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Sen. Leahy Seeks Info on Bush Administration Google Search Subpoena

Authored by Mark Hefflinger on January 25, 2006 - 9:24am.
Washington - Sen. Patrick Leahy (D-Vt.), the ranking Democrat on the Senate Judiciary Committee, has sent a letter to Attorney General Alberto Gonzales requesting information on the Bush administration's subpoena of Google's search engine records. Federal prosecutors have subpoenaed the search engine records of AOL, Yahoo, Microsoft and Google while preparing a legal defense of the Child Online Protection Act (COPA), intended to restrict minors' access to online pornography. But only Google has refused, saying instead it will fight the request to protect its customers' privacy. "I am interested in learning more about the extent to which the Department of Justice is relying upon data mining of the Internet search queries made by law-abiding American citizens to support its efforts under COPA and how the department is addressing the privacy and civil liberties concerns raised by the collection, storage and use of that data," Leahy said in a statement.

Netflix Subscribers Hit 4.2 Million; Profit Rises Sixfold

Authored by Mark Hefflinger on January 25, 2006 - 9:23am.
Los Gatos, Calif. - Online DVD rental service Netflix has announced that it surpassed its 2005 goal of acquiring 4 million subscribers, and posted fourth quarter net earnings of $38.1 million, compared with $5.6 million a year earlier -- sending its shares up over 10%. The company, which now claims 4.2 million customers, also said it reduced "churn," or the number of subscribers who cancel after trial subscriptions, from 4.4% to 4% during the quarter. Los Gatos, Calif.-based Netflix raised its 2006 subscriber goal to 5.9 million, up from 5.65 million, and still expects to have 20 million by 2010. The company also expects profits will increase by at least 50% in each of the next three years.
tags: VC | Subscribers | Netflix | Sixfold |

New MTV Organizational Structure to Highlight Digital Distribution

Authored by Mark Hefflinger on January 25, 2006 - 9:21am.
New York - Viacom's MTV network on Wednesday announced a new organizational structure that will put digital distribution of its programming on equal footing with television. The company will operate two divisions -- one whose focus will remain on television, and another that will develop short-form video, music and news content for TV as well as online, video-on-demand, broadband, wireless and other digital platforms. The company named Dave Sirulnick as its new executive vice president of MTV Multiplatform Production, News and Music, who will work with vice president of digital media Ben White and MTVN chief digital officer Jason Hirchhorn under the new structure. The company also said vice president of label relations Peter Baron will now additionally program its video-on-demand and MHD platforms. "This new way of aligning creative talent to tee-up linear and non-linear entertainment for the audience will enable MTV to break through the clutter, launch new music superstars and develop for platforms not yet created," said MTV Networks president Van Toffler.

"Booth Babes" Eliminated from E3 Video Game Expo

Authored by Mark Hefflinger on January 25, 2006 - 9:20am.
Los Angeles - Producers of the Electronic Entertainment Expo (E3), the world's largest video game industry event held annually in Los Angeles, have announced that the sexy "booth babes" used to lure attendees to exhibitors' booths will not be allowed at this year's event in May. The Entertainment Software Association (ESA), the video game trade group that organizes the show, said it would dole out a $5,000 fine on the spot to the owner of any booth that features scantily clad women. "Material, including live models, conduct that is sexually explicit and/or sexually provocative, including but not limited to nudity, partial nudity and bathing suit bottoms, are prohibited on the show floor, all common areas, and at any access points to the show," the ESA wrote in its E3 handbook. The ESA did not provide an explanation for the new rules, although lawmakers in a handful of states have recently tried to pass laws restricting the sale of violent and sexually explicit video games to minors.

West Virginia P.E. Classes to Include Konami's "Dance Dance Revolution" B

Authored by Mark Hefflinger on January 25, 2006 - 9:18am.
Redwood City, Calif. - Japanese video game publisher Konami on Wednesday announced a three-year partnership with the state of West Virginia, which will bring its "Dance Dance Revolution" dancing-based video game to all 765 of its public schools. "Addressing childhood obesity is among the top priorities of Governor Manchin's administration," said Nidia Henderson, wellness director of the West Virginia Public Employees Insurance Agency. "DDR offers West Virginia a unique opportunity to turn 'screen time' into active time while allowing children residing in even the most rugged terrain an opportunity for physical activity." The state, which found in a "Games for Health" research project that games improved children's levels of physical activity, intends to develop a school-based DDR curriculum and collect data to analyze the benefits of the game's use in schools. "This first-of-its-kind partnership will help us continue to demonstrate the benefits of DDR to consumers around the country," said Clara Gilbert, director of business partnerships for Konami Digital Entertainment.

Infinium Raises $5 Million to Launch Gaming Keyboard Accessory

Authored by Mark Hefflinger on January 25, 2006 - 9:17am.
Seattle - Infinium Labs, the developer of the long-delayed Phantom PC-based broadband video game service, announced on Wednesday that it has raised $5 million in new funding from Golden Gate Investors. The funds will be used to manufacture, market and sell the company's Phantom Lapboard wireless gaming keyboard and mouse, which the company hopes to being shipping in the first half of 2006. Seattle-based Infinium, which recently saw the departure of CEO Kevin Bacchus, a touted former Xbox executive, has twice received Wired News' "Vaporware of the Year" award for its Phantom Game Service, for failing to come to market with the device after its announced launch dates.
tags: VC | Infinium | Keyboard | Accessory |

"Life Story Preservation" Service WisdomArk Raises $6.3 Million

Authored by Mark Hefflinger on January 25, 2006 - 9:15am.
Los Altos, Calif. - WisdomArk, the developer of a consumer Web service aimed at helping people collaborate to preserve life stories, said that it has raised $6.3 million in its first round of funding. Investors included El Dorado Ventures, Venrock Associates and Benhamou Global Ventures. The year-old company's service is currently in early user testing in preparation for public launch at a later date. WisdomArk is led by CEO Andy Halliday, the former vice president and general manager of Excite's Electronic Commerce Group and COO of In-Q-Tel, a venture capital group launched by the CIA.

Nielsen SoundScan to Track Pan-European Digital Music Downloads

Authored by Mark Hefflinger on January 25, 2006 - 9:14am.
White Plains, N.Y. - Nielsen SoundScan International, a provider of audience ratings information, announced on Wednesday that over 32 million songs were downloaded from European digital music services in 2005. The company tracks sales data from more than 110 download services in 17 countries. Nielsen's Pan-European Digital Tracks Chart for the week ending January 22 found that the Artic Monkeys' "When the Sun Goes Down" was the top-selling song, followed by Notorious B.I.G.'s "Nasty Girl" and Richard Ashcroft's "Break the Night with Colour."

Stewie from Fox's "Family Guy" to Host Web Talk Show

Authored by Mark Hefflinger on January 25, 2006 - 9:12am.
Las Vegas - Fox Interactive Media plans to debut a Web-only talk show featuring Stewie, the toddler character with adult sensibilities from its animated series "Family Guy," according to the Hollywood Reporter. The Internet series is slated to launch some time later this year.
tags: Fox | Family Guy | Website | Show | Talk | Stewie |

Report: Piczo is Fastest-Growing U.K. Online Brand

Authored by Mark Hefflinger on January 25, 2006 - 9:11am.
London - According to a new report by Internet research firm Nielsen/NetRatings, Piczo, a photo website builder and community website, was the fastest growing online brand in the U.K. last year. Piczo's audience grew by a remarkable 9,669% year-on-year -- from just 12,500 visitors in 2004 to more than 1.2 million in 2005. The website's success is driven mainly by women under the age of 18, a demographic that accounts for 45% of Piczo's audience. The rest of the Top Five fastest-growing online brands in the U.K. included greeting card website AmericanGreetings (2,152%), shopping guide and directory Shopzilla (1,787%), toolbar and search software site Starware (1,353%) and digital music distributor OD2 (525%).
tags: Internet | Reports | U.K | Piczo |

Emmis Radio Stations to Use dMarc Automatic Ad Insertion

Authored by Mark Hefflinger on January 25, 2006 - 9:10am.
Newport Beach, Calif. - Emmis Communications, the nation's ninth-largest radio station owner, announced on Wednesday that it will use recent Google acquisition dMarc Broadcasting's service to automatically insert paid commercials into open and unsold ad slots in its programming. The digital RevenueSuite service will be used at all Emmis stations, including New York's Hot-97, L.A.'s Power-106 and Chicago's Q101.
tags: Radio | Emmis | dMarc |

IODA Signs Distribution Deals with Indie CD, Vinyl Distributors

Authored by Mark Hefflinger on January 25, 2006 - 9:07am.
San Francisco - The Independent Online Distribution Alliance (IODA), a digital distributor of independent label music, announced on Wednesday that it has signed distribution deals with three large independent CD and vinyl distributors. Under the deals, Revolver USA, U.K.-based Shellshock and Bayside Entertainment Distribution will use IODA's D3 platform to distribute digital versions of their catalogs to IODA's network of over 150 retailers.
tags: Deals | IODA | Indie CD | Vinyl |

MTV Overdrive Broadband Service to Premiere Pink Video

Authored by Mark Hefflinger on January 25, 2006 - 9:06am.
New York - Viacom's MTV network said on Wednesday that its MTV Overdrive broadband network will host the exclusive premiere of a new music video from recording artist Pink. The full "Stupid Girls" video will debut online for 24 hours on Thursday, following a short sneak peek on the network's "Total Request Live" program.
tags: Video | Broadband | MTV | Pink Video |

Internet TV Network JumpTV Adds Five Iraqi Channels

Authored by Mark Hefflinger on January 25, 2006 - 9:04am.
Baghdad - JumpTV, an online TV network that syndicates more than 100 local channels from nearly 50 countries, announced on Wednesday that it has launched five independent Iraqi TV channels on its service. For a monthly subscription of between $9.95 and $19.95, viewers can watch Iraqi channels including Al Baghdadia, Alsumaria and AldiyarSat, which is broadcasting gavel-to-gavel coverage of the trial of Saddam Hussein. The service is mainly intended for Iraqi expatriates, but the company hopes to add subtitled translations to attract more English-speaking subscribers.
tags: Internet | TV | JumpTV | Channel | Iraqi |

Airmedia to Create Mobile Content for Alternative Press

Authored by Mark Hefflinger on January 25, 2006 - 9:03am.
San Francisco - Mobile entertainment publisher Airmedia announced on Wednesday that it has signed an agreement to develop and distribute mobile content for the Alternative Press, an independent music newspaper. The mobile service will provide access to magazine and website content, in addition to exclusive interviews, photos and breaking news.
tags: Mobile | Airmedia | Press |

Recording Artist Brandy to Appear in Video Game, Produce Soundtrack

Authored by Mark Hefflinger on January 25, 2006 - 9:01am.
Las Vegas - Recording artist Brandy has signed a deal to provide her voice and likeness to a video game produced by Los Angeles-based Matty/Markus Games, according to the Hollywood Reporter. Set for release in the first quarter of 2007, the as-yet-untitled game will feature an in-game soundtrack and separate CD soundtrack developed by Brandy. "An original soundtrack from artists that we build games around will be part of our release model at Matty/Markus Games," Matty/Markus founder Matty Rich told THR. The company is also collaborating with hip-hop artist the Game on a racing title for Sony's PSP handheld, slated to launch in the fall.

2K Sports Ships "Torino 2006" Official Winter Olympics Game

Authored by Mark Hefflinger on January 25, 2006 - 9:00am.
New York - 2K Sports, a unit of game publisher Take-Two Interactive, on Wednesday released "Torino 2006," its official video game of the XX Olympic Winter Games for PlayStation 2, Xbox and the PC. New York-based 2K Sports said the game will ship in Europe on Jan. 27.

CNET, Wired News Cover Steve Jobs, Disney's New Largest Shareholder

Authored by Mark Hefflinger on January 25, 2006 - 8:57am.
San Francisco - CNET News.com and Wired News on Wednesday reported on the ascent of Apple/Pixar CEO Steve Jobs to become Disney's largest shareholder, a result of that company's $7.4 billion acquisition of Pixar on Tuesday. Wired News took Jobs to task for his relative lack of philanthropy when compared with Microsoft chairman Bill Gates.