailer Overstock.com announced on Thursday that it has closed its online auction for the historic 700th home run ball of San Francisco Giants left fielder Barry Bonds, with a closing bid of $804,129 from an undisclosed buyer. The ball put Bonds into a league of other 700 home run hitters that includes Hank Aaron and Babe Ruth. Steven Williams, a 26 year-old mortgage broker from Pacifica, Calif., recovered the ball on Sept. 17 at SBC Park, and plans to donate a portion of his auction proceeds to Mothers Against Drunk Driving (MADD) and the Edgewood Center for Children and Families.
BSA Launches Anti-Piracy Campaign Targeting College StudentsAuthored by Mark Hefflinger on October 28, 2004 - 4:32am.
Washington -- Attempting to spread its message to those who haven't yet entered the corporate arena, the D.C.-based Business Software Alliance, an anti-piracy group whose members include Apple, Adobe, Macromedia, McAfee, Microsoft and Symantec, on Thursday launched a new awareness program targeting college students. The program, called "Define the Line," is designed to educate students about the importance of being "good cyber citizens and respecting the intellectual property of copyrighted works online." It also encourages students to use only legal software and to understand the impact of software theft. The BSA said that software piracy is becoming a growing problem at higher education institutions. According to a BSA-Ipsos study, only 32% of students are regularly paying for software.
Court Rules Lexmark Can't Invoke DMCA Against Third-Party Ink CartridgesAuthored by Mark Hefflinger on October 27, 2004 - 5:04am.
Louisville, Ken. -- A federal appeals court has overturned a ruling that banned a maker of replacement ink cartridges for printers from selling its products because they allegedly violated the Digital Millennium Copyright Act (DMCA). Kentucky-based printer maker Lexmark includes security chips in its replacement ink cartridges designed to prevent third-party companies from profiting off of toner sales. Lexmark sued North Carolina-based Static Control Components, arguing the company violated a provision of the DMCA that prohibits circumvention of copyright security on devices when it reverse engineered and released ink cartridges with chips that would be recognized and accepted by Lexmark printers. The 6th U.S. Circuit Court of Appeals in Cincinnati has ordered a lower court to hold new hearings on the matter. "We should make clear that in the future companies like Lexmark cannot use the DMCA in conjunction with copyright law to create monopolies of manufactured goods for themselves just by tweaking the facts of this case," the 6th Circuit wrote in its ruling. A similar ruling from an appeals court in Washington (Chamberlain v. Skylink) upheld the rights of companies to develop and sell "universal" remote control garage door openers.
Sony Sets $186 Price Tag, Dec. 12 Release for PSP Handheld in JapanAuthored by Mark Hefflinger on October 27, 2004 - 5:02am.
Tokyo -- Sony announced on Wednesday that it will launch its PSP (PlayStation Portable) handheld video game console in Japan on Dec. 12 with a price tag of $186, well below industry and analyst estimates of what the device might cost. The PSP is slated for release in the U.S. and Europe in early 2005. Sony said that 21 games are due out for the device by the end of the year -- including "Need for Speed Underground Rivals," "Tiger Woods PGA Tour" and "Metal Gear Acid" -- and that over 100 titles are currently in development for the PSP. Nintendo has scheduled the release of its new DS handheld console, which will carry a $149 price tag, ten days before the PSP hits store shelves in Japan.
Google Acquires 3D Satellite Image Provider KeyholeAuthored by Mark Hefflinger on October 27, 2004 - 5:00am.
Mountain View, Calif. -- Search engine giant Google announced on Wednesday that it has acquired Keyhole, a provider of digital mapping information culled from satellites and airplanes. Financial terms of the deal were not disclosed. Mountain View, Calif.-based Keyhole also offers software -- which Google said it will immediately discount from $69 to $29 -- that allows zooming from space-level to street-level, as well as the ability to tilt and rotate the view, and search for hotels, parks, ATMs or subways. "This acquisition gives Google users a powerful new search tool, enabling users to view 3D images of any place on earth as well as tap a rich database of roads, businesses and many other points of interest," said Jonathan Rosenberg, Google's vice president of product management.
Report: Three Hollywood Studios to Endorse Toshiba HD DVD StandardAuthored by Mark Hefflinger on October 27, 2004 - 4:58am.
San Francisco -- BusinessWeek Online reported on Wednesday that Toshiba is slated within the next week to announce deals with three Hollywood movie studios that have agreed to release films on the company's HD DVD high-capacity DVD format, which competes with rival Blu-ray DVD technology developed by Sony. Warner Bros., Universal and Paramount are soon expected to announce their support for HD DVD, while Disney is also reported to be in talks with Toshiba. The endorsement of Hollywood studios is seen as crucial for both formats in order to become the dominant standard for next-generation DVD discs, which will boost storage capacity from the current standard of 4.5B per disc to up to 30GB per disc. Sony will likely release Blu-ray DVD movies from Columbia, MGM and other movie studios it owns.
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