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Industry Buzz & Snippets: 1/8/08


Ogilvy strikes --
at its own team?

Music:

  • Yes, Sony launched a DRM-free music download store. But potential users must buy cards in physical stores for albums they wish to buy online, then enter a code to actually get it.
  • Napster is also ditching DRM. It nows offer tracks in MP3 format, which is agnostic to most digital music players.
  • Motorola is acquiring Soundbuzz to expand its MOTOMUSIC download service in Asia.

Partnerships:

  • CNBC and the New York Times are partnering to cross-pollinate one another's sites with business news content.
  • NBC will feature 3,600 hours of Olympic video footage online, per a partnership with Microsoft to use Silverlight for hosting on-demand footage.
  • MTV has signed distribution deals with online media sites — including imeem and Dailymotion — to spread its videos on the web.

New and Improved:

  • Jimmy Wales' Wikia search engine has launched. The site, unlike its non-profit cousin Wikipedia, is monetized with ads.
  • Conde Nast will launch a site for Gourmet magazine, one of many it has planned to increase print subscriptions.
  • MTV has debuted the Virtual Lower East Side, a place that brings clubs and other locations together for avatars to frequent.

M&As, Tectonic Shifts:

  • Liberty Media is buying BodyBuilding.com, an social networking and e-commerce site for the muscle-minded. It is paying $100 million.
  • CNet faces a shake-up from investors critical of its executive body. They claim CNet is not as successful as it could be.
  • Online photo site Shutterfly acquired group management site Nexo.
  • Monster acquired Affinity Labs to capitalize on the latter's ability to build vertical networks around vocations.
  • Microsoft is buying Fast Search and Transfer, a Norwegian company, for $1.23 billion. The buy will deepen its footprint in the enterprise data storage and management field.
  • Ogilvy is laying off 50 to 100 staffers. It faces declining revenue resulting from a shift to online spending by clients. Online campaigns simply don't cost as much as traditional ones do.

Campaigns of Note:

  • Mozilla kicked off a new, largely unbranded campaign to promote the adoption of its Firefox Internet browser.

Signs of Doom:

  • A study by Research Recap finds companies with the least transparent management teams consistently perform the most poorly for shareholders.
  • A survey suggests people between 18 and 24 years of age prefer social networking to TV, books, video games or talking on the phone.

Related Topics

user experience
major players news
biz buzz
signs of doom
campaigns & creatives of note
co-op marketing & partnerships
new and improved
major brands
entertainment

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