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Apple Releases Cheaper iPods, Will Distribute iPods to Duke Freshmen

Authored by Mark Hefflinger on July 19, 2004 - 5:14am.
Cupertino, Calif. -- Apple on Monday introduced its fourth-generation line of iPod digital music players, which feature lower prices and a longer 12-hour battery life. The company knocked $100 off the price of its 20GB (now $299) and 40GB (now $399) models, and eliminated its 15GB model entirely. Apple also changed the control interface of its regular iPod to the same "click-wheel" functionality featured on its iPod mini devices. Separately, Apple announced a pilot program with Duke University that will distribute iPods to the school's 1,650 incoming freshman this year, and set up a version of iTunes that will allow students to access class schedules and information, in addition to buying songs. "We're approaching this as an experiment, one we hope will motivate our faculty and students to think creatively about using digital audio content and a mobile computing environment to advance educational goals in the same way that iPods and similar devices have had such a big impact on music distribution," said Duke vice president of information technology Tracy Futhey.
tags: Apple | iPods | Releases | Duke | Freshmen |

French ISPs to Start Cutting Illegal Downloaders' Connections

Authored by Mark Hefflinger on July 19, 2004 - 5:13am.
Paris -- An agreement between French Internet service providers (ISPs) and the local music industry may allow government authorities to pull the plug on people who download music illegally, according to French news daily Liberation. Spearheaded by the French Ministries of Industry, Culture and Finance, the agreement could be signed as early as this week, Liberation said. If the agreement is approved, record labels monitoring peer-to-peer (P2P) networks would be able to file complaints about specific repeat offenders. In turn, a judge would be able to order an ISP to shut down that individual's Internet connection. Studies show that file-sharing is becoming increasingly popular despite the efforts of the international music recording industry. According to the OECD Information Technology Outlook 2004, the number of people using P2P networks to download music, movies, images, games and software from the Internet increased by 30% compared to the same period last year.
tags: French | Illegal | ISPs | Downloaders' Connections |

Napster Inks Deals With Six Schools for Campus Music Services

Authored by Mark Hefflinger on July 19, 2004 - 5:12am.
Los Angeles -- Napster, the digital music service unit of Roxio, announced on Monday that it has signed agreements with six schools to offer campus digital music services. The new deals with Cornell, George Washington University, Middlebury College, the University of Miami, USC and Wright State will complement Napster's existing agreements with Penn State University and the University of Rochester. Napster did not disclose whether students will be paying for the basic service as part of their tuition, but they will be charged $0.99 to burn tracks to CD or transfer them to portable players. Some schools will utilize Napster and IBM's "Super Peer" application, which caches the most popular Napster content on on-site IBM servers managed remotely by Napster. "Penn State's students have been thrilled with the Napster experience, downloading as many as 100,000 songs each day," said Penn State president Graham Spanier. "We see our Napster implementation as central to our effort to create a more student-centered university while at the same time offering an alternative to music piracy and copyright infringement."
tags: Deals | Napster | Schools | Campus | Music Services |

New Microsoft Group to Foster Relationships with Media, Entertainment Firms

Authored by Mark Hefflinger on July 19, 2004 - 5:11am.
Redmond, Wash. -- Microsoft on Monday announced the formation of a new group within the company that will focus on developing relationships with the media and entertainment industries. The company said its new Media/Entertainment & Technology Convergence Group will "consolidate and drive the company's strategies for the digital convergence of home entertainment technologies, personal computing and media, particularly in the areas of business and market development, technical and IP policy, and industry-standards initiatives." Microsoft named Blair Westlake, former chairman of the Universal Television & Networks Group, as corporate vice president of the new group. The company said the new group will lobby for Microsoft on issues such as content-protection, digital rights management and media format standards in Washington.
tags: Deals | Microsoft | Media | Entertainment Firms | Foster |

Report: Demand for Paid Search Advertising Outpacing Supply

Authored by Mark Hefflinger on July 19, 2004 - 5:09am.
New York -- Despite the emergence of companies like Yahoo's Overture, the growth in demand for paid search advertising outpaces growth in supply, according to new research from Nielsen/NetRatings, a provider of Internet audience measurement services. The lack of supply is leading to higher prices and threatening to slow the growth of search advertising, the firm said, adding that the problem can be mitigated with continued investment in technologies aimed at improving the relevancy of search results. "Conversations with several advertisers reveal that, even with recent increases in price, search engine advertising is still cost effective," said Ken Cassar, the director of strategic analysis at Nielsen//NetRatings. "However, if prices continue to rise, this will not indefinitely be the case. The low hanging search opportunities are nearly picked over." Americans generated 1.2 billion search sessions during May, a 30% rise from the year before.
tags: Advertising | Reports | Search | Supply | Demand |

Video Game Ad Network Massive Inc. Raises $5.5 Million

Authored by Mark Hefflinger on July 19, 2004 - 5:08am.
New York -- Massive Inc., a developer of in-game video game advertising, announced on Monday that it has raised $5.5 million in its oversubscribed second round of venture capital financing. Draper Fisher Jurvetson Gotham led the investment round; RRE Ventures and existing investors Tobat Capital and Newlight Associates also participated. New York-based Massive plans to launch its video game advertising network in October, which will initially serve ads to 10 online game titles from publishers including Konami and Ubisoft.
tags: VC | Video Games | Massive Inc |

Report: Fantasy Sports Sites Average 4.7 Million Users Monthly

Authored by Mark Hefflinger on July 19, 2004 - 5:07am.
Reston, Va. -- Over 7 million Americans -- or about 5% of all U.S. Internet users -- visited online fantasy sports websites in October, and an average of 4.7 million users monthly visit the fantasy sports sections on Yahoo, Sportsline and ESPN, according to data from comScore Media Metrix. Users spent an average of 93 minutes at these sites per month, and viewed an average of 219 pages. The report found that football is the most popular fantasy sports game, and that Yahoo Sports draws nearly three times the monthly audience of its nearest competitor, boasting 3.1 million users per month as compared to ESPN (950,000) and Sportsline (930,000).
tags: Fantasy Sports | Reports | Website |

Virgin Launches Consumer Electronics Unit, Releases MP3 Player

Authored by Mark Hefflinger on July 19, 2004 - 5:06am.
San Jose, Calif. -- Virgin Electronics, a new consumer electronics development unit of the company funded by Richard Branson's Virgin Group, announced on Monday the opening of its new offices in Silicon Valley, and the launch of its first product, the silver-dollar sized Virgin Electronics Wearable 128MB MP3 Player. The company, which relocated from New York to attract Silicon Valley talent, named former Handspring and Creative Labs executive Greg Woock as CEO, and former Palm and Handspring executive Joe Sipher as senior vice president of marketing. Virgin Electronics' new $99 MP3 player, which will be sold at retail chain Target, weighs just half an ounce and was designed to be worn around the neck or arm.
tags: Virgin | Releases | MP3 Player | Electronics Unit |