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January 3, 2005 -- About Us | Advertise | Events | Publications | Subscribe

Main Stories
o Report: 2004 Online Holiday Spending Up 25% to $23.2 Billion
o Washington Post Company to Acquire Online Magazine Slate from Microsoft
o Games Publisher Electronic Arts Buys 20% Stake in French Rival Ubisoft
o CEO of DVD Maker Apex Digital Arrested in China
o Napster Changes Ticker to NAPS, Plans $5 Per Month Portable Subscription
o SBC to Offer Joint Satellite TV, Broadband Internet Content Service
o Microsoft to Power Online Music Service for U.K. Retailer HMV
o New TiVo Service Enables Transfer of Recorded TV Shows to Laptops
o Sprint, Music Choice Partner on Streaming Music Service for Cell Phones
o IT Research Firm Gartner Buys Rival Meta Group for $162 Million
o Intel Digital Home Fund Invests in Zinio Systems, Synacor, Gteko
o Technology Publisher TechTarget Raises $15 Million
o Video-on-Demand Developer BitBand Raises $4.75 Million

 > DMW Announcements:
--Digital Music Forum - March 2, 2005  

 > Featured Advertisement:
--MIDEMNET
 

o Briefly Noted: Sirius Satellite Radio - 1.14 million subscribers, BayTSP, Cornice - 3GB drive, JVC - DVD/Blu-ray discs, BlingTones, Orbit E-Commerce - PureNet.TV Canada, Serious Games Initiative - funding, LokiTorrent - MPAA lawsuit defense
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> Job/Event/Marketplace Classifieds:
--HireStrategy - Senior Technical Project Manager
--Director Bid and Proposals
--Sales Manager - Washington, DC
--Market Research Professional
--VP eBusiness Consulting
--Contract Training Coordinator
--Director of Business Development - NY/NJ
--Sales Executive, Health And Life Sciences
--HireStrategy - Revenue Accounting Manager
--Sales And IT Recruiters Focused on Federal Sales, BD And Pre-Sales
--Sr. Acct Mgr, AAA Networks, Falls Church, VA (Data, Voice, Video Sales)
--eNaugural.com - The Presidential Hi-Tech Inaugural Ball Jan 20, 2005
--New Release: PwC Global Entertainment and Media Outlook: 2004-2008
 


o Report: 2004 Online Holiday Spending Up 25% to $23.2 Billion

New York -- U.S. online shoppers spent $23.2 million during the 2004 holiday season, an increase of 25% over the $18.5 million spent during the same period in 2003, according to a joint report from Goldman Sachs, Harris Interactive and Nielsen/NetRatings. Online shoppers spent the most on apparel/clothing, which accounted for 16% of total online revenue ($3.8 billion), followed by toys/video games with 11% of the market ($2.5 billion) and consumer electronics with 10% ($2.3 billion). "Consumers have become accustomed to purchasing online over the years and look to the Internet to find comprehensive product information, competitive prices and easy gift delivery allowing them to have more time to spend on other holiday activities," said Nielsen/NetRatings senior retail analyst Heather Dougherty.
http://biz.yahoo.com/prnews/050103/nym070_1.html 
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o Washington Post Company to Acquire Online Magazine Slate from Microsoft

Washington, D.C. -- Putting an end to months of rumors, The Washington Post Company announced over the holidays that it will acquire popular online magazine Slate from Microsoft for an undisclosed sum. Slate, which had 6 million unique users in November, according to Nielsen NetRatings, offers a mix of articles about politics, news and culture. The online magazine, which was launched in 1996, said that its revenue increased 37% to $44.7 million for the first nine months of 2004. Jacob Weisberg, who will remain the magazine's editor, said that the Post "is the best place for Slate to continue to grow and develop." The business operations of Slate will be run by the Washingtonpost.Newsweek Interactive unit; Cliff Sloan, the vice president of business development and general counsel of WPNI, has been named the publisher. Slate's offices in New York and D.C. will continue to operate. In a separate agreement between Microsoft and WPNI, Slate will continue to be available to users on MSN through links on the MSN portal.
http://biz.yahoo.com/prnews/041221/dctu012_1.html 
http://www.slate.com 
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o Games Publisher Electronic Arts Buys 20% Stake in French Rival Ubisoft

Redwood City, Calif. -- Video game publisher Electronic Arts announced that it has acquired a 19.9% stake in a rival game publisher, France-based Ubisoft Entertainment. The deal is valued at between $85 million and $100 million. Electronic Arts said it has no plans to integrate its development or publishing business with Ubisoft, which has created titles including "Myst," "Prince of Persia: The Sands of Time" and "Tom Clancy's Splinter Cell."
http://biz.yahoo.com/bw/041220/190012_1.html
http://biz.yahoo.com/ap/041220/electronic_arts_ubisoft_1.html
http://www.latimes.com/business/la-fi-ea21dec21.story 
http://www.ubisoft.com 
http://www.ea.com 
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o CEO of DVD Maker Apex Digital Arrested in China

Ontario, Calif. -- The CEO of DVD player maker Apex Digital was arrested in China last week, The Los Angeles Times reported. Apex founder and CEO David Jongfen Ji was arrested on undisclosed charges. Founded in 1997, the company saw $1 billion in sales during 2003 on the strength of its discount-priced DVD players, some of which now sell for as little as $39. The company is currently embroiled in several lawsuits, including charges it owes hundreds of millions of dollars to Chinese manufacturer Sichuan Changdong Electric Appliance, and $4.3 million to Taiwanese DVD manufacturer Genius Co. Apex also has been accused by rivals of failing to pay all of the necessary licensing fees to developers of technology on which DVD players are based.
http://www.latimes.com/business/la-fi-apex3jan03.story
http://www.apexdigitalinc.com 
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o Napster Changes Ticker to NAPS, Plans $5 Per Month Portable Subscription

Los Angeles -- Napster on Monday announced that it began trading under its new "NAPS" Nasdaq ticker symbol, having completed the sale of its Roxio CD and DVD burning software business to Sonic Solutions on Dec. 17 in a bid to focus solely on the digital music market. The company also reaffirmed its projection of $11 million in revenues for its third quarter. Los Angeles-based Napster also recently said that it will soon allow customers of its digital music service to pay an additional $5 a month to transfer the company's entire catalog to certain portable devices -- for as long as they remain subscribed to the service. "With our plan, customers can get 10,000 songs on their device for $180 a year," Napster CEO Chris Gorog told USA Today. The new portability feature, which will not support Apple's iPod, will be charged in addition to Napster's regular $9.95 monthly fee.
http://biz.yahoo.com/prnews/050103/sfm020_1.html
http://www.usatoday.com/tech/products/services/2004-12-20-microsoft-subs_x.htm
http://www.napster.com 
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o SBC to Offer Joint Satellite TV, Broadband Internet Content Service

San Antonio -- Telecommunications giant SBC Communications announced on Monday that it has formed a joint venture with 2Wire to offer a service that combines satellite TV programming with Internet-based video-on-demand, music and other digital media applications. The service will feature a set-top box designed by San Jose, Calif.-based 2Wire that includes a satellite TV receiver, digital video recorder and storage for digital photos and music. Music will be offered through Yahoo's Launchcast Internet radio service, while the recording of TV programs will be enabled both online, and via cell phones through a partnership with Cingular Wireless. The service will be available to customers who subscribe to both SBC DISH Network satellite TV and SBC Yahoo DSL services beginning in mid-2005.
http://biz.yahoo.com/bw/050103/35044_1.html 
http://www.sbc.com 
http://www.2wire.com 
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o Microsoft to Power Online Music Service for U.K. Retailer HMV

London -- U.K. music retail store chain HMV announced that it partnered with Microsoft to launch a digital music service in the second half of the year. The company said it will spend about $19 million to develop and market the service. HMV already offers an online subscription service that is powered by Loudeye subsidiary OD2, and is partnered with Amazon.com to operate its online CD and DVD stores outside the U.K. The new HMV digital music service will not support Apple's iPod player, and the company said it will cease selling the iPod in its retail locations once the Microsoft-powered service launches.
http://tinyurl.com/4qw6d 
http://www.hmv.co.uk 
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o New TiVo Service Enables Transfer of Recorded TV Shows to Laptops

Alviso, Calif. -- Digital video recorder maker TiVo on Monday announced the launch of TiVoToGo, a new service that allows subscribers to transfer recorded TV shows from their TiVo boxes to a laptop or other PC so that they may view them while away from home. The company began transmitting the free software updates to owners of standalone digital video recorders on Monday, with plans to offer the feature to owners of DVD recorders with TiVo later this year. Users must also download a program to their Windows XP or Windows 2000 machine that will encrypt the TV programs shuttled from a TiVo box. Programming protected by copy-protection, such as pay-per-view, video-on-demand and commercial DVDs, will not be transferable to a laptop via TiVoToGo.
http://biz.yahoo.com/prnews/050103/sfm024_1.html 
http://www.tivo.com/togo 
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o Sprint, Music Choice Partner on Streaming Music Service for Cell Phones

Overland Park, Kan. -- Wireless network operator Sprint has announced the launch of a streaming music service for cell phones, through a partnership with New York-based Music Choice, which provides digital music channels to cable TV and broadband providers. In addition to a range of commercial-free streaming music channels, the service will offer daily video clips of artist interviews and performances, as well as music news and artist gossip. The Sprint Music Choice service will be offered as part of a Sprint TV package for $9.99, or on its own for $5.95 per month.
http://backstage.musicchoice.com/what_we_are/press_sprint.html 
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o IT Research Firm Gartner Buys Rival Meta Group for $162 Million

Stamford, Conn. -- Gartner, a provider of market research and analysis for the information technology industry, announced that it has acquired Meta Group, a smaller rival in the market, for $162 million in cash. Gartner, which claims 10,000 clients for its research and analysis products, generated $858 million in revenue in 2003, while Meta Group generated $122 million. Connecticut-based Gartner said the acquisition will expand its client list and add a sales team that is already familiar with its product and service offerings.
http://biz.yahoo.com/bw/041227/275074_1.html 
http://www.gartner.com 
http://www.metagroup.com 
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o Intel Digital Home Fund Invests in Zinio Systems, Synacor, Gteko

Santa Clara, Calif. -- Chipmaker Intel announced that it has provided venture capital investments to three firms as part of its Intel Digital Home Fund, which aims to foster development of home networking technologies. The investments, the financial terms of which were not disclosed, were provided to Zinio Systems, a publisher of digital versions of newspapers; Synacor, a provider of syndicated online content for ISPs; and Gteko, a developer of automated technical support functions for home networking. "These new investments were made to support widespread adoption, use and sharing of digital entertainment and information - including music, games, news and video - among multiple devices in the home and elsewhere," said Intel Capital vice president Scott Darling. "We plan to continue to invest next year in companies that enable PC and CE devices to work together easily and in companies that deliver premium content services over IP networks."
http://www.intel.com/pressroom/archive/releases/20041229corp.htm
http://www.zinio.com 
http://www.synacor.com 
http://www.gteko.com 
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o Technology Publisher TechTarget Raises $15 Million

Needham, Mass. -- TechTarget, a publisher of technology-related websites and magazines and producer of IT conferences, announced that it has raised $15 million in its third round of venture capital financing. Technology Crossover Ventures and Polaris Venture Partners led the investment round, which follows on a round of $70 million raised in June 2004. Massachusetts-based TechTarget publishes magazines including CIO Decisions and Information Security. The company recently acquired Bitpipe, a distributor of industry whitepapers, and TheServerSide Communities, an online exchange for application developers. TechTarget will use the new funds to fund additional acquisitions and expand its international presence. The company projects $50 million in revenue for 2004, and expects to surpass $80 million in revenue in 2005.
http://www.techtarget.com/html/pr/pr-12212004.htm 
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o Video-on-Demand Developer BitBand Raises $4.75 Million

Netanya, Israel -- BitBand, a provider of video-on-demand delivery technology for telecommunications firms' broadband networks, announced that it has raised an additional $4.75 million to a venture capital financing round led by Ascend Technology Ventures, with participation from Portview Communications Partners and existing investors. Israel-based BitBand said it will use the funds to expand its global presence and engage in new development activities.
http://www.bitband.com/Pages/NewsPage.asp?iGlobalId=113 

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>DMW Events:

 



5th Annual Digital Music Forum
March 2, 2005 | New York City
www.digitalmusicforum.com

Digital Music Forum is the premier event for music industry decision-makers focused on business models and legal issues impacting music. The annual event brings together decision-makers from records labels, music publishers, producers and distributors, technology companies, wireless companies, rights organizations, industry bodies, radio, advertising, attorneys, artists investors and venture capitalists to examine the role of digital technologies in the future of music.

For more information click here
To register click here.

REGISTRATION
Pre-registration rate: $295 (Jan 1 until February 4th)
Registration rate: $395 (after Feb. 4th)

Register online at http://kb.digitalmediawire.com/register.php?eventid=1092

Phone registration: 323-822-0936


To submit speakers for or request information about exhibiting or sponsoring at the 2005 conferences, please contact Tinzar Than, VP, Marketing & Events, Digital Media Wire, Inc. at: tinzar@digitalmediawire.com.
 

Past Events | Sponsorship Materials | Partners & Clients


 

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> Featured Advertisement:


 

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o Briefly Noted:

(New York) Sirius Satellite Radio, a provider of satellite-delivered digital radio programming, announced on Monday that it ended 2004 with 1.14 million subscribers, exceeding its year-end goal of one million subscribers. "This strong finish underscores the momentum that we continue to see for our service, including commercial-free music, news, weather, traffic, entertainment and the best sports coverage in satellite radio," said Sirius CEO Mel Karmazin. Sirius will become home to shock jock Howard Stern's radio show in 2006. Sirius rival XM Satellite Radio recently announced that it also surpassed its year-end subscriber goal for 2004, ending with 3.1 million subscribers.
http://biz.yahoo.com/prnews/050103/nym101_1.html 
http://www.siriusradio.com

(Los Gatos, Calif.) BayTSP, a provider of peer-to-peer file-sharing tracking services for the movie and music industries, announced on Monday the launch of a new system called FirstSource, which it says can automatically identify the first users to upload copyrighted or trademarked content to the eDonkey and BitTorrent file-sharing networks. The company said that several thousand available copies of movie files can typically be traced back to such an initial upload file. "Identifying and taking action against the first uploaders can greatly slow the distribution of illegally-obtained intellectual property and might make users think twice before doing it," said BayTSP CEO Mark Ishikawa.
http://www.baytsp.com

(Las Vegas) Microdrive manufacturer Cornice announced on Monday plans to release a 3GB miniature hard drive for consumer electronics that the company says will allow manufacturers to offer significantly lowers prices on MP3 players, cell phones and other devices. The drive can store up to 900 songs encoded at 128K, 42,000 digital pictures or 5.25 hours of VHS-quality video content. Colorado-based Cornice said the drive will ship for $65 in mass quantities, enabling "full-feature MP3 players to market in the $179 and below price range," said Cornice chairman Kevin Magenis.
http://www.corniceco.com

(Tokyo) Japanese consumer electronics firm JVC has announced plans to release a new optical disc format that will support both the current DVD standard and Blu-ray, the new high-capacity DVD format developed by Sony. Toshiba, which developed the Blu-ray rival HD DVD high-capacity disc format, announced last month that it partnered with Memory Tech to develop a similar disc format supporting both HD DVD and standard DVD.
http://www.theregister.co.uk/2004/12/30/jvc_three-layer_dvd
http://tinyurl.com/55qdw 
http://www.jvc.com

(New York) BlingTones, a division of European content provider Lagadere Active, announced that it has created a wireless record label that will distribute original ringtones for cell phones composed by leading hip-hop artists. BlingTones has signed artists including Q-Tip, Rockwilder, Denuan Porter, Salaam Remi and Hi-Tek to create exclusive 30-second ringtones, which will be offered through Sprint, Cingular, Nextel and Boost Mobile. The company also offers a BlingPix service that features exclusive screensavers and wallpapers, and plans to recruit comedians to create original content for ringtones.
http://biz.yahoo.com/prnews/041222/nyw022_1.html 
http://www.blingtones.com

(Toronto) Orbit E-Commerce (OECI) announced on Monday that it has completed its acquisition of the IPTV business of PureNet.TV Canada. Toronto-based OECI acquired all of PureNet.TV Canada's assets in exchange for 15 million shares, and plans to offer Internet-based TV services in the U.S.
http://biz.yahoo.com/prnews/050103/sfm047_1.html
http://www.orbitecommerce.com 
http://www.purenet.tv

(Portland, Maine) The Serious Games Initiative, which applies games and game technologies to a range of public and private policy, leadership and management issues, announced that it has received a two-year grant from The Robert Wood Johnson Foundation to support its Games for Health Project. Applications include using titles like "Dance Dance Revolution" and "Yourself!Fitness" to improve health, to games designed to treat victims of severe burns, cardiac arrest and various phobias. The Serious Games Initiative is a joint effort between Digitalmill, Inc. and the Woodrow Wilson International Center for Scholars.
http://www.seriousgames.org 
http://www.gamesforhealth.org

(Los Angeles) LokiTorrent, one of the groups operating servers for the BitTorrent file-sharing service that was recently sued by the Motion Picture Association of America for copyright infringement, announced that it plans to fight the MPAA lawsuit, and set up a page to collect online donations for its defense. "We are looking at a cost of $30K per month in fees," reads a note on the group's website. So far, LokiTorrent says it has collected $31,347 in donations. The MPAA recently began suing the independent operators of servers for various file-sharing services like LokiTorrent in the U.S. as well as several European nations.
http://tinyurl.com/4qqz7 
http://www.lokitorrent.com 
 
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> Classifieds -- Advertise

> HireStrategy - Senior Technical Project Manager

The individual working in this exciting position will provide admin. support to member firms in the new areas of industry technology standards, electronic commerce security, process automation, and innovative systems. He/she will assist in the project mgmt. of tech advances, and products and services which benefit members and their customers, while providing staff support for various Committees. The incumbent must work well with people. Bachelor's degree in engineering and a min of 5 years of exp. reqd. Please submit your resume to mmolinas@hirestrategy.com or view this position on the web at http://www.hirestrategy.com/quicklinks/hire235.asp
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> Director Bid and Proposals

Will be responsible for managing proposal efforts company-wide. 8-10 years experience in managing a proposal development team and extensive government proposal development experience. Strong presentation skills and experience working closely with external team members is a must. A Bachelor's degree in a related field is required (Master's Degree preferred). A current DoD security clearance or the ability to obtain a clearance is required. Send resumes to careerskc@unitech1.com
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> Sales Manager - Washington, DC

Achieve quarterly quota and sales activities performing the following duties. Implement and carry out strategic sales plans to achieve corporate goals. Identify prospects and sales opportunities. Cold calling. Determine customer needs and offer solutions based on those needs. Work assigned sales territory; meet and exceed quotas and goals. Represents company meetings to promote product. Meet with and deliver sales presentations to key clients. Pipeline management. Monitor and evaluate the activities and products of the competition. Weekly sales meetings. Send resumes to jobs@irides.com
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> Market Research Professional

SmithGeiger is a fast-growing market research and strategy firm serving all facets of the media industry, w/clients in TV, film, web, gaming, tech. Seeking media research pro with min 3 yrs market research exp. to design and implement research and consulting services. Develop custom phone and online surveys and focus group research, design data analysis plans, convert results into findings and recommendations, write reports, deliver presentations to clients. Excellent writing and analytical skills. Working knowledge of statistics, SPSS. MA, MS, MBA, PhD.  Contact brian@smithgeiger.com
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> VP eBusiness Consulting

Want to manage multiple eCommerce, Portal, and web content management projects for the Fortune 500? Or play a key role in the growth and strategy of an energetic small company? Or is your preference getting involved in solution architecture, eBusiness strategy, and exploring leading edge technologies? Or large-scale IT implementations for the government? Do it all as VP of eBusiness Consulting at McFadyen Consulting in Vienna , VA. Learn more at http://www.McFadyen.com Send resumes to tmcfadyen@mcfadyen.com
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> Contract Training Coordinator

The Office of Continuing Professional Education (OCPE) seeks an energetic professional to serve as the Contract Training Program Coordinator at our Herndon Training Center site. OCPE offers a positive team-based environment in a fast paced customer oriented department. Salary $27- $32K, excellent state benefits. Apply for position no. 01504z at http://jobs.gmu.edu by January 7, 2005. AA/EOE
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> Director of Business Development - NY/NJ

Drive strategic sales through existing relationship with IBM Global Services. The ability to drive a business plan thru execution, and a successful track record at a startup, are pre-requisites. Successful candidates will have experience in Enterprise Software and infrastructure management, in both sales and channel management. Must have worked with IBM as a partner. Send resumes to rminaglia@evidentsoftware.com
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> Sales Executive, Health And Life Sciences

IMC is looking for Sales executives with at least 5 years demonstrated experience selling biomedical informatics consulting services and solutions, such as clinical trials management tools, electronic medical records and patient safety records management. Sales experience can be in federal or commercial sectors. Ideal candidates will already have a developed pipeline. Check us out at http://www.imc.com and send your resume to mwright@imc.com
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> HireStrategy - Revenue Accounting Manager

This exciting position provides the opportunity to manage the monthly revenue recognition process ensuring that revenue is properly recorded and that the process is completed in a timely manner. In addition, the qualified candidate will provide career development counseling to all staff members to help them with their professional growth. The preferred candidate will have experience using Peoplesoft Financials. An Accounting or Finance degree and a minimum of 6 years related accounting experience is required, as is a CPA or equivalent experience. Please submit your resume to mmolinas@hirestrategy.com or view this position on the web at, http://www.hirestrategy.com/quicklinks/hire234.asp _________________

> Sales And IT Recruiters Focused on Federal Sales, BD And Pre-Sales

Looking to join a quality Sales and Information Technology Recruiting Firm? immixSearch, a division of the immixGroup, seeks 3 additional Recruiters entering 2005. Since 2000 we've established the immixSearch name and placed candidates with 75 leading Federally - focused Software/Hardware Vendors, Big4's, and SI's. Plan includes a base/draw plus lucrative commission plan. Join other top billers and make 2005 your best year yet. Send resumes to kurt_wilkinson@immixgroup.com
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> Sr. Acct Mgr, AAA Networks, Falls Church, VA (Data, Voice, Video Sales)

Seeking highly motivated sales people with at least three years sales exp. and a track record of meeting sales objectives. Excellent communication, relationship-building, and presentation skills a must - with minimal supervision. Responsibilities include consultative and solution selling to medium and large companies. Our solutions include Cisco, Microsoft, EMC, NEC, Tandberg and Verizon. Candidate must be able to develop and leverage relationships with technology partners for lead generation and joint sales opportunities. Send resumes to careers@aaanetworks.net
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> eNaugural.com - The Presidential Hi-Tech Inaugural Ball Jan 20, 2005

The eNaugural.com Ball is the Presidential Inaugural Ball for the Hi-tech community. This spectacular celebration brings together key industry leaders, elected officials and the media to honor and celebrate the overwhelming, positive impact of the new digital age on virtually every aspect of American life. This exciting gala is webcast live to the world, and archived for later viewing on the web. Go to http://www.enaugural.com for more info.
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> New Release: PwC Global Entertainment and Media Outlook: 2004-2008

PricewaterhouseCoopers Global Entertainment and Media Outlook: 2004-2008 is the leading global entertainment and media industry forecast, including in-depth global analyses and five-year growth projections for 14 industry segments covering every major global region. The complete 550-page book, is available in print or electronic format. The 50 page "Global Overview" (available in print or electronic format)or any of the 14 individual industry segment chapters (electronic format only) can be purchased separately for $95. For sample content and to order, click here.
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About Us
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.

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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Chief Executive Officer: Ned Sherman
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Editor: Mark Hefflinger


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