The Librarian
of Congress's decision on Internet radio royalty
rates is due on Thursday,
June 20th. Hopefully that decision will
be a reasonable one and we can all get back
to business!
So on Monday, June 24th, look for a special
"Back to Business"
issue of RAIN, featuring a review
of products and services now available to our industry.
If you're a vendor, make sureyour
firm is included! E-mail us by clickinghere.
Participating
vendors include...
From a PC Magazine column by John Dvorak: "Technologies
fundamentally change whenever two particular events happen at
once. First, there must be a performance
improvement, and second, there must be an actual need
for change.
"The arena of consumer electronics, above all, is a bumpy
road of failed new ideas because the two events required for change
seldom happen at once...
"More recently, the quagmire around the two satellite
radio initiatives — Sirius
and XM — gives these two
initiatives the earmarks of dual losers. It will be a miracle if the
satellite radio companies survive, despite the deep pockets of their
respective backers...
Programming "I thought that the satellite radio systems were going
to provide a stream of music, not
a clone of a local radio station...
"Instead of a steady flow of music such as what you get
on the DirectTV service, where song after song is played, you get
the annoying DJ and the usual patter and anecdotes. Worse, the DJ
steps all over the song half the time, the same way local AM station
jocks do...
Fees"How can anyone
rationalize paying about $120 a year to listen to the radio in
their car?..
"The satellite radio services should have started their
offerings as free systems, then sold off channels to bidders and collected
a fee from the broadcasters who use the transponders...Currently,
Sirius and XM are hogging all the programming, and one or two people
are deciding what to broadcast. This is just stupid.
Incompatible radios "Here's another gotcha. I buy a Sirius radio, and
if XM wins the satellite radio war and Sirius goes belly-up, then
I have a white elephant, since the two systems are not
compatible. The radios should be universal and compatible.
Why is this so difficult?..
Decision making "I'm concerned that none of the satellite radio strategies
was very well thought out in the first place. That always spells
disaster...Sirius is cited complaining about other wireless initiatives
— especially 802.11b — demanding that the government restrict the
unlicensed bands...This reminds me of the kinds of people who move
in next-door to an oil refinery and then complain that the area smells
like a refinery...
"Satellite radio is just another example of technology
for technology's sake and exemplifies the classic 'who needs it?'
dead end."
Read Dvorak's entire essay (and post a reply to it) in PC
Magazine online here.
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From CNET News.com: "Satellite radio stations and 802.11
wireless networks both broadcast their signals on radio waves
separated by only a small buffer. So far, that buffer has kept the
millions of 802.11, or Wi-Fi, networks from interfering with radio
broadcasts by radio broadcasters Sirius
Satellite Radio or XM
Satellite Radio.
"A representative for Sirius Satellite on Friday said
the company had withdrawn a petition to force controls on 802.11
signals, but she did not comment further. An XM
representative declined immediate comment.
"Last year, the radio companies told the Federal Communications
Commission they didn't think the relative calm would last and asked
the agency to step in. Within a few years, they said, interference
from the huge number of people using Wi-Fi's signal will bleed through
that buffer and snarl their signals, blasting listeners with the
kind of hissing, popping and humming that overwhelms a radio receiver
placed too close to a cell phone..."
From Reuters: "Spanish Internet media company Terra
Lycos on Tuesday launched an online, radio-style music subscription
service that will offer music from four major record labels.
"Terra Lycos said it joined withListen.com
to create the new Web service, Lycos Rhapsody, that will offer access
to more than 10,000 albums from artists like Bruce Springsteen and
Jay-Z. The service, however, does not yet let users download the
music or record it on CDs...
"Listen.com has struck deals with Bertelsmann AG's BMG,
Sony Corp.'s Sony Music Entertainment, EMI Group Plc's EMI Recorded
Music and AOL Time Warner Inc.'s Warner Music
Group and many independent labels. Listen.com Chief Executive Sean
Ryan said the company was also in talks with Universal.
"Like many Internet media companies, Terra Lycos is feeling
the sting from the sharp downturn in advertising spending. Lycos
Rhapsody is the company's
latest effort to shift away from ad revenues toward paid services...
"Terra Lycos will give Web surfers free access to the
service until June 30. After that, users can choose one of three
tiers of service. The free tier will offer 20
different radio stations with FM-quality sound.
... This development actually represents Lycos's third foray
into online music -- at least in the form of Internet radio.
You may recall that Lycos partnered with the now apparently-defunct
Westwind Media in spring of 1999 (see Red Herring story
here).
In May of last year, Lycos announced that their Lycos
Radio service was returning, and was to be powered by Radio
Central (see RAIN coverage here,
second story). Radio Central shut down this past March (RAIN
coverage here). ...
The following is a satire piece we've seen in a number of places.
We've been unable to identify the original source however (please
let us know if you know)... "Music bosses have unveiled a revolutionary new recording
format that they hope will help win the war on illegal file sharing
which is thought to be costing the industry millions of dollars
in lost revenue. Nicknamed the 'Record,'
the new format takes the form of a black,
vinyl disc measuring 12 inches in diameter, which must
be played on a specially designed 'turntable.'
"'We can state with absolute certainty that no computer in
the world can access the data on this disc,' said spokesman Brett
Campbell. 'We are also confident that no-one is going to be able
to produce pirate copies in this format without going to a heck
of a lot of trouble. This is without doubt the best anti-piracy
invention the music industry has ever seen.'
"As part of the invention's rigorous testing process,
the designers gave some discs to a group of teenage computer experts
who regularly use file swapping software such as Limewire
and gnutella and who
admit to pirating music CDs. Despite several days of trying, none
of them were able to hack into the disc's code or access any of
the music files contained within it...
"In the new format, raw audio data in the form of music
is encoded by physically etching grooves onto the vinyl disc. The
sound is thus translated into variations on the disc's surface in
a process that industry insiders are describing as 'completely revolutionary'
and 'stunningly clever.'
"To decode the data stored on the disc, the listener
must use a special player which contains a 'needle' that runs along
the grooves on the record surface, reading the indentations and
transforming the movements back into audio that can be fed through
loudspeakers..."