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===================================================
DIGITAL MEDIA WIRE -- December 17, 2002
===================================================
To Subscribe For Free: http://www.digitalmediawire.com 

o ElcomSoft Found Not Guilty of Violating Digital Copyright Act
o FCC: Broadband Connections Up 70% Over Past Year
o MarketWatch: Nintendo May Acquire "Resident Evil" Developer Capcom
o Video Indexing Software Firm Gotuit Media Raises $6 Million
o Report: DVD Player Shipments Grew 61% in 2002
o Liquid Audio Faces Legal Challenge on Cash Distribution to Shareholders
o Electronic Arts Ships Anticipated "The Sims Online" PC Video Game

> DMW Publications: Special Rates for DMW Subscribers

o Briefly Noted: CNN - cybersquatter ruling, Microsoft - Plus! Digital
Media Edition, Yahoo - Associated Press, Infogrames' "Alone in the Dark" -
movie deal, Movielink - "Spider-Man," Walt Disney Internet Group - TIM -
Bouygues Telecom, THQ - "Spongebob Squarepants," Sega.com - Capcom
_____________________________________________

> Events: Eventeurs

> Marketplace: Homeland Security Directory, 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 ElcomSoft Found Not Guilty of Violating Digital Copyright Act

San Jose, Calif. -- A jury on Tuesday found Russian software firm
ElcomSoft not guilty of criminal violations of the U.S. Digital Millennium
Copyright Act (DMCA), in what was seen as the first legal test of the
controversial law's criminal provisions. U.S. prosecutors sued the company
at the behest of Adobe Systems, whose e-book software could be cracked
using a program sold by ElcomSoft. The company faced up to $2 million in
fines. U.S. District Court Judge Ronald Whyte had instructed the jury that
they could find ElcomSoft guilty only if the company "willfully" intended
to break the law with its software, despite its inherent ability to be
used for illegal purposes. Jury foreman Dennis Strader told the Associated
Press that the defense's argument that ElcomSoft's software could be used
to make back-up copies of Adobe eBooks for personal use -- something Adobe
does not allow -- was compelling. Strader said the jury asked Judge Whyte
to define "fair use" shortly after deliberations began. "Under the eBook
formats, you have no rights at all, and the jury had trouble with that
concept," Strader told AP.
http://story.news.yahoo.com/news?tmpl=story&ncid=528&e=1&cid=
528&u=/ap/20021217/ap_on_hi_te/russian_programmer 
http://news.com.com/2100-1023-978176.html?tag=fd_top 
http://www.elcomsoft.com 
_____________________________________________

o FCC: Broadband Connections Up 70% Over Past Year

Washington -- A report released on Tuesday by the Federal Communications
Commission (FCC) revealed that broadband Internet connections in the U.S.
jumped 70 percent over the past year, from 9.6 million subscribers in June
2001 to 16.2 million in June 2002. Of these, 5.1 million were DSL
connections while 9.2 were cable modem-based connections, with the rest
composed of ISDN, satellite and other technologies. The FCC said that
broadband subscribers were present in 99 percent of the most densely
populated zip codes, as of the end of June 2002.
http://www.fcc.gov 
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-229568A1.pdf 
_____________________________________________

o MarketWatch: Nintendo May Acquire "Resident Evil" Developer Capcom

Los Angeles -- CBS MarketWatch reports that video game analysts are
speculating Japanese video game giant Nintendo has plans to acquire game
developer Capcom, responsible for such popular franchises as "Street
Fighter" and "Resident Evil." Neither Nintendo nor Capcom would comment
for the story. The move is seen as an attempt to "shake their image a
little bit and attract older gamers," analyst Paul Kaump, of Doughery &
Co. LLC, told CBS MarketWatch. Nintendo is primarily known for its stable
of kid-friendly titles, such as Mario, Pokemon and Zelda.
http://makeashorterlink.com/?J10132BC2 
http://www.capcom.com 
_____________________________________________

o Video Indexing Software Firm Gotuit Media Raises $6 Million

Andover, Mass. -- Gotuit Media, a provider of software for video-on-demand
and personal video recorder systems, announced on Tuesday that it has
raised $6 million in its latest round of venture capital financing.
Highland Capital Partners led the investment round, in which individual
investors also participated. The company's Gotuit TV software is a
patented indexing solution that merges metadata with digital video
content, allowing consumers to quickly access the parts of a show in which
they are most interested. Massachusetts-based Gotuit is currently in
trials with a U.S. cable TV operator and is working with several providers
of on-demand delivery systems and digital set-top boxes. The company will
use the funds to support the expansion of its video indexing services and
the ongoing integration of its software into personal video recorders and
video-on-demand systems.
http://www.gotuit.com/press20.html 
_____________________________________________

o Report: DVD Player Shipments Grew 61% in 2002

Scottsdale, Ariz. -- DVD player shipments to retailers grew by 61 percent
in 2002 to over 30 million, according to a report released on Tuesday by
market research firm In-Stat/MDR. The firm expects the market for DVD
players to reach 84 million by 2006. Arizona-based In-Stat also said that
DVD recorders that also offer playback functionality will gradually gain
market share over standalone DVD players, reaching shipments of 32 million
in 2006. More than one million DVD recorders are expected to ship this
year. The firm said that as more manufacturers move to produce DVD
recorders, pricing will drop to under $400 by the end of 2003, possibly
under $300 with fierce competition.
http://www.instat.com/press.asp?ID=458&sku=IN020044ME 
_____________________________________________

o Liquid Audio Faces Legal Challenge on Cash Distribution to Shareholders

Redwood City, Calif. -- Liquid Audio, the beleaguered provider of digital
music distribution technology, announced on Tuesday that a firm called
BeMUSIC has filed a motion in Delaware Chancery Court to enjoin Liquid
Audio's previously announced cash distribution payment of $2.50 per share
to its stockholders. Redwood City, Calif.-based Liquid Audio adopted the
plan to distribute its cash assets to shareholders after a failed merger
proposal with Alliance Entertainment and the resignation of its founding
executives. The company said it will "vigorously oppose" the motion to
enjoin the payment during a hearing on the matter scheduled for Dec. 19.
http://biz.yahoo.com/prnews/021216/sfm104_1.html 
http://www.liquidaudio.com 
_____________________________________________

o Electronic Arts Ships Anticipated "The Sims Online" PC Video Game

Redwood City, Calif. -- Game developer Electronic Arts on Tuesday released
its anticipated "The Sims Online" title for PC. The $49.99 online game
also requires an Internet connection and $9.99 monthly subscription fee.
Available in 16 different languages and having sold 20 million copies
worldwide to date, The Sims is the best-selling PC game franchise of all
time. "It's very inspirational for me to see how the original game has
evolved into a vibrant online community where players can create their own
world," said Will Wright, creator of The Sims. "The Sims Online gives
players tremendous possibilities to construct, customize and personalize a
world with their imagination as their only limit."
http://biz.yahoo.com/iw/021217/049674.html 
http://news.com.com/2100-1040-977912.html 
http://www.thesimsonline.com 
_____________________________________________

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==========================================
DMW Publications: Available for DMW Subscribers NOW!
November Law & Policy Report | Game Industry Report | iTV Chronicle
==========================================
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  (November)
A new report every month - must-read publication on legal and policy
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Special industry report covering law & policy matters impacting the game
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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:

(Minneapolis) The National Arbitration Forum (NAF), a panel designed to
hear domain name disputes in lieu of actual litigation, announced on
Tuesday that AOL Time Warner's CNN has prevailed against a cybersquatter
holding 325 domain names the panel said were registered in order to
capitalize on CNN's trademark. The NAF panel found that Elie Khouri and
his business, Channel News Networks, used names like cnn-canada.com,
cnnlebanon.com and cnnshoppingcenter.com to direct people to online news
services that competed directly with CNN.
http://www.arbitration-forum.com/about/newsDetail.asp?ID=79 

(Redmond, Wash.) Microsoft on Tuesday announced the upcoming release of
its Plus! Digital Media Edition software, a photo, music and movie
enhancement pack for its Windows XP operating system. The $19.95 upgrade
will become available for download on Jan. 7.
http://biz.yahoo.com/prnews/021217/sftu066_1.html 
http://www.microsoft.com/plus  

(Palo Alto, Calif.) Yahoo said on Tuesday that it has partnered with the
Associated Press news service to launch AP Archives, a fee-based news
archive on Yahoo News. The archive, which costs $1.50 per story, will
include AP articles published since Jan. 1, 1998.
http://www.newsalert.com/bin/story?StoryId=CpF6VubKbyti0nJC 

(New York) Video game publisher Infogrames announced on Tuesday that it
has sold the theatrical film rights to its "Alone In the Dark" horror
genre PC game to German production company Boll Kino. Under the agreement,
Boll Kino will control exclusive worldwide theatrical film rights, as well
as video, DVD, television, cable and pay per view rights for the film.
Principal photography is currently scheduled to commence in Vancouver in
the spring of 2003, with Dr. Uwe Boll serving as director and producer.
http://biz.yahoo.com/prnews/021217/nytu012_1.html 
http://www.infogrames.com 
http://www.boll-kg.de 
http://www.aloneinthedark.com 

(Santa Monica, Calif.) Movielink, the video-on-demand joint venture
between a group of Hollywood film studios, announced on Tuesday that
Columbia Pictures' movie "Spider-Man" is now available for download from
the service. Columbia Pictures is a unit of Sony Pictures, a partner in
Santa Monica-based Movielink.
http://www.movielink.com 

(North Hollywood, Calif.) Walt Disney Internet Group (WDIG) on Tuesday
announced agreements with two European wireless network operators, to
distribute Disney-branded wireless content like ringtones, logos,
screensavers and games to cell phone users. North Hollywood, Calif.-based
WDIG partnered with TIM to distribute Disney MMS content in Italy, and
with French network operator Bouygues Telecom to offer content on that
company's i-mode service, based on the Japanese service from NTT DoCoMo.
http://psc.disney.go.com/corporate/press/wdig/wdig/2001/2002_1217_wdig.html 
http://psc.disney.go.com/corporate/press/wdig/wdig/2001/2002_1217a_wdig.html 
http://www.i-tim.it 
http://www.imode.fr 

(Calabasas Hills, Calif.) Game developer THQ on Tuesday released its
"SpongeBob SquarePants: Revenge of the Flying Dutchman" for Nintendo
GameCube. The game is based on the Nickelodeon animated children's TV
series and is part of Calabasas Hills, Calif.-based THQ's exclusive
interactive license with Nickelodeon.
http://biz.yahoo.com/bw/021217/170098_1.html 
http://www.thq.com 
http://www.nick.com/all_nick/tv_supersites/spongebob/main.jhtml 

(San Francisco) Sega.com said on Thursday that game developer Capcom's
"Auto Modellista" for Sony PlayStation 2 will utilize the company's SEGA
Network Application Package (SNAP) technology for online gaming.
Sunnyvale, Calif.-based Capcom will release the title, which will allow
players who purchase Sony's network adapter for PlayStation 2 to race one
another online, in the spring of 2003.
http://www.businesswire.com/cgi-bin/f_headline.cgi?day0/223510078&ticker= 
http://www.capcom.com 
http://www.sega.com 
_____________________________________________

================================================
CLASSIFIEDS - HOLIDAY GIFT IDEAS & RED HOT DEALS
================================================
To Post Holiday Specials:
http://www.digitalmediawire.com/marketplacepostingpage.htm 

Digital Media Wire's Gift Suggestions for the Holidays:

-Verizon DSL:  SIGN UP ONLINE NOW AND YOU COULD WIN $50,000.
http://clickserve.cc-dt.com/link/click?lid=41000000000559414 

-Zones: Connecting Businesses & Technology.
http://clickserve.cc-dt.com/link/click?lid=41000000000568318

-The Palm Store: Free Software & Special Savings!
http://clickserve.cc-dt.com/link/click?lid=41000000000564835

-Audiobookclub.com - The World's Greatest Selection of Audiobooks!
http://clickserve.cc-dt.com/link/click?lid=41000000000555804

-Bose - Acoustic Wave Systems. Environmental Speakers. Quiet Comfort.
http://clickserve.cc-dt.com/link/click?lid=41000000000555807

-Totally Fun Toys - Toys that stimulate creativity, learning, and healthy
play! http://clickserve.cc-dt.com/link/click?lid=41000000000556187

-Watchzone - watches at great prices!!!
http://clickserve.cc-dt.com/link/click?lid=41000000000556190

Other Great Gift Ideas:

-Art Gazebo - Custom-framed prints at 40-50% off!
http://clickserve.cc-dt.com/link/click?lid=41000000000578489  

-Thompson Cigar: Since 1915! Great Value!
http://clickserve.cc-dt.com/link/click?lid=41000000000574586  

-Zany Brainy - Kids learn best when they are having fun!
http://clickserve.cc-dt.com/link/click?lid=41000000000580256

-Wine Enthusiast - Ultimate Wine Cellar, Accessory, and Unique Gift Guide
http://clickserve.cc-dt.com/link/click?lid=41000000000555777

-Nirvana Chocolates - Delicious Belgium Chocolates!
http://clickserve.cc-dt.com/link/click?lid=41000000000556080

-Eddie Bauer: Quality. Classic. Comfort.
http://clickserve.cc-dt.com/link/click?lid=41000000000554928

-Road Runner Sports - World's Largest Collection of Running Shoes
http://clickserve.cc-dt.com/link/click?lid=41000000000556083

-Jos. A Bank - Quality Men's Apparel.
http://clickserve.cc-dt.com/link/click?lid=41000000000555991
______________________________________________________

HOLIDAY PERSONAL SHOPPER
I can help anyone in any department with any gift buying needs... or offer
suggestions... be it jewelry, home, accessories, mens or ladies clothing,
etc..and can be reached at 310-550-5900 ext 2007.  GEMMI
______________________________________________________

Rock & Roll One Of A Kinds!

Hipsters Franky & Minx (www.frankyandminx.com) are getting attention with
their tattoo-designed products. There are only a few pieces left of their
hand made cami tops and undies -- which have been featured everywhere from
InStyle to Revolver.  Inquiries: Christina Ward [oranjegift@yahoo.com] or
call (414) 294-4709 for availability.  To purchase, go to
http://www.oranje.us
______________________________________________________

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

_____________________________________________

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

HOLIDAY CATERING...The best staff and food in town!

Eventeurs uses the top chefs and most attractive staff in the business. We
can do an amazing holiday party for you and work within your budget.
Please call Alan Dunn at 323.466.1835 or go to http://www.eventeurs.net
_____________________________________________

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

Only 35 copies remaining of Directory of Homeland Security

This is your company's final chance to purchase the inaugural edition of
the Directory of Homeland Security: a 160-page book that lists all federal
and state agencies involved in homeland security. The directory includes
names of over 1,500 homeland security officials, profiles of 500 agencies
involved in homeland security, and a detailed list of technology companies
in this sector. The directory is sponsored by NETSEC, Greenberg Traurig,
AT&T and the Northern Virginia Technology Council.

To purchase the directory, go to: http://www.homeland-directory.com
_____________________________________________

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
Marketing Director: Tinzar Than

Copyright 2002 Digital Media Wire, Inc. All Rights Reserved.