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DIGITAL MEDIA WIRE -- February 28, 2003
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To Subscribe For Free: http://www.digitalmediawire.com 

o WSJ: "New Economy" Magazine Red Herring to Cease Publication 
o Report: Sony Music Takes 4% Stake in Rival Subscription Service MusicNet
o Acquitted DVD-Cracking Code Creator Johansen Faces New Trial 
o Sega Laying Off 20% of U.S. Staff As Merger Looms With Pinball Firm
o Electronic Arts, Nintendo Win Lion's Share of Video Game Awards

> DMW Digital Music Forum | MONDAY | NYC
> DMW Publications: January Law and Policy Report

o Briefly Noted: Sirius Satellite Radio, Gracenote, Neuros Digital Audio
Computer - Ogg Vorbis, "EverQuest: Online Adventures," Midway - "Freestyle
MetalX," SmartDisk - FlashTrax, CMJ - webcaster playlists
_____________________________________________

> Events: Games & Mobile Forum: April 28 | NYC, Global Entertainment &
Media Summit

> Marketplace: Entertainment & Corporate Legal Services, Game Industry
Report, iTV Chronicle, Interest-Based Navigation

Full Classifieds located beneath "Briefly Noted" section below.

To post a Classified Ad:
http://www.digitalmediawire.com/mainpostingpage.html
or contact Tinzar Than at tinzar@digitalmediawire.com
_____________________________________________

o WSJ: Red Herring, "New Economy" Magazine Holdout, to Cease Publication

New York -- The Wall Street Journal reported on Friday that RHC Media,
publisher of ten-year-old "new economy" magazine Red Herring, has decided
to shutter the publication. A "person familiar with the matter" told The
Journal that RHC had unsuccessfully hired a firm to look into selling the
magazine, and will now look to sell assets including its subscriber list.
The magazine's March issue will be its last.
http://biz.yahoo.com/djus/030228/1458000622_1.html 
http://www.redherring.com 
_____________________________________________

o Report: Sony Music Takes 4% Stake in Rival Subscription Service MusicNet

Los Angeles -- Sony Music has taken a 4 percent stake in MusicNet, a
digital music subscription service joint venture that competes with its
own Pressplay joint venture with Universal Music Group, sources close to
the company told Reuters on Friday. MusicNet is a joint venture between
AOL, RealNetworks and record labels Warner Music, BMG and EMI that sells
music downloads and lets users stream music to their PCs. Sony Music also
licensed its songs to MusicNet in November. The U.S. Department of Justice
began an ongoing probe into antitrust issues between MusicNet and
Pressplay in 2001. The two ventures were formed through negotiations and
licensing agreements between the five major record labels, which control
the majority of the world's recorded music.
http://www.reuters.com/newsArticle.jhtml?type=internetNews&storyID=2302257 
_____________________________________________

o Acquitted DVD-Cracking Code Creator Johansen Faces New Trial 

Oslo -- The Norwegian teenager recently acquitted on piracy charges for
creating a program that can crack the security technology on DVDs will
face a new trial in an appeals court, Reuters reported on Friday. The
initial ruling was a blow to the Hollywood studios that urged the original
prosecution of nineteen-year-old DeCSS computer code creator Jon Johansen.
The studios are also backing the appeal, which objects to the application
of the law and the presentation of evidence. "This case is about important
principles, and we are very pleased that it will be tried again," Rune
Floisbonn, acting chief of the Economic Crime Unit's data department, told
Reuters. Several publishers have been successfully prosecuted under the
U.S. Digital Millennium Copyright Act for publishing Johansen's code here;
Norway has no similar law.
http://www.reuters.com/newsArticle.jhtml?type=technologyNews&storyID=2306383 
_____________________________________________

o Sega Laying Off 20% of U.S. Staff As Merger Looms With Pinball Firm

Tokyo -- Japanese game developer Sega said on Friday that it will lay off
20 percent of the staff, or 90 employees, at San Francisco-based Sega of
America as it looks toward a merger with Japanese pinball game
manufacturer Sammy Corp. Several outlets reported that both Electronic
Arts and Microsoft may also possibly bid for Sega, but both companies have
denied such reports. The unlikely merger between Sega and Sammy is
currently scheduled to close in October.
http://www.reuters.com/newsArticle.jhtml?type=technologyNews&storyID=2307988 
_____________________________________________

o Electronic Arts, Nintendo Win Lion's Share of Video Game Awards

Las Vegas -- The Academy of Interactive Arts and Sciences (AIAS) on
Thursday night presented its annual Interactive Achievement Awards in Las
Vegas, where independent game developer Electronic Arts and Japanese
gaming giant Nintendo walked away with the lion's share of the awards.
Redwood City, Calif.-based Electronic Arts' "Battlefield 1942," developed
by Digital Illusions, was named Game of the Year and also won in three
other categories; EA took home a record 13 awards. Nintendo's "Animal
Crossing" won for Outstanding Achievement in Game Design and in two other
categories; Nintendo was honored with a total of seven awards. "These
awards are important because they represent the industry's picks of the
top video games from an amazing field of innovation and creativity," said
Paul Provenzano, president of the Academy of Interactive Arts and
Sciences.
http://www.interactive.org/newsandevents.asp?show=159&thetype=1 
_____________________________________________

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==========================================
DMW Presents. DIGITAL MUSIC FORUM
==========================================
*** TODAY IS LAST CHANCE FOR EARLY REGISTRATION ***
http://kb.digitalmediawire.com/register.php?eventid=1024 

March 3, 2003 | New York City | 9:00AM - 7:00 PM 
Full list of speakers and agenda:
http://www.digitalmediawire.com/events/MusicForum_030303.htm
 
A full-day forum focusing on business & legal issues impacting the music
industry today. The agenda includes 2 keynote addresses, 4 moderated
panels and breakout sessions.
 
Featuring: An Interview & Jam Session with the Legendary Les Paul 

Confirmed Keynote Speakers:
Lyor Cohen | Chairman & CEO, The Island Def Jam Music Group
Chris Gorog | CEO, Roxio "The Time for Online Music is Now"
Steve Rennie | REN Management (Artist Manager for Platinum-selling
Incubus)

And panelists from: Sony Music, MTV/VH1, Roxio, Listen.com, FullAudio,
Moviso, Columbia Records, United Musicians, LAUNCHcast/Yahoo!, pressplay,
Astralwerks/EMI, Morpheus/Streamcast Networks, U.S. Copyright Office,
Electric Artists, Audible, Music Choice, Terra Lycos, AT&T Wireless

February registrations:  $200 until February 28
At the door:  $250   
Pre-Register at: http://kb.digitalmediawire.com/register.php?eventid=1024

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==========================================
DMW Publications: January Law & Policy Report
==========================================
Contact tinzar@digitalmediawire.com or call 323-464-0793 to order your
copies.
To purchase directly, go to:
http://www.digitalmediawire.com/marketplace.htm 

Digital Media Law & Policy Report - New Issue
Must-read publication on legal and policy matters related to digital
media. 35+ pages of case summaries, news and analysis, policy updates,
court filings, and exclusive interviews with legal counsel and business
leaders.
Published monthly. January issue on sale now!
**Special Reduced Rates available for a limited time**   
Price:   $19.00 Per Issue   |   $195.00 Annual Subscription  
http://www.digitalmediawire.com/marketplace.htm

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==================
FEATURED SECTION
==================
Featured Section posting at:
http://www.digitalmediawire.com/featuredpostingpage.htm  

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Briefly Noted: 

(New York) Sirius Satellite Radio, a provider of nationwide,
satellite-delivered digital radio programming, announced on Friday that
its chipset maker, Agere Systems, has started shipping the company's
second-generation chipsets to Sirius' receiver manufacturing partners. An
initial order of 60,000 of the new chipsets -- which will reduce the
receiver's design dimensions to the size of a credit card from that of a
videocassette, and reduce required power by half -- have been shipped.
http://biz.yahoo.com/prnews/030228/nyf089_1.html 
http://www.siriusradio.com 

(Berkeley, Calif.) Gracenote, a provider of CD recognition software, has
announced the release of its Gracenote Encode Software Development Toolkit
(SDK) for non-commercial developers, on a royalty-free basis.
Berkeley-based Gracenote said this is the first version of the CDDB SDK to
offer full mp3 encoding and decoding functionality, as well as mp3PRO
decoding. The Gracenote database provides information on 1.8 million
albums that enables developers to display artist, title, and track names
and automatically label and categorize mp3 files as they are created.
http://www.gracenote.com 

(Chicago) Consumer electronics developer Digital Innovations and Neuros
Audio announced that they will include support for the open-source,
royalty- and patent-free Ogg Vorbis audio codec in the Neuros Digital
Audio Computer, due for release in March. The portable digital music
player will be the first commercial device to support the Ogg format.
http://www.neurosaudio.com/press/news_item.aspx?itemID=80 
http://www.xiph.org 

(San Diego) Sony Online Entertainment said on Friday that it adding a
server to support the growing number of players for its "EverQuest: Online
Adventures" title for PlayStation 2. The new server, scheduled to go
online March 7, will add capacity for "thousands" of additional players
for the game, which takes advantage of the network gaming capabilities of
the PlayStation 2.
http://everquestonlineadventures.com 

(Chicago) Game developer Midway announced on Friday that it plans to
release its new freestyle motocross title, "Freestyle MetalX," for
PlayStation 2, Xbox and GameCube in June. The game features a number of
professional motocross riders as characters in addition to a soundtrack
featuring recordings from bands like Motorhead, Motley Crue, Megadeath and
Twisted Sister.
http://biz.yahoo.com/bw/030228/285116_1.html 
http://www.midway.com 

(Fort Myers, Fla.) Consumer electronics developer SmartDisk on Friday
introduced its FlashTrax handheld portable device for offloading and
storing digital images and music. The $500 device features a 30GB USB2.0
hard drive, MP3 player with built-in speaker, and 3.5" LCD display for
viewing pictures that outperforms tiny on-camera screens.
http://biz.yahoo.com/bw/030228/285251_1.html 
http://www.smartdisk.com 

(New York) CMJ, the regarded college music trade magazine, said that it
will begin publishing reports from Internet-only broadcasters alongside
those from the influential college radio stations it polls. "We're giving
these webcasters the credibility that we have given to college and
noncommercial radio for 25 years," CMJ Network vice president and general
manager Mike Boyle told the Radio and Internet Newsletter. "And that this
is a precursor to building up a critical mass of influential Webcasters in
anticipation of eventually launching a chart just for them."
http://www.kurthanson.com 
http://www.cmj.com 
_____________________________________________

===================
CLASSIFIEDS - JOBS
===================
To Post Jobs: http://www.digitalmediawire.com/jobpostingpage.htm 

_____________________________________________

====================
CLASSIFIEDS - EVENTS
====================
To Post Events: http://www.digitalmediawire.com/eventpostingpage.htm 

Digital Media Wire Presents...Games & Mobile Forum
April 2003, New York City
 
Focusing on games and mobile entertainment opportunities and business
models. Panel topics will include "The Battle to Control the Living Room:
Is the Game Industry Winning?", "Mobile Games: Business Models & New
Opportunities",  "Legal & Policy Issues Impacting the Game Industry &
Mobile Entertainment", and "Home Networking: Technology for Modern Living
& Entertainment."

Door Tickets Price: $250. For Early Bird Specials, pre-register at:
http://kb.digitalmediawire.com/register.php?eventid=1025
_____________________________________________

Global Entertainment & Media Summit
February 28-March 2, New York City 

The Global Entertainment and Media Summit returns to New York City for a
productive three days of conferences, workshops and   keynotes all
dedicated to helping to facilitate the growth of our industries.  Keynotes
include Danny Goldberg, Dave Marsh, Lee Abrams of XM Satellite Radio and
Jack Healey, of the Human Rights Action Center--formerly of Amnesty
International. The event will feature over 20 productive panel sessions
over the course of the three-day event.
Show dates are Friday, Saturday and Sunday, February 28, March 1 and March
2. Registration is $75 per person and includes admission to all events.
Details: http://www.globalentertainmentnetwork.com
Schedule: http://www.globalentertainmentnetwork.com/schedule.htm
Tickets: http://www.globalentertainmentnetwork.com/tickets.htm 
_____________________________________________

==========================
CLASSIFIEDS - MARKETPLACE
==========================
To Post Marketplace:
http://www.digitalmediawire.com/marketplacepostingpage.htm 

Entertainment & Corporate Legal Services
 
Top Credentialed Attorney with 9 years of experience representing major
studios, entertainment start-ups, VCs, investment banks and other blue
chip clients provides legal and business consulting for exclusive
clientele at reasonable rates. Services include entity formation, private
equity financings, licensing (entertainment and software products),
trademark registration and disputes, copyright issues and other
transactional and contract law services. Qualified in California and
Texas. Retainer required to commence services. Tel. 323-363-3620.
_____________________________________________

Game Industry Law & Policy Report 

Special industry report covering law & policy matters impacting the game
industry. The 15-page report includes case summaries, news and analysis,
feature article and an exclusive interview with Doug Lowenstein,
President, Interactive Digital Software Association.  Price: $19.00
http://www.digitalmediawire.com/marketplace.htm
_____________________________________________

For those who believe in ITV - "Interactive TV: The Definitive Chronicle"
 
Covering the period 2000 to the present, this sourcebook presents a
complete history of the news and events that have shaped the business of
iTV since the beginning of the 21st Century. Culled from countless
sources, including the Digital Media Wire database, this 175 pages PDF (on
CD) covers all of the major players as well as the legal and financial
issues that helped shape the industry. Key research and industry
projections as well as a host of facts, figures, resources and thousands
of iTV-related links are included. Price: $ 55.00.
http://www.digitalmediawire.com/marketplace.htm
_____________________________________________

Etronica helps you "Find the Good Stuff FAST!"

Etronica's unique software toolset enables "Interest Based Navigation" of
Digital Content. The Patent Pending software tools can be incorporated
directly into content websites and portals, installed in TV settop boxes
or integrated as OEM components. The tools drive the automatic tagging,
indexing, and categorization of text. A recommendation engine suggests
highly relevant new information to users as they interact. Personalized
advertising and commerce offerings can also be automatically served.
Contact us to learn more: info@etronica.com
http://www.etronica.com
_____________________________________________

Digital Media Wire, Inc. leverages its integrated media network to provide
exceptional value to individuals and companies determined to capitalize on
the convergence of media, entertainment and technology. Digital Media
Wire, the first in a series of business-intelligence publications,
delivers original daily briefings on the business, legal and financial
developments shaping digital media.

Digital Media Wire is part of the Tech Wire Media Group, an international
network of publications that includes 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 62,000 individuals from
over 70 countries worldwide each business day.

Upcoming publications, events & information at:
http://www.digitalmediawire.com 

Questions, Comments & Suggestions to:
tinzar@digitalmediawire.com 

News Tips, Scoops & Press Releases to:
editorial@digitalmediawire.com 
_____________________________________________

Editor: Mark Hefflinger
Chief Executive Officer: Ned Sherman
VP, Marketing and Events: Tinzar Than

Copyright 2003 Digital Media Wire, Inc. All Rights Reserved.