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Net Grows; Free Music Still Rules

All available statistics demonstrate that the Internet is still a growing phenomenon, one destined to play an increasingly important role in the distribution of information and entertainment. Recently published studies by Jupiter Media Metrix, Inc., a division of Jupiter">http://www.jupiterresearch.com">Jupiter Research, show that Internet usage has achieved greater than 50% penetration among US households, giving it what researchers call "mass-market status." Jupiter describes "online consumers" as people who have computers and Internet service provision in their homes, as opposed to having Internet access through a computer at work. "Online users," for the sake of the studies, were defined as people who use the Internet at least once per month.

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Chip Stern writes in his review of the Blue">http://www.stereophile.com//amplificationreviews/510/">Blue Circle BC3 Galatea line-level preamplifier, "From the moment I hooked these units up, the captivating turquoise glow of their matching front-panel lights (a glowing orb within a blue circle) held out the promise of something inviting and serene." Promise fulfilled? Stern spills the Blue Circle beans.

A Universal CD Problem?

Recent moves by record labels to add restricted-use technology to their compact disc releases has raised the ire of many a consumer, leading some to call for boycotts or worse (see this week's Soapboxhttp://www.stereophile.com/soapbox.shtml">Soapbox;). Late last year the National Association of Recording Merchandisers (NARM) issued">http://www.stereophile.com/news/11221/">issued a statement saying that the major labels have gone too far in restricting consumers' "fair use" of copyrighted material.

Henry Kloss, Dead at 72

Photo: © Steven Stone (used with permission)

Henry Kloss, whose prolific hi-fi design and manufacturing career spanned a half century, died of a subdural hematoma on January 31, three weeks before his 73rd birthday.

EMI's Money Woes

Last year wasn't kind to UK entertainment conglomerate EMI">http://www.emigroup.com">EMI Group PLC. On February 5, the company issued its second profit warning since September, blaming a slow market for recorded music. EMI is now predicting that pretax profits for the year ending March 31 will total $213.4 million (245.1 million euros, or £150 million), far below analysts' predictions. The news caused an immediate 6.4% drop in the price of EMI shares on the London market.

SACD Software Boost

It's hard enough for established record labels both big and small these days. With the high-resolution audio formats SACD and DVD-Audio still fighting each other and struggling to launch, picking sides is an even bigger gamble for a brand-new record label's first releases.

Audio Collaboration Ends

In the fall of 1999, a couple of Canadian high-end audio companies got together to pool resources with the idea that two heads were better than one when it came to certain new products. Simaudiohttp://www.simaudio.com">Simaudio; of Boucherville, Quebec and Magnum">http://www.magnumdynalab.com">Magnum Dynalab of Brampton, Ontario formed a strategic alliance with the purpose of sharing various technologies to further enhance each company's product lines.

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Jonathan Scull found himself in awe of the beautiful and ingenious construction lavished on the Boulder">http://www.stereophile.com//digitalsourcereviews/505/">Boulder 1012 D/A preamplifier. "Its design and build qualities are icons to elegant engineering know-how. No screws show on the rectangular box . . .", J-10 enthuses. And as Scull finds, this D/A preamp combines both beauty and brains to create sheer audio pleasure.

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