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November 19, 2004  |  New York City
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Main Stories
o Supreme Court Declines Appeal on RIAA "John Doe" File-Swapper Suits
o Justice Dept. Task Force Recommends Expansion of U.S. Anti-Piracy Efforts
o Report: Number of Legal Music Download Service Users on Decline
o Microsoft Releases New XP Media Center PC Software
o Report: File-Swappers on eDonkey Outnumbered Kazaa Users in September
o Virgin Releases First 5GB Portable Digital Music Player
o Report: U.K. Online Advertising Grows 76% in First Half

o Briefly Noted: SanDisk - MP3 players, Sony DVDirect, XM Radio Online, Napster - D-Link, Variety - free broadband video news, Midway's "Mortal Kombat" - 1 million shipped, Electronic Arts - "FIFA Soccer 2005," "EverQuest II" - Heather Graham, Airborne Entertainment - San Francisco 49ers, Her Interactive, JetGroove - angry record labels, France - theater cell phone jammers
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Washington -- The U.S. Supreme Court on Tuesday declined to consider an appeal of a ruling that said the Recording Industry Association of America (RIAA) and others must file "John Doe" lawsuits in order to compel Internet service providers to reveal the names of suspected file-swappers. Initially, the RIAA invoked a provision of the Digital Millennium Copyright Act to subpoena ISPs directly for the names of large batches of alleged copyright infringers, but Verizon argued and a U.S. appeals court agreed that the RIAA must first file formal "John Doe" suits against each suspected file-swapping subscriber. Since the appeals court ruling in December 2003, the RIAA has sued over 3,500 individuals using the "John Doe" process.
http://supct.law.cornell.edu/supct/html/101204.ZOR.html
http://makeashorterlink.com/?I15E21289
http://www.eff.org/legal/cases/RIAA_v_Verizon 
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o Justice Dept. Task Force Recommends Expansion of U.S. Anti-Piracy Efforts

Los Angeles -- U.S. Attorney General John Ashcroft was in Los Angeles on Tuesday to discuss the findings of a Justice Dept. task force, which recommends that the U.S. greatly expand its prosecution of piracy and copyright infringement both at home and abroad, The Los Angeles Times reported. Citing data that estimates piracy costs U.S. businesses $250 billion a year, the task force recommended in its 100-page report that the number of federal prosecutors and agents assigned to intellectual property and anti-counterfeiting be increased, and that more be assigned to piracy hotspots like Hong Kong and Budapest. The task force also said that prosecutors should target those who circumvent copyright controls on movies, and recommended that Congress regulate peer-to-peer file-sharing networks. "A copyright owner should have some express remedy against such networks and other businesses, to the extent that they depend upon and intend for their customers to violate the owner's copyright," the report said. The Times reported that Aschcroft is expected to endorse and rapidly implement the task force's findings.
http://www.latimes.com/business/la-fi-piracy12oct12.story 
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o Report: Number of Legal Music Download Service Users on Decline

Port Washington, N.Y. -- The number of consumers purchasing legal digital music downloads declined from a high of 1.3 million in April 2004 to around one million during the months of May, June and July, according to a report from New York-based market research firm NPD Group. The firm cited the end of free offers, discounts and other promotions offered by the various services selling digital music. NPD did not note a corresponding decline in the number of households using peer-to-peer file-sharing service to download free music, which totaled 5.1 million in August 2003 and 6.4 million in July 2004. Of the legitimate services, Apple's iTunes accounted for 70 of sales for the period of Dec. 2003 to July 2004, while Napster's share was 11% and Musicmatch, RealNetworks and Wal-Mart each sold 6% of total downloads.
http://makeashorterlink.com/?V29E44289 
http://www.npd.com 
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o Microsoft Releases New XP Media Center PC Software

Redmond, Wash. -- Microsoft on Tuesday announced the release of its Windows XP Media Center Edition 2005, an updated version of its software for PCs designed to serve as home media servers that organize and shuttle music, video, pictures and other content from a computer to a TV or stereo. PC makers including Dell, Gateway, HP, Sony and Toshiba will release computers that feature the software, while Microsoft said a range of consumer electronics firms will release portable devices that support its new "Janus" digital rights management system. Such devices will be labeled by a "PlaysForSure" logo, indicating their interoperability with Media Center PCs. The company also added content to the Digital Media Mall offered throgh the software from providers including Audible.com, Court TV, F.Y.E. For Your Entertainment, MLB.TV, Puretracks and XM Satellite Radio. The release also marked the official launch of MSN Music, Microsoft's foray into the digital music download store market currently dominated by Apple's iTunes.
http://biz.yahoo.com/prnews/041012/sftu089_1.html
http://biz.yahoo.com/prnews/041012/sftu125_1.html
http://biz.yahoo.com/prnews/041012/sftu122_1.html 
http://makeashorterlink.com/?V21061389 
http://www.playsforsure.com  
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o Report: File-Swappers on eDonkey Outnumbered Kazaa Users in September

Los Gatos, Calif. -- For the first time, users of the Kazaa file-sharing application were outnumbered in September by users of the rival eDonkey service, which can more easily handle larger files like video, according to a report from Los Gatos, Calif.-based BayTSP, a peer-to-peer tracking firm. During September, eDonkey averaged 2.54 million users per day, while Kazaa averaged 2.48 million users. Kazaa's position as the most popular file-sharing service has waned over the past year, since the Recording Industry Association of America (RIAA) first began suing its users in a very public anti-piracy campaign.
http://www.jgpr.com/documents/SeptemberP2PReport.pdf
http://makeashorterlink.com/?R2FE12289 
http://www.baytsp.com 
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o Virgin Releases First 5GB Portable Digital Music Player

San Jose, Calif. -- Virgin Electronics, the new consumer electronics unit of Richard Branson's Virgin Group, on Tuesday introduced its Virgin Electronics Player, a 5GB portable digital music player. The $249 player weighs 3.1 ounces, offers dual headphone jacks and an FM tuner, and includes software that allows playlist creation directly on the device. The player also comes bundled with Virgin Digital, the company's digital music software and service, which offers individual tracks for $0.99 as well as a $7.99 per month subscription service.
http://www.virgin.com/electronics 
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o Report: U.K. Online Advertising Grows 76% in First Half

London -- A new study commissioned by the Interactive Advertising Bureau (IAB) showed that online advertising in the U.K. for the first time ever came to more than 3% of the country's total advertising spending and predicted that online advertising would overtake radio advertising soon. Online advertising in the first half accounted for 3.24% of the advertising market, compared to radio's share of 3.7%. IAB said it was confident online advertising would overtake radio by February 2007. First-half online advertising in the U.K. reached just less than 469 million pounds ($838 million) -- an increase of about 76% compared to the same period last year. "This is exceptional growth," said Paul Pilkington, director of Entertainment and Media Practice for PricewaterhouseCoopers, which conducted the study. "Online is clearly setting new records, growing its market share faster than any advertising sector."
http://www.iab.net 

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(Sunnyvale, Calif.) Storage media manufacturer SanDisk on Tuesday introduced its first line of portable digital audio players, which use flash memory to store up to 1GB of music in MP3 and Windows Media Audio formats. The SanDisk Digital Audio Player comes in 256MB ($99), 512MB ($149) and 1GB ($199) models.
http://biz.yahoo.com/bw/041012/125528_1.html 
http://www.sandisk.com

(San Jose, Calif.) Sony on Tuesday introduced what it says is the first DVD burner that can be used as a standalone device connected to a TV, as well as a computer-attached peripheral. The $300 DVDirect, expected to ship in November, can connect directly to a camcorder or VCR and transfer up to 12 hours of footage per disc, or else attach to a PC via a USB 2.0 connection.
http://biz.yahoo.com/prnews/041012/sftu018_1.html

(Washington) XM Satellite Radio announced on Tuesday the launch of XM Radio Online, an Internet streaming version of its satellite-delivered digital radio service. The service will offer XM's commercial-free stations for $7.99 per month, discounted to $3.99 per month for existing XM satellite subscribers. XM is currently offering a 30-day free trial of the online service to purchasers of new Dell desktop and notebook PCs.
http://biz.yahoo.com/prnews/041011/dcm036_1.html 
http://listen.xmradio.com

(Los Angeles) Napster on Tuesday introduced Napster Media Room Edition, a new version of its digital music subscription service designed for use with home networks utilizing a Microsoft Windows XP Media Center Edition 2005 PC. The service will allow users to listen to songs and view music videos from Napster on their TV or home stereo. Los Angeles-based Napster also said it partnered with D-Link, a maker of home networking products, to offer Napster tracks through its D-Link MediaLounge Wireless Media Player. A free trial of the Napster service will be offered to purchasers of the $199 media player, which allows streaming of tracks from a PC to a television or stereo over a wireless network.
http://biz.yahoo.com/prnews/041012/latu120_1.html
http://biz.yahoo.com/prnews/041012/latu090_1.html 
http://www.napster.com 
http://www.dlink.com 

(Los Angeles) Entertainment trade publication Variety on Tuesday announced the launch of a free, weekly broadband video news service. "The Variety Newsroom" will feature four or so three-minute segments each week, reported by Variety editors including Peter Bart, Elizabeth Guilder and Tim Gray.
http://biz.yahoo.com/prnews/041012/nytu104_1.html 
http://www.variety.com

(Chicago) Video game publisher Midway Games announced on Tuesday that its "Mortal Kombat: Deception" title for PlayStation 2 and Xbox has shipped over one million units to North American retailers in its first week, making the game the fastest-selling title in company history. Midway added that over 130,000 online matches have been played via PlayStation 2 in the last six days. A GameCube version of the title will ship in early 2005.
http://biz.yahoo.com/bw/041012/125301_1.html
http://www.mortalkombatdeception.com

(Redwood City, Calif.) Game developer Electronic Arts on Tuesday shipped its "FIFA Soccer 2005" title for PlayStation 2, Xbox, GameCube, PC and Game Boy Advance. Developed by Vancouver-based EA Canada, the game features online play for both PlayStation 2 and Xbox. The game is also the basis for the FIFA Interactive World Cup, an international online game tournament for Xbox endorsed by FIFA; U.S. qualifying for the competition will take place in New York on Oct. 30. Redwood City, Calif.-based Electronic Arts also shipped its "TY the Tasmanian Tiger 2: Bush Rescue" title for PlayStation 2, Xbox, GameCube and Game Boy Advance. The game was developed by Australia-based Krome Studios.
http://biz.yahoo.com/bw/041012/125410_1.html
http://biz.yahoo.com/bw/041012/125414_1.html 
http://www.fifasoccer05.com 
http://www.kromestudios.com 
http://www.tythetasmaniantiger2.ea.com

(San Diego) Sony Online Entertainment announced on Tuesday that actors Heather Graham and Christopher Lee have signed on to provide voice talent for the two main characters in "EverQuest II," the sequel to Sony's massively multiplayer online roleplaying game. The game, scheduled to launch later this year, will feature a total of 70,000 lines of dialog -- equivalent to 130 hours -- spread across over 1,700 voice actors.
http://everquest2.com

(Montreal) Wireless entertainment publisher Airborne Entertainment said on Tuesday that it has partnered with the NFL's San Francisco 49ers to develop a mobile service for football fans. The service will allow users to download 49ers ringtones and wallpapers directly to their cell phones. Montreal-based Airborne has created similar services for the National Hockey League.
http://www.airborne-e.com

(Bellevue, Wash.) Game developer Her Interactive has shipped its "Nancy Drew: Curse of Blackmoor Manor" title for PC to retailers. The game is the latest in Bellevue, Wash.-based Her Interactive's franchise based on the Nancy Drew mystery novels, first published in 1930.
http://www.herinteractive.com

(London) U.K. news site The Register reports that recently launched U.K. music download store JetGroove riled many artists and record labels by purporting to offer unlicensed music for sale from its online store. The company said the listing of unlicensed tracks on its service -- which they maintain are unavailable for purchase or download -- was a somewhat misguided ploy to initiate contact with labels for licensing negotiations. If a label is unwilling to license the track(s) in question, JetGroove said, it will remove the tracks from its search index, as it has done for both Warp Records and Subversive Records.
http://www.theregister.co.uk/2004/10/11/jetgroove_mp3 
http://www.jetgroove.com

(Paris) France's Industry Minister Patrick Devedjian has approved a decision allowing movie theaters, concert halls and other venues in the country to install cell phone jammers to block impolite patrons from making or receiving calls, the Associated Press reported. The matter was approved in response to "a long-standing request" from theater owners, and will exempt calls made to emergency services, in addition to ensuring that calls made outside such venues aren't affected.
http://www.washingtonpost.com/wp-dyn/articles/A25265-2004Oct11.html

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