Wednesday, January 31, 2007

News Corp. Officially Closes Purchase of Jamba Controlling Interest

News Corp. has now finalized its purchase of a controlling interest in off-deck mobile entertainment company Jamba. The deal, first announced in September, involves the acquisition of a 51 percent stake in the company for $188 million. Verisign will continue to control 49 percent of the Jamba entity, which flies under the name Jamster in the United States. The deal has passed all regulatory and due diligence tests, according to an announcement issued Tuesday. The purchase will combine the assets of Fox Mobile Entertainment and Jamba, part of a joint venture arrangement. Additionally, the combined entity will be headed by Lucy Hood, formerly head of the Fox Mobile Entertainment.
Both groups have colorful roles in the early history of mobile entertainment. Jamba is famous for creating the Crazy Frog ringtone, a near-ubiquitous sensation across regions of Europe and the world. The company is a leader in the off-deck space, though the company has been targeted following widespread consumer complaints about misleading pricing plans. Meanwhile, Fox Mobile Entertainment first charged onto the scene through American Idol, a program that cleverly incorporated text-messaging to compile viewer votes. Moving forward, Fox is likely to use the Jamba partnership to further develop its properties on the mobile screen, and draw more revenues in the process.

dmn

Indies Up In Arms Over YouTube

Key players in the independent label community are preparing for a legal skirmish with YouTube over content being used on the video-sharing site. Sources tell Billboard.biz that the independents are aggrieved with terms proposed by the giant social networking service for the use online of their copyright-protected works. And legal actions have not been ruled out. "People are getting very pissed off about YouTube's attitude," says a well-placed source at one of Britain's most influential indies. "It's either sign [the contract] or suck it, and we know its not the same deal that the majors have been offered. There's definitely a ground swell that we need to take action."
Online search giant Google agreed to buy YouTube on Oct. 9, 2006 for $1.65 billion in stock. On the same day, YouTube announced new deals with music majors Universal Music Group and Sony BMG that were modeled after its two-week-old pact Warner Music Group.
However, executives tell Billboard.biz that royalty negotiations between YouTube and the indies have proved disappointing thus far. "Anyone who is not a major is not happy with the terms," says one well-placed insider at one of Britain's biggest indies. "We fully expect to be compensated fairly and on par with the larger companies, we will not accept second rate terms because we are smaller companies. If we have to take legal measures to protect our rights we will do so," comments Simon Wheeler, head of digital at Beggars Group, home to such acts as Thom Yorke and Basement Jaxx.Wheeler adds, "If anyone uses our copyrights without a license, we as Beggars, and the independent sector as a whole, take it extremely seriously."
Independent record sector licensing agency Merlin was ratified and announced recently at the MIDEM trade fair in Cannes with a remit to negotiate terms with the likes of YouTube and the advertising-funded service SpiralFrog. A first-up deal with Snocap has already been struck, while others are "in process," explains Alison Wenham, CEO of U.K. trade group the Assn. of Independent Music (AIM) and president of Worldwide Independent Network (WIN), of which Merlin is a sister operation. Merlin, however, is some months away from truly wielding its collective clout, and has not sent cease and desist letters. Sources familiar with the situation confirm that YouTube has not yet received any cease and desist letters from the independent community.
"Merlin is not at the stage where talks could break down," explains Wenham. "The reality is that it won't start to be properly operational until about June."Charles Caldas, former CEO of Shock Entertainment Group, is expected to relocate from Melbourne to London this Easter to take the reins as Merlin CEO.
"The indies represent 30% of the worldwide marketplace," says Peter Gordon, Thirsty Ear founder and VP of WIN. "The disconnect is that people do not realize our depth and strength and they have not seen that we've been unified. It may be a rude awakening, but here we are."
A spokesperson for YouTube says, "YouTube enjoys working with all content creators, including record labels small and large. Partnerships with content creators and the community are crucial to our success, and in the coming months, we look forward to continuing to help our partners monetize the content they create."

Surveys: Internet Traffic Touched by YouTube

For the first time in years, peer-to-peer (P2P) file-sharing isn't eating as much network bandwidth as video sharing and other types of Internet traffic, say two equipment vendors whose products help carriers manage and monitor bandwidth usage.
Ellacoya Networks Inc. , which sampled about 2 million broadband customer connections, reports that Hypertext Transport Protocol (HTTP) traffic now uses 39 percent of network bandwidth in the networks it monitors, while P2P traffic uses only 37 percent.
Sandvine Inc. which sampled some 2.7 million broadband hookups, came back with results similar to Ellacoya's. Sandvine reports HTTP traffic now uses 38 percent of network bandwidth in North American networks, while P2P usage has fallen to 36 percent.
The rise in HTTP traffic is attributable to the popularity of video sharing services like
Google Video, YouTube Inc. , and others. As people watch streaming video over the Internet, those videos are typically coming "live" from a central, managed server, as opposed to a network peer. In fact, YouTube's packets make up 4 percent of the HTTP traffic, Ellacoya says, or 2 percent of total network bandwidth use.
"We saw an obvious rise in overall Web traffic and a rise in HTTP video streaming as a second aspect," says Fred Sammartino, Ellacoya's VP of marketing. "Video trumps everything because it is ten times or a hundred times bigger than images."
Ellacoya's survey found that BitTorrent remains the most popular P2P file type used in most North American networks, followed by file types used by services such as Gnutella (Limewire) and eMule.


— Mark Sullivan, Reporter,
Light Reading

Monday, January 29, 2007

YouTube Users Get Paid - Death Blow to Revver?

YouTube founder Chad Hurley is making waves for hinting that YouTube plans to share revenue with users - he made the statements at the World Economic Forum in Davos on Friday. Jeff Jarvis grabbed a video of Hurley’s comments and posted it, fittingly, to YouTube (also embedded below).
Hurley didn’t go into much detail, but he said that the system would be rolled out in a “couple of months”.
YouTube Mobile and other features are often rolled out way ahead of schedule, but the copyright system is late to arrive - so it’s hard to say whether that timescale will be met. Worryingly, the BBC says the system could include pre-roll ads (video ads before the clip). That would be supremely annoying, and completely undermine Google’s philosophy of relevant, unintrusive ads. That said, Hurley doesn’t make any mention of pre-roll ads in the clip. Until we get further information, I’m going to assume that they’ll simply pay a share of the AdSense revenue to the user, perhaps adding AdSense for Video later on. This would be good for Google, because it would get a large number of young users familiar with the AdSense system.
Hurley said that they didn’t want to base YouTube around a payment system from the start, and that makes sense - you wouldn’t want a community of users who are solely motivated by money. At launch time, they also lacked the soon-to-launch audio fingerprinting (aka copyright protection) technology that allows YouTube to assign ownership to a clip.
But the real significance of this is that rival sites have tried to differentiate themselves by paying users. We covered how
lonelygirl15 had started posting clips to Revver to monetize them, while Metacafe is paying users through a system called Producer Rewards and Break.com, Efoof, Flixya and Guba all have various revenue sharing schemes in place. What’s more, these services are already struggling against the might of YouTube - Revver lost two founders, and Guba lost its CEO and two executives. If YouTube can deliver a bigger audience, a better sense of community and a good revenue sharing platform, then many of these sites will be left for dead. First to go, in my estimation, would be Revver, which relies entirely on this revenue sharing. Revver could stay afloat if YouTube doesn’t immediately deploy ads in embedded players, but eventually this is bound to happen - perhaps Revver will sell before then.

News Corp To Buy 10 Percent Of Online Video Syndicator Roo Group

News Corp is buying about 10 percent in online video syndication firm Roo Group (both share Australian heritage). The deal, valued around $12 million, hinges in part on News Corp. reaching revenue goals using Roo’s technology, the WSJ story says. ROO provides video tech for FoxNews.com and many News Corp. newspaper sites in the UK (Times UK and The Sun) and Australia. Roo last week announced buying MyVideoDaily, a video sharing site. The company competes against the likes of Brightcove, though the content partners till now in Brightcove have been bigger than Roo...so have the distribution partners. Roo, founded in 1998 in Australia, is now HQed in New York City and trades on OTC bulletin board.
This from Roo’s latest prospectus to sell shares on the stock market : In 2005 and 2004, it generated revenues of $6.62 million and $3.94 million, and incurred net losses of $8.96 million and $4.22 million, respectively. At September 30, 2006 (end of Q3), it has a working capital surplus of $1.81 million and an accumulated deficit of $23.97 million. “Our auditors, in their report dated March 27, 2006, have expressed substantial doubt about our ability to continue as going concern.” It also has a total net revenue increased by $625,000 from $1.60 million in Q305 to $2.23 million in Q306, an increase of 39 percent.

How to Find Fake Torrents Uploaded by the MPAA and RIAA

The MPAA, RIAA and several anti-piracy organizations are constantly trying to trap people into downloading fake torrents. These torrents are hosted on trackers that are setup to collect IP addresses of all the ‘pirates’ who try to download these files.

To make these traps more visible, Fenopy just introduced the FakeFinder
. The FakeFinder lists the most popular fake torrents and the latest fake trackers. It also allows you to search for fake torrents by keyword or infohash.
The actual .torrent links for these fake files are blocked, and FakeFinder serves an informational purpose only. It is actually quite amusing to browse through these fake files and trackers. The companies that host these anti-piracy trackers came up with some interesting hostnames like “dirtydevils.cyberbox.com.br” and “bittorrent.isthebe.st
“.
Although most of the IPs of these fake trackers are already blocked by blocklist software like PeerGuardian
, they still manage to collect the IP addresses of thousands of users who do fall for this trap. Most torrent site admins are aware of these fakes, and remove them as soon as they are uploaded. It is kind of a paradox. On the one hand anti-piracy organizations send thousands of takedown requests to torrent sites, while they upload fake files with similar titles themselves.
Some might argue that downloading a fake file is not really a criminal offense. And yes, it is doubtful if this evidence will hold up in court. However, the job of organizations like the MPAA is to scare people, and that is often enough for them. The first thing they will probably do is send a letter to your ISP saying that you tried to download so-and-so file. And even if they take it a step further, they try to settle before these things are played out in court.
FakeFinder shows that BitTorrent site admins are trying to track down these fake torrents, and it’s a nice way to expose the darker side of anti-piracy organizations like the MPAA.

Written by Ernesto on January 28, 2007, TorrentFreak

Hum along, and Midomi recognizes your song

Midomi, a new company in Silicon Valley (Sunnyvale), has just launched an impressive musical search service.
If you hum, or sing a song, Midomi will likely recognize what you’re singing. So if you get a song in your head, and you don’t know what it is, go to Midomi. It will show you the most likely results, based on the signatures of songs it has in its database, and lets you go to a store to buy them.
That’s just the beginning. Midomi lets you see the people who have hummed the same songs, showing you those who sang most similar to you. It lets you chat with those people through a message box. It also lets you store your tune in its database for others to hear.
Midomi blows away
Nayio Media, the San Mateo company that launched a humming search last month. If Nayio recognizes your tune, it cross-references with Napster’s library of songs. But the trouble is the recognition part. We tried humming “Morning has Broken,” but the song wasn’t represented on the first page of results. On Midomi, it was the first result, even when we hummed. Midomi gets better when you use words.
It
was launched by two engineering PhDs from Stanford, Keyvan Mohajer (who studied music recognition), and Majid Emami, along with Stanford science grads James Hom and Michal Grabowski. The technology is self-built, called MMARS, or multi-modal adaptive recognition system. Midomi looks at pitch variation, like Nayio does, but it goes deeper, looking at tempo variation, phonetic content and location of pauses. If you hum a wrong note, it will often find ways to override it, by filtering it with other close signatures in its system. It isn’t perfect. While it recognized me humming “I Just Called to Say I Love you” immediately, it failed to do it on a later try when I hummed it quickly, without care. But once I added the words to my tune, it picked it up even when I sang quickly.
It gives you a studio, too, where you can pick out songs to sing — to help, it lets you play a 30-second track and see the lyrics — and lets you tag them, so that they are stored in the database. See a
tour of the Midomi service here.
For copyright reasons, Midomi won’t let you upload your own songs, though that may change in the future. We did encounter a few bugs. Some sample tracks (it has licensed two million 30-second clips) didn’t play correctly (the audio didn’t come through). And one major caution: When we tried to download a software required before you can buy the songs, Midomi shut down the entire browser without warning. We still haven’t been able to download that software. We’ll update once Midomi fixes this.
The company’s goal is to become world’s most comprehensive database, Mohajer tells VentureBeat.
The Midomi service is their first product. They’ve formed a company called
Melodis, and they want to move into other areas, such as speech recognition that will beat existing players like Nuance or Tellme. They’ve already implemented text recognition in Midomi. If type a search term “Ooops Britni Spirs,” it will recognize you are searching for the song by Britney Spears. Midomi also wants make the service easy to use for mobile devices.
The company has 15 employees in Sunnyvale, and another dozen developers in Eastern Europe and India. It has raised “multiple millions” from
Global Catalyst Partners, and angel funding from Amidzad and former Googler, Aydin Senkut.

Friday, January 26, 2007

Advestigo met sous surveillance les vidéos postées par les internautes

La société a développé une technologie pour filtrer les contenus vidéo sous copyright avant leur publication sur des sites de partage.
Hélène Puel , 01net., le 25/01/2007 à 19h35

YouTube, Google Video, DailyMotion... Les sites de partage de vidéos se multiplient. Et avec eux les problèmes de droits d'auteur liés à ces contenus. Advestigo vient de mettre au point une technologie d'empreintes qui permettra aux plates-formes de partage de vidéos de filtrer les contenus que postent les internautes, afin d'éviter d'éventuels problèmes juridiques.
Baptisée « AdvestiGate », cette technologie calcule une empreinte numérique pour chaque fichier, qu'elle compare ensuite à une base de données comportant les signatures vidéo des films originaux « copyrightés », en cours de constitution par Advestigo. « Nous sommes en train d'enregistrer les signatures de "blockbusters" et de séries télévisées", précise Christophe Tilmont, directeur marketing de l'entreprise.
Après avoir « normalisé » la couleur et le format de la séquence postée par un internaute - afin de pouvoir repérer une vidéo quels que soient son codage et sa taille - Advestigate en extrait des images clés, en général des moments de rupture entre deux scènes. Celles-là sont ensuite réunies sous la forme d'une empreinte, qu'on peut définir comme une série d'images normalisées. La comparaison de cette nouvelle signature avec celle de la base de données se fait très rapidement, en 8,5 secondes, selon les concepteurs.
Une comparaison en moins de dix secondes
L'opération de comparaison se fait avant que les envois des internautes ne soient publiés sur Internet. « Il faut savoir que la publication d'une vidéo n'est pas immédiate. Avant de la mettre en ligne, les sites de partage la redimensionnent et dégradent l'image de manière à alléger leur coût de stockage et de bande passante, développe Christophe Tilmon. Demain, ils utiliseront ce temps pour rajouter aux vidéos de la publicité. Mais aussi pour vérifier leur origine. »
Le système n'est pas nouveau. Audible Magic possède sa propre solution d'empreintes, plutôt axée sur le son. Celle-là va être utilisée par le site français DailyMotion. Chez Advestigo, on précise que les deux technologies sont complémentaires. Les deux sociétés seraient même en pourparlers.
A terme, une autre brique sera ajoutée au produit Advestigate. Elle permettra aux sites de partage de vidéos de repérer des fichiers postés identiques. En effet, un même contenu se retrouve souvent posté par plusieurs internautes sous des titres différents. Ainsi, les plates-formes pourraient fortement diminuer leur coût de stockage, en retirant les doublons.


http://www.01net.com/editorial/339648/web-2.0/advestigo-met-sous-surveillance-les-videos-postees-par-les-internautes/

BitTorrent tries to combat piracy with new entertainment box

How are consumers going to get their video entertainment? The options are just proliferating online. They can download video from Apple's (aapl) iTunes, the can stream them online for part of a DVD-rental subscription with Netflix, they can buy or rent them on Amazon's unBox, they can watch clips on Google's YouTube, they can go to CinemaNow, or they can buy a Netgear entertainment box and watch movies collected by BitTorrent. BitTorrent is one of the pioneers in peer-to-peer technology to deliver videos. Today, there are still a number of BitTorrent users - the company has 135 milloin members, I'm told by co-founder Ashwin Navin -- who use the site for illegal downloads. In my interview with Navin, he talks about how BitTorrent is trying to combat piracy with its new partnership with Netgear. The store launches on Feb. 5, and will cost $200 per box. Now, selling boxes isn't the easiest business. So, how will BitTorrent succeed in this market?

Pirating the 2007 Oscars

Waxy.org takes a fascinating look at how many movies nominated for Academy Awards are already online, and how it affects the practice of distributing screeners to Oscar voters. [Waxy.org]
.

Fox vs. YouTube: Ulterior Motives?

Google Watch reports that Fox is now asking YouTube for details on users21 who uploaded episodes of 24 and The Simpsons. The Hollywood Reporter followed up with details about the user in question, and that Fox is also going after the lesser-known LiveDigital22. Mashable points out23 that this is a change from the normal practice of serving a DMCA takedown notice, and that Paramount was successful in its own request for user data from YouTube (though before the Google acquisition).
What nobody seems to be pointing out is that Fox’s parent, News Corp, is in direct competition with Google and YouTube thanks to MySpace — where Fox is currently streaming the very epsiodes of 24 in question24. It’s well-known that News Corp was not thrilled about the Google-YouTube tie-up, and Fox content appearing on YouTube is an ideal opportunity for News Corp to apply pressure to its “frenemy.”

50% movie piracy from Canada: Hollywood

As much as 50 per cent of the world's pirated movies come from Canada, prompting the film industry to threaten to delay the release of new titles in this country.
According to an investigation by Twentieth Century Fox, most of the illegal recording, or "camcording," is taking place in Montreal movie houses, taking advantage of bilingual releases and lax copyright laws.
In Quebec, it is much more advantageous because you get both English and French. You cover a bigger part of the world," said Ellis Jacob, chief executive of the Cineplex Entertainment theatre chain. "They are using Canada because they can have the movie out on the street in the Philippines and China before it even releases there."
Jacob said he was warned in a letter from Bruce Snyder, president of Fox's domestic distribution, that if Canada doesn't do something to curb its growing piracy problem, Hollywood will.
"They are definitely thinking about delaying releases in Canada," said Jacob. "This is very, very bad for our Canadian consumer and it's bad for the industry as a whole."
Recent movies including Children of Men, Borat, Night at the Museum and Pirates of the Caribbean: Dead Man's Chest have been made available on the Internet days after they were released.
The movie industry has complained that the Canadian Copyright Act, as well as the internal policies of police forces including the RCMP, make it extremely difficult for them to crack down on movie piracy.
Under the act, anyone caught copying a movie without the studio's consent can face criminal charges and jailed or fined up to $25,000. Copyright holders can also take civil action against someone who has infringed on their property.
However, Jacob said convicting someone is difficult.
"You have to prove that the person was camcording and using it to generate revenue. It is virtually impossible to do that," he said." Unless you can assign blame to the person recording in your theatre, your law doesn't have any teeth."
Serge Corriveau, vice-president and national director of the Canadian Motion Picture Distributors Association, said law enforcement agencies don't see movie piracy as a big problem.
"We are not getting any enforcement," said Corriveau. "The only thing they can do is kick them out."
Cineplex's Jacob said theatre chains all across Canada already employ security guards who are equipped with night vision goggles and other surveillance equipment to try to catch pirates.
But he questioned how far the industry must go to protect itself.
"I don't want to make it an uncomfortable environment to go to the movies," said Jacob. "At the end of the day, we don't want to turn these places into airport check-ins."
Changes to laws in the United States have seen movie piracy in that country plummet.
According to Jacob, one man caught with a camcorder in a theatre was jailed eight years and fined $250,000.
"We need some tougher laws to deal with this situation," he said.
Philip Kerr, an Ottawa lawyer specializing in copyright law with Bowley Kerr Nadeau Professional Corp., said Canada's copyright law already has plenty of teeth.
"It surprises me that they say they can't do that stuff," he said." We have a very good and aggressive copyright regime available."
Because of movie piracy, a U.S. congressional committee has added Canada to a "country watch list" that includes such well-known piracy havens as China, Russia, India and Malaysia.
According to the 2006 watch list, "piracy in these countries is largely the result of a lack of political will to confront the problem."
The document says movies recorded in Canada are quickly filtered through organized crime groups and circulated around the world. It also claims that Canada has become a dumping ground for pirated content.
"Canada's lax border measures appear to permit the importation of pirated products from East Asia, Pakistan and Russia. A co-ordinate national program targeting importation of counterfeit goods at all major Canadian ports of entry is needed."
Studios are able to trace pirated movies to specific theatres by examining them for watermarks that are contained within the images, but invisible to the naked eye.


Vito Pilieci
CanWest News Service
Thursday, January 25, 2007

Thursday, January 25, 2007

Something for the Technically Inclined: Professors Dissect RIAA's MediaSentry "Investigations"

A recently obtained English translation of the opinion of the Amsterdam Court of Appeal in Foundation v. UPC Nederland, agrees with the lower court decision that the MediaSentry investigation by Tom Mizzone was an insufficiently reliable basis to warrant directing Dutch ISP's to turn over confidential customer information to the RIAA's Netherlands counterpart: "neither the affidavits nor the cross-examination of Mr. Millin pro[...]vide clear and comprehensive evidence as to how the pseudonyms of the KaAaA or iMesh users were linked to the IP addresses identified by MediaSentry. No evidence was presented that the alleged infringers either distributed or authorized the reproduction of sound recordings. They merely placed personal copies into their shared directories which were accessible by other computer users via a P2P service." The appeals court agreed with the independent experts report of Prof. Henk Sips and Dr. Johan Pouwelse of the Parallel and Distributed Systems research group at Delft University of Technology that MediaSentry's Tom Mizzone had not taken the "necessary precautions" in conducting his 'investigation' and that his investigation was 'limited' and 'simplistic', failing to "resolve... relevant technical problems such as superpeer hopping, NAT translation, and firewall relaying....[failing to implement] "actual complete file transfer....simply [taking] filenames at face value and ...[failing to make] any correction for pollution on Kazaa [despite] [p]ollution levels [on Kazaa which] can be as high as 90% for some files....[not being aware of] the limitations of Kazaa in file searching. Not many of the 2,499,121 users online would be able to see the mentioned 736 files. Reliable global searching in P2P file sharing networks is still an unsolved problem. Only users connected to the same Kazaa Superpeer are guaranteed to see these files when Kazaa operates properly (roughly 100 to 150 users as measured by Prof. Keith Ross)....[failing to take] computer hygiene precautions ..... The collected evidence of the spacemansam@KaZaA alias [query] contains multi-peer downloading contamination. Therefore, it is difficult to establish the contribution of the various IP-addresses. It is possible that some IP-addresses contributed 0 Bytes to an actual download, thus there was only involvement and no actual contribution". The Netherlands litigation recently came to the fore recently in UMG v. Lindor, a United States case, in which the RIAA is trying to prevent Ms. Lindor's attorneys from seeing the MediaSentry agreements spelling out the "instructions", "parameters", and "processes" of Mr. Mizzone's investigation, and Ms. Lindor's attorneys argue that the agreements are necessary for a proper deposition and cross-examination of Mr. Mizzone.

Fingerprinting Videos, Music May Help Stop Piracy

2006 was a good year for Advestigo, a French company that helps guard digital assets - winning a number of prestigious awards including the Information Society Technology Award. 2007 looks like it could be an even bigger year as it rolls out its AdvestiSearch - the technology for fingerprinting digital video and music so companies like YouTube and MySpace can quickly find and remove offenders.
The launch of this technology should help Google and other search engines from future lawsuits over listing or hosting (in the case of YouTube) pirated media.
FT.com gives a good overview of the potential of this technology.


The Week in Streaming: MIDEM, MySpace, and More

At the Midem conference in the southern French Riviera city of Cannes this week, a new music licensing agency announced it has reached an agreement with international independent record labels to sell recordings on the MySpace.com and YouTube.com websites.
Independent music labels make up 30% of the global music market, but have had difficulty–with the exception of limited success on iTunes–in gaining a consistent voice in the digital music distribution space. The MySpace/YouTube is of interest on its own, but the vehicle by which independent labels will begin to speak with a unified voice–a new licensing agency called Merlin–may have significant impact on both the offline and online licensing and distribution of music.
According to a Financial Times article, the content will be sold as unprotected MP3 files on MySpace, which will allow the files to be played on any MP3 playback device. Which means it’s not only compatible with the Apple iPod, but also the Microsoft Zune and every other portable audio player on the market.
At the same conference, a small French company offered companies like MySpace, who have been sued in the past for copyright infringement, and companies like YouTube, which have narrowly averted lawsuits, a new technology designed to track down the digital equivalent of a movie or song’s “fingerprints” to root out copyrighted material that may have been uploaded to the video sharing sites. The technology, called AdvestiGate by the company Advestigo works in a manner similar to earlier technologies pioneered by encoding.com that were used to identify music CDs for cataloging purposes.
The company claims the technology will match the fingerprints of copyrighted content in its database even if the original content has been altered, although details have not been disclosed on how the technology would exempt from the filter or differentiate fair use or paid reuse of content. Even though YouTube has avoided being sued by Universal Music Group, Advestigo’s CEO seems to think it’s only a matter of time.
“Video-sharing websites are permanently at risk of litigation,” says Michel Roux, “by unintentionally distributing copyrighted content online.”
Meanwhile, a half a world away from Cannes, the French national telecom carrier, France Telecom, chose its Silicon Valley research and development office to announce the rollout of a new brand–Orange Labs–and mentioned that it is considering building its own internet advertising feed tool. The move to consolidate and brand its R&D facilities, according to France Telecom CEO Didier Lombard, was announced in Silicon Valley as further evidence France Telecom is abandoning its not-invented here mentality.
France Telecom’s move toward an in-house advertising delivery solution signifies the importance that advertising – especially rich media advertising – revenue streams can play for telcos that have both wireline and wireless networks. While the move follows the natural curve a large telco follows as it adds core services, it could have significant revenue impacts for Yahoo, which currently supplies online advertising feeds to France Telecom.
Continuing westward, news is coming out of China that legal downloads are slowly gaining an edge on pirated downloads. While sites such as the Nasdaq-listed Baidu, China’s biggest search provider, make it easy to find copyrighted material–to the extent that content can be downloaded or played directly from the search provider’s web search results page–there has been an uptick in legitimate downloads over the past few months.
This move, while slow, could be due to the fact that the Chinese government is showing more interest in curbing piracy as copyright holders have increased the number of litigations against Chinese companies, some of which the government holds a majority stake in. Even after a lawsuit by the International Federation of the Phonographic Industry (IFPI) against Baidu was dismissed in Beijing late last year, the search company announced that it plans to set up an advertising-supported streaming media service and that it will partner with EMI, a large music company that has chosen to disassociate itself from an appeal that IFPI is filing.

By Tim Siglin, January 23, 2007
http://www.streamingmedia.com/article.asp?id=9494

Fox Hunts Down YouTube Users

Twentieth Century Fox has subpoenaed YouTube, demanding that the site provides the details of users who uploaded four episodes of “24″ and twelve episodes of “The Simpsons”. The request is dated January 18th, but was only discovered today - it reads:
On or about January 8, 2007, Fox became aware that a subscriber (”the Subscriber”) of YouTube Inc.s’ Internet-based service uploaded pirated copies of the works onto YouTube, making it available for illegal viewing over the Internet to anyone who wishes to watch it. Fox has not authorized this distribution or display of the works. The subpoena request YouTube, Inc. to disclose information sufficient to identify the Subscriber so that Fox can stop this infringing activity.
What’s worrying about this is that Fox is going after the uploaders themselves, rather than just issuing a DMCA and getting the clips pulled. Google is known for protecting its users’ details to the greatest extent possible - last year, the company refused to hand user’s search queries over to the Department of Justice. With that in mind, it seems unlikely that they’ll concede. In fact, YouTube’s success seems so heavily based around permitting uploads of copyrighted material (and then quickly seeking deals with the content creators), that legal actions against individual users could cripple its growth.
That said, this isn’t the first time a company has subpoenaed
YouTube: Paramount Pictures successfully got them to hand over the details of YouTube user Chris Moukarbel, who was was sued for copyright infringement on June 16th 2006 for uploading dialog from the movie “Twin Towers”. That was before the Google acquisition, of course, and things have changed substantially since.

Fox seeks YouTube user's identity

20th Century Fox served YouTube with a subpoena Wednesday, demanding that the Google-owned viral-video site disclose the identity of a user who uploaded copies of entire recent episodes of "24" and "The Simpsons."The subpoena, which first came to light on the blog Google Watch, was granted by a judge in U.S. District Court in San Francisco after being filed Jan. 18 by the News Corp.-owned studio. It is not yet known whether YouTube has complied with the request.In addition, lesser-known video site LiveDigital was served with a similar subpoena. A spokesman for LiveDigital confirmed the company received the subpoena and intended to comply immediately.A Fox spokesman confirmed the subpoenas were filed and served but declined further comment. A spokesman for YouTube declined comment.The "24" episodes in question actually appeared on YouTube before their primetime Jan. 14 premiere on the Fox broadcast network, which spread four hourlong episodes of the hit drama over two consecutive nights. Fox became aware thst the episodes were on YouTube on Jan. 8, according to the subpoena.
Filed on the basis of the Digital Millennium Copyright Act, the subpoena includes testimony of Fox Entertainment Group vp Jane Sunderland suggesting Fox has been unable to determine the users' identities on its own. The uploaded material could cause Fox "irreparable harm," Sunderland said, but it was not immediately clear if the episodes in question still were posted on the site or had been removed.However, the subpoena identifies the YouTube subscriber by the username "ECOtotal." A search under that username on the YouTube site unearths a user by that name with a banner across the top of the subscriber's page that reads, "This user account has been suspended."Still, identifying "ECOtotal" won't necessarily explain how unaired episodes of "24" made it onto the Internet. Before Jan. 8, there were reports that the same episodes had popped up on illegal file-sharing sites, which might have transmitted them even before they appeared on YouTube.This is not an unprecedented request for YouTube. In May, before its $1.65 billion acquisition by Google, the site complied with a Paramount Pictures request to identify a user who shot his own unauthorized short film adapted from the screenplay of the Oliver Stone film "World Trade Center."But Google has a history of fighting subpoenas seeking the names of those using its services.YouTube and most other similar sites typically tell content providers they will delete copyright video when alerted by owners of the material.Among the content companies, much of the more aggressive policing of peer-to-peer and community-based Web sites has been by Universal Music Group. UMG has sued MySpace and others over what it calls illegal postings of its artists' music videos, and it came close to legal action against YouTube before striking a licensing agreement with that site last year.Terence Clark, a copyright attorney with the Los Angeles law firm Greenberg, Traurig, said Fox, appears to be proceeding along proscribed legal lines in the matter."It's the process available under the Digital Copyright Act," Clark said. "There are certain procedures you can follow to get some information (but) this also impinges on the question of the privacy issues of the users of the sites."Some sites might need to defend strongly against actions like Fox is taking, but ultimately the studio is likely to prevail, said Tom Ferber, a copyright attorney with the Pryor Cashman law firm in New York."It's always a policy decision of the entity involved," Ferber said. "So if you're the hard-news press, for instance, usually money is no object if it's seen as infringing on (your) rights. And (these sites) may have business issues of concern as well. But I think ultimately the studio is going to get the names that they want."As for the 12 "Simpsons" episodes identified by the subpoena, most of them are from Season 7 of the long-running animated Fox series. One, however, is as recent as Jan. 7, while still another dates back to 1990.


By Andrew Wallenstein and Carl DiOrio
http://www.hollywoodreporter.com/hr/content_display/news/e3i8e461f30b83c62d96a9492015f195e99

Advestigo : une solution de filtrage pour les sites de vidéos

Advestigo, un spécialiste du filtrage par reconnaissance de contenu, vient d’annoncer l’arrivée de son AdvestiGATE. Cette solution surfe sur la vague des sites de partage de vidéos en ligne (Youtube, Dailymotion, ect.), pour proposer un système automatisé de filtrage de contenus copyrightés. Alors que les accords financiers se multiplient, entre les plateformes en ligne et les ayants droit, se pose du même coup la question du contrôle des flux…
Avec ce type de produit, « les ayants droit peuvent, en toute sécurité, décider où et comment ils veulent que leur contenu soit utilisé ». Cette technologie maison se nomme la Théraographie (« thèraô » voulant dire « chasser » en grec) et calcule une empreinte numérique pour chaque fichier vidéo mis à disposition. Lors de cet acte, l’empreinte est comparée avec une base existante d’empreintes d’originales et copyrightées afin d’accorder ou refuser un visa de partage… « En l’espace de quelques secondes, les fichiers contenant des copies totales ou partielles, exactes ou dégradées d'un contenu original seront identifiés et marqués ».
AdvestiGATE, fourni sur un serveur dédié au prix de 12 000 euros, gère aussi l’audio toujours par empreinte numérique. La société avait également développé dans le passé des solutions pour les réseaux P2P… un vœu pieu des majors adeptes de la riposte graduée, mais toujours contrarié par la CNIL.

Jeudi 25 janvier 2007 à 11h35, rédigé par Marc Rees

Movie File-Sharing Booming: Study

Downloading Hollywood Movies is Not Perceived as a Serious Offense
TORONTO, Jan. 24 /PRNewswire/ -- As the movie industry is trying to find the right business model for Internet distribution for its first-run and catalogue content, a new research study shows that American consumers are increasingly viewing the movies they download or rip from DVDs on their PCs.
Among key highlights of the research:
* 32 million Americans aged 12+ (18% of the US online population) downloaded a full-length movie at some point in the past -- 20 million of these are regulars, having downloaded in the last month.
- A majority of movie downloaders (80%) only use peer-to-peer file-sharing sites. The population of regular file-sharing users doubled between 2005 and 2006.
- A typical movie downloader from file-sharing sites is 29 years of age and has 16 titles stored on their PC -- 63% are male and 37% are female.
* The PC is moving from a workhorse to a life-hub and video entertainment center.
- 56% watched a DVD on a PC at some point and 29% viewed a DVD on a PC last month.
- 25% watched a streaming TV show on their PCs.
* Unauthorized downloads of copyrighted movies are not perceived as a serious offense.
- Only 40% believe downloading "copyrighted movies off the Internet" is a "very serious offense" -- compared to the 78% who believe "taking a DVD from a store without paying" is a very serious offense. As another point of comparison, Americans are much more likely to believe that "parking in a fire lane" is a very serious offense (59%).
"There is a Robin Hood effect -- most people perceive celebrities and studios to be rich already and as a result don't think of movie downloading as a big deal," commented Kaan Yigit, Study Director. "The current crop of 'download to own' movie services and the new ones coming into the market will need to offer greater flexibility of use, selection and low prices to convert the current users to their services -- otherwise file-sharing will continue to thrive," added Yigit.
This information comes from Digital Life America, a syndicated consumer trend study. Between June and late September 2006, the research covered nationally representative samples of over 2,600 Americans by telephone (1,016) and online (1,600). The results cited in this release are accurate to plus or minus 2.4 percent, 19 times out of 20.
To maintain an unbiased perspective, Solutions Research Group funds its own syndicated research. This is the first of a series of releases from Digital Life America.

http://biz.yahoo.com/prnews/070124/nyw060.html?.v=82
Source: Solutions Research Group

SpiralFrog Floats Another Day, New Appointment Announced

SpiralFrog has been pronounced dead by numerous sources, though signs of life emerged on Wednesday. The company did not return an inquiry from Digital Music News on Tuesday, though a press representative did offer an executive announcement the next day. According to the release, the company has now placed Jordan Levin onto its board of directors. Levin is the former CEO of the now-shuttered WB television network, and is being billed as the "youngest CEO in broadcast television history". The move follows reports of several high-level exits, including chief executive Robin Kent and various executives and board members. The report circulated throughout the industry, raising serious questions about the ad-supported digital music model.
The announcement of a new board member signals some life at the company, an important move given the earlier assessment. Joe Mohen, chairman and founder of SpiralFrog, noted that Levin will bring critical expertise to the youth-focused venture. "Jordan Levin is recognized for his deeply nuanced understanding of young adults," Mohen said. "His media buying relationships led to groundbreaking deals with blue-chip advertisers creating innovative, brand-integrated programs and new programming alliances." Meanwhile, the release pointed to the launch of the "advertising-supported service in early 2007," though major questions surround that timetable. The situation remains fluid, and the onus is now on SpiralFrog to prove that funeral predictions were premature.

Wednesday, January 24, 2007

Mark Cuban: BitTorrent is Doomed

The self-acclaimed guru of IPTV, Mark Cuban claims that P2P, and more specifically, BitTorrent is doomed. Apparently, “conflicting clients”, lack of knowledge, limited Internet plans, and “bandwidth premiums” are going to be jointly responsible for the death of BitTorrent.
So, here’s Cuban’s argument. He believes that from the business standpoint, BitTorrent and other peer-to-peer technologies are great. They save massive amounts of bandwidth and help efficiently distribute large media files, possibly even speeding up transfers. We agree with everything up ’til here.
But now he goes on to say that although content creators can profit from BitTorrent, users are getting screwed. Why? Here are his reasons.

  • Conflicting Clients
  • End Users don’t understand how P2P works
  • The P2P model of seeding is a HUGE problem for those […] with bandwidth constraints or per bit or per minute costs
  • There is a misconception that there is bandwidth savings for the end user

On conflicting clients he says, “When multiple clients are installed on a PC, not only does that create confusion among users, its a ‘last installed, first in charge’ approach. THat approach and lack of respect for other clients will lead to user configuration problems.”
Okay, number one, if you’re referring to file associations, ie. the most recently installed app is associated with the file type, then this “problem” is not limited to BitTorrent clients. Everything from graphic editors (Photoshop, Gimp) to music management applications (iTunes, WinAmp) do this. Secondly, if this causes confusion among users, then how do millions of people manage to get their music into iTunes and sync it to their iPods without accidentally having their mp3s added to the Windows Media Player library? This “lack of respect” isn’t so much about BitTorrent client developers trying to steal users from their competitors, as it is about how operating systems function today.
Onto point two. “End Users dont understand how P2P works, and once they do, they get concerned about giving up bandwidth.”
I hear BitTorrent transfers make up about one third of all traffic on the Internet these days. It seems rather likely that end users do in fact understand how P2P works. And unless their other online activities are hindered by BitTorrent or P2P, I don’t see users really having a problem with the uploads. Most don’t even bother uploading once their file has been download, and since the majority of users download torrents from public trackers, they aren’t forced to either.
Mark’s third point, “The P2P model of seeding is a HUGE problem for those using wireless broadband with bandwidth constraints or per bit or per minute costs. People are going to wake up and find that they owe Verizon, Sprint, whoever a lot more than they ever thought possible because they installed a client on their Laptops. That could lead to these networks blocking the protocol.”
Point three actually makes sense. The real problem here is miscommunication. In developing countries like India, ISPs milk customers for money by charging them for every MB downloaded, and in some cases, for every minute spent online. Some ISPs (Sify, for one) even lie about unlimited plans and have per-day limits (eg. 200 MB), which, if exceeded, cause the number of days the plan is valid for (usually a month) to be reduced every time the download limit is excedded. Someone I know actually ran up a bill of several hundred dollars because he thought he was on an unlimited plan, whereas in reality his ISP hadn’t processed his request to change plans. But as BitTorrent and P2P grow in popularity, users are quickly starting to demand ‘unlimited’ plans. If you look at the trend, ISPs are more likely to cash in on the P2P phenomenon and offer unlimited plans for a premium than start blocking protocols. And although per-bit and per-minute plans are widespread in developing countries, I don’t know how much of a problem they are to European, Australian and North American users.
Cuban’s last point is, “There is a misconception that there is bandwidth savings for the end user. If you want to download a 1gb size file, 1gb of data will be delivered to your PC. There is no savings of bandwidth on the client side. In fact, the client is charged a bandwidth premium because after they have received the entire file, they are asked to particpate in the peering by delivering parts of the file to other users.”
Guess what, the end user doesn’t care if he’s uploading bits while downloading. Unlike hosting providers, the user incurs no cost from constantly uploading data. It doesn’t matter, as long as he can go about his other activities. And unless he’s on a per-bit or per-minute plan, no “bandwidth premiums” are going to be charged to him. Also, no one is asking the user to “participate in the peering” (or simply, seed) once his download is complete. That is only a requirement of select private trackers.
When it comes to utilising BitTorrent in business, as part of a content store, I think Cuban’s looking at it the wrong way. When the various BitTorrent stores (BitTorrent.com, Zudeo.com) are up and running, content creators are not going to be getting a free ride. Users are not going to pay the same price they do at conventional stores like the iTunes Store and Amazon Unbox. Why should they? They’re acting as servers for content creators and are distributing content for no charge at all. But since money isn’t being deducted from their bank accounts, and seeding a torrent is not really affecting their web browsing, users are okay with uploading. Keep in mind, this business model will only work if the rates at BitTorrent-powered content stores are significantly lower than conventional ones. In other words, users aren’t just going to let themselves be ripped off. If they feel they’re getting a raw deal, they’ll head straight to “illegal” torrent sites like The Pirate Bay and Isohunt. In fact, that’s what users are doing right now!
I’m open to the possibility that I’m dead wrong. I don’t know, maybe Cuban is right. Maybe BitTorrent is in fact doomed, and the video streaming technologies he pioneered with Broadcast.com in the 90s will make a major comeback. I mean, who uses BitTorrent these days? Just a bunch of pirates, soon to be exiled to metal platform in the middle of the North Sea. Right? Right.
What do you think? Are the days of P2P over? Is the the balkanisation of BitTorrent imminent?

Written by Smaran on January 23, 2007

SpiralFrog Lily Pad Enters Troubled Waters

SpiralFrog, the as-yet-unreleased, ad-supported music service, is now reportedly in serious trouble. According to multiple sources, the once-celebrated destination has recently entered a very difficult juncture. "SpiralFrog looks dead," one executive close to the company flatly told Digital Music News on Tuesday. Another, a major label executive, pointed to a similar verdict while referencing "specific model flaws". The news surfaced at a late hour, making it difficult for SpiralFrog to return an inquiry, though a published report in CNet also validates the claim. The article pointed to the departure of chief executive Robin Kent, as well the exit of "members of his executive team and three board directors". The article cited sources "connected to the company."
The development follows a SpiralFrog media frenzy over the summer. The energy stemmed from the idea of ad-supported digital music, viewed as a possible solution to the challenges faced by the recording industry. In late August, the fever pitch peaked following a licensing deal with Universal Music Group, easily the largest of the four majors. That attracted other content holders, including EMI Music Publishing, though SpiralFrog was reportedly paying sizable licensing fees to attract major content holders. The tough fate of SpiralFrog takes some of the steam out of the emerging, ad-supported sector, though others - including Qtrax, Napster, and Baidu - are actively pushing the possibilities.

French startup Advestigo aims to save Youtube and others from legal peril

Eurovalley blog post
**********
Back in November, Universal brought a copyright infringement suit against MySpace, claiming that it contributed to the copyright infringement committed by the service’s users. When Google bought YouTube, rumours were circulating of a 500 million USD escrow account to be used only for the purposes of paying rightholders so that Google/YouTube would not be sued for copyright infringement.
The reason for the lawsuits and defensive measures is clear. Service providers are afraid that they will be held liable for their users illegally submitting copyright protected works for sharing purposes.
French startup
Advestigo aims to calm those fears. It has developed a digital fingerprinting technology called “AdvestiGATE” that helps companies providing online media content sharing services to easily identify copyright protected music and video, and block users from submitting such content to the service. The service works by calculating a digital fingerprint of each uploaded file, and comparing it to an existing database of copyright protected works to see if the work belongs to a well-known artist, movie studio etc. In other words, if it belongs to someone with the money to sue the service provider.
The product seems to have potential demand, as the discussion above shows that big service providers are clearly worried about legal liability.
Service providers should keep in mind that in Europe they can potentially rely on the protection of the safe harbours offered by Article 14 of the
E-Commerce Directive, which, to simplify slightly, exempts service providers hosting third party content from liability, provided that they do not have notice of the illegal activity, or are not aware of the circumstances from which the illegal activity is apparent. Most content sharing service providers should thus be safe, provided that as soon as they are notified of illegal content, they take it down. Bigger players might have a cause of concern though. If it is well known that the service is used for sharing copyright protected files, one might argue that the provider should know of the fact, and thus can not rely on the safe harbour.
This is where technologies such as AdvestiGATE supposedly come in (though others
exist as well). They aim to offer the service provider a peace of mind by enabling them to take steps to ensure that the service is no longer used for the unauthorised sharing of files, and therefore make it possible for them to again argue that they should be entitled to the protection offered by Article 14 as they have no notice of any isolated cases of infringement that might occur despite the filtering technology that is put in place.
Interesting to see what the takeup of the technology will be. Who says money can’t buy peace?


January 22nd, 2007
http://eurovalley.net/french-startup-adventigo-aims-to-save-youtube-and-others-from-legal-peril.html

Tuesday, January 23, 2007

Advestigo Offers Fingerprinting Appliance

A Paris-based startup called Advestigo has packaged its digital video fingerprinting technology in a $15,900 (and up) appliance to be hooked up to video networks (warning: link is to PDF). The company claims each box would be able to handle 3,000 uploads per day.
Video fingerprinting is in high demand at the moment, but we have little clue as to how well Advestigo’s solution works. We’ll have to check back to see if the company can sign any customers following today’s announcement.
Advestigo’s products, covered in the Financial Times today, had apparently previously drawn some interest from French copyright organizations trying to root out piracy on peer-to-peer networks. The company’s technology is currently being tested by the MPAA, Christophe Tilmont, Advestigo VP of marketing and business development, told us in an email.

Advestigo, founded in 2002, raised €3.5 million in funding from iSource Gestion, Cap Décisif, and EonTech in 2004.
See our previous coverage of Attributor’s and Phillips‘ efforts in the digital fingerprinting space. On the audio fingerprinting side, Snocap just secured a deal to sell music from Merlin, the new independent music licensing consortium.
We’ve also heard through the grapevine that many video sites are looking to Audible Magic — which acquired a license for video fingerprinting to compliment its existing audio fingerprinting business — to allay their copyright concerns.

DailyMotion Partners with Warner Music

French video-sharing site DailyMotion announced a partnership today with Warner Music Group to share ad revenue from Warner’s music videos. Warner, you’ll remember, also has deals with YouTube (see Warner-YouTube), Brightcove, Google Video, Muvee and others.
DailyMotion is literally the French version of YouTube - thanks, perhaps, to the fact that
YouTube hasn’t rolled out foreign language versions, they’ve managed to get some good traction. As we mentioned in the case of PornoTube, another market gap left by YouTube is explicit content - DailyMotion has no qualms about allowing this type of content, and even boasts in its press release that most of the porn is “user generated”. It should be pointed out however, that DailyMotion launched in March 2005, before the official launch of YouTube.


Google to run video ads from BMG, Warner

By Eric Auchard, Reuters, Mon Jan 22.

Google Inc. said on Monday it would expand testing of its much-anticipated video advertising system by working with two major music labels to embed video ads on Web sites that make money running them.
Google said it would distribute advertising alongside videos from Sony BMG Music Entertainment and Warner Music Group over its AdSense online ad system to Web site publishers in a four-week test now underway.
"Over the past few months, we have run tests to figure out how we work with our partners and advertisers to combine high quality video content with ads and then distribute them (over) the Google AdSense network," Google said in statement.
The test with the two music labels follows an earlier public trial of Google's video advertising system with Viacom's MTV Networks, which provided music videos to run on a select number of Web sites running Google ads.
As part of the test, advertisements would be billed on a cost per thousand impressions (CPM) model, the traditional billing method for mass market advertising as opposed to the pay-per-click billing model Google popularized with text ads.
Google has been pushing ahead in recent months to expand beyond its hugely successful text-advertising system into new advertising formats including video, radio and mobile phones.
As a example, Warner Music has defined multiple video channels along themes like "rock music" or featuring the "Divas of Pop Music." A Web site owner can select a video channel and embed it on a section of the site dedicated to running Google AdSense ads. Visitors then can click to watch ad-supported videos within the video channel on sites running the ads.
The Google advertising system splits the resulting revenue three ways to the video content owner, the Web site publisher and Google. The exact revenue splits were not disclosed.
Mountain View, California-based Google said in a statement on its AdSense customer blog that only a limited number of Web site publishers had been asked to participate.
"Over the next few weeks we'll be testing AdSense video distribution and sponsorship with a small group of publishers," AdSense product manager Christian Oestlien said in his blog post.
Sony BMG is a joint venture of Japan's Sony Corp (NYSE:SNE - news). and Germany's Bertelsmann.

ROO Group Announces Acquisition of MyVideoDaily

NEW YORK, Jan. 23 -- ROO Group, Inc. (OTC Bulletin Board: RGRP - News), a global leader in online video solutions for content providers, advertisers and Websites, today announced the acquisition of MyVideoDaily, a Web destination and software publishing company operating 18 domains and distributing multiple video software titles. The transaction provides ROO with a proven search engine marketing strategy that introduces new users to the company's portals and desktop applications. The purchase price included $350,000 cash payment plus an allocation of up to 500,000 ROO Group Inc shares based on achieving jointly agreed milestones. Additional terms of the transaction were not disclosed.
MyVideoDaily has been a customer of ROO's for over a year. Together the companies have built a number of software applications around ROO's core video service including a video desktop application which has been installed on over 750,000 desktops worldwide since the service began broad distribution in January 2006. The company's desktop presence will now provide ROO dedicated touch points through which the company can immerse active users within its expanding video content library.
MyVideoDaily's search marketing assets will be expanded to enable ROO's publishing partners to promote their properties. The company also brings online community features to ROO's portal products such as user comments and video rating systems. ROO's current enterprise level video partners will benefit from the acquisition by gaining access to a new suite of actionable reporting tools and the ability to respond to trends in real-time with advanced site/content management controls.
Current MyVideoDaily (www.myvideodaily.com) CEO Robertson J. M. Price will join ROO as Senior Vice President, Product & Network Management. In this capacity, Mr. Price will help manage ROO's growing distribution network and inventory expansion, while strengthening ROO's partner services solutions. Mr. Price will report directly to Steve Quinn, ROO Media's President and COO.
Commenting on the transaction, Robert Petty, Chairman and CEO of ROO, stated, "This transaction serves to expand the breadth of our content, distribution and technology offerings, while enhancing the overall value of our partnership network. Through MyVideoDaily's desktop video applications, we will gain direct access to thousands of consumers through our presence on their PC's. The addition of Rob Price, an experienced executive in the online video space, will complement ROO's existing management team as we seek to further build on our comprehensive content library and vast distribution network."

New execs for Metacafe

Video sharing site Metacafe has added three new execs: Mort Greenberg, formerly VP of media sales strategy and development for IAC, was named VP of sales. Allyson Campa was hired as VP of marketing. She was CEO of Bravanta, and VP and GM of MySoftware. Bud Colligan was appointed executive chairman. Colligan co-founded Macromedia, and took the company public as its CEO.

Midem 2007 : les maisons de disques annoncent une contre-attaque anti-P2P

L'industrie musicale a fait part de son intention d'attaquer les « opérateurs techniques du P2P » tout en maintenant la pression sur les internautes pirates.
Arnaud Devillard (à Cannes) , 01net., le 22/01/2007 à 18h40

Les producteurs en parlaient déjà dix jours avant le Midem, le Syndicat national de l'édition phonographique (Snep) l'a confirmé lors d'une conférence de presse lundi matin sur place, à Cannes : oui, les actions contre les pirates de musique vont continuer. Contre les particuliers, mais surtout contre les « opérateurs techniques », c'est-à-dire les fournisseurs de solutions, logiciels de peer to peer en tête, permettant de mettre en circulation illégalement des fichiers musicaux protégés par le droit d'auteur. Sur les cibles et les moyens d'action, le Snep reste flou. Il ne dit pas, par exemple, comment il va s'y prendre pour épingler les auteurs de logiciels de P2P, bien souvent organisés en communautés sur Internet et non pas en sociétés commerciales.
Le Snep s'appuie sur la loi droit d'auteur et droits voisins votée et entrée en vigueur a l'été 2006. « Les internautes ne peuvent pas et ne doivent pas être les seuls » à être en ligne de mire, a estimé Christophe Lameignère, président du Snep et de Sony BMG France. Car la filière du disque en France doit toujours faire avec un contexte difficile où le peer to peer continue de grever les chiffres de ventes, selon le bilan de l'année 2006 présenté par le syndicat. Le nombre d'albums vendus en magasins a baissé de 16 % entre 2005 et 2006, les ventes de singles de 30 % et, en valeur, le marché est passé de 1 459 à 1 287 millions d'euros, soit 11,8 % de moins en un an.
Dans le même temps, les ventes dématérialisées sur Internet se sont accrues. Le chiffre d'affaires a en effet augmenté de 44,6 % et le nombre d'albums téléchargés sur les boutiques en ligne a fait un bond de 57 % (hors téléphonie mobile). Er cela ne represente que 1,1 million d'albums. Bien trop peu pour compenser les pertes sur le marché du CD.
Le Gouvernement interpellé sur la TVA et sur les DRM
Le Snep a tenu aussi à faire passer quelques messages aux pouvoirs publics. Il demande d'abord un moratoire sur l'application de la TVA à 19,6 % sur les ventes de fichiers musicaux, pour aider le marché à décoller. L'idée étant qu'à terme cette TVA soit définitivememt ramenée à 5,5 %. C'est-à-dire ce que la filière n'arrive toujours pas à obtenir pour le CD. Son autre réclamation concerne l'Autorité de régulation des mesures techniques de protection (les DRM), que crée la loi sur le droit d'auteur et les droits voisins pour arbitrer de futurs litiges concernant ces systèmes placés sur les fichiers et sur les CD pour limiter leur copie.
Les décrets d'application ne sont toujours pas parus depuis la publication de la loi au Journal officiel en août 2006. Ce qui, de fait, empêche cette autorité non seulement de fonctionner mais également d'exister, tout simplement. Et le sujet devient pressant puisque, cela n'a échappé à personne cette année, les DRM font l'objet de vifs débats et d'une nette remise en question. La voix de ceux qui appellent à leur suppression se faisant de plus en plus entendre.
« Aucune piste n'est à négliger, a commenté Christophe Lameignère, mais celle-ci est extrêmement dangereuse et glissante. Il n'est pas question aujourd'hui d'y revenir, il est trop tôt. » Les producteurs veulent d'abord voir quel impact sur les ventes auront les initiatives récentes de VirginMega et de Fnacmusic, consistant à proposer respectivement 200 000 et 150 000 fichiers en MP3 et sans DRM issus des catalogues de labels indépendants.
« S'il n'y a plus de DRM, il faut trouver autre chose pour protéger les fichiers, a précisé Jean-François Cecillon, PDG d'EMI Music France. Car dans ce débat, il y a deux choses différentes : la protection des fichiers et l'interopérabilité. » C'est cette dernière qui poserait surtout problème. Sauf que, de fait, techniquement, les deux choses sont bien souvent liées.

Les clips de Warner Music bientôt sur Dailymotion

La plate-forme de partage de vidéos a signé un partenariat avec la major américaine. Les clips de Warner y seront diffusés et pourront être repris par les internautes.
Hélène Puel , 01net., le 22/01/2007 à 19h15

Après avoir fustigé un temps Internet et ses dangers, les majors se mettent à l'heure du Web. Warner Music vient ainsi de signer un partenariat avec la plate-forme française de partage de vidéos, Dailymotion. A l'issue de cet accord, les internautes pourront avoir accès gratuitement aux clips des artistes de la maison de production. Ou encore à du contenu exclusif comme des interviews d'artistes ou les coulisses de concerts.
L'intégralité du catalogue de Warner devrait se retrouver sur la plate-forme, dont les premières vidéos sont annoncées pour les semaines à venir. Ce n'est pas une première, puisque les producteurs indépendants avaient déjà signé au mois de décembre dernier un accord similaire avec Dailymotion pour mettre à la disposition des internautes les clips de leurs artistes, gratuitement.
Des clips repérés par un tatouage numérique
L'idée n'est pas de renoncer au concept du « User Content Delivery », (« contenu produit par les utilisateurs », en français), cher au Web 2.0. Au contraire. « Le contenu produit par des institutionnels ne représentera qu'une petite partie des vidéos disponibles sur Dailymotion. De plus, nous allons fournir aux internautes des outils afin qu'ils se réapproprient ces contenus », développe Benjamin Bejbaum, PDG de Dailymotion.
En effet, les utilisateurs du site de partage de vidéos pourront poster les clips fournis par Warner sur leur propre site Web. Ils pourront même utiliser le contenu audio dans leurs propres créations vidéo. Et ce, sans contrevenir au droit d'auteur.
La major et Dailymotion ont convenu de marquer les clips mis en ligne au moyen d'un tatouage numérique. « Nous allons utiliser le système de "fingerprinting" [empreinte digitale, NDRL] développé par Audible Magic. De cette manière, Warner pourra détecter ses contenus parmi ceux postés par nos utilisateurs », poursuit Benjamin Bejbaum. Et être ainsi rémunéré en fonction de l'utilisation de ses clips. Les deux partenaires se partageront en effet les revenus publicitaires. Par ailleurs, le studio pourra demander, le cas échéant, le retrait de toutes les oeuvres d'un artiste si celui-ci le demande.
Un mode équivalent de partage de revenus devrait prochainement être proposé aux utilisateurs. « Les internautes qui viendront poster leurs productions sur notre site verront leurs contenus monétisés grâce à notre régie publicitaire. Ils toucheront un pourcentage sur les revenus publicitaires générés, en fonction de leur trafic », souligne le PDG de Dailymotion.
D'autre clips musicaux pourraient alimenter très prochainement la plate-forme. Le site serait en pourparlers avec trois autres majors.

Monday, January 22, 2007

Can sex be stopped


'Fingerprint' system to scan website traffic

Financial Times article
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A Paris-based technology start-up will launch a digital video and music "fingerprint" system this week that, if adopted, could enable user-generated content websites such as YouTube and MySpace to spot and remove illegally posted copyright material.
Advestigo claims its AdvestiGate technology, developed over the past four years, could help protect the big user-generated content sites from the threat of lawsuits from Hollywood studios and other content creators.
Universal Music Group, part of Paris-based Vivendi, filed a copyright infringement lawsuit in November accusing MySpace of allowing its users to upload and download pirated songs and videos. The lawsuit also named Rupert Murdoch's News Corporation, which acquired MySpace for $580m in 2005.
YouTube, the largest video-sharing web service, which was acquired by search giant Google for $1.65bn in November, has yet to face a big lawsuit in spite of repeated threats.
"Video-sharing websites, which might handle upwards of 65,000 newly uploaded clips every day, are permanently at risk of litigation by unintentionally distributing copyrighted content online," said Michel Roux, Advestigo's chief executive.
Advestigo's technology, based on complex pattern-matching algorithms, automatically filters uploaded content, comparing new "fingerprints" with a database of existing fingerprints from copyrighted material, including top Hollywood film titles and television series.
The French company claims the technology is effective even when the original content has been adjusted or altered.
The technology, which works with audio files as well as video clips, has been proved in use with many leading peer-to-peer services.
This week Advestigo said it will begin offering the technology in a $15,000 "appliance" - a box that can be hooked up to a network.
One box can handle about 3,000 video clips a day but large sites could hook dozens up together to monitor traffic on their networks.


The Financial Times Limited 2007
By Paul Taylor in New York Published: January 22 2007 02:00

Merlin Inks SNOCAP Deal

The newly founded independent music agency Merlin, WIN’s (Worldwide Independent Network) licensing, distribution and commercial arm, has inked a deal with digital licensing and copyright management service SNOCAP founded by Napster creator Sean Fanning. News Corp owned MySpace, the world's largest social networking site, previously announced a deal to use SNOCAP to offer a digital music service via “Mystore” widget, and with this deal in place, artists belonging to the Merlin label could sell their music on MySpace and other sites with similar deals.
The formation of Merlin, initiated at the Midemnet conference in Cannes, allows the group to act as a global rights licensing agency for independent indie bands and to give them some collective bargaining ability in order to compete with the major labels currently at play in the music space. The MidemNet Forum began on Saturday and included speakers such as the RIAA’s Mitch Bainwol, WIN’s Alison Wenham and RealNetworks’ Rob Glaser.
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The new organization now represents up to 30% of the global music market, giving them a significant share of influence in the market. "Merlin came together to license the individually unlicensable." "It's the virtual fifth major," according to Beggars Group chairman Martin Mills. Music will be sold via SNOCAP in unprotected MP3 format, which may give it an edge over the iTunes purchased music which is playable exclusively on iPods, as well as let them target their main audience directly. The question that remains unanswered is will the indie artists thrive in conjunction with the Merlin label and give the majors (Vivendi's Universal Music, Sony BMG, EMI Group and Warner Music Group) a run for their money? Only time will tell.

January 21, 2007; Steve Donaldson

BPI Chief Defends File-Sharing Lawsuits, Ponders Future Market

Lawsuits against individual file-sharers are the right course of action, according to BPI executive chairman Peter Jamieson. Speaking at MidemNet on Saturday, Jamieson declared that "music must be paid for," and underscored the need to condition consumers properly. The comments suggest a continued string of lawsuits from the label trade group, despite heavy criticism from voices inside and outside of the industry. Meanwhile, Jamieson defined his role as an "ambassador of British music," a focus that has paid rich dividends for local artists. During the past year, British artists claimed a 61.9% share of total album sales, thanks to command performances by Gnarls Barkley, Snow Patrol, Arctic Monkeys, and Razorlight.
But Jamieson is stepping down in February, and that may have relaxed the industry veteran as the conversation ensued. Jamieson tossed around possibilities like file-sharing monetization and the sale of unprotected formats, both heretical concepts until recently at major labels. He also mulled the future six months for the recording industry, a period that may reveal "whether a revolution exists," especially in the absence of a gift-giving motive. On the topic of democratized music creation and distribution, Jamieson pointed to a possible decline in quality. "I'd hate to think that the recordings of the future are only under-financed bathroom recordings," he said. Jamieson is stepping down after four years, and will hand the reigns to Tony Wadsworth.

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Kiptronic Takes $4M for Ad Platform

Kiptronic, a San Francisco-based startup that coordinates dynamic ad insertion for audio and video podcasts, will announce today or tomorrow that it has raised $4 million in venture capital funding. The Series A round was led by Blueprint Ventures and Prism VentureWorks, and included existing angel investors.
While we’ve been especially bullish on the potential for advertising in streamed video, Kiptronic plays in the world of downloads. We can see ads for downloads becoming especially useful as larger media companies put their stuff online (please don’t make us pay for podcasts!), but that’s not to say such companies will turn to a low-profile startup.
So far, Kiptronic has pieced together an sizable network of podcasts, reporting 3,000 to 4,000 podcasts on the platform accounting for 47 million total show downloads in the fourth quarter of 2006. .../...

Thursday, January 18, 2007

Expansion of Online Video Drives Network System Revenues

Yesterday, we mentioned an analyst’s forecast that there won’t be much ad revenue from the explosion in user-gen video and we know the content community has yet to see major returns. At least one sector is doing well, as AP reports: broadband network equipment makers like Cisco Systems. These companies are experiencing greater demand from service providers upgrading their networks to accommodate the extra internet traffic from surging amounts of video. An estimated 210 million people have broadband subscriptions worldwide, and some 40 to 50 million new subscribers are expected to sign on each year, according to networking and telecommunications industry researcher Dell’Oro Group. Greater broadband adoption has led to greater use of video content, the report notes, adding that in 2006, the market for service provider routers was $5.5 billion, a 26 percent increase over the year before. Another analyst notes that Cisco – and its network-building brethren like Alcatel-Lucent, Juniper Networks and Redback Networks – would like to see video delivered to every device everywhere. Zeus Kerravala, a network infrastructure analyst, Yankee Group: “If you’re looking to something to create the next wave of network upgrades, video is front and center. It drives bandwidth like we’ve never seen before.”

Brightcove's quarter-billion valuation

For the funds, the Cambridge, Mass.-based company received a $220 million post-money valuation, according to a person close to the situation.
(That’s with more than $80 million in funding to date.)

Brightcove Raises $59.5 Million in Series C Round

Strategic Funding Round, Including New Investment from Institutional Financial Investors and Media Companies, Solidifies Brightcove's Leadership in Internet TV
New Investors AllianceBernstein, Brookside Capital, Maverick Capital, The New York Times Company and Transcosmos Join Existing Investors in Financing

Cambridge, MA - January 17, 2007 - Brightcove announced today the closing of a $59.5 million strategic funding round that will allow the Internet TV company to accelerate international expansion and solidify a market leading position as the Internet TV market matures and consolidates in the coming year.
Led by AllianceBernstein L.P., Brookside Capital LLC, Maverick Capital, Ltd., the funding round also includes investments from The New York Times Company (NYSE: NYT), and Transcosmos Investments & Business Development, Inc., as well as all of the company's existing strategic and financial investors: Accel Partners, Allen & Company LLC, AOL (NYSE: TWX), General Catalyst Partners, The Hearst Corporation, and IAC/InterActiveCorp (Nasdaq: IACI). Morgan Stanley (NYS: MS) and Allen & Company served as placement agents for the financing.
"This investment in Brightcove will enable us to grow our business at a critical juncture in the adoption of Internet TV," said Jeremy Allaire, Brightcove founder and chief executive officer. "With the new funds we will be expanding internationally, deepening our service offering to give media partners better tools to distribute and monetize video online, and empowering consumers to interact with that content in exciting new ways."
The new financial investors give Brightcove broad access to global capital markets as the company grows, and the new strategic investors present the company with opportunities to accelerate its leadership in the media industry worldwide. The investment from The New York Times Company, one of the Brightcove's earliest customers, strengthens Brightcove's unique leadership position providing Internet TV services to news and information media companies expanding into online video. The partnership with Transcomos Investments & Business Development, a wholly-owned subsidiary of transcomos inc., a leading digital marketing services provider based in Japan, gives Brightcove access to the exploding Japanese Internet video market and helps support the company's international growth.
"Brightcove's early success in partnering with media companies that are driving the transition of television and video distribution to the Internet puts the company in the right position as Internet TV takes off on a broader scale," said Jamie Kiggen, senior vice president of AllianceBernstein L.P. "We've looked at many opportunities in this area and believe that Brightcove is well positioned for success in creating solutions that both media companies and consumers will embrace."
The Series C financing round comes as the company continues to experience significant growth following the October 2006 launch of the Brightcove consumer destination (www.brightcove.com), syndication marketplace and broadband media network. Taking advantage of these online services, emerging media companies and independent producers have launched thousands of new commercial broadband channels with Brightcove. During the same time, Brightcove has continued to expand its well-established, market-leading position with major media companies by signing new partnerships with companies such as Warner Music Group, Dow Jones & Company, Inc., and Time Life.
About Brightcove
Brightcove is an Internet TV service that empowers video producers and programmers to build broadband businesses while giving viewers more choices and control over their use of video and television. Founded by Internet pioneer Jeremy Allaire in 2004 and based in Cambridge, Massachusetts, Brightcove is the market-leading Internet video partner for international news and entertainment businesses, including British Sky Broadcasting (Sky), Discovery Communications Inc., Dow Jones & Company, Inc., MTV Networks, The New York Times Company, Reuters, Sony BMG, Time Life, Warner Music Group, and Washingtonpost.Newsweek Interactive.

Video service Brightcove raises $59M

Brightcove, a company that gives media outlets and other businesses a platform to deliver online video, has raised a whopping $59 million in a third round of funding.
Amid the trend of consolidation hitting the sector, this funding will help tide the company over. There are oodles of other companies doing something similar, from Twistage, to Reality Digital, vSocial and GridNetworks.
Besides, no one can afford to let Brightcove go under. All kinds of media groups are using Brightcove technology to get online, and they’re investing in it too. They include customers The New York Times Company, and Transcosmos Investments & Business Development, which participated in the latest investment. With so much capital, though, you have to wonder whether Brightcove will ever be able to return a profit on the investment.
AllianceBernstein, Brookside Capital, and Maverick Capital led the latest investment. Other investors include Accel Partners, Allen & Company, AOL, General Catalyst Partners, The Hearst Corporation, and IAC/InterActiveCorp.

Wednesday, January 17, 2007

IFPI Digital Music Report 2007 - Key Facts

¤ Digital music sales estimated to double to around US$2 billion in 2006
¤ Single track downloads estimated up 89% at 795 million
¤ Available tracks double to four million, via 500 online services in over 40 countries worldwide
¤ Portable music players help drive digital music consumption
¤ New revenue streams and business models emerge
¤ Lawsuits impact illegal file-sharing, but "gatekeeper" ISPs must act to curb digital piracy


¤ Record companies' digital music sales are estimated to have nearly doubled in value in 2006, reaching a trade value of approximately US$2 billion (up from $1.1 billion). The split between online and mobile remains fairly equal, but varies substantially across markets. Digital sales are estimated to have grown from 5.5 % in 2005 to around 10 % of industry sales for the full year 2006.
¤ Single track downloads are estimated to total 795 million in 2006, up 89 % on 2005. Single track downloads and mastertones remain the main digital music formats, but other formats, such as mobile downloads, digital albums, music videos and ringback tones all saw healthy growth
¤ The number of tracks available online doubled to reach over four million in the last year. This compares to around 150,000 CD albums available in the biggest 'bricks and mortar' music stores.
¤ There are nearly 500 online music services available in over 40 countries worldwide, offering consumers a wide variety of choice and great value
¤ Portable music players help drive digital music consumption. Portable player sales totalled around 120 million in 2006, an increase of 43 % on the previous year (Understanding and Solutions). Portable player owners are more likely to buy music legally than general internet users; but the amount of purchased music stored on devices is still low.
¤ New revenue streams and business models emerge. Social networking sites exploded in popularity while advertising-supported models such as video licensing on Yahoo! Music and MSN emerged as a potentially exciting revenue stream for record companies. Music video has become a revenue stream in its own right.
¤ Advertising-funded models have become a new revenue stream for record companies. Advertisers diverted budgets from conventional broadcast and print to the Internet in 2006. Internet advertising is forecast to overtake traditional radio advertising in 2009 (Zenith OptiMedia).
¤ Digital is boosting classical music. Classical music was the fastest-growing music genre in the US, growing by 23 % in the US. There have been exceptional digital sales on particular classical titles
¤ Lawsuits are having an impact. Legal action was taken against more than 10,000 uploaders in 18 countries in 2006 including Brazil, Mexico, Poland and Portugal for the first time. The average legal settlement is now €2,420. Recent research from Jupiter shows that illegal file-sharing in Europe has been contained in the last year, in the context of a 30 % increase in broadband household penetration.

Tuesday, January 16, 2007

Les sociétés d'auteurs européennes attaquent YouTube et MySpace

Article LES ECHOS, 16/01/07
Click on the image to enlarge.
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Hollywood Asks YouTube: Friend or Foe?

While waiting for YouTube to roll out its promised automated takedown service, NBC employs three people responsible for trolling YouTube in search of studio material, sending the site more than 1,000 takedown requests per month.
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The New York Times, LAURA M. HOLSON,
LOS ANGELES, Jan. 14 — Did you miss Eminem’s hit movie “8 Mile”? You’re in luck: Many of its rap battles and other major scenes are available for viewing on YouTube, the video-sharing Web site owned by Google. Indeed, until recently, the entire film was there, broken up into 12 nine-minute chunks to get around YouTube’s ban on longer clips.
An 18-year-old YouTube user calling himself Yosickoyo posted the movie six months ago. He declined to give his real name, but said in an e-mail message that he had made the film available as a favor to others who had shared movies. “I just want to thank them by uploading a movie that I have,” he wrote.
NBC Universal, whose Universal Pictures distributed “8 Mile” in 2002, did not appreciate the gesture. The company asked YouTube to take down the clips after it learned of them from a reporter. It was not the first time. NBC Universal has three employees who troll the site every day looking for studio-owned material, and they send more than 1,000 such requests a month to YouTube.
“There is only so much we can do,” said Rick Cotton, NBC Universal’s general counsel, who estimated that more than half the videos on YouTube featuring NBC Universal’s television shows and films were unauthorized. As fast as a clip is taken down, he said, YouTube users “can always put up another.”
As YouTube, with the backing of Google, becomes a powerful force in the media world, Hollywood studios and other entertainment companies are trying to figure out if it is friend or foe. After all, YouTube distributes unauthorized clips of the movies that the studios spend an average of $96 million to make. But it can also help them build tremendous buzz, and that is driving Hollywood to try to work with it instead of against it.
Hoping to avoid some of the problems in the music industry that arose from illegal downloading of songs, all of the major studios — including NBC Universal, Warner Brothers Entertainment, which is owned by
Time Warner, and the News Corporation’s 20th Century Fox, are in negotiations with YouTube seeking licensing agreements that would make their content legally available on the site.
In the meantime, they are also pressing YouTube to adopt filtering mechanisms more quickly to keep unlawful material from even showing up. And several media companies are in talks to create their own YouTube-like site, a move some in the industry suggest is a form of posturing to help push the licensing negotiations forward.
“I think studios will sue if they don’t get a licensing deal they like,” said Jessica Litman, a professor at the
University of Michigan Law School. “My guess is if I were a movie studio, getting a cut of the money is more profitable than shutting it down. But it’s complicated, very complicated, and it’s only going to get worse.”
Google also has a lot resting on how these copyright issues are resolved, because investors are eager to see whether the $1.65 billion it paid for YouTube was well-spent.
Chris Maxcy, vice president of business development for YouTube, declined to be interviewed, but he said in an e-mail message that YouTube had successfully worked with studios to market their movies and sought deals with studios to make their content more widely available. “In fact, we’re now in discussions with several studios to create both content partnerships and revenue-sharing opportunities,” he wrote.
Much of the content on YouTube, of course, has nothing to do with Hollywood — like the thousands of video blogs created by teenagers with Web cams. But there is enough copyrighted material there to warrant the attention of the studios and many other media companies — everything from the dancing penguins of the new film “Happy Feet” to the black-and-white television clips of the
Beatles singing “Help.”
No one knows exactly how much Hollywood-derived content is uploaded to the site without the studios’ consent, but academics and media executives estimate it could be anywhere from 30 percent to 70 percent.
The studios are happy to have some of their content on YouTube. Marc Shmuger, chairman of Universal Pictures, said that for each new release, Universal’s marketing team sends out a digital “tool kit” to sites like YouTube with studio-approved graphics, clips, sound effects and music videos that can be shared. Because “8 Mile” was released four years ago, its kit may have only included trailers and some clips.
“I think that the marketing side of our company and the copyright-protection side have contradictory impulses,” Mr. Shmuger said. “But there is a huge appetite for content, and we are well-advised to recognize that appetite and find constructive ways to feed it.”
Mr. Shmuger said the studios need to embrace sites like YouTube because they are the future of movie marketing. “If you want to be involved in the cultural debate, you have to allow consumers to be more actively involved,” he said. “That’s a different world order which we are not used to.”
One scene Mr. Shmuger said would most certainly not have been part of the “8 Mile” tool kit — one that shows up in 16 separate videos on YouTube — is the climactic rap battle between Eminem’s character Bunny Rabbit and Papa Doc.
But from the perspective of a YouTube user, it is hard to tell which clips are studio-approved and which are not. Some clips from companies like
CBS and NBC that have deals with YouTube are fairly easy to identify as authorized material. For the rest, said Pamela Samuelson, co-director of the Berkeley Center for Law and Technology, “what you have is a gap between what people think is O.K. and what is over the line.”
Already, several major music companies, including Universal Music Group, once a corporate sibling to Universal Pictures but now owned by
Vivendi, have forged agreements with YouTube, which makes its money from advertising, that allows music to be played in videos for a fee.
So in an odd twist, Eminem’s songs from “8 Mile” are cleared for use on YouTube, while much of the accompanying video is not. In what could be an indication of the kinds of deals the studios might strike, Universal Music earns the higher of two amounts when its songs are used in a video: a flat fee per clip or a percentage of advertising revenue.
“We don’t want to kill this,” said Larry Kenswil, a Universal Music executive. “We see this as a new source of revenue for us.”
Where studios and music companies see the most complicated copyright issue is in the posting of mashups — clips that incorporate video and music from various sources that has been “mashed up” to make something new. Most mashups are made by eager fans as a form of artistic expression or a demonstration of their editing skills.
“I don’t consider any of this stuff piracy,” said Professor Litman of the University of Michigan. “Folks are taking snippets and making them their own.”
One video posted last March, credited to Kusoyaro Productions, includes clips from the 20th Century Fox film “Napoleon Dynamite” that have been cleverly edited to create a new music video for Eminem’s song “Lose Yourself” from “8 Mile.”
The two movies’ heroes couldn’t be more different: Napoleon Dynamite is an awkward teenager in rural Idaho who stuffs his pockets with tater tots, while Eminem’s character in “8 Mile” finds refuge from his trailer-park life by rapping in clubs. The video has been watched more than 60,000 times.
Ron Wheeler, a senior vice president of content protection at Fox Entertainment Group, said that even though Fox was not being paid for the right to use the “Napoleon Dynamite” clips, the company had not asked that the video be taken down.
“We are not in the business of just saying no, but we do consider it unauthorized use,” Mr. Wheeler said.
He predicted, though, that the studio would be saying “no” more often in the future. Fox is working on a policy that will address the issue of mashups in a way that those creating them can understand.
“We will offer as much freedom as legally able, but at the same time it will be less than some people are doing now,” Mr. Wheeler added. “It won’t be ‘anything goes.’ ”
Brian Grazer, a producer of “8 Mile,” said some of the mashups he had seen were “pretty hip.” But he said he, too, viewed them as a form of piracy: “It bothers me artistically. Here’s this thing where you have no control; they are chopping it up and putting your memories in a blender.”
Directors may have a tough time accepting the wild world of mashups, particularly those who have been given control over the final cut of their movies. Mr. Grazer said he believed that
Curtis Hanson, who directed “8 Mile,” would not be pleased. “Something like this drives an auteur nuts,” he said. Mr. Hanson did not return calls seeking comment. Eminem, through a spokesman, declined to comment.
But film, television and music companies are not the only ones in Hollywood seeking to protect their rights as online video spreads. The industry’s guilds, too, are exploring what rights directors, writers, producers and actors will be afforded in the digital era. “This is a thorny issue,” Mr. Wheeler said.
The Directors Guild of America is already taking a hard line. The guild’s president,
Michael Apted, said in a statement that he and his fellow directors would challenge the unauthorized use of any work. “We will aggressively protect our members’ creative and economic rights,” he said.
For an indication of ways that the relationship between studios and YouTube might unfold, many in the industry are pointing to two recent events. Universal Music sued MySpace, the social networking site, for copyright infringement. And when Google closed the YouTube deal it set aside as much as $200 million for potential copyright litigation.
YouTube said in September that it would introduce a new mechanism to filter out unauthorized videos and let owners claim their content by the end of the year, but it is still being developed.
Mr. Cotton, the NBC Universal lawyer, said that the YouTube removal-request game could continue for only so long. “Sand is running out of the hourglass,” he said. “Companies aren’t prepared to sit by and not let this be addressed.”