The reason for Google is that they are only number two in the search engine market in China. Baidu is first there and offering music downloads as well albeit without a similar deal. The reason why the Music Industry agreed to the deal is simple: Money. The majority of Chinese do not pay for music but download it from the Internet. And so it was decided that sharing some advertising revenue with Google is better than fighting illegal music downloads.

Google is restricting file downloads to Chinese users according to Mashable who were the first to publish the story. The search interface on the other hand is available for everyone.

Definitely an interesting progression especially for Chinese users who can now download music legally while everyone else in the world cannot.

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According to that email Microsoft adheres to broadcast flags included in the video stream that limits the rights of the users on the receiving end. Windows Media Center users however will not be pleased to hear that software and hardware developers do not have any obligations to interpretate the broadcast flags at all but Microsoft apparently decided to side with the content distributors effectively turning against a part of their customer base.

EFF’s Danny O’Brien commented on the issue in a blog post at the Electronic Frontier Foundation website. (unfortunately slashdotted right now): “They’ve imposed restrictions way beyond what the law requires. Customers need to know who Microsoft is listening to and how that affects their equipment. Right now, the only way customers know what Microsoft has agreed to is when the technology they’ve bought suddenly stops working. Microsoft needs to come clean and tell its customers what deals it has made.’”

It is still unclear if NBC set the broadcast flag to test the waters or if it was an accident that was not supposed to be happening. The most interesting information of the whole incident is the fact that Windows Media Center follows the broadcast flags, that content distributors can regulate what viewers may or may not do with the content stream and that old hardware that was produced before hardware had to be broadcast-flag compliant was not affected at all.

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Two studios, Paramount and Universal are still backing up HD DVD and press releases suggest that they have no intention to change their stance in the near future. Movie fans are still facing the problem that a choice can’t be made if they wanted to watch movies from all studios unless they would purchase a more expensive dual player that would play Blu-Ray and HD DVD movies.

Many Blu-Ray and HD DVD movies are currently offered at Amazon for 50% off and player prices have been reduced as well. You can purchase a HD DVD player for $149.99 and get five HD DVDs free as a bonus which is an attractive offer.

My stance on this matter remains unchanged. I will boycott both formats and won’t purchase a remaining format as well if there should be a winning format in the near future. I do so mainly because of DRM and all the crap that is loaded into those players. I also have no intention to update my player’s firmware regularly because the manufacturer published a new firmware to fix some security holes.

That’s not what I want and I’m pretty confident that this is something that most consumers do not want as well – if they would know that is.

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This was apparently not enough for the usual suspects. Sony, we do love Sony – don’t we, and Universal decided to prohibit even this type of sharing for more than 40% of the songs that one could buy on the Zune marketplace. The first question that comes to my mind is why Microsoft is paying Universal roughly $1 for every Zune sold if Universal does not even allow that some of their songs are shared with all the limitations of the Zune player ?

This is probably blown out of proportion by the blogging scene at the moment but I think Microsoft should at least have the courtesy to label songs that can’t be shared. Every user should now if it is possible to share a song that he has bought from the Zune marketplace.

Record Companies again show that they do not understand the market at all. What would another Zune owner do if I would send him a song which he likes ? The song becomes unplayable after a time. Would be buy it ? Probably ? Would that mean profit for the companies ? Yes it would.

You know why I bought some CD`s for the first time in years ? Because I was able to listen to the whole tune online (ripped it) and offline before I decided to make the purchase. I personally think that they lose money because of the restrictions that they impose on their customers.

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Reuters reports that Universal Group Chief Executive Doug Morris may want to fashion an iPod royalty fee with Apple Computer Inc. in the next round of negotiations in early 2007 which could mean that customers would have to pay a similar fee as the Zune’s for a newly purchased iPod to the music studios.

This basically means that customers are paying compensation fees in advance for something that they probably never do with their media players. It is also interesting to note that some customers seem to see this advanced piracy tax in a way that would allow them to copy media because they already payed for the privilege.

Movie Studios are also demanding that Apple reduces the number of devices that are allowed to play back a movie that has been purchased from iTunes.

I think it is really funny that they become more and more restrictive against the people that are buying their movies. Would not it be better for their business if they would actually listen to what their customers demanded instead of communicating the message that all their customers are movie pirates ?

Customers on the other hand have to take a stance against this, the earlier the better. I advise everyone to stay away from the Zune player and stay away from any other player the movie industry gets a share of. Don’t buy it, don’t buy their movies, let them bleed until they understand who is in charge..

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John Lopez of Upstairs Records commented: “we are very pleased with the seamless production of the album. The media player on the CD has a good user experience and we intend using the technology on more new releases.”

That means, watch out if you intend to buy products from them as well. I especially like the survey they quote, claiming that “consumers have overwhelmingly reacted positively to these new discs.”

I can only think of two possible reasons for this. First, consumers don´t know about the software they install on the system and that they won´t be able to uninstall it without lots of troubles. Second, they don´t show the survey but only quote it. As long as we won´t have hard facts its not possible to draw conclusions. For example, how were the questions phrased, who was asked for their opinion, maybe the majority never used the Cds in their PC.

Take a look at the full press release by xcp-aurora.com

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