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January 13, 2004 -- About Us | Advertise | Events | Publications | Subscribe

Main Stories
o Screener Copy of Sony's "Something's Gotta Give" Found on Internet
o Napster Parent Roxio Raising $22.5 Million, Signs Deal with Tom Petty
o Supreme Court Declines to Hear Aimster File-Sharing Case
o Smithsonian to Sell Folkways Label Catalog Online  
o Beastie Boys' Defunct Grand Royal Label to Auction Assets Online  
o Labels Sue Website for "Parallel Importing" of CDs, Undercutting Retailers
o Game Publisher Ubisoft Acquires French Development Studio Tiwak
o Report: Worldwide Ringtone Sales Up 40% to $3.5 Billion


 > DMW Announcements
 --DMW Events - Digital Music Forum 2004
 --DMW Publications
   -Digital Media Law Report - December Law Report Available Now!

 > Featured Advertisement:
 --MIDEMNET
 --Artisan Quality Handbags and Jewelry
 

o Briefly Noted: Vivendi Universal Games - new CEO, Electronic Arts - "NFL Street," JRRTolkien.com - cybersquatter, Limelight Networks - Valve Software, Liberate Technologies - Cox, Google IPO, Record labels - music publishers - "double session" CD royalties

 
> Job/Event/Marketplace Classifieds:
 --
HireStrategy- COO
 --
FOLIOfn - EVP Retail Sales/CMO - online brokerage - D.C. area
 --
Director of Professional Services
 --
QA Engineer
 --Video Production Services
 --Complete Information for Department of Homeland Security
 --Obtain Maximum Value for Your Excess Used Technology Equipment
 --Unisys/Microsoft/EMC/Infosys, DeMystifying Migration Seminar, Waltham
 


o Screener Copy of Sony's "Something's Gotta Give" Found on Internet

Los Angeles -- Adding fuel to the debate over the piracy potential for "screener" copies of Oscar-hopeful movies, the Academy of Motion Picture Arts and Sciences said on Monday that a screener copy of Sony Pictures' "Something's Gotta Give" was found to be available on the Internet. Technology embedded in the screener designed to trace it back to its original recipient found that the copy in question was sent to 69-year-old veteran film and TV actor Carmine Caridi, who has played roles in films including "The Godfather: Part II," "The Money Pit" and "Brewster's Millions." The Motion Picture Association of America (MPAA) last year declared a ban on studio distribution of screeners, citing potential piracy, but on Dec. 5 a federal judge overturned the ban saying it would harm the independent film industry. To help ensure against piracy, all Academy members were required to sign a form saying they would not redistribute 2003 screeners, which in part reads, "I agree that a violation of this agreement will constitute grounds for my expulsion from the Academy and may also result in civil and criminal penalties." Sony told The Los Angeles Times that it turned over all data regarding the screener to the Academy, and said it would hold off on any possible legal action until the Academy's probe of the incident is completed.
http://www.latimes.com/technology/la-fi-screeners13jan13,1,475011.story
http://makeashorterlink.com/?F14332E07 
http://www.oscars.org
_____________________________________________

o Napster Parent Roxio Raising $22.5 Million, Signs Deal with Tom Petty

Santa Clara, Calif. -- Roxio, a developer of CD and DVD burning software and parent company of Napster, announced on Tuesday that it plans to raise $22.5 million in a private placement of its stock with institutional investors. The company will sell 5.5 million shares at a price of $4.10 per share, and said the proceeds will add to its working capital as it continues to expand its activities in the digital media sector. Separately, Santa Clara, Calif.-based Roxio said that its Napster unit signed a deal with artist Tom Petty to offer his songs online for sale exclusively at Napster. Songs recorded by Petty for Universal Music Group including "Into the Great Wide Open," "Don't Do Me Like That" and "Refugee" will be available for streaming and download on the Napster service.
http://biz.yahoo.com/prnews/040113/sftu060_1.html
http://biz.yahoo.com/prnews/040112/lam112_1.html 
http://www.roxio.com
_____________________________________________

o Supreme Court Declines to Hear Aimster File-Sharing Case

Washington -- The U.S. Supreme Court on Monday declined to hear an appeal from defunct file-sharing site Aimster (now known as Madster), which is now out of legal options and will remain shut down permanently. The site was sued by the Recording Industry Association of America (RIAA) in 2001 for copyright infringement, and shut down per order of federal court injunction in December 2002. An appeal to the 7th Circuit Court was turned down in June 2003. The company, whose software piggybacked on America Online's instant messaging software, was also forced to change its name to Madster after AOL sued for trademark infringement.
http://news.com.com/2100-1028_3-5139938.html 
http://www.madster.com
____________________________________________

o Smithsonian to Sell Folkways Label Catalog Online

Washington -- The Smithsonian Institution has announced that it will make the entire library of 33,000 titles released on its Smithsonian Folkways Recordings label available for purchase and download online. The non-profit partnered with Massachusetts-based micropayments firm Peppercoin to power transactions on the site, which will sell tracks for $0.99 each when it launches in April. The Folkways catalog contains many historical recordings, including some of the oldest known jazz and blues records, Appalachian music and field recordings made by ethnomusicologists of indigenous musicians from America and other countries.
http://www.folkways.si.edu 
http://news.com.com/2100-1025-5139515.html
____________________________________________

o Beastie Boys' Defunct Grand Royal Label to Auction Assets Online

Silver Spring, Md. -- Grand Royal, the record label founded by hip-hop group the Beastie Boys in 1993 and shut down amid mounting debt in August 2001, is holding an online auction for its various assets through Bid4Assets.com. During its tenure, the label released albums from groups including Luscious Jackson, At the Drive-In, Buffalo Daughter and Atari Teenage Riot. Assets that will be sold at auction include master recordings, licensing agreements and miscellaneous merchandising agreements. Bid4Assets said the minimum bid for the items is $10,000 and the auction will continue through January 22.
http://www.grandroyal.com
http://www.mtv.com/news/articles/1448588/20010831/story.jhtml
http://www.bid4assets.com/grandroyal
____________________________________________

o Labels Sue Website for "Parallel Importing" of CDs, Undercutting Retailers

Los Angeles -- The Financial Times reports that the British High Court next month will hear a case brought by the recording industry against an online company importing cheap CDs from Asia and selling them for profit in Britain and other European markets. The British Phonographic Industry is alleging that Hong Kong-based CD Wow is engaged in "parallel importing" -- where goods are illegally imported into a region without the copyright owner's consent. The site sells CDs for an average of $7 less than is charged for the same albums in U.K. record stores, and was estimated to have sales of $184 million in 2003. CD Wow CEO Philip Robinson told the Financial Times the company will vigorously defend the lawsuit. "I would not have set the business up if there was something intrinsically wrong with it."
http://www.latimes.com/technology/la-ft-cdwow12jan12,1,1217603.story
http://www.cdwow.co.uk
____________________________________________

o Game Publisher Ubisoft Acquires French Development Studio Tiwak

San Francisco -- Video game publisher Ubisoft announced that it has purchased French game developer Tiwak. Financial terms of the transaction were not disclosed. Tiwak has had a hand in developing games for the "Rayman" franchise, and was working on a game for Xbox called "Tork." The company's 17-member development staff will now join France-based Ubisoft's operations. Ubisoft publishes the popular "Tom Clancy Splinter Cell" game franchise, as well titles including "Uru: Ages Beyond Myst" and "Beyond Good and Evil."
http://societe.ubisoft.fr/homepress.php 
http://www.tiwak.com 
http://www.ubisoft.com
____________________________________________

o Report: Worldwide Ringtone Sales Up 40% to $3.5 Billion

London -- A new study by the Arc Group shows that global sales of cell phone ringtones over the last year have surged by 40% to more than $3.5 billion. What had begun as a marketing gimmick has quickly grown into a multi-billion-dollar market, equaling about 10% of the global music market, the Arc Group said. Arc Group analyst Richard Jesty said: "It's become a very profitable area, and there's strong growth ahead." The study also found that the global prices of ringtones vary widely, ranging from as little as 20 cents in South Korea to as much as $2.75 in the U.K. -- averaging out to about 60 cents per ringtone.
http://makeashorterlink.com/?Z4C753D07

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 > DMW Events:

4th Annual Digital Music Forum

March 1, 2004 | New York City
www.digitalmusicforum.com

 

OVERVIEW
While unauthorized file sharing and shifts in consumer spending from CDs to DVDs and video games resulted in a 2.2% decline in total U.S. music sales in 2003, the roll out of licensed online services, like iTunes and Napster, which offer a large selection of licensed content that can be purchased as digital singles, seems to be having a positive effect on the industry and is expected to generate $1.8 billion in sales by 2008.  Labels are reinventing themselves and the industry as a whole is experimenting with emerging technologies that are creating new opportunities and challenges. Digital Music Forum, now in its 4th year, brings together decision-makers from labels, record companies, music publishers, producers and distributors, technology companies, wireless companies, rights organizations, industry bodies, radio, advertising, attorneys, artists investors and venture capitalists to focus on the role of digital technologies in the future of music. 

ABOUT THE PROGRAM
This year's forum focuses on the following questions:

- Is there a viable business model for selling music online? 
- Can licensed services compete with free downloads from file-sharing networks? 
- Who will be the winners and the losers in the world of online music sales? 
- What is the status of pending lawsuits and legislation concerning digital copyrights? Can the music industry profit from legitimate uses of P2P?
- How are consumers reacting to new formats for music delivery?
- Will new formats generate the kind of success that the industry experienced with CDs during the '80s and '90s? 
- What are the challenges and opportunities for music industry executives seeking to maximize the potential of the mobile market?
- What does the future hold for satellite and Internet radio?


SPEAKERS
Confirmed speakers will be announced in the coming weeks. For last year's speaker list, see 2003 Digital Music Forum. For speaker inquires, please contact tinzar@digitalmediawire.com.

REGISTRATION
Early Bird Special: $195 (until January 20)
Pre-Registration: $295 (until February 20)
Registration: $395 (after February 20)


> DMW Publications:

> Digital Media Law Report
Must-read publication on legal and policy matters related to digital media. Law Report includes case summaries, news and analysis, policy updates, court filings, and exclusive interviews with legal counsel and business leaders. Published monthly. Subscriptions - Order

Available Now - December Law Report - 31 pages - Order

> G
ame Industry Quarterly
- Subscriptions - Order
The Game Industry Quarterly features news about key business, legal and finance developments impacting the game industry. Each issue includes sections on current industry research, financings, law and policy matters, game releases, business deals and other industry events.

Available Now - Q3 Game Industry Quartertly - 105 pages - Order

Past Events | Sponsorship Materials | Partners & Clients
 

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> Featured Advertisement:


> Artisan Quality Handbags and Jewelry

Marumaru offers artisan quality handbags and jewelry for the savvy and discriminating woman. We specialize in vintage silk kimono purses and offer many elegant jewelry pieces made from bamboo and coral to semi-precious stones. All of our fine products are Asian-inspired and handcrafted in Hawaii, the gateway to Asia. We welcome you. Please visit us at marumarugirl.com . contact: cara@marumarugirl.com  or michael@marumarugirl.com
 

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o Briefly Noted:

(Paris) French media conglomerate Vivendi Universal announced this week that it has shuffled the top management at its video games division. CEO Ken Cron has been ousted, the company said, while the posts of chairman and chief executive have been split and filled by Rene Penisson and Bruce Hack, respectively. Vivendi tried unsuccessfully to offload the division only last year.
http://makeashorterlink.com/?J5BE22C07 
http://www.vugames.com

(Redwood City, Calif.) Video game developer Electronic Arts announced on Tuesday that it has shipped its "NFL Street" title for PlayStation 2, Xbox and GameCube to retailers. Developed by EA Tiburon, the title features 7-on-7 gameplay and players including NFL legends like Walter Payton and Barry Sanders. It also contains an original score from the X-ecutioners as well as licensed tracks from other Sony Music artists. Online play is enabled for owners of the Network Adaptor for PlayStation 2.
http://biz.yahoo.com/bw/040113/135250_1.html 
http://www.nflstreet.com

(Geneva) The World Intellectual Property Organization (WIPO), which among other things handles domain name disputes, has ruled that Canadian website operator Alberta Hot Rods was cybersquatting when it registered the domain jrrtolkien.com. The commercial site was found to have no legitimate rights to the domain name, ownership of which will now be turned over to the estate of J.R.R. Tolkien.
http://www.wipo.int 
http://www.jrrtolkien.com

(Tempe, Ariz.) Limelight Networks, a provider of digital content delivery services, said on Tuesday that game developer Valve Software, creator of popular multiplayer titles like "Half-Life" and "Counter-Strike," will use its services to host Valve game servers and distribute its games online. Arizona-based Limelight's customers also include BuyMusic.com, RealNetworks and Radio Free Virgin.
http://www.valvesoftware.com 
http://www.limelightnetworks.com

(Atlanta) Liberate Technologies, a provider of interactive TV software and services, said on Tuesday that it has signed a subscription-based licensing agreement with cable TV operator Cox Communications. Under the terms, Atlanta-based Liberate will supply Cox with software to enable the delivery of high-definition TV, digital video recording and video-on-demand features across set-top boxes from Motorola, Scientific-Atlanta and others.
http://biz.yahoo.com/prnews/040112/sfm134_1.html 
http://www.cox.com 
http://www.liberate.com

(Washington) The Washington Post on Tuesday reported on the tremendous amount of attention being given to the looming IPO of search engine giant Google. For instance, a search of "Google IPO" on the company's own search engine produced over 14,000 results. In addition to polling analysts and investors, the article examines the potential rewards and drawbacks the company may experience as a result of going public.
http://www.washingtonpost.com/wp-dyn/articles/A11326-2004Jan12.html

(San Francisco) CNET News.com on Tuesday reported on a dispute between record labels and music publishers over royalties for the extra versions of songs contained on copy-protected, "double session" CDs, that could result in the labels owing tens of millions of dollars in back payments to publishers. Music publishers argue that labels should be paying for both the regular version of the track, which plays on a CD player, and the added digital version that can play on a PC but can't be shared online. One provider of CD copy-protection, Macrovision, estimates that it alone has already released over 200 million CDs that contain double sessions into the market.
http://news.com.com/2100-1027_3-5139762.html

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> Classifieds:

> HireStrategy- COO

HireStrategy has been retained by one of its fastest growing client companies to search for a COO. This key executive will drive the national expansion and growth of this growing enterprise. The COO will drive the scaling-up of policies, procedures, structures, processes, systems and infrastructure. The COO will lead, direct and participate in the following activities: Strategic Planning, Operations Management, Sales, and Marketing. Email resume to mmolinas@hirestrategy.com  Visit http://www.hirestrategy.com/quicklinks/hire158.asp
___________________

> FOLIOfn - EVP Retail Sales/CMO - online brokerage - D.C. area

The EVP Retail Sales/CMO will lead all customer acquisition efforts for FOLIOfn's online brokerage. The successful candidate will have significant experience producing sales for online services either directly or through partnerships and alliances. He/She should be an aggressive, energetic, creative marketing and sales professional who has expertise in guerrilla marketing and ecommerce. Visit: http://www.foliofn.com  Email: recruiting@foliofn.com
___________________

> Director of Professional Services

The Director of Professional Services will be responsible for profitably selling and delivering projects while assuring satisfaction among our clients. The candidate will report to the CEO and will manage an initial team of 2-3 talented individuals. Bachelor's degree required; MBA or related advanced degree preferred, minimum 2-4 years of professional service mgmtt experience, and direct or indirect experience with membership organizations desirable. Send cover letter and resume to: Sheeraz Haji, CEO: proserv@getactive.com . In cover letter, comment on your level of experience selling and delivering professional services, and include your salary requirements. http://www.getactive.com
___________________

> QA Engineer

Responsible for testing parallel database system software using a variety of applications and interfaces. Bachelor's degree and 2 yrs designing and developing database applications in Java using JDBC, ODBC and/or Perl. Development or testing experience with Linux, other UNIX and Microsoft Windows. Design, implementation, and execution of test plans. Experience with decision support and data mining applications desired. Principles only. Send resume to Luke Lonergan - llonergan@metapa.net
___________________

> Video Production Services

INK Productions offers full service TV, Video, Corporate and event video production. Professional Camera, Editing, Sound, Lighting, Voice & Music. Betacam SP, DVcam, DVCpro, DVD, CD-Rom, VHS and Web Formats. Personalized Services with Competitive Rates. INK Productions "Your Full Service TV & Video Production Source" Ivan N. Katz (703) 521-3090 (703) 626-2383--Visit http://www.inkproductions.net. For more info Email: INKvideo@aol.com
___________________

> Making Your Way thru the Homeland Security Maze

Small businesses wanting to do business with the government face unique challenges when entering the federal marketplace. The 2003- 2004 Directory of Homeland Security includes a detailed list of procurement information and small business government contacts for the various federal departments and agencies. Contact names, titles, phone and fax numbers and descriptions are included in the listings. The Department of Homeland Security portion of the directory has entire section titled, "Doing Business with the Department of Homeland Security." To order the 2003-2004 edition, go to: http://www.tech-directories.com/dmw.htm
___________________

> Obtain Maximum Value for Your Excess Used Technology Equipment

BIZI International offers a suite of programs to maximize the return on your used excess technology assets. Specialists in Telecommunications and Test and Measurement equipment. Complete Turnkey Solutions for all of your asset liquidation needs. Established in 1985 with global operations. Massachusetts headquarters. Contact Bill at (978) 649-0722 x134 or bmccready@bizinetworks.com  Visit http://www.bizinetworks.com
___________________

> Unisys/Microsoft/EMC/Infosys, DeMystifying Migration Seminar, Waltham

Unisys, Microsoft, Infosys and EMC understand that making the transition from UNIX/RISC requires knowledge beyond the ordinary. Working together, they have created a seminar to provide key insights and best practices with the experience to help you successfully migrate to the Microsoft Windows platform. For more information Email: sara.skivington@unisys.com  or Visit http://www.migrationevents.com/emails/email_boston.html

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Digital Media Wire, Inc. is a news organization, publisher and events company serving the digital media industry since May 2000. Our daily newsletter delivers original briefings on business, legal and financial developments shaping digital media and read by over 30,000 executives and professionals. To subscribe for free, please click here.

Digital Media Wire, Inc. is part of the Tech Wire Media Group, an international network of publications that includes Digital Media Law Report, Potomac Tech Wire, New England Tech Wire, Southeast Tech Wire, Bay Area Tech Wire, Tri-state Tech Wire and European Tech Wire. The network reaches more than 70,000 individuals from over 70 countries each business day.

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