MUSIC CHOICE - Where Music Happens
* Programs 45 non-stop music channels, reaching over 30 million digital cable and satellite TV households
* Distributes exclusive televised concerts for 42 million cable and satellite TV homes
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Main Stories
o Intel-Backed "Project Hudson" Creating Universal Digital Rights Management
o Apple Introduces New $249, 4.0-Gigabyte IPod "Mini"
o TiVo Sues DISH Network Parent EchoStar for Patent Infringement
o U.K. Video Game Sales Grow 7.1% to Record $2.3 Billion in 2003  
o Record Labels Vow to Fight Belgian Copy-Protected CD Lawsuit  
o Interactive TV Developer Hillcrest Communications Raises $10 Million
o TruSonic Acquires MP3.com's Digital Music Service for Businesses

o Briefly Noted: Delphi - car satellite TV antenna, Microsoft - digital TV software, Rio - Nitrus 4GB MP3 player, Intellon - powerline networking, Netgear - home music networking, Sega - "Sonic Heroes," Audible - YES24, Washingtonpost.Newsweek Interactive, LivePhish.com, "DVD Jon" - Apple iTunes DRM

San Francisco -- The New York Times recently reported on a new standards group created by a group of computer, cell phone and electronics firms that is developing Internet-based digital rights management technology that will protect CDs and DVDs, as well as enable the secure transfer of media over wireless networks to handheld devices. Project Hudson members include Intel, Nokia, Samsung, Toshiba and Matshushita. The group plans to detail its solution in February, prior to the Grammys and Academy Awards. Project Hudson will face competition from Microsoft's Windows Media Rights Manager technology, as well as from Sony/Philips, Apple and RealNetworks. A separate consortium called the Content Reference Forum is also developing standards for media distribution and is backed by Microsoft, Nippon Telegraph and Telephone, Universal Music Group and VeriSign.
http://www.nytimes.com/2004/01/05/business/05share.html
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o Apple Introduces New $249, 4.0-Gigabyte IPod "Mini"

San Francisco -- Apple Computer on Tuesday announced plans to release a new, smaller iPod digital music player, the iPod mini, which will retail for $249. The 4GB iPod mini, which can hold up to 1,000 songs, will be available in five colors beginning in February in the U.S., and worldwide in April. The company also introduced a new 15GB regular model iPod that will sell for $299. Apple said that its iPod line has now sold over 2 million units worldwide. Also announced from the Macworld Expo in San Francisco on Tuesday was a new software application for Apple's iLife software bundle, called GarageBand. The new music application will allow Mac users to create and edit music using MIDI software instruments, 1,000 pre-recorded audio loops and numerous studio effects.
http://biz.yahoo.com/prnews/040106/sftu087_1.html
http://biz.yahoo.com/prnews/040106/sftu089_1.html
http://www.apple.com/ipodmini
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o TiVo Sues DISH Network Parent EchoStar for Patent Infringement

San Jose, Calif. -- TiVo, a developer of digital video recorder services, announced on Tuesday that it has sued satellite TV company EchoStar Communications, which operates the DISH Network, for patent infringement in a Texas federal court. San Jose, Calif.-based TiVo said that EchoStar is infringing on its "Time Warp" patent, which covers technology including a method for recording one program while playing back another, watching a program as it is recording, and a storage format that supports pausing a live television broadcast, fast-forwarding, rewinding, instant replays and slow motion. The company is seeking unspecified monetary damages as well as an injunction against future sales of digital video recorders by EchoStar. "We've invested in building a comprehensive patent portfolio to protect our intellectual property and as the DVR category grows, we will be aggressive in protecting those assets," said TiVo CEO Mike Ramsay.
http://biz.yahoo.com/prnews/040105/sfm080_1.html 
http://www.echostar.com 
http://www.tivo.com
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o U.K. Video Game Sales Grow 7.1% to Record $2.3 Billion in 2003

London -- Sales of video games in the U.K. rose 7.1% in 2003 to a record $2.3 billion (1.26 billion pounds), according to figures tallied by the Entertainment and Leisure Software Publishers Association (ELSPA), a U.K. video game trade group. The group said that 15 game titles sold at least 300,000 units in the U.K. during the 10 weeks leading up to the Christmas holiday. Game developer Electronic Arts claimed four of the ten top-selling games, with its "FIFA 2004" and "FIFA 2003" both selling over 600,000 units. Other top 10 titles included Take-Two Interactive's "Grand Theft Auto: Vice City" and Atari's "Enter the Matrix." "The U.K. video games industry sales have been on the rise for the last 20 years -- it topped the £2 billion mark for the first time in 2002 and this year, once the final figures for all hardware are compiled, will see that dynamic trend continue," said ELSPA director general Roger Bennett.
http://www.elspa.com/about/pr/pr.asp?mode=view&t=1&id=405
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o Record Labels Vow to Fight Belgian Copy-Protected CD Lawsuit

Brussels -- A number of the biggest music companies in the world this week vowed to fight a multi-million-dollar lawsuit filed against them by the notoriously feisty consumer group Test-Achats. The Belgian group filed the suit against EMI, Universal Music, Sony Music and BMG earlier this week after receiving hundreds of complaints that the companies' copy-protection schemes had prevented some audio CDs from being played on PCs and car stereos. In a statement, the International Federation of the Phonographic Industry defended its members' practices, saying that European law clearly stipulates that record companies "have the right to protect their works through technical means".
http://www.ifpi.org 
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o Interactive TV Developer Hillcrest Communications Raises $10 Million

Rockville, Md. -- Preparing to bring its products to market, Hillcrest Communications, a developer of interactive TV hardware and software, said on Tuesday that it has secured $10 million in financing from a prominent roster of investors, including round-leader New Enterprise Associates. Columbia Capital and Grotech Capital Group also participated. Company founder Dan Simpkins, previously the founder and CEO of voice switch developer SALIX Technologies, served as executive in residence at NEA while incubating Hillcrest. Founded in 2001, Hillcrest makes tools that help viewers improve the way they interact with their television sets and home media centers. "We are very pleased to have our product concept validated by this funding from blue chip investors, especially in this extremely challenging economic environment," said Simpkins.
http://www.newsalert.com/bin/story?StoryId=Cp_Pa0bKbmda2yJi4mJq
http://www.hillcrestcommunications.com  _____________________________________________

o TruSonic Acquires MP3.com's Digital Music Service for Businesses

San Diego -- TruSonic, a new company formed to distribute digital music programming to businesses, announced on Tuesday that it has acquired the truSONIC brand and related assets from MP3.com, including licenses to MP3.com's library of 1.5 million songs from independent artists. Financial terms of the transaction were not disclosed. Former MP3.com chief technology officer Daniel O'Neill, who led the development of the truSONIC service, will serve as CTO of TruSonic, Inc., while Joseph Tebo was named president and CEO. Current customers for the service, which delivers digital music to retail stores over the Internet and allows control via a Web-based interface, include AMC Theaters, Petco Pet Supplies, Spencer Gifts and Comp USA.
http://www.trusonic.com

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>Sr. Sales Executive – Media, Entertainment and Aggregator

Peppercoin, Inc. is a micropayments company that enables online merchants to sell low-priced digital goods profitably. Peppercoin was founded by world-renowned leaders in cryptographic technology from MIT whose previous ideas led to significant enterprises worth billions of dollars. By joining the Peppercoin team, you will help us perpetuate this record of success. We are looking for an experienced sales professional to sell our service and product offerings to the Media, Entertainment and Aggregator markets. The position demands knowledge of these markets and a proven ability to sell new products from early stage start-ups.  Send resume to careers@peppercoin.com  URL: www.peppercoin.com

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(Las Vegas) Car electronics manufacturer Delphi said on Tuesday that it will introduce a mobile satellite TV antenna designed for automobiles at this week's Consumer Electronics Show in Las Vegas. The company did not announce a release date or suggested price for the product. "Our solution was to integrate the antenna system into the roof of the vehicle without affecting headroom, safety or aerodynamics. In addition, we made it transparent to the consumer to give the vehicle a true original equipment appearance," said Delphi director of advanced engineering Dick Lind. The antenna is fully steerable in both horizontal plane and elevation to consistently track the satellite as the vehicle changes directions and attitudes.
http://biz.yahoo.com/prnews/040106/detu008_1.html 
http://www.delphi.com

(Redmond, Wash.) Microsoft on Tuesday announced an upgrade for its digital cable TV software. Microsoft TV Foundation Edition version 1.5 will include a new application, TV Best Bets, designed to help consumers more easily find video-on-demand movies of interest by recommending titles based on viewing history, providing critics' choices, and highlighting popular titles that are soon to be removed from the service.
http://biz.yahoo.com/prnews/040106/sftu069_1.html 
http://www.microsoft.com/tv

(Santa Clara, Calif.) Digital audio electronics manufacturer Rio on Tuesday introduced the Rio Nitrus 4GB MP3 player, a pocket-sized device weighing less than two ounces. The $249 device, which can hold up to 2,000 songs and supports USB 2.0 for file transfer, will begin shipping later this month.
http://www.rioaudio.com

(Las Vegas) Intellon, a developer of networking technology using power lines, said it will display its technology that allows for streaming of three simultaneous HDTV and SDTV video streams over standard electrical wiring at this week's Consumer Electronics Show. Florida-based Intellon said its PowerAV networking solution offers data transfer rates of over 100 Mbps.
http://www.intellon.com

(Las Vegas) Networking hardware manufacturer Netgear on Tuesday announced a new wireless digital music player that can play digital music files stored on a PC over any stereo in the home via a wireless network. The sub-$200 product, which will go on sale in February, will include a free 30-day trial subscription to RealNetworks' Rhapsody streaming digital music subscription service.
http://biz.yahoo.com/prnews/040106/sftu077_1.html 
http://www.buynetgear.com

(San Francisco) Game developer Sega of America on Tuesday shipped its "Sonic Heroes" title for Nintendo GameCube to retailers. Sega will release versions of the game -- the first new Sonic the Hedgehog title in three years -- for PlayStation 2 and the Xbox on Jan. 27.
http://www.sega.com

(Wayne, N.J.) Audible, a provider of spoken word digital audio content, announced on Tuesday that it has partnered with Korean online media retailer YES24 to launch an international marketing and distribution initiative. The YESAudible service will offer Audible's library of 34,000 hours of audio content to YES24's 2.47 million registered users.
http://biz.yahoo.com/bw/040106/65069_1.html 
http://www.audible.com 
http://www.yes24.com/yesaudible

(Washington, D.C.) The Washington Post Company on Tuesday named Caroline Little as the CEO and publisher of Washingtonpost.Newsweek Interactive, the Post's new media and electronic subsidiary. She had been chief operating officer of WPNI since 2000 and president since early 2003. Little, 44, joined WPNI as general counsel in 1997. Little replaces Christopher Schroeder, who will become vice president of strategy for The Washington Post Company.
http://biz.yahoo.com/prnews/040106/dctu035_1.html

(New York) Elektra recording artists Phish have announced that as of Jan. 1, 2004, the band will donate all net proceeds from its LivePhish.com music download service to The Mockingbird Foundation, a non-profit that supports music education for children. The band said that LivePhish.com, which offers MP3 and CD-quality FLAC files for sale to fans within 48 hours of each live show's completion, generated over $2 million in sales during 2003.
http://www.livephish.com

(London) U.K. news site TheRegister reported that Jon Johansen, the young Norwegian who broke the encryption technology on DVDs, prompting lawsuits from Hollywood, has now also broken the digital rights management scheme for Apple's iTunes digital music store. Johansen found that the key that tied the iTunes music files to a single Windows computer were derived from four factors: the serial number of the C: drive, the system BIOS version, the CPU name and the Windows Product ID. The crack allows the AAC files from iTunes to be played through VideoLAN, a free streaming media application that supports Linux and GNU operating systems. "We're about to find out what Apple really thinks about Fair Use," Johansen told The Register.
http://www.theregister.co.uk/content/6/34712.html 
http://www.videolan.org

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