January 8, 2001  
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In RAIN this morning,
we reported (here) that troubled radio streaming provider BroadcastAMERICA planned to auction the bankrupt company as a whole -- and that their merger deal with SurferNETWORK was apparently off.

Now, AllAccess is reporting
that a US bankruptcy court is making BroadcastAMERICA.com hand over copies of their radio contracts to BA Funding, a subsidiary of SurferNETWORK.COM.

It was originally announced that SurferNETWORK had made a $1 million investment in BroadcastAMERICA. That amount is now being called a loan, and BA Funding sought the copies of the over 400 client contracts as collateral.

BroadcastAMERICA.com is still reportedly seeking a buyer. The next scheduled court date January 19th.

The AllAccess
story is here (look in Net News, registration required).


We'll send you a brief daily summary of each day's stories with a clickable link to the RAIN home page.
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Reprinted from this morning's edition...


BY RALPH SLEDGE
What we saw a
very short time ago between Netscape Corporation and Microsoft was "Darwinistic Capitalism" at work. Healthy competition (and probably a pretty good dose of monopolistic behavior) resulted in the narrowing down of the browser field, and few competitors have sprung up to challenge either ever since.

But the so-called "browser wars" weren't anything compared to what it looks like the "streaming wars" will soon prove to be. So far, almost every website that streams must carry at least two formats to be universally accepted, and if anything, it looks like that number might go up.

Once again, the biggest players on the field are Microsoft and somebody else who was there first -- Real. Competition between these two has seen faster changes in technology, more version numbers, and far more heated and infantile rhetoric than was ever witnessed in the battle between Microsoft and Netscape. A December 14th's StreamingMedia.com article (here) will give you an idea.

But though Microsoft and Real dominate the streaming field for the personal computer industry, they are not the only players. What's more, these other players may be coming around to present a united front, in the form of the Internet Streaming Media Alliance, or ISMA (see RAIN story here) -- an organization consisting of heavyweights such as Apple, Cisco and Sun, but not Microsoft or Real.

So, who should you use for your streaming? Which one is going to see the future through? Who's the most "cutting edge?" At this point the sad news is that it's very difficult to tell. According to a December 14th InternetNews article (here) (along with countless others on CNet, Yahoo, etc.), Microsoft and Real are both saying the same things countless times and in countless ways -- that they have the best quality and the lowest bitrates, that consumers prefer their format to the other, and that their user base is growing faster. As is customary, the consumer is left to guess the truth.

The Players
Microsoft and Real currently
dominate the streaming industry: most sites, if they're streaming anything, are streaming in one of the two formats. Again, according to the InternetNews.com article, Real has 22.7 million users, where Windows Media has a mere 13.2 million. However, the same study suggests that Windows Media is growing faster.

Apple's Quicktime still has a piece, albeit a small one, of the streaming pie. iFilm, for example, makes most of their online movies available in three formats -- Windows Media, Real, and Quicktime. Quicktime is also a favorite for movie trailers and game demos.

And yet another format, not to be ignored, is the venerable MPEG format in all it's forms. Until it's "beta 8" version, Windows Media was based on the MPEG-4 technology. MP3's are streamable, and Shoutcasting is still a popular (though often noncommercial) streaming method. Furthermore, the ever-popular underground DivX ;-) (the emoticon is part of the name) codec is a hacked version of MPEG-4.

MPEG is also the standard that the ISMA wished to promote. The ISMA (not to be confused with the International Snowmobile Association, the International Stress Management Association, or the International Seminar on Modal Analysis) is made up of Apple, Cisco, Sun Microsystems, Kasenna, and Philips, and was formed "in an effort to accelerate the market adoption of open standards for streaming rich media over Internet Protocol." That Microsoft and Real are not part of this organization is highly significant: it is very unlikely that any industry standard will exist without the cooperation of these two players, who, at this point, seem very interesting in keeping their solutions proprietary.

Yet another major name who is (and has been for some time, actually) developing streaming technologies, according to StreamingMedia.com (December 14th, here), is Intel. They have already worked with Real to help in developing the RealVideo 8 codec.

What they're developing
If it seems a bit odd that companies such as Cisco and Sun are taking an active interest in streaming, it's important to realize that the development of these technologies will soon come to mean much more than simply making better and better codecs. Intel and Microsoft have both already demonstrated technologies for making Internet Appliances active gateways for streaming. This often involves making systems simpler for users: having them be able to detect proper network settings without a user having to set them up, for example.

But another reason that these companies are all interested in the same thing is because there is a synergy between companies who provide the streaming technology, and the companies who provide the pipes and computers to run them on -- Sun and Cisco being the major examples. This is also another reason why Microsoft may be wary of joining into a league with companies such as Sun, with whom they have competed in the server technology arena for years.

Microsoft, of any of the involved companies, seems to have shown the most active interest in controlling streaming from server to user, as evidenced by their development of technologies for almost every stage of the process: Windows 2000, Windows Media, and Microsoft-designed and -powered Internet Appliances.

Showcases
With the technology
moving as fast as it is, most sites can't stay as up-to-date as perhaps the vendors might wish, though Quicktime generally stays solid and steady. See the newest Microsoft (here) and Real technologies (here) at the respective showcases.

Initial Impressions
Sometime in the near
future, one of the major computer magazines (check out ZDNet) will likely do a very comprehensive and scientific comparison of the two big video formats. For now, however, the general impressions count -- that's what most users will use to decide anyway.

Suffice to say, the technologies are indeed getting better. The new Windows Media encoder does indeed produce .wma's that sound a bit better than what we here at RAIN have been using for RAINRadio. The obvious question is then: do we encode all those songs again? As soon as these technologies move out of beta, every webcaster is going to face that question -- and then, a few months down the road, you'll face it again...

It's also worth noting the somewhat misleading descriptors that these companies are using to describe these new technologies. Windows Media, for example, uses sound quality descriptions like "FM Quality," "Near-CD Quality," "Near-VHS Quality" (for video, of course), and "Near-DVD Quality." All these "nears" are like to open quality rankings up to wide interpretation, and neither format is going to provide you with anything like what you're used to seeing on your television. Keep in mind, a TV displays pictures at a far lower resolution than a typical computer monitor, so even a full VHS quality video will appear in a small box in the corner of the screen -- and if you blow it up to full-screen, it isn't going to look anything like what you're used to on the 50" in your living room.

And while the videos are getting smaller, I couldn't stream either of the highest-quality video's from the Microsoft Website over my cable modem connection: thus, I can only assume that the percentage of users with connections fast enough to handle these bitrates is still relatively small. Microsoft allows you to download the clips so you can get an idea of what's coming, however. The audio streamed without a hitch.

Surface
The companies listed
aren't the only ones working on Streaming technologies. Emblaze, Octiv, and Qualcomm are just a few companies working on technologies for pushing audio and video over wireless. It doesn't appear that the task of streaming is going to get simpler or easier anytime soon: quite the contrary, the complexity will be on the rise.



BroadcastAmerica president John Brier, in an e-mail to publisher Kurt Hanson, tells RAIN the company has "decided not to convert to Chapter 7, and instead are busy preparing to auction the company in total to the highest bidder."

Brier continues saying that "with a successful sale of the company would come what we hope to be a rapid return to streaming for our partnered stations." BroadcastAmerica has been unable to provide streaming for the majority of its clients since a court order allowed Real, Sprint, and MCI to halt service to the company because of their failure to pay.

RAIN reported that the BroadcastAmerica site was down on Friday afternoon, perhaps due to developments in the troubled company's situation. However, Brier explains this was due to "some technical changes to reduce operating costs for the near-term. The site is up and functioning in some capacity...some content is still streaming."

In November, RAIN reported (here) BroadcastAmerica's Chapter 11 declaration, and the announced merger with SurferNetwork -- including a reported $1 million investment from Surfer. That deal appeared to be off when reports surfaced that BroadcastAmerica may accept funding from Bowman Investments (here).

Now the fur may be beginning to fly between BroadcastAmerica and SurferNetwork -- their deal all but fallen through. According to Radio Ink (here), Brier is accusing Surfer of trying to acquire the company simply for the money it already invested.

Contrarily, SurferNetwork CEO Gordon Bridge tells Radio Ink (here) that it's BroadcastAmerica who isn't operating in good faith. He calls the situation between the two companies "more than strained" after BroadcastAmerica accepted the funding from Surfer, and then acted strictly in their own interest, without regard to documented intent from both companies to merge.



Have an opinion on this article? Share it! Simply click the headline at left to bring up a convenient "Submit" form.




From the company press release: "iM Networks, Inc. (formerly Sonicbox, Inc.) announced today at the Consumer Electronics Show (CES) in Las Vegas that it has licensed its iM Tuning Service to Philips Consumer Electronics. As a result of the agreement, Philips will employ the iM Tuning Service on their new FW-i1000 Internet Audio Mini System.

"For the first time, the iM Band is alongside AM and FM on the radio dial, allowing consumers to listen to Internet radio from around the world. The company formerly known as Sonicbox, Inc., also announced its name change to iM Networks."

Read the press release here.



Simply click the headline at left to bring up a convenient pop-up form -- or click here to use your own e-mail software.




Internet radio ratings company MeasureCast has released their first monthly "Top 25" rankings report. The latest results are available here, or anytime by clicking the link in the left-hand menu under "Metrics."



February 1-4, 2001 RAB 2001, Dallas, TX
February 26-28, 2001 Broadcasters Website Sales Conf. 2.0,
Tempe, AZ




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