Similar to how CD sales gave way to download sales, digital downloads are now giving way to on-demand music streaming. But despite their surging popularity, streaming services such as Pandora and Spotify are having a difficult time getting their listeners to pay for subscriptions. The overwhelming majority of subscribers would rather put up with ads for the free version than shell out money for unlimited, uninterrupted music. Continue reading Streaming Music Services Struggle to Recruit Paid Subscribers

Google-owned YouTube reached an impressive milestone when it passed the one billion user mark earlier this year. Now the popular online video service is poised to achieve another milestone by crossing the five billion dollar mark. According to recent estimates by eMarketer, YouTube is expected to generate $5.6 billion in gross revenue for 2013, up 51 percent from last year. That figure would represent 11 percent of Google’s total advertising revenues. Continue reading YouTube Expected to Earn $5.6 Billion in Revenue for 2013

It seems that Wall Street loves Twitter. The company set an initial public offering price of $26 late Wednesday, only to see the stock close its first trading day up 73 percent at $44.90 a share, with a session high of over $50. The rocketing IPO set co-founder Evan Williams’ stock value at $2.9 billion and co-founder Jack Dorsey’s at $1.2 billion. CEO Dick Costolo’s stock is now worth $384 million. At about $45 per share, the company is valued at $24.4 billion. Continue reading Twitter Numbers Skyrocket on New York Stock Exchange Debut

Gaming company Nintendo released its financial results for the last three months, and the numbers are not promising. Although hardware sales have increased and handheld gaming is experiencing growth, the company has still recorded a loss. As a result of price cuts in the middle of the year, 300,000 more Wii U users have been added, but the company is still far from its goal of 9 million consoles by March 2014. At present, 3.91 million units have been sold total. Continue reading Nintendo: Handheld Gaming Strong, Losing Money with Wii U

A new video rental and streaming platform by Spondo will now let Facebook users watch and share movies on the social media site. The movies are on-demand and shareable among users — in fact, users can even earn a little commission when their friends buy a movie that they’ve shared. In celebration of Halloween, Spondo launched 200 horror movies for streaming, and it plans to add more mainstream and indie films over time. Continue reading Spondo’s Video Rental and Streaming Available on Facebook

Mitsubishi recently announced that it would shutter its front-projection and large-format LCD TV operations in order to focus on the company’s LCD data wall display efforts. Mitsubishi says sustained losses in recent years factored into its decision. The move follows the company’s decision last December to exit the rear projection TV business. Mitsubishi, which developed one-piece rear projection systems in the 1970s, is credited with helping to launch the large-screen TV movement. Continue reading Mitsubishi Exits Front Projection and Large Format LCD TV Biz

Netflix posted its third quarter earnings yesterday, announcing that it has added 1.3 million U.S. customers. The video service ended the quarter with 29.93 million paid domestic users. While Netflix’s latest figures suggest the service has surpassed HBO and Showtime in number of U.S. customers, the company’s profit margin remains low in comparison to leading premium cable networks. Regardless, stock was up nearly 10 percent following the earnings results. Continue reading Netflix Sees Spike in Subscriber Base, Profits Remain Slim

The Motion Picture Association of America announced that the file sharing search engine isoHunt is shutting down and will pay movie studios 110 million dollars in damages. The search engine has been fighting with studios since 2006, but is finally reaching its demise due to a court ruling that says it enables users to pirate copyrighted works. The site enables users to find files on peer-to-peer networks utilizing BitTorrent file sharing software.

Continue reading Victory for Hollywood Studios: Court Rules Against isoHunt

Facebook announced that it will begin using popular photo- and video-sharing service Instagram, which it acquired last year for about $1 billion, as a new vehicle for delivering advertisements. The move marks the first attempt by Instagram to leverage its growing popularity for revenue (it has yet to generate income for social giant Facebook). The announcement came shortly before competitor Twitter released financial details regarding its planned IPO. Continue reading Facebook to Start Using Instagram as New Advertising Vehicle

Twitter has revealed its plans to raise up to $1 billion in its long-anticipated public offering. Potential buyers finally got a glimpse at Twitter’s financials yesterday, which indicate the social platform’s revenue more than doubled to $254 million during the first half of 2013. However, while the popular messaging service continues to transform electronic communication and public conversation, the company is still losing money while facing hurdles drawing new users and advertisers. Continue reading Twitter Reveals its Financials and Plans for $1 Billion IPO

Tabletop computer screens could improve the restaurant experience for diners and employees. Restaurants such as Chili’s Bar & Grill plan to introduce such technology in the future. The causal dining chain, which has been testing the approach this year, will install tabletop touchscreens in most of its 1,266 restaurants by early next year. Dallas-based Ziosk LLC provides tablet computers mounted to a base that include menu options, a card swipe device and video games. Continue reading Tabletop Computer Screens Bring Change to Dining Experience

Since March, Emily White has been leading a team to develop a paid advertising program for Instagram. The photo-sharing service has been ad-free since the start, and may risk losing users when it adopts advertisements, especially from its large, young user base. White is working to establish relationships with brands, and to expand Instagram as a brand marketing platform. Yet it is unclear how advertisers and brands will pay for a service they use for free. Continue reading Instagram to Begin Experimenting with Advertising Service

At a planned event tomorrow from its Cupertino, California headquarters, Apple is expected to announce two new iPhone models — one with a faster processor and another to be offered at a lower cost. As Apple’s profit growth has been impacted by a saturated handset market in the U.S. and parts of Europe, a lower-cost smartphone could allow the company to expand into other markets such as China and India, which would also mean new potential customers for iTunes movies, TV and music. Continue reading Apple Plans to Unveil Two New iPhones, Could Help Hollywood

Steve Ballmer is retiring as CEO of Microsoft, leaving many to question what the next CEO will need to do in order to invigorate the company, boost morale and emphasize innovation. Ballmer is said to have focused more on sales and revenue, rather than experimentation, and did not fully develop many technologies the company began, some of which competitors would later turn into blockbusters. However, innovation under Ballmer is evidenced by departures such as the Kinect motion sensor and the interface of Windows 8. Continue reading Ballmer to Retire: What Challenges Lie Ahead for Microsoft?

Due to a lack of user demand, Facebook will shutter its physical gifting service that launched less than a year ago. Responding to higher customer preference, the company plans to shift its Gifts program entirely to gift cards and digital goods, since more than 80 percent of gifts sent on Facebook have been digital. The move is also likely due to the complicated delivery operation involving physical goods, including inventory tracking, fulfillment and customer service. Continue reading Gifts Program: Facebook Replaces Physical Goods with Digital