Jon Iverson

Last week saw a flurry of announcements in the online audio and video streaming business, capped off by Yahoo!'s acquisition of Broadcast.com. Yahoo! says it has signed a definitive agreement with Broadcast.com whereby Yahoo! will issue 0.7722 of a share of Yahoo! common stock for each share of Broadcast.com common stock. In addition, all outstanding options of Broadcast.com will be converted into Yahoo! options. The acquisition is expected to be completed in the third quarter of 1999 and is valued at around $5.7 billion, including $4.8 billion in Broadcast.com common stock and $900 million in stock options.

According to a report released last week by Cahners In-Stat Group, a high-tech market research firm, the market for personal digital music players using audio compression technologies will experience a tremendous increase in growth through the next several years. Nearly $800 million in player sales are expected in 2003, spurred largely by widespread Internet access. The report also states that products in this segment will initially focus on downloading technologies like MP3, and over the next 12 months consumers should expect to see more features integrated into the players such as FM tuners, increased storage capacity, and security systems like Secure Digital Music Initiative (SDMI).

Could this be a record executive's dream come true and the end of the need for watermarking as we know it? CantaMetrix has announced the further development of a new technology, MusicDNA, that the company claims is capable of identifying and tracking the billions of existing as well as new MP3 files on the Internet and providing an exact accounting for the copyright, "thus enabling legal file sharing and linking value-added data to songs."

"I don't get why some audiophiles still think that saving data using a lossless compression scheme like FLAC or Apple Lossless sounds any different than an uncompressed CD file," says Sonos founder and VP of Sales and Marketing Thomas S. Cullen between bites of white fish shish kebab. "It's just mathematics, and the results are sonically identical, but you save half the space on your hard drive."