Microsoft is Scaling Back its Consumer Smartphone Business

Two years ago, Nokia announced that it had sold its mobile phone and smartphone businesses to Microsoft in a $7.2 billion deal. Since then, Microsoft CEO Satya Nadella shifted the company’s focus to bringing software and services to Android and iOS mobile systems rather than convincing consumers to use Windows. Last week, Microsoft announced it was selling its low-end feature phone business, and yesterday added it would further scale back consumer phone efforts and cut another 1,850 jobs. The company explained it would also take a $950 million charge as part of the move. Continue reading Microsoft is Scaling Back its Consumer Smartphone Business

Rovio Self-Finances ‘Angry Birds’ Movie to Control Franchise

Finnish company Rovio Entertainment decided four years ago that, rather than license the “Angry Birds” characters to a Hollywood studio, it would finance its own $73 million movie. Since opening on Friday in some territories, Rovio’s gamble has thus far resulted in a $43 million gross. Companies such as Lego A/S and Hasbro turned to studios to finance their films, but Rovio took the same path Marvel did when it made “Iron Man,” with the goal of controlling the franchise over the long term. Continue reading Rovio Self-Finances ‘Angry Birds’ Movie to Control Franchise

Survey: Netflix Subscribers Envision the Service Replacing TV

Netflix continues to invest heavily in its original programming as the company competes with pay TV and rival streaming services. The company has also reduced its U.S. library as licensing costs climb, while adding to its international offerings in markets such as Canada and Great Britain. To get a sense of the brand’s perception in an evolving digital landscape, AllFlicks surveyed 3,000 visitors to its own site and Reddit to learn how the company is faring as compared to pay TV and other entertainment businesses. With this select group, 75.5 percent believe Netflix could replace traditional TV. Continue reading Survey: Netflix Subscribers Envision the Service Replacing TV

Media Giants Join Forces Against FCC Opening Set-Top Box

The Federal Communications Commission voted 3-2 to begin to allow third-party companies to develop devices and apps to carry pay TV signals, thus loosening the grip of the set-top box manufacturing market and the pay TV companies that lease them. But now Disney, CBS, 21st Century Fox, A&E Television Networks, Time Warner, Scripps Networks Interactive and Viacom have banded together to oppose the move, in comments filed with the FCC. The founder of Roku has come out against the idea as misguided and unnecessary. Continue reading Media Giants Join Forces Against FCC Opening Set-Top Box

Amazon Offers New Monthly Subs, No Annual Commitment

Amazon unveiled two new Prime plans on its website, introducing a video-only option for monthly subscribers. The new offering could ramp up the competition between its video service and Netflix. The first new plan costs $8.99 per month to stream TV shows and movies through a video-only version of Prime, while the second runs $10.99 per month for all Prime benefits, including video and music streaming, free two-day shipping on Amazon purchases, and more. Amazon hopes to reach consumers that have been reluctant to pay $99 up front for an annual Prime membership. Continue reading Amazon Offers New Monthly Subs, No Annual Commitment

Cloud Conference: Challenges to Rendering VFX in the Cloud

Visual effects and rendering in the cloud was the topic of an ETC Cloud Innovation Conference panel at NAB 2016, moderated by Google Cloud Platform senior product manager Srikanth Belwadi. The scope of the issue was made clear by the fact that “The Good Dinosaur” required 110 million compute hours and 300 TB of active data space. Panelists from Thinkbox, Shotgun, Rodeo FX, Avere Systems, and ConductorIO discussed the challenges to producing VFX in the cloud — but also its inevitability.
Continue reading Cloud Conference: Challenges to Rendering VFX in the Cloud

Music Labels Cry Foul at YouTube and DMCA’s ‘Safe Harbor’

An International Federation of the Phonographic Industry (IFPI) report points out that 20 million Americans, and 20 percent of the world’s population, still pirate music. Now, the IFPI will soon join the record labels’ trade group the RIAA in complaining that YouTube doesn’t pay a fair price for the music it gives away for free. At the same time, Universal Music Group, Sony and Warner Music Group are about to renegotiate their contracts with YouTube, and they say the Digital Millennium Copyright Act hurts their bargaining power. Continue reading Music Labels Cry Foul at YouTube and DMCA’s ‘Safe Harbor’

Layer3 Aims to Improve Cable Model, Leases its IP Network

Although cable companies lost more than a million subscribers last year and Internet viewing is booming, Layer3 chief executive Jeff Binder thinks the future isn’t about cutting the cord to cable, but making it better, with improved pictures, design and customer service. That, he hopes, will win over customers struggling to find content online and on cable. Layer3 will debut in Chicago and a few unnamed major cities on the East and West Coasts, at $80 to $150 a month, depending on the number of TVs in a home. Continue reading Layer3 Aims to Improve Cable Model, Leases its IP Network

Verizon Invests in AwesomenessTV to Grow its Mobile Video

Verizon Communications announced yesterday that it has purchased a minority stake in AwesomenessTV, the digital entertainment network geared toward teens and young adults. Verizon is buying 24.5 percent of the video company, now valued at $650 million. DreamWorks Animation owns 51 percent of the unit (it acquired Awesomeness in 2013), and Hearst owns another 24.5 percent. According to the telco, plans include creating a “a first-of-its-kind premium short-form mobile video service featuring leading talent in front of and behind the camera.” Continue reading Verizon Invests in AwesomenessTV to Grow its Mobile Video

SoundCloud Debuts Subscription Plan in U.S. with 125M Songs

Berlin-based SoundCloud, which began signing licensing deals with major and indie record labels in 2014, just debuted its new subscription plan. The online music service’s 175 million regular users will now have the option of the free version, which features 100 million songs, or the $10/month subscription version, SoundCloud Go, which offers 125 million ad-free songs, and lets users save songs to their phones. In 2014, SoundCloud posted $19.5 million in revenue, but a net loss of almost $44 million. Continue reading SoundCloud Debuts Subscription Plan in U.S. with 125M Songs

Spike in Takedown Requests Questions Effectiveness of DMCA

In the first 12 weeks this year, Google received takedown requests for 213 million links, representing a 125 percent increase over the same period in 2015, to remove copyright infringing sites, as per the Digital Millennium Copyright Act. The spike does not represent a dramatic increase in piracy but, rather, new automated tools for finding copyright violators as well as more copyright holders actively looking for infringers. The MPAA and Recording Industry Association of America say it’s proof that the DMCA isn’t working. Continue reading Spike in Takedown Requests Questions Effectiveness of DMCA

ABC and Warner Bros. Ink Deal for Network’s Digital Platforms

ABC just struck a deal with Warner Bros. Television to make all in-season episodes of any future series from the studio available on ABC digital platforms. That’s a victory for the network over other streaming services, in particular Netflix, which often insists on exclusivity, thus blocking networks from securing so-called stacking rights, or five rolling episodes of a current show. The ABC-Warner Bros. deal means that ABC will have more relevant content for its own time-shifted options, including the revamped WatchABC app. Continue reading ABC and Warner Bros. Ink Deal for Network’s Digital Platforms

Streaming Boosts Music Revenues, But Not Equally for Artists

The Recording Industry Association of America reports that streaming is booming, more than offsetting declines in CD sales and digital downloads. In 2015, overall revenues rose almost 1 percent to $7 billion, the fifth consecutive year that the market grew — albeit slightly — in wholesale value. But artists and their representatives are saying that the gains aren’t being fairly shared, since many users still listen for free. In 2014, for example, on-demand streams grew 63 percent while revenue increased only 34 percent. Continue reading Streaming Boosts Music Revenues, But Not Equally for Artists

Spotify, Music Publishers Settle Mechanical Licensing Dispute

Spotify and the National Music Publishers’ Association settled a long-standing licensing dispute, although neither will reveal details. Sources say Spotify will pay between $16 million to $25 million in royalties that are owed but unpaid, as well as a $5 million penalty. In exchange, the publishers will not file copyright infringement claims. The suit hinges on a rule governing mechanical licensing rights that dates back to player-piano rolls. In the digital world, the rule is just one that’s made legal licensing complex. Continue reading Spotify, Music Publishers Settle Mechanical Licensing Dispute

CBS Five-Year Plan Looks to Expand OTT and Skinny Bundles

During an investor day in New York on Tuesday, CBS chairman and CEO Les Moonves unveiled the network’s five-year business plan, which intends to ramp up business online and overseas, and cash in on retransmission fees in order to increase overall revenue by $3.75 billion. To help achieve its goal, the company plans to reach 8 million subscribers for its OTT services — CBS All Access and Showtime streaming — and add another 4 million subs for its skinny bundle packages. Sources also indicate that CBS has expressed interest in adding Starz to its cable portfolio. Continue reading CBS Five-Year Plan Looks to Expand OTT and Skinny Bundles