Midem Mobile Music Forum Report

Midem Mobile Music ForumFew topics are as hot as mobile music right now, with the Midem Mobile Music Forum the place to be on the subject. Panelists touched upon several important areas, with all attempting to understand the future direction of explosive medium. Once again, Digital Music News was on the ground to capture the chatter.

Just who is buying all of those ringtones and downloads through their phones? A knee-jerk reaction seems to always point to the younger buyer, though many close to the space are seeing activity from the older buyer. During one of the mobile music panels, Martin Peronnet (Content Director, Mobile/i-mode division of French operator Bouygues Telecom) declared that 15% of his customers are in the 35 -40 age bracket. That is a total of one million customers, with many among the most active subscribers. Others revealed similar data, with Universal Mobile Chairman Cédric Ponsot announcing the launch of a series of oldies realtones, based on major hits from the 60s. Clearly, ringtones aren`t just for kids.

With the mobile music space expanding, where do things go from here? Many were convinced that 2005 will be the breakout year for the space, with new services like full song downloads on the horizon. But many attendees urged their peers to remain focused on ringtones, the most lucrative aspect so far. Meanwhile, projections were bandied about, with event chairman Ralph Simon forecasting a $11.2 billion space by 2008 .

But more money can sometimes bring more problems, with operators, publishers, and labels swimming in disagreement. Vodafone Global Marketing Director Guy Laurence gave a clear warning to the music industry when he declated that “the music industry needs to sort out the mess between publishers and labels and figure out who owns what during the next quarter. It is the consumers that matter. The bickering has to stop.” In another panel, Chrysalis Group Chief Executive Richard Huntingford expressed his concern about Vodafone exerting too much control. “What do they know about music?” he asked, calling for the music producers to unite their efforts. Orange Marketing Handset Services & Solutions Director Pascal Thomas called for mutual collaboration, reminding attendees that the CD has been around for 20 years with almost no innovation, while the mobile business is rapidly deploying new products.

Mobile Music Forum

Music Download Giant Napster Considers Film Service

napster provide filmNapster, one of the largest players in music downloads, is considering offering a film download service. The new service would sit alongside its music offering and help to give the company a competitive edge over its rivals. The technology is already in place to download movies, so the same service model could easily apply to films, television programmes and video games, now that broadband connection speeds are getting faster and more prevalent.

In a move targeted at the younger video-game generation, Napster won’t be the first company to enter the legal movie download market. In the US, MovieLink and CinemaNow are already offering a service to a growing customer base in America. Films on these sites start at around $2.99 (£1.59 Euro 2.29). However, similar to the music industry five years ago, the film industry is struggling to keep piracy at bay with technologies that allow movies to be downloaded quickly and in full to users with high-speed Internet connections. The Motion Picture Association of America has already filed lawsuits against pirates and is cracking down on distribution networks such as eDonkey and BitTorrent.

Regardless, legal film downloads will be a winner and are the future – just like audio downloads. Since broadband, film downloads have surged considerably, and around one in four people online have now downloaded a film, according to the MPAA. Such statistics have encouraged Napster and others to keep an eye on the market.

Since Christmas, Napster UK has reduced the price of its entire music catalogue of over 1 million tracks by 20 per cent. In response to record sales, the more aggressive pricing strategy will mean that full albums now cost £7.95 (US$14.89 Euro 11.43), while individual tracks cost 79p (US$1.48 Euro 1.14) when bought by Napster subscribers or purchased with Napster Pre-Paid Cards and Online Music Vouchers. Pricing for movies has yet to be announced, but it’s obvious they’ll have to be a lot cheaper than the latest DVDs for the service to takeoff.

Napster – UK
Napster – USA
MPAA

EU Software Patent Causes Controversy

Plans to introduce European-wide laws on computer software patents have caused controversy because of the impact they could have on the cost and availability of commercial and open-source software. Microsoft chairman Bill Gates put the case rather more strongly, describing opponents of the legislation as ‘modern-day sort of communists’ who want to damage industrial innovation.

The software Patentability of Computer-Implemented Inventions aims to clarify existing European laws on patenting software, but could create legal hurdles for IT departments wanting to develop their own software. In the worst-case scenario, the patents could force smaller suppliers and open-source specialists out of business, restricting competition and the choice of software available to users.

To be patented, software has to have a ‘technical application’. This basically means that a company that develops software to control a DVD recorder can patent it, as controlling a DVD recorder is a technical application. However, a company that develops software to automate an accounting system would not be granted a patent. This is because accounting systems are regarded as a business process rather than a technical application. The whole process is governed by European Patent Convention, an international treaty which has so far been implemented in slightly different ways in each country.

The bill has sparked a debate on whether the EU should follow the US model of granting patents to Internet business methods, such as online bookseller Amazon’s ‘one-click shopping,’ or instead restrict patents for computer software. Poland, a large EU member whose backing is crucial for the adoption of the proposed rules, told Reuters last week that it was not ready to back the legislation amid fears it could open the door to the patenting of pure computer software.

The major benefits of the bill is that it would provide European companies with protection for their ideas and encourage innovation, create a level playing-field for patents across all European countries, and clarify existing patent laws, rather than introducing major changes. However, small suppliers will not have enough financial muscle to obtain and enforce patents, thereby reducing choice for IT departments. It could also restrict the availability and functions of open source software, and IT departments may have to conduct patent searches to make sure they are not infringing rights. The saga continues, with adoption of the bill now scheduled for next week.

China Develops its First Digital TV Chip

China Digital TV ChipShanghai-based Fudan University has developed the country’s first home-made digital TV chip. Not only that, but the chip has passed appraisals by experts from the Chinese Academy of Sciences and Chinese Academy of Engineering, and it’s outperformed European and US standards in terms of sensitivity and anti-jamming capacities – at lower costs.

The ‘Zhongshi No.1’ chip, which is based on China’s DMB-T standard and is made by Grace Semiconductor Manufacturing and Semiconductor Manufacturing International, integrates more than 70 storages, 2 million logic gates and 20 million transistors. It’s expected that the mass production of the cost-effective chip will help to boost China’s digital TV industry as it will pave the way to a new generation of high-definition televisions (HDTV).

Apparently, dozens of electronics makers have integrated the new chip technology into their products, including Changhong, TCL, Skyworth and Haier. China’s Henan Province has applied the new technology to launch mobile TV programs, and other localities have reported success in trial operations. US-based Time Warner has also announced that it plans to offer subscription-based digital TV programs to China.

According to official statistics, China has more than 370 million TV sets and an average 40 million sets are being sold each year. China plans to broadcast the 2008 Beijing Olympics on digital TV and hopes to roll out the service nationwide by 2015.

Snakes Snare N-Gage for Nokia

Snakes N-gage NokiaThe all-time classic Nokia game, Snake, has now hit their gaming platform, the N-Gage. Best of all it’s free to download.

One initially surprising thing is that the whole game can be uploaded to another N-Gage via Bluetooth. Clearly this hasn’t been a feature of the commercial games already released, which include snowboard-a-thon SSX yesterday, but as it’s a give away, it makes it an interesting way to get it spreading.

Pasi Pölönen, Director, Game Publishing at Nokia said in a statement, “The unique method of viral distribution via Bluetooth, plus the free download, means that practically every N-Gage owner can enjoy the addictive gameplay and upload their high scores to the N-Gage Arena.”

Snakes on N-Gage has been updated to run in 3D, taking advantage of the additional processing power of the N-Gage. It also lets up to four players join together in a game by using Bluetooth to connect them up.

N-Gage hasn’t been the huge success that Nokia had wanted, but it is clearly not going to let the N-Gage slip away unnoticed.

Just looking at the Snakes Break Out Website, that they’ve prepared to support the release of Snake, proves that. It appears they have spent a considerable amount of money on its faux-TV appearance – and this is for a game that is FREE to download.

Snakes Break Out Website

The First Review of Snakes?

DAB EPG for Bug Launches – Radio TiVo

PURE Bug with EPGPURE Digital announced today that it’s offering support for an Electronic Programme Guide (EPG) for the Bug DAB digital radio.

Using the EPG, Bug users will be able to browse the programmes coming up over the next 7-days, read additional information about them and select them for recording. In the same vein as a Personal Video Recorder (DVR), does this make it a DRR – Digital Radio Recorder?

While the Bug has been able to record and rewind live DAB radio since its release (in May 2004) onto SD memory, the addition of the 7-day EPG provides the another piece to make it perform like a TiVo. It is the first DAB radio to support an EPG.

The EPG system has been in development for about a year. Back in September 2004, Jonathan Marks highlighted ETSI Doc. number TS 102 818) that is part of the Eureka 147 DAB standard, under the auspices of WorldDAB.

The final version of the Bug EPG software release is expected in Q1/2005, after completion of the EPG trials.

The EPG software that runs in the Bug was created by Ensigma and the EPG Management system that runs at the radio stations has been developed by Unique Interactive.

DAB radio is becoming accepted by the UK listener. Last week it was announced that over 1 million DAB radios had been sold in the UK with a forecast of a further 1.2m in 2005.

PURE Digital is a consumer products division of Imagination Technologies, who were originally called Videologic many moons ago.

Buy the PURE Bug from Amazon UK

The Bug – EPG Trial v1.3; release notes
Unique Interactive
WorldDAB

Bug images, courtesy of Unique Interactive

TI Announce Single-Chip Mobile Phones

mobile phone chip reductionTexas Instruments (TI) has announced they will bring a integrated single-chip solution for mobile phones.

Based on TI’s Digital RF Processor (DRP), it integrates two basic chips, one that controls sending and receiving radio frequencies, and one that controls basic computing functions.

It will bring the advantages of lowering the cost, size and power requirements, while raising performance. All of these are vital in producing high-volume, entry-level cellular phones, particularly when selling into high-growth regions such as India and China.

Currently half of TI wireless business is not that it’s news to them. Back in 2002 TI announced its intention to integrate the bulk of handset electronics on a single chip, for delivery in 2004. It squeezed in to 2004 by providing samples in December 2004.

The NY Times is reporting that Qualcomm announced (reg. reqd) it had developed integrated technology back in November, but it is unlikely to reach the mass market before TI’s. Clearly TI is excited about it, Bill Krenik, manager of wireless advanced architectures for Texas Instruments said to the NY Times, “This isn’t an incremental step, it’s a big leap forward.”

Juha Pinomaa, Vice President, Entry Business Line, Nokia is equally sprightly. “By incorporating TI’s DRP technology into a single chip, future Nokia mobile phones will provide the ideal mix of cool features and cost-effectiveness, making them more attractive to the mass marketplace.”

Not resting on its laurels, TI’s integrated wireless technology roadmap also includes a single chip solution for digital TV for mobile phones, as well as future single chip solutions for GPS, wireless LAN and UMTS.

TI Nokia

Image source – The Hong Kong University of Science & Technology

HomeChoice Doubles Broadband Speeds, Free

HomeChoice STBVideo Networks Ltd (VNL), who run the UK VOD service, HomeChoice, will be doubling the speed of their broadband service from 1st February, at no extra cost.

512Kbps will raise to 1Mb, 1Mbps to 2Mbps and 2Mbps to 4Mbps.

Last week the two UK cable companies, ntl and Telewest, announced they would be offering Video on Demand (VoD) in the UK over their existing connections. They both offer broadband services at a range of speeds, but they are generally distinct from the TV services which are available at extra cost, except from occasional special offer bundles.

Currently ntl offer “broadband” at 300Kbps (arguable if this is broadband), 750Kb and 1.5Mbps (£37.99/month (~€57.50, ~$75). Telewest offer broadband only services (blueyonder) between 256Kbps and 4Mbps, with the top package being £50/month (~€72, ~$94). As these prices don’t include the TV services, they also won’t include VoD, when it gets rolled out.

The HomeChoice offering is delivered over a telephone line and includes the TV service; VoD; free evening and weekend phone calls; as well as higher speed broadband connections with their base level service now being 1Mbps. Their 4Mbps service is priced at #45/month (~€65, ~$85).

Roger Lynch, Chairman & CEO, Video Networks Ltd. said: “Video Networks is constantly looking for ways it can enhance its current suite of services to continue to provide a superb customer experience.”

It’s taken long enough for competition to arrive in the UK, but it finally appears to be taking root. For the UK consumer, this is all good news, as competing providers clamour to offer better deals to woo subscribers.

HomeChoice is currently available to over 1.4 million homes around London. VNL have stated that they want to expand their offering beyond London, although details are not yet public.

Existing HomeChoice customers will be notified of the automatic speed upgrades from 24th January via direct mail.

HomeChoice

Midem 2005

WHAT IS MIDEM ? – The World’s Music Market The business of music has been expanding. But each year, Midem puts you right in the heart of the action. This January, nearly 9,000 music professionals will meet for another five days of networking, deal making, market information, live music and parties. Palais Des Festivales, Cannes, France http://www.midem.com

MidemNet – Music & Technology Forum

Given its unprecedented star cast, MidemNet 2005 was bound to repeat last year’s sell-out performance. Indeed, nearly 200 more visitors than last year have registered for the 2005 Technology Forum. So to ensure noone misses out, the event has been moved to the Palais’ larger Debussy auditorium. Keynotes include Chuck D and John Kennedy, who will be making his first public appearance as the IFPI’s new CEO. Palais Des Festivales, Cannes, France http://www.midem.com/