Loudeye Launch Mobile Music Service in Norway

Loudeye and USArtPhone have launched a subscription-free mobile music service in Norway. Customers can buy music directly from their handsets, paying through their usual mobile bill. The bad news is that the tracks aren’t delivered to your phone – you need to get to your PC to access them. However, it’s a handy way for labels and music stores to sell content to people who don’t have credit cards – like the under 18s and insane.

The service, branded Mobster, will be available to all 4 million mobile customers in Norway, but Loudeye plan to roll the service out across Europe.

The service is simple for the user and requires only that they send a text message to a special number. The user is then sent an email with a URL in it linking to the file they have bought.

“We’re very excited to be able to announce this new technology in what is rapidly becoming one of the world’s biggest industries – digital music distribution,” said USArtPhone founder and CEO, Sverre Fjeldheim. “Over the past five years we’ve seen a completely transformative use of the mobile phone for much more than just verbal communication. Consumers are taking and sharing photos, text messaging and using the web, and through this announcement today, they will be purchasing digital music directly from their mobile handset. We believe this evolution will continue and mobile phone functionality will expand to include many interesting business models in the future.”

Hopefully that functionality will expand to being able to download Loudeye-licensed music directly to mobile phones for playback and storage.

Loudeye

Microsoft FAT Patent Claim “Bogus”

Microsoft’s patent on the File Allocation Table disk format has been rejected by the US Patent Office, on the grounds that it should never have been granted in the first place. The Patent Office has ruled that, although the patent was granted in 1996 and is not due to expire until 2013, the technology was obvious and there was prior art. Two big no-nos if you want to register a patent, basically.

The re-examination was prompted by the Public Patent Foundation (PUBPAT), a non-profit legal services organisation that aims to protect the public from miss-use of the patent system.

Although first introduced in 1982, and largely superceeded by file formats like NTFS, the decision is a blow to Microsoft. FAT is currently enjoying an extended lifespan because it is used in Flash memory cards and by Linux to read DOS and Windows drives, and Microsoft were using the patent as a revenue stream by charging a licensing fee to those who wanted to use the technology. If you buy a Lexar Flash card for your camera, US$0.25 (€0.20) of the cost is for the FAT technology.

Dan Ravicher, PUBPAT’s executive director said: “The Patent Office has simply confirmed what we already knew for some time now, Microsoft’s FAT patent is bogus. I hope those companies that chose to take a license from Microsoft for the patent negotiated refund clauses so that they can get their money back.”

Microsoft have 90 days to put their side of the story forward or lose the patent claim altogether.

Public Patent Foundation

Ofcom: A New Framework for Public Service Broadcasting

Ofcom, the UK communications regulator has published the second phase of their review of public service broadcasting. Their review contains a number of proposals intended to enhance and strengthen public broadcasting in the UK to ensure that it is not damaged by the country’s transition to a multichannel, digital market. Ofcom are also keen that the public’s subsidy of the TV market, currently standing at around UK£3 billion (€4.35 billion) should not increase.

The frame work has seven proposals and includes:

  • Supporting a independent, fully-funded public BBC
  • Channel 4 to remain as a non-profit free to air broadcaster capable of entering alliances and joint partnerships with other organisations.
  • A competition to run a new Public Service Publisher using new technologies and distribution systems to meet audience needs – though the BBC is obviously disqualified from entering.

The closing date for responses to the Ofcom report is 24th November 2004, though the review will not be completed until after Phase 3 is published.

Ofcom’s report

Disney and Intel to Launch “Mickey Symphony”

Disney and Intel are to launch an interesting broadband content service in Japan – an interactive version of some segments form Fantasia 2000. The three initial sections are “Pomp and Circumstances”. “Rhapsody in Blue” and, always a favourite, “Carnival of Animals”.

Users will be able to enjoy interactive special effects, arrange the scenes’ backgrounds, and dance with Donald and Daisy. Which can’t be too bad. There’s a preview that I’ve linked to below – though when they say broadband, they mean broadband: it takes ages to load.

Though currently rather limited in scope, the product hints at what Disney might be able to offer in the future with its rich range of intellectual property.

Koji Hoshino, President of Walt Disney Japan said: “As a leading media company, Disney is committed to delivering content which satisfies a broad range of consumer demands utilizing new technologies … The achievement with Mickey Symphony has taken us to a new level of content creation and distribution. Intel and Disney, leaders in technology and media respectively, joined forces to create this milestone product in Japan and expect to continue further expansion of our collaborative relationship.”

Disney believe that this will be just the first of many such products, and that it will act as a catalyst for increasing public demand for broadband content and services.

Have a look at Mickey Symphony

Jupiter Research: The CD Will Be With Us for a While Yet

A new report from Jupiter Research describes the European music market in 2009 – and shows there there’s still plenty of life in the CD format yet.

Jupiter estimate that the entire market will be worth €10.2 billion (US$12.55 billion), with digital downloads accounting for a mere €836 million (US$1.03 billion) or 8% of the total. Growth for digital music services such a s downloads and streaming has been increasing rapidly, from €10.6 (US$13.16) million in 2003 to an estimated €46.3 million (US$57.50)at the end of this year.

Jupiter claim that the CD will remain the format of choice for a long time yet. Recent attempts at revising the format with extra features and gimmicks have shown that the CD of 2009 may be slightly different from those in the shops in 2004. Copy protection techniques may have moved on by then, though news this week that Sony has dropped copy-protected CDs in Japan show that a rethink on this technology is due.

“Although Europe’s digital music market has finally begun to take off after a sluggish start, it will remain a relatively niche market, considering the total European music market in 2009 will be €10.2 billion. Even with the success of the new services, digital music spending will make up less than a half of a percent of Europe’s total music market at the end of 2004,” stated Mark Mulligan, Research Director at Jupiter Research. “In the context of successive years of declining music sales, digital music distribution will be an important alternative revenue channel for the music industry but it is not about to replace the CD,” added Mulligan.

Jupiter Research

Intel Drops WiFi from Grantsdale

Intel have dropped their proposal to include integrated WiFi in its Grantsdale chipsets. Intel Wireless Connect was intended as a cheap and easy way to make WiFi networking ubiquitous – and help Intel promote and distribute their own wireless technologies.

PC manufacturers are not so sure, however, citing concerns that the functionality would add US$50 to US$75 (€40 to €68) to the price of a new desktop computer – this does not compare favourably to an add-in card which typically sells for US$50 (€40).

Whilst integrating WiFi into a chipset has advantages such as power consumption and compatibility, stand-alone wireless networking components have better signal reception and are easier to replace should they fail.

The timing is evidently wrong for Intel, but they have stated that they intend to reintroduce Wireless Connect when the price falls – or if a big enough PC manufacturer requests it.

Intel

Overpeer Launched in Europe

Loudeye have launched their Overpeer anti-piracy technology in Europe. The system, which uses a number of techniques to protect content, has proven popular in the US and Asia and currently protects 60,000 digital entertainment titles. This translates to millions of blocked downloads every month.

“As we enter an important stage in the legitimate distribution of digital media content, content owners around the world face challenges in managing the illegal distribution of their material across peer-to-peer networks,” said Marc Morgenstern, vice president and general manager of Loudeye’s asset protection and promotion business in a statement. “Our proprietary systems and technology are designed to interdict illegal peer-to-peer traffic, blocking illegal transmission of copyrighted material and helping content owners take control of piracy. These systems have been highly effective for our customers in the US and Asia, and we’re pleased that we are now launching the services in Europe through OD2, our European subsidiary.”

Overpeer uses content spoofing to distribute fake music, software and movie files across P2P networks – if downloaded, the file can then redirect a PC user to a legitimate source for the real content with the option of buying it.

Overpeer

Akimbo Showcase Internet-toTV VOD Service, Make Deal With TBS

Still can’t find anything worth watching on TV? Akimbo have demoed their internet-to-TV video-on-demand service at the Digital Hollywook show in California this week.

The service is planned to launch in October, and will deliver thousands of hours of video content to a set-top box, the Akimbo Player via subscribers’ broadband connections.

The Akimbo system uses a “Que and View” interface and dedicated remote control to allow users to select programmes that they wish to see – for delivery to them for later viewing.

The Akimbo player holds about 200 hours of video at 1.5 megabits per second, and two of the key advantages are that it doesn’t tie up subscribers’ PCs, nor do they have to watch programmes on a monitor — they can cosy up in their front room. The service will launch at US$9.99 (€8.10) a month, and will include films, music, sports, comedy and drama content amongst others.

Akimbo, founded and managed by execs from ReplayTV, Macromedia, Microsoft and Apple, has also signed a deal with Turner Broadcasting Systems to license thousands of hours of content from CNN, Cartoon Network, TCM and Boomerang.

Kevin Cohen, senior vice president and general manager, interactive/enhanced television for TBS said in a statement: “We are pleased to work with Akimbo and are looking forward to learning how consumers respond to this new subscription on-demand technology.”

Akimbo

3GPP Goes HE-AAC

Touted as the most efficient audio codec in the world, HE-AAC has been adopted as a standard by 3GPP, a collaboration between telecommunications standards bodies to produce global standards and specifications for mobile technologies.

It’s good news for the developing AAC format, and good news for those in the mobile industry – there’s now a good chance there’ll be a common file format for music stores and mobile music. Convergence fans will also be able to transfer music between AAC compatible devices, meaning that it’s less likely they’ll have to buy the same track more than once. Furthermore, the adoption of a standard should encourage more publishers to venture out into mobile music.

aacPlus can store a reasonably high-fidelity single track in just 500kb – obviously hand for the current generation of handsets that are doubly constrained by available bandwidth and memory capacities.

Richard Poston, director of corporate communications at mmO2 said about the news: “As the first operator offering mobile music downloads, we are very happy about the final standardization. We’ve been really impressed by the excellent balance of good audio quality combined with efficient use of bandwidth.”

HE-AAC uses a spectral band replication system from Coding Technologies to reconstruct high frequency sound from hints in the encoded file. By stripping out the high frequencies, only low-frequency sound needs to be encoded and stored, meaning that music can be encoded at roughly half the bit rate of standard AAC.

Perfect if you listen to that “bang bang bang” music, but we’ve yet to test if the high-frequency substitution wheeze can encode other music types, such as those with lots of strings, accurately.

3GPP

Two Way TV Acquires Broadcast Games

Two Way TV has acquired mobile-to-TV specialist Broadcast Games, and will incorporate the company to form Two Way Mobile. Two Way TV hope that the acquisition will bolster its existing mobile services, including a service produced with ITV earlier this year.

Founded last year by Julian Jones and Jani Peltonen, Broadcast Games bring their SAMPO mobile-to-TV interaction platform, which lets users play games, chat and interact with TV broadcasts using their mobile handsets, interactive TV button and internet connections.

Commenting on the deal, Jean de Fougerolles, the chief executive of Two Way TV, said: “We are integrating the expertise of Broadcast Games with our existing mobile-to-TV services, to create innovative and market-leading mobile-to-TV games which work on analogue services, as well as digital platforms. This is all part of Two Way TV’s aggressive growth strategy to make sure that we stay at the forefront of interactive programming and is the first in a number of strategic partnerships that we will be announcing between now and Christmas.”

Julian Jones added: “This is a really strong partnership. Broadcast Games was set up last year but in that time we’ve managed to get a platform off the ground. This deal with Two Way TV means we will become part of a substantial, growing company where mobile-to-TV games form an important component of the business.”

Two Way TV