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Internet & Digital Media Recent Headlines LinkedIn Names Ex-Yahoo Exec Weiner CEO MarketWatch LinkedIn is naming former Yahoo exec Jeff Weiner as its new CEO. Weiner has served as interim president since January. His exit from Yahoo was part of the fallout of a proxy war with activist investor Carl Icahn. Former LinkedIn CEO Reid Hoffman will become executive chairman. Facebook Keeps Getting More Like Twitter Reuters Facebook is revamping its publishing and privacy capabilities, giving users greater control about who sees the status updates, photos and messages they post on the service. The social network is increasingly emphasizing its "real time" elements amid competition from Twitter. CBS: 'CSI' Draws Higher Rates on Web Than TV Bloomberg Television programs such as "The Simpsons" and "CSI" are for the first time commanding higher advertising rates at Web sites including Hulu and TV.com than on prime-time TV. Marketers, says CBS, are willing to pay more for online because the ads "have a captive audience." Microsoft CEO: Old Media Won't Bounce Back Guardian Microsoft CEO Steve Ballmer, named "Media Person of the Year" at the Cannes Lions International Advertising Festival, sees a bleak future for print and broadcast media. Global advertising has been permanently "reset" at a lower level, he says. "All content consumed will be digital." Google Opposes Journalists Covering Trial Bloomberg Google is opposing a request by reporters to cover a privacy trial in Milan against some of its execs. The trial involves a clip posted on Google Video of a disabled child being bullied. Google says it is seeking an accelerated trial schedule, which is typically closed to the press. Twitter Boosts Traffic to Content Web Sites Revolution Some 56% of Twitter's traffic is sent to other content Web sites, such as social networks, blogs and especially newspapers, according to a report from Hitwise. The boon for content sites comes as Twitter traffic soars with a reported 22-fold increase over the last 12 months. YouTube Safe For Now as Trial is Delayed BBC News Due to an ill interpreter, a court in Italy is delaying until September a case against Google, which centers around a video posted on Google Italy showing an autistic teenager being bullied. The case could require Google to assess all of its videos -- YouTube could "disappear overnight." MySpace to Cut 300 from Global Work Force Dow Jones News Corp.'s MySpace intends to slash its international work force by two thirds to about 150 employees and close at least four of its offices outside the United States. MySpace's staffing has become "too big and cumbersome to be sustainable in current market conditions." Facebook Movie Eyed by Director Fincher Entertainment Weekly David Fincher is in early talks to direct a movie about Facebook for Sony Pictures. Based on the new book by Ben Mezrich, the movie will focus on the Harvard dorm room creation of the leading online social network. Fincher directed "The Curious Case of Benjamin Button." Twitter Users Buy More Music, Report Says Billboard Active Twitter users buy 77% more digital music downloads than non-users, according to a new study by NPD Group. Twitter "has the potential to help foster the discovery of new music." It may also "motivate fans to purchase more new albums, merchandise and concert tickets." Google Preps Launch of Telephony Service Ars Technica Google is said to have obtained over a million phone numbers to prepare for the launch of its new Google Voice service. Google Voice will give users voice mail that can be accessed from any phone or through a browser, with GMail-like archiving features for audio messages. Google News Gives Some Love to Journalists WebProNews Google News is adding a feature that allows users to find articles from specific journalists. When users see Google News results that have an author name, they can click on the name and bring up other articles written by the same author. An RSS feed for authors is also available. Finke's Hollywood Site in Multiple Device Sale Financial Times Nikki Finke is selling her showbiz news site Deadline Hollywood Daily to Movieline owner Mail.com Media, in a deal said to be worth as high as $15 million. A New York-based journalist will be hired to report to her. The site will become available on "every device imaginable," Finke says. Facebook: Online Ad System Customers Triple Bloomberg Facebook says the number of customers using its automated online-advertising system more than tripled in the past year, a sign more businesses are turning to the site. Facebook recently surpassed News Corp.'s MySpace to become the No. 1 online social network. Twitter Targets First-Ever Revenue This Year Bloomberg Twitter plans to generate its first revenue this year from companies such as Dell, Whole Foods and Starbucks, says co-founder Biz Stone. The microblogging service could make money by verifying accounts and offering statistics to businesses detailing the effectiveness of their tweets. Microsoft CEO Named Media Person of Year Marketing Borse Microsoft CEO Steve Ballmer will deliver a keynote address Wednesday at the Cannes Lions International Advertising Festival in France. Ballmer is the fest's Media Person of the Year. (Arianna Huffington was voted I Want Media's similarly titled Media Person of the Year for 2008.) Yahoo May Compete with Newspapers for Ads ClickZ Yahoo's new entry into the self-service advertising display area is officially launching. Automated tools like the ones offered by Google and now by Yahoo could be tough on newspapers, observers say. The hit on local retail ad revenues could be akin to Craigslist's impact on classifieds. Google Milan Trial May Impact Internet Privacy Financial Times Four execs from Google will go on trial in Milan for defamation after footage of a disabled Italian boy being bullied by other boys was posted on Google Video. The case could set new rules for how video-sharing sites operate and how far they should go to control content. AOL Sees 'Glow' at Magazine-Style Web Sites TechCrunch AOL's new political news and blog site PoliticsDaily has surpassed rival Politico in unique visits, after being launched only a month and a half ago. PoliticsDaily is under AOL's new MediaGlow division, which is building "magazine-like" content sites, such as Engadget and TMZ. Microsoft Books Hyatt for Mobile Ad Campaign Bloomberg Microsoft is signing a deal with Global Hyatt Corp. to put hotel ads on Verizon Wireless phones, as it chases Google in mobile-phone advertising. Microsoft, which mostly sells ads designed for viewing on personal computers, is adapting the business to faster-growing mobile. Google Tests Product Ads with Prices, Images Wall Street Journal Google is launching a test that will show people who search for products, like shoes and televisions, an entirely different advertising format known as a "product ad." Such ads will "feature product specific information directly in the ad such as price and product image." T-Mobile to Roll Out New Google Phone in July USA Today Following huge introductions of the Palm Pre and new iPhone 3G S, T-Mobile is announcing the July availability of MyTouch 3G, the second phone on Google's Android operating system. It will be the first of 18 new Google-powered phones coming worldwide by the end of the year. Twitter Mulls E-Commerce as Revenue Model New York Times Online shopping is a likely revenue stream for Twitter, says Todd Chaffee, a board member of the microblogging site and general partner at Institutional Venture Partners, which has invested in the Internet phenom. Twitter is also expected to offer filters and feeds to sort tweets. YouTube Launches Channel for Movie Trailers TechCrunch YouTube is launching a channel for movie trailers, where clips are organized by "Opening Soon" and other categories. Google's video-sharing site says that it has received "a lot of feedback from users and partners" that there should be "a place on the site" specifically for trailers. 'MeinSpace': Bruno in Deal to Boost MySpace Advertising Age Sacha Baron Cohen, or "Bruno," wants you to "freund" him on MeinSpace.com, a special MySpace-hosted site set up with the News Corp. social network. The deal is said to include integration in the "Bruno" film. MySpace already premiered the film's "racy" restricted trailer. Hollywood Holds Back Best Content from Web DHD The rush by media companies to put video content on the Web is subsiding, suggests a transcript of a confab by Bernstein Research. "The conversation has shifted to: What did we learn from newspapers?" says analyst Craig Moffett. "God help us if we go down that path." Paris Hilton Drops BlackBerry for Ericsson Bloomberg Paris Hilton says she is replacing her BlackBerry phone with a Sony Ericsson handset after Sony Ericsson Mobile Communications sponsored her reality television show, "My New BFF," which will be filmed in Dubai. "Sorry BlackBerry," says Hilton. "I'm now a Sony Ericcson user." Apple's New iPhone Arrives in Stores Friday New York Daily News Apple's new iPhone hits stores Friday, and the forecast calls for a big first weekend. The first three days of sales of the new iPhone 3G S could hit a half million -- a solid number, but about half as many as the previous version partly due to market saturation. CBS: TV.com Integrates TiVo Functionality World Screen CBS Interactive's TV.com is entering an agreement that will allow users to find and schedule television shows to record on their TiVo DVR directly through the Web site. Users will be able to record single episodes or entire seasons of shows via TV.com. Google Preps Launch of Visual News 'Flipper' TechCrunch Google is said to be preparing a new service called Google Flipper, which will function as a visual version of Google News. Flipper will present users with what appears to be screenshots of news articles. Using Flipper will be like "flipping through magazines and newspapers at a newsstand." Twitter, Google to Chat at Cannes Ad Festival Business Standard Top advertising execs will gather in the French resort of Cannes on Sunday for the 56th annual Cannes Lions International Advertising Festival. This year's event will emphasize digital with speakers including Google CEO Eric Schmidt and Twitter co-founder Biz Stone. Google's Anti-Malvertising.com Fights Bad Ads InformationWeek Google is quietly launching a new search site called Anti-Malvertising.com to help its ad network partners identify potential providers of malware. The Google custom search engine on the site is designed to provide publishers with background information about advertisers. Facebook Taps Privacy Hawk as D.C. Lobbyist Washington Post Facebook is naming Timothy Sparapani, a former senior legislative counsel for the American Civil Liberties Union, as its new lobbyist. The possibility of new U.S. privacy legislation is prompting Facebook to beef up its presence in Washington. Sparapani is a self-described "privacy zealot." Music Piracy to Cost Minnesota Woman $1.92M Minneapolis Star Tribune Minnesota resident Jammie Thomas-Rasset, 32, is being ordered by a federal court to pay $1.92 million to music labels Universal, EMI, Warner and Sony for illegally sharing 24 songs online. "Good luck getting it from me," she says. The recording industry says it is "willing to settle." Internet Is Named Favorite News Source Adweek The Internet is the most popular source of information and the preferred choice for news ahead of television, newspapers and radio, says a new Zogby Interactive survey. Despite the buzz about Twitter, only 4% of respondents say they would go to it for information. Google Starts Internal 'Innovation Reviews' Wall Street Journal Google is revamping how it develops new products, giving employees a pipeline to the company's top brass amid worries about losing its best people and ideas to start-ups. The Internet giant is starting internal "innovation reviews," where staffers present product ideas. Perez Hilton Plans to Tone Down to Cash In MediaPost Celebrity blogger Perez Hilton plans to launch a kinder, gentler and more advertiser-friendly site in the next couple of months, according to BlogAds CEO Henry Copeland. Separately, Hilton has six-figure deals in the works to handle sponsored Twittering for three unnamed advertisers. Twitter, Facebook: Could They Top Google? InternetNews Twitter can deliver more traffic and better traffic than any search engine, according to backer and venture capitalist Fred Wilson. While "Google is still dominant," links on Facebook and Twitter "scale more quickly," he says. "Facebook and Twitter may surpass Google." U.S. State Dept: Twitter is Player in Iran Drama Washington Post The U.S. State Department says it contacted Twitter to urge it to delay an upgrade that would have cut service to Iranians who are disputing their election. One observer says: "People are coining what is happening in Iran as a Twitter revolution." Facebook Readies Rival to Twitter Search Mashable Facebook is testing a realtime search engine for users' news feeds that will challenge Twitter search. The world's largest social network is experimenting with a new type of search that could make it a social alternative to Google, Bing and other major search engines. MySpace Lays Off 420 from 'Bloated' Staff Los Angeles Times News Corp.'s MySpace will lay off nearly one out of every three employees in an aggressive restructuring. "Our staffing levels were bloated and hindered our ability to be nimble," says MySpace CEO Owen Van Natta. Some observers say it clung too long to a "portal strategy." YouTube to Lose $174M This Year -- Maybe Associated Press YouTube will lose $174.2 million in operating costs this year, estimates tech consultant RampRate. But Google declines to reveal its video site's actual losses -- and may have little incentive to do so. The guessing game allows YouTube to negotiate more favorable media deals. Study: Web Use Soars as Family Time Erodes Associated Press Americans are spending less time with family members just as social networks like Facebook and Twitter are booming, says a study by the Annenberg Center for the Digital Future. "It's not like television, where you sit with your family and watch." The Internet is mostly one-on-one. RadarOnline Cited for Child Labor Violations Los Angeles Times The California state labor commissioner is issuing citations against RadarOnline.com, accusing the American Media-owned celebrity news site of child-labor law violations for videotaping Nadya Suleman's octuplets without safeguards required to protect their health and safety. HuffPost Eyes Media Partnerships for Growth New York Observer Huffington Post chairman Ken Lerer says that the Web site's new growth plan will include new partnerships with other Web and news outfits. The alliances will be "deeper" than cross-linking. "We'll have deep partnerships with major players beyond content-sharing." Google Unveils Research on Exec Internet Use BtoB Some 73% of C-level execs use the Internet daily, according to new research from Google. Interestingly, 1 in 5 say they prefer to watch video rather than read text; YouTube receives 1.5 million business searches daily. Also, mobile search will see an "explosion." YouTube Testing Video Ad Viewing Options AFP YouTube is testing an option allowing users to choose between watching lengthy ads before uninterrupted videos or having brief ads mixed with viewing. The test is being held on a small percentage of videos. YouTube rival Hulu has been dabbling with a similar advertising format. Hulu Seen as 'Anti-Consumer, Anti-America' DHD Free video sites like Hulu are "anti-consumer, anti-media employees, and even anti-America," according to Media Metrics CEO Laura Martin. Media companies could destroy the entertainment "eco-system" by training consumers to expect to see professional video for free online. Facebook Dethrones MySpace in United States Bloomberg Facebook, after eclipsing News Corp.'s MySpace in global users last year, now leads its social-networking rival in the United States as well, according to ComScore. Facebook had 70.28 million U.S. users last month, topping MySpace's 70.26 million. Twitter was third, at 17.6 million. Twitter Downtime is Delayed for Iranian News CNET Twitter is postponing its scheduled downtime in light of all of the activity on the microblogging service surrounding the presidential elections in Iran. Co-founder Biz Stone says he commends the site's partners "for being flexible in what is essentially an inflexible situation." Internet Giants Seek Edge in Real-Time Search Dow Jones Google, Yahoo and Microsoft are said to have held talks with Twitter seeking some sort of partnership. They also are looking beyond the microblogging leader. Real-time search is expected to drive Internet advertising to new heights. "Every advertiser will be interested." Microsoft Makes a Big Bet on Branded Content CNBC Microsoft is partnering with television production house Reveille to produce original Web shows. The latest: "It's Everybody's Business With Jack and Suzy Welch," which promotes Microsoft's own business software and is "much cheaper" than traditional 30-second TV spots. Google 'Gripped by Fear' Over Microsoft's Bing New York Post Google co-founder Sergey Brin is said to be concerned enough about losing market share to Bing, the new Microsoft search engine, that he has ordered engineers to uncover any possible advantages the upstart's algorithm might possess. Bing "seems to be of particular interest." Google to Launch Microblogging Search Engine Google Operating System Google is believed to be preparing to launch a service that indexes and ranks content from microblogging services like Twitter. Much like the current Google Blog Search, Google's microblogging search service will be integrated with Google's Web search engine. Facebook Registers 3 Million Users Within Hours Bloomberg Facebook says that some 3 million members registered user names by Saturday morning after it offered people the chance to claim a personalized Web address. Within the first 15 minutes, 500,000 user names were assigned. The company was "able to handle this quite smoothly." Twitter Helps Dell Rake In $3 Million in Sales Reuters Dell is generating $3 million from Twitter users who click through its posts to its Web sites to make purchases. The computer maker made more than $1 million in the past six months. Twitter says it does not charge companies for such benefits, but does not rule out doing so in the future. Smartphone Will Be Next Phone for Americans InformationWeek A new report from Yankee Group says 41% of U.S. consumers are likely to choose a smartphone for their next phone purchase. Consumer appetite for enhanced features is making devices like the iPhone, BlackBerry and Android-based handsets increasingly appealing. Video Games Take a Sales Hit from Recession Los Angeles Times Consumers, daunted by the recession, hit the pause button on buying video games in May. The game industry last month racked up $863 million in sales of games and consoles, the first time since August 2007 that monthly sales came in under $1 billion, says NPD Group. Yahoo Names GE Veteran Morse Financial Chief CNNMoney Yahoo is naming longtime General Electric veteran Tim Morse as its new CFO. His appointment is new CEO Carol Bartz's first major executive hire. Morse replaces Blake Jorgensen, who has been at Yahoo since June 2007, when founder Jerry Yang took over again as CEO. AOL Acquires Start-Ups as European CEO Exits ATD / NMA AOL is acquiring two Web start-ups focused on local online content, Patch Media and Going. New AOL CEO Tim Armstrong is an investor in Patch, which offers news via local community sites or "patches." Also: AOL European CEO Dana Dunne is leaving in a restructuring. MySpace Expected to Cut Hundreds of Staffers TechCrunch MySpace is said to be expecting "massive" layoffs, possibly affecting up to 500 employees. It is unclear if the numbers apply to MySpace alone or to parent Fox Interactive Media. A FIM spokesperson says: "It's no secret that we are looking to enhance [our] financial strength." Twitter's Phenomenal Growth Suddenly Stops Mashable While YouTube is attracting an ever increasing audience, and Facebook is still growing fast, Twitter's growth has suddenly stopped, according to numbers from Compete. A flatline in the growth of Time magazine's current cover subject may be surprising, given the recent Twitter-mania. AOL, Sears Launch Web Site for 'Good News' PRNewswire AOL News and U.S. retailer Sears are teaming up to launch a Web site called Good News Now. The site offers a break from "negative news" with "heart-warming, feel-good stories." Site visitors will have the ability to upload good news -- and find "the best shopping deals." Amazon's New Kindle DX: Bigger Isn't Better AllThingsD The new, larger-size Amazon Kindle DX e-reading device, which becomes available this week, is inferior to its predecessor, the Kindle 2, says Wall Street Journal tech guru Walt Mossberg. The size and weight of the DX "is awkward and tiring to hold for long periods of reading." 'Web 2.0': English Language's 1 Millionth Word Ars Technica According to the Global Language Monitor, the English language this week crossed a threshold as the "one millionth word" entered the lexicon. The word: "Web 2.0." Also on the list of official new words: "cloud computing," "sexting" and "recessionista." Diller: Internet Content Will See More Fees CNET IAC/InterActiveCorp chief Barry Diller agrees with Rupert Murdoch on the notion that more pay walls should be erected around Internet content. "The Internet is passing from its free phase into a paid system," he says. "The iPhone is a great example of what's going to happen." Web Content Fees Could 'Cripple' Broadband Multichannel News The American Cable Association warns that charging subscription fees for Internet content could "cripple" the U.S. plan to deliver broadband to every household. "Web-based content and service providers will drive up the retail cost of broadband access and drive down adoption rates." IAC to Shutter Search Site as Diller Eyes AOL AP / ZDNet On Friday, Barry Diller's IAC will shut down RushmoreDrive, a search engine geared toward the black community, after a failed attempt to sell off the property. Also: Diller says he might be interested in acquiring AOL. The Time Warner online unit's content sites have "value." Google Books Deal Probed by Justice Dept Wall Street Journal The U.S. Justice Department, in a sign of the more intense antitrust scrutiny promised by the Obama administration, is sending formal demands to publishers for information about a deal Google struck with them to allow the Internet giant to make books available online. Google CEO: We're Looking for Acquisitions Reuters Eric Schmidt says Google is looking to buy smaller companies to enhance its technology portfolio. "We are definitely talking to a number of smaller companies." The CEO's comments come as Google's growth slows amid an industry-wide decline in advertising. Twitter is a 'Broadcast Medium,' Harvard Says BBC News Just 10% of Twitter users generate more than 90% of the content, according to a Harvard study of users. On a typical social network, the top 10% of users account for 30% of all production. Twitter is "a broadcast medium rather than an intimate conversation with friends." Facebook Vanity URLs Coming This Weekend CNET Facebook's 200-plus million members will be able to customize the URLs to their profiles starting Saturday. Currently, users' profile URLs have been structured as a string of numbers. The move will help Facebook profiles get better traction in search engines, potentially upping traffic. Metacafe Seeks Role Between YouTube, Hulu Wall Street Journal Metacafe, seeking to reach more "media-snacking" consumers, is launching a section of its video site devoted to short clips from television shows. The company says it is focusing on short-form videos that are professionally produced or poised to go viral. Apple's New iPhone: Will It Save Old Media? Gawker Apple's new iPhone software could present opportunities for traditional print media and television. An upgraded iTunes will allow for the sale of TV shows on the iPhone. Plus, a forthcoming reader software plans to sell content from magazines, newspapers and books. Internet Video Poised to Explode, Cisco Says Wall Street Journal Internet traffic will increase fivefold over the next five years, driven in large part by a jump in the amount of video on the network, says a study by Cisco Systems. More than 90% of Internet traffic will come from video -- be it television, video on demand or file sharing. Yahoo: No Interest in Partnership with AOL Dow Jones Yahoo CEO Carol Bartz says the struggling Internet giant can "take on" rivals Microsoft and Google, and she dismisses the idea of striking a partnership with AOL. "Yahoo-AOL would not happen anytime in the forever future. Yahoo is a much stronger property." MySpace Seen Unlikely to Make a Comeback CNN MySpace, the News Corp. online social network that has seen its popularity flatline, is unlikely to make a successful comeback, say industry observers. History shows that "no site has been able to recover from a substantial loss of popularity." Twitter "is the thing to do now." Webby Awards: 'Read a F$&@ing Newspaper!' Wall Street Journal Internet Week New York wrapped up with the 13th annual Webby Awards gala, honoring excellence on the Internet. Among the acceptance remarks, Arianna Huffington declared: "I didn't kill newspapers, OK?" A rep for The Economist blurted: "Read a f$&@ing newspaper -- please!" AOL in Blogger Fracas After Playboy Criticism Politics Daily AOL Politics Daily blogger Tommy Christopher was dismissed after writing a post criticizing an article on Playboy.com. AOL deleted his post about Playboy from the site. But Politics Daily editor Melinda Henneberger says that the notion of "pressure" to protect Playboy is "far-fetched." Internet 'Pirate Party' Enters EU Parliament Ars Technica The Pirate Party, a Swedish party that wants to legalize file sharing, has won a victory by winning at least one European parliament seat. Membership in the party increased after four Swedes were sentenced to jail in April for running The Pirate Bay file-sharing site. Twitter Preps Launch of 'Verified Accounts' CNET Following the lawsuit by St. Louis Cardinals manager Tony La Russa over fake tweets made in his name, Twitter says it will release a beta preview of "Verified Accounts." The new feature will include a seal indicating that the tweets belong to the person they say they belong to. HuffPost: For-Pay Online Content 'Won't Work' wowOwow The Huffington Post is set to roll out its next local edition, for New York City, this month, edited by Dan Collins. Also coming soon: a new vertical on technology. Says Arianna Huffington: The online model "that I really don't think is going to work is putting content behind walls." Hulu to Air One-Hour Infomercial for Microsoft New York Times Microsoft is promoting its new Bing search engine with a program-style commercial on Hulu, at 8 p.m. ET on Monday. The hour-long spiel, a first for the video site, will give viewers a reward: the ability to watch TV shows or movies on Hulu without a commercial interruption. Sony Joins YouTube, Universal on Video Site Reuters Sony Music is joining the online music video service Vevo, which being developed by Google's YouTube and Universal Music. The music video site is due to launch later this year. The deal is expected to further boost Google's efforts to monetize YouTube. Amazon: Kindle Revenue Forecast to Explode Barron's Amazon.com's Kindle e-book reading device should generate $310 million in revenue this year and $2 billion a year by 2012, according to a forecast by Collins Stewart. Among other data points: The Kindle store currently offers 29 magazines, 38 newspapers and 5,400 blogs. Twitter Hit with Lawsuit by Cardinals Manager Associated Press St. Louis Cardinals manager Tony La Russa is filing a lawsuit against Twitter, claiming an unauthorized page that used his name damaged his reputation and caused emotional distress. Meanwhile, cyclist Lance Armstrong is announcing the birth of his son via Twitter. Time: Twitter Will 'Change the Way We Live' Time Every major channel of information will be "Twitterfied" in the coming years, writes Steven Johnson in the cover story of this week's Time magazine. The key elements of Twitter -- the follower structure, link-sharing, real-time searching -- "will persevere regardless of Twitter's fortunes." Apple CEO Jobs to Return to Work This Month Wall Street Journal Apple CEO Steve Jobs is expected to return to work after a six-month medical leave. Jobs may make his reappearance at Apple's annual software developers' conference next week, possibly to unveil a new iPhone. Apple says: "We look forward to Steve returning at the end of June." AOL to Redefine Itself as Magazines Fail TechCrunch AOL execs are said to be pushing CEO Tim Armstrong to build and acquire online media brands in an effort to remake the Internet company as a Web media powerhouse -- as print media "dies off." AOL already publishes strong niche brands such as Engadget and TMZ. Twitter, Craigslist, Gawker: Not For Sale Wall Street Journal New media execs at the "Future of Media: 2009" panel discussion talk about the future of the business -- and the rise of Twitter. The founders of Gawker, Craigslist and Twitter each say they aren't interested in selling. Also: After-the-panel highlights are on the @iwantmedia Twitter feed. Twitter is Missing 'Editorial,' Creator Says I Want Media Twitter is missing one thing: "the editorial," says creator Jack Dorsey, speaking at the "Future of Media: 2009" forum. Twitter could benefit from a "cohesive narrative" around its man-on-the-street reports. "Bringing journalistic integrity to this mass of messages happening in real time is very important." Hulu May Start Charging for Some Videos Daily Finance News Corp. digital chief Jon Miller says he envisions a future where at least some of the television shows and movies on Hulu, the premium video site co-owned by News Corp., NBC Universal and Disney, are available only to subscribers. "Over time that could be a logical thing." Google's Influence Grows in White House Politico Consumer groups are urging the White House to back off its pick for deputy chief technology officer because he is listed as a lobbyist for Google. Andrew McLaughlin, the head of Google's global public policy, would break President Obama's executive order barring lobbyists. Yahoo Doesn't Need Microsoft, CEO Says AFP Yahoo CEO Carol Bartz is playing down speculation of an Internet search tie-up with Microsoft, saying the Web pioneer does not need to make a deal with the software giant. "Yahoo doesn't have to do anything with Microsoft about anything. ... Forget about the Microsoft stuff." Digg Lets Users Give 'Thumbs Down' to Ads ClickZ Digg is unveiling an advertorial-style advertising unit that, like its content posts, lets users give them the proverbial thumbs up or thumbs down. The product is also Digg's first performance-based ad opportunity. However, advertisers may not appreciate the ability of users to pan their ads. YouTube to Premiere Movie to Boost Ads Bloomberg YouTube will premiere Luc Besson's latest movie, "Home," the first simultaneous Internet and theater debut, as Google's video site looks to Hollywood to boost its advertising sales and reach profitability. YouTube insists it is about "more than just dogs on skateboards." Google, Yahoo In Federal Antitrust Probe Washington Post The U.S. Justice Department is launching an investigation into whether Google, Yahoo and Apple violated antitrust laws by negotiating the recruiting and hiring of one another's employees. By agreeing not to hire away top talent, the companies could be stifling competition. YouTube Jumps to TV Screens with 'XL' CNET YouTube plans to make its way from the personal computer to a more prime entertainment location -- the television set. Google's video service is rolling out a new browser feature, called YouTube XL, designed to present YouTube videos on bigger screens. Twitter Makes Waves But Facebook Rules CNNMoney While Facebook is seeing significant growth, MySpace is in decline, according to a report by Nielsen. Meanwhile, Twitter reigns as the fastest-growing social network. Still, social networks can quickly fall out of favor with consumers. "Neither Facebook nor Twitter are immune." Facebook Seeks Multiple Revenue Streams Financial Times Facebook is beginning to tap a new revenue stream with the introduction of an internal payments system. The system will allow users to purchase Facebook "credits," then use those credits to buy virtual goods from the third-party apps that run on the site, or from Facebook itself. WSJ, Gawker Chiefs to Talk Media's Future I Want Media WSJ.com chief Alan Murray and Gawker boss Nick Denton are among the media and tech figures discussing "The Future of Media," in a forum today by I Want Media. The session, held in conjunction with Internet Week New York, will be webcast live by Livestream. Twitter: Not Popular Among Young People? Wall Street Journal Only 22% of 18- to 24-year-olds use Twitter, says a study by Participatory Marketing Network, a unit of marketing firm Aiti Solutions, and Pace University's business school. Instead, many young folks are "texting, using social networks," says Aiti co-founder Michael Della Penna. Yahoo to Close Its Social Networking Site Bloomberg Yahoo will shut down its Yahoo 360 social-networking site in July amid a slowdown in advertising spending and competition from Facebook, MySpace and Twitter. Yahoo has closed other underperforming sites in recent months, such as FareChase and Briefcase. Microsoft's Xbox Links to Twitter, Facebook AFP Users of Microsoft's Xbox 360 soon will be able to access their Twitter or Facebook accounts through consoles, posting content and connecting with friends the same way they might by using computers. The tie-up will bring the social media experience to "your living room." Amazon to Release New Kindle Next Week CNET Amazon.com's Kindle DX e-book reader will start shipping June 10. "The Kindle DX is currently available for pre-order and all orders are prioritized on a first come, first served basis," the company says. The larger-screen device, reportedly ideal for newspapers, sells for $489. E Ink Sale to Bring Color to Amazon Kindle Associated Press E Ink, the maker of the "electronic ink" display for the Amazon Kindle e-book reader, is being acquired by Taiwanese firm Prime View International for $215 million. The deal is expected to help E Ink develop color versions of its displays and mass produce them by the end of 2010. Comcast's DailyCandy Teams Up with Target Wall Street Journal Target, the U.S. retailer, plans to announce a partnership with DailyCandy, the email newsletter and Web site owned by Comcast that covers fashion and culture for a female audience. DailyCandy editors will offer recommendations on a special section of Target.com. Twitter, Craigslist: Questions for Founders? I Want Media Do you have a question to ask Twitter creator Jack Dorsey? Or Craigslist founder Craig Newmark? Or any of the other media and tech figures scheduled for I Want Media's panel discussion, "The Future of Media: 2009"? Email your questions before this Wednesday. Wikipedia Blocks Scientology from Site Edits AFP Wikipedia is blocking the Church of Scientology from editing entries at the user-generated online encyclopedia due to a battle over the group's image. A "longstanding struggle" between admirers of Scientology and critics of the group prompted Wikipedia to bar edits. On Facebook: Today's Homeless Stay Wired Wall Street Journal Homeless shelter attendants say the number of laptop-toting overnight visitors is growing. New York City has put 42 computers in five of its nine shelters. One homeless man, 37, says: "You don't need a TV. You don't even need a newspaper. But you need the Internet." Twitter: 25 Media People You Should Follow Advertising Age Advertising Age is suggesting a batch of media and marketing people to follow on Twitter, along with some of their recent tweets. Example: David Carr, New York Times media columnist: "AOL leaves TW so TW can focus on content. And AOL's play going forward? Umm, content." Google E-Book Program to Take On Amazon New York Times Google plans to launch a program enabling book publishers to sell digital versions of their titles to consumers direct through the Internet search giant. The move would pit Google against Amazon.com's effort to control the e-book market with the Kindle reading device. BBC, Google Eye Launch of Global iPlayer Telegraph The BBC is said to be in talks with Google about rolling out an international version of the British broadcaster's iPlayer, supported by Google-owned YouTube. The move would mean BBC shows could be seen globally in their entirety on the iPlayer platform supported by YouTube. YouTube Mulls 'SafeTube' Site for Families Guardian Google's YouTube is exploring the introduction of a standalone, family-friendly "SafeTube" version of the site as part of its program of improving safety and content standards. YouTube has already introduced controls that allow users to mask expletives and delete comments. Sony to Launch Smaller PlayStation Portable Reuters Sony is said to be planning to sell a smaller and lighter PlayStation Portable handheld game machine later this autumn. The new device, dubbed the PSP Go, is 43% lighter than the current model and comes with a 3.8-inch display, compared with the current 4.3 inch screen. AOL Won't Change Its Name After Spinoff Bloomberg AOL CEO Tim Armstrong says he is keeping all options open for a strategy to revive the company. He is expected to place AOL's Bebo and Truveo into a separate unit to attract outside investors. AOL will keep its name because of its global recognition, he adds. AOL Is Worth Half of Facebook, 5% of Google Bloomberg AOL, eight years after hooking up with Time Warner, is now worth half as much as Facebook and less than 5% of Google. AOL may fetch about $6 billion after its spinoff from Time Warner, analysts say. "It's gone from the only game in town to an also-ran." Google Hoping Web Surfers Will Ride 'Wave' Associated Press Google is unveiling Google Wave, a free tool to be released later this year, combining e-mail, instant messaging, wikis and photo sharing in an effort to make online communication more dynamic. Google hopes Wave will be weaved into Twitter, Facebook and existing e-mail services. Microsoft Unveils Bing in Google Search Fight Bloomberg Microsoft is rolling out Bing, a search engine with enhanced shopping, travel and sorting features. Bing's shopping feature lets users find product thumbnail photos and reviews. By clicking on a listing, users can view a table with pricing and shipping data from various sellers. Yahoo U.S. Media Content Exec Is Resigning Reuters Jeff Dossett, who joined Yahoo late last year to lead the Internet company's North American Audience division, is resigning. The reason for his departure is unclear. Dossett's division oversees content at key Yahoo media properties, including Yahoo News and Yahoo Sports. Hulu's New App Offers 'Lean-Back Experience' Wall Street Journal Hulu's new downloadable application, Hulu Desktop, offers a "lean-back viewing experience" for personal computers, to be used with a remote control. Despite moving closer to a traditional TV experience, Hulu insists it remains committed to "the PC environment." Internet TVs to More Than Quadruple by 2013 Multichannel News Worldwide shipments of consumer-electronics devices capable of supporting Internet video are projected to rise by nearly a factor of five from 2009 to 2013, according to research firm iSuppli. "The public is demanding Internet video content on a wider variety of platforms." Broadband Consumers Differ in Media Habits Hollywood Reporter A new Nielsen study reveals that broadband-media consumers are hardly a homogeneous group of gizmo geeks. "Extreme techies" are chiefly male and watch a lot of television online. Meanwhile, "TV-devoted online socializers" skew female and are less likely to stream video. Yahoo Would Sell for 'Boatloads of Money' Bloomberg Yahoo CEO Carol Bartz says she would sell the company's Internet-search business to Microsoft for "boatloads of money." She adds that she would agree to sell the entire company as well, though only for "big boatloads of money." Yahoo is in talks with Microsoft now, she says. MySpace to Be 'MTV' of Internet in India Business Standard News Corp.'s MySpace plans to launch a music portal in India called Music Central. The service will stream music content from independent and regional artists along with Bollywood music. The social networking portal will also take its brand offline through a series of MySpace concerts. YouTube Could Restore Premium Music Videos Media Week U.K. royalties collection agency PRS for Music is cutting the rates it charges music sites for artists' music, potentially paving the way for YouTube to start carrying premium music videos again. YouTube pulled thousands of music videos in March after failing to agree terms with PRS. Mark Cuban: Internet Video is 'Disappointing' CNET HDNet chief Mark Cuban says that despite the growth of YouTube, the Internet video market is a disappointment. The problem, he says, is that when Google bought YouTube it focused on ubiquity rather than making money. The result is that the market "can't sustain itself." Napster Owner to Back Digital Media Fund New York Times Best Buy, the consumer electronics retailer, wants to finance the next hot digital media startup. Best Buy, which also owns Napster, is supplying the capital for a new digital media investment fund managed by Velocity Interactive Group, headed by Ross Levinsohn and Jon Miller. Apple May Start Selling Music Across Europe Bloomberg Apple says it may start selling digital music via iTunes throughout the 27-nation European Union as long as the company can obtain licensing rights. Currently, it is impossible for consumers in some countries, such as Poland, Bulgaria and Slovenia, to buy music from iTunes. Microsoft to Launch New Zune Later This Year Reuters Microsoft plans to launch a new version of its Zune portable media player later this year, incorporating high-definition video, touch screen technology and Wi-Fi connection. The new Zune will also come with an Internet browser and a built-in HD radio receiver. Google Exec: Make Way for the Mobile Decade Globe and Mail The mobile phone is for the next decade what the personal computer has been for the last two or three, according to Michael Jones, chief technology advocate for Google. Every handheld device will come to offer "the whole experience of the Internet," he predicts. Facebook Valued at $10B in New Investment InformationWeek Internet investment group Digital Sky Technologies, based in London and Moscow, is investing $200 million in Facebook for a 1.96% equity stake at a $10 billion valuation. The new investor says it sees "tremendous value" in social networks "as they redefine how people communicate." Twitter Co-Founders Still Mum on Revenue Plans AP / CNN Twitter co-founders Evan Williams and Biz Stone say the microblogging company will eventually charge fees for its services, but it is unclear which ones and what will drive revenue. "We're working on it," says Williams. Also: Ashton Kutcher may stop tweeting if Twitter partners on a TV show. AOL in Subscriber Lawsuit Over Ads in Email MediaPost Two AOL subscribers are filing a lawsuit against the company for inserting advertising in its email service. Los Angeles residents Rande Bronster and Robert Nachshin allege that such ads are unlawful under the federal Electronic Communications Act and California law. Mark Cuban: Insider Claims Should Be Dismissed Bloomberg Mark Cuban's lawyer is asking a federal judge to dismiss the U.S. Securities and Exchange Commission's insider-trading lawsuit against the billionaire head of HDNet. The complaint "fails" to show that Cuban was barred from selling shares of Mamma.com in 2004. Microsoft to Launch 'Bing' Search Rival to Google Ad Age / NYP Microsoft is set to launch a $80 million multimedia advertising campaign for Bing, the new search engine it hopes will help it grab a bigger slice of the online ad market. Also: Bing, which officially launches in June, will face the challenge of overcoming Google's powerful brand. Google Increasingly Battles Facebook in Search Associated Press Google sees social networking sites as growing competitors in search, admits company product manager Ken Tokusei. Internet searchers are increasingly looking for something personal, and social networks present information as if it came from "someone you know." Facebook Valued at $10B in Russian Stake Offer Wall Street Journal Russian investment group Digital Sky Technologies is said to be making an offer to invest $200 million in Facebook at a $10 billion valuation. Facebook is believed to be in talks with several venture-capital and private-equity firms about raising more money to help fuel its growth. Twitter Moves Beyond Web to Develop TV Series Variety / Twitter Blog Twitter is partnering with Reveille Productions and Brillstein Entertainment to develop an unscripted television series described as "putting ordinary people on the trail of celebrities." Also: Twitter "might have the power to transform television," says co-founder Biz Stone. Wi-Fi Set to Shake Up In-Flight Entertainment New York Times Airlines are starting to equip their fleets with Wi-Fi systems, which could bring changes to in-flight entertainment. Movies and other entertainment programming could be packaged on the ground and piped to planes for viewing on passengers' personal electronic devices. EBay: Meg Whitman Writing Book on Values Associated Press Former eBay CEO Meg Whitman, a presumed candidate for governor of California, is working on a book about the "core values" that helped her build the online commerce giant. The book is to be published by Crown Business in February, just as California starts voting for its next governor. Online Video: Not a Phenomenon Among Teens Home Media A mere 8% of teens watch repurposed television shows online, according to a survey by independent analyst Bruce Leichtman. The likes of Hulu and TV.com are not yet "an alternative venue for watching TV shows." Use of online video sites "remains much more about short-form video." Twitter, Facebook Poised to 'Kill Off' Blogs Fortune Twitter and Facebook are making blogging obsolete, according to Fortune managing editor Andy Serwer. "I'm not blogging as much as I used to. I have been Facebooking and Twittering all my content away." Blogging now seems "slow, clunky and so 10 minutes ago." Google Invades TV's Upfront Marketplace Hollywood Reporter Google TV Ads is starting to book upfront deals with major advertisers and agencies for the first time. Deutsch is spending more than seven figures with Google TV Ads for the year ahead, marking a significant jump over its previous spend. Ad buyers can also buy ads on YouTube. YouTube Tests Pre-Roll Ads with U.K. TV Guardian Several U.K. broadcasters are entering a deal with YouTube to split advertising revenue in a trial that will see pre-roll advertising run around television shows and clips on the video-sharing site. Separately, BBC Worldwide is launching a new channel on YouTube. Hulu to Expand Live Streaming with Concert CNET Hulu will live-stream a concert for the first time: Dave Matthews Band at New York's Beacon Theater on June 1. The online video hub, backed by News Corp., NBC Universal and Disney, ran its first live streaming event, a U.S. presidential debate, last October. Apple Gets Plug from University of Missouri Associated Press The University of Missouri School of Journalism is asking students to buy Apple iPhones, iPods and similar devices for downloading classroom lectures or confirming facts on the Web while reporting from the scene. The new requirement is "solely to benefit students' learning." HuffPost, NBC Prep Launch of NYC Local Sites HuffPost NBC's local media division plans to launch its local broadcast Web sites this summer, including a new one in New York featuring content from New York magazine. Separately, the Huffington Post, having established its first local site in Chicago, is set to roll out a New York site in June. MSNBC Anchor's Site Gets Elevation Cash TechCrunch MSNBC anchor Carlos Watson's The Stimulist, a news and opinion site launched last week, is getting an undisclosed cash infusion from Elevation Partners' Roger McNamee, who recently stepped down from the board of Forbes. The Stimulist is seen as a rival to Huffington Post. AOL Staffing Up on Refugees from Old Media AllThingsD Jeff Bercovici, last seen writing the Mixed Media blog for Conde Nast's Portfolio.com, is joining DailyFinance, a site run by Time Warner's AOL. His hire is yet another indicator that AOL is continuing to hire experienced writers and reporters, often from ailing publications. FTC: Can News Media Survive the Internet Age? TheDeal The U.S. Federal Trade Commission plans to hold a hearing Sept. 15 on competition in the chaotic news industry. Titled "Can News Media Survive the Internet Age?," the workshop aims to explore concerns about the future of news on television and radio as well as in newspapers. Google Drops Idea to Acquire Newspapers Financial Times Google has considered buying a newspaper or using its charitable arm to support news businesses seeking non-profit status, but is now unlikely to pursue either option. Instead, says CEO Eric Schmidt, Google will work with publishers to make their Web sites "work better." Google CEO Talks News Platforms, Twitter Financial Times While "people are now reading the news on all sorts of devices in all sorts of different ways," charging for online content is "unlikely to work," says Google's Eric Schmidt. He adds: "I can't comment about buying anybody; we certainly think Twitter is very successful ..." Yahoo Eyes Acquisitions, Social Media Sites Reuters Yahoo is looking to buy companies that will allow it to become a bigger player in social networking, according to CTO Ari Balogh. "It's a good time to be buying now," he says, declining to give specific names. "I can guarantee you there will be some acquisitions." Twitter Surges Past LinkedIn, NYTimes.com TechCrunch Twitter's global unique visitors in April 2009 reached a whopping 32 million, up from 19 million the previous month, according to comScore. The microblogging service has passed Digg (23 million), LinkedIn (16 million) and the NYTimes.com (17.5 million) in monthly uniques. Hulu, YouTube Ready to Expand in Britain WebProNews Video sites Hulu and YouTube are said to be preparing an expansion in Britain. Hulu, backed by News Corp., NBC Universal and Disney, could launch in the U.K. by this September, while Google's YouTube is reportedly close to making deals over full-length U.K. television shows. Google CEO Hints at Partnership with Twitter Telegraph Google CEO Eric Schmidt hints that a deal with Twitter could be close, although he dampens speculation that he is planning to buy the microblogging phenomenon. "We do not have to buy everyone to work with them," he says. Google is believed to be seeking real-time search. Facebook: We're Not Like Twitter, MySpace Reuters Facebook CEO Mark Zuckerberg hopes to eventually take his company public but says it won't be for a few years. Also: "MySpace defines themselves as more of a media company," he says. Twitter is about "real time communication. That's one piece of what we want to do." YouTube Ordered to Pay $1.6 Million to ASCAP Techdirt A U.S. district judge is ordering YouTube to pay $1.61 million in royalties to the American Society of Composers, Authors and Publishers, the performance rights organization, for streaming music on the video site. YouTube is expected to pay songwriters going forward. Hulu Pushes Fox to Test Quick DVD Release Hollywood Reporter The DVD box set of the just-ended season of "24" on News Corp.'s Fox network became available for sale the day after the airing of the season finale. News Corp. describes the unusually quick DVD release as an "experiment" amid changing viewing habits in the digital age. Gawker's Denton Joins 'Future of Media' Talk I Want Media Nick Denton, founder of blog publisher Gawker Media, is joining the panel of I Want Media's "Future of Media: 2009" forum on June 3. The panel discussion aims to explore on how the Internet and other digital media are reshaping the traditional media landscape. TheStreet.com Appoints Daryl Otte as CEO TheStreet.com TheStreet.com, the online financial media company, is naming Daryl Otte as CEO, removing the interim tag he has held since March. "The board has great confidence in Daryl," says chairman Jim Cramer. Otte is a former member of the executive committee of Ziff Davis. Twitter Sees Tools, Not Ads, for Revenue Reuters Twitter is developing add-on tools for businesses and professionals, which could create a revenue stream for the microblogging service, says co-founder Biz Stone. Twitter doesn't plan to pursue advertising, he adds, because it could end up annoying users. Facebook Said to Get Closer to Twitter Los Angeles Times Facebook's recent redesign makes the social network closely resemble Twitter, according to Twitter creator Jack Dorsey. "We're definitely flattered because it is moving more into our direction," he says. "They may get more and more close to what we're doing." Twitter Books Slated to Flood Bookstores Washington Post The next few months will bring a slew of new books about Twitter -- "Twitter for Dummies," "The Twitter Book," etc. Most of these books are 200-plus pages, meaning that these how-to tomes are 3,000 times longer than the longest text one would ever write on Twitter. Google to Support Mergers of Newspapers Times of London Google plans to submit a statement to the British government supporting a relaxation of ownership rules so that more newspaper publishers will be allowed to merge. Newspapers need to create "competitive news offerings" as they face Internet rivals, Google says. Napster Cuts Subscription to $5 a Month InformationWeek Napster, which trails Apple, Amazon and others in the online music business, is slashing the price of its subscription service by nearly 62%, apparently hoping to jump-start sales. Napster, now owned by Best Buy, is offering access to its music-streaming service for $5 a month. Monster to Pay $2.5M, Settle SEC Option Case Bloomberg Monster Worldwide, the world's largest online recruiter, will pay $2.5 million to resolve U.S. Securities and Exchange Commission charges that it misled the public about its stock options. A federal jury last week found former Monster COO James Treacy guilty of defrauding investors. AOL: Former Exec Starts Site to Share Films Fortune Former AOL exec Ted Leonsis's new startup, SnagFilms, aims to distribute documentary films via the Internet. SnagFilms will enable portals, news sites and blogs to share the movies. Says Leonsis: "Let's talk about a new category called user-distributed content." Twitter, Craigslist Founders to Discuss Media I Want Media Twitter creator Jack Dorsey and Craigslist founder Craig Newmark will be among the participants in "The Future of Media: 2009," a panel discussion from I Want Media, on June 3. The free, non-profit event aims to explore the trends and issues that are reshaping traditional media. Perez Hilton to Be Paid to 'Tweet' About Movie San Francisco Chronicle Traditional and new-media companies are getting "creative" out of necessity, as all advertising-driven media are being hit hard by the recession. Later this summer, a major movie studio will pay celebrity blogger Perez Hilton to "tweet" for a week about a forthcoming movie. Google CEO Urges Grads to Turn Off Computers Associated Press Google CEO Eric Schmidt, speaking at the University of Pennsylvania's commencement ceremony in Philadelphia, recommends college graduates to turn off their computers and discover the humanity around them. Economic downturns can be a time for innovation, he says. Scribd Allows Writers to Sell Digital Copies New York Times Scribd, the document-sharing Web site, is introducing a way for anyone to upload a document to the Web and charge for it, turning itself into a kind of electronic vanity publisher. Authors or publishers will be able to set their own price for their work and keep 80% of the revenue. Digg Preps Overhaul with Eye on Twitter TechCrunch Digg, the user-submitted social content site, is working on an overhaul, according to founder Kevin Rose. He describes the redo as a "completely new direction," saying that Digg needs to be "a living and breathing site" and "a little bit more real-time in nature." MySpace Offers Free Full Album Streams EW MySpace is debuting six albums from major acts, including Eminem, Tori Amos, Phoenix, Busta Rhymes, Method Man & Redman, Kate Voegele and Lionel Richie All six albums will be streaming in their entirety on each artist's respective official MySpace page days before their release. New York Mag: 'Benefits in Overstimulation' New York In the age of Twitter and Obama's Blackberry, some cultural observers worry about a "poverty of attention," writes Sam Anderson, in a nearly 6,250-word cover story in New York magazine. But new technologies, he argues, are bringing us "the ability to sift information rapidly." RealNetworks Files Claims Against Hollywood InformationWeek RealNetworks, which is waging a court battle against Hollywood studios over its DVD-copying software, is now filing antitrust claims against them, saying they are trying to prevent other companies from building products that let consumers legally copy DVDs for personal use. Hulu Questions Audience Count as Figures Differ New York Times While Nielsen says Hulu received 8.9 million visitors in March, comScore claims the video site received 42 million. The wildly divergent numbers demonstrate the nascency of the market for online video measurement. Advertising execs complain: It's "still the wild wild West." Martha to Test Paid Online Video Downloads Dow Jones Martha Stewart Living Omnimedia will test a paid download model for access to some of its vast library of online video content next month. The test will make the lifestyle media company the latest media operation to try charging for content online. "It has to happen," says Stewart. Oprah Attracts 1 Million Followers on Twitter TechCrunch Celebrities are dominating Twitter: Oprah Winfrey now has 1 million followers on the microblogging site, just 28 days after signing up. Ashton Kutcher, the first person to reach 1 million, is well on his way to nearly 2 million. Other top Twitterholics: Britney Spears, Jimmy Fallon. CNN Punk'd: Kutcher Fulfills Twitter Promise CNN Ashton Kutcher, in a quest to fulfill his promise to "ding-dong-ditch" Ted Turner's house after winning a race to attract 1 million followers on Twitter, unfurled a giant banner with his microblogging account's name over the CNN logo on the Time Warner network's building in Atlanta. AOL 'Killer' Follows the One on Craigslist Newsday Bronx, N.Y., resident Nimzay Aponte was stabbed to death on a park bench in broad daylight by Raymond Dennis, an ex-convict she met online through AOL. Dennis has been arrested. The stabbing highlights a growing phenomenon -- major crimes connected to online networks. YouTube Spotlighted in Google News Facelift CNET Google News is sporting newly prominent news videos hosted at YouTube. Some news headlines now feature a small YouTube logo. Clicking on it triggers an embedded YouTube player with a news video. Google News is calling attention to video as part of a new facelift. Google Eases Trademark Rules on U.S. Ads Reuters Google is lifting restrictions on the use of trademarked terms in its U.S. online advertising system, a move that could increase friction between the Internet giant and brand owners. The new policy will allow businesses to place trademarked terms directly in the copy of search ads. Google Seen as 'Essentially Insurmountable' Wall Street Journal Google's new search products demonstrate the company's continued ability to innovate, says Piper Jaffray analyst Gene Munster. The Internet giant will maintain its search leadership "for the foreseeable future." Google's position is "essentially insurmountable." Twitter Search: Not a Competitor to Google DMNews The news that Twitter Search will start indexing the links of its tweets is raising questions as to whether the function could someday pose a threat to Google and other search engines. But industry observers say: "Twitter Search won't be competing with Google." Google Exec Cheng Exits for Bloomberg Wall Street Journal Ien Cheng, a Google product management exec, is leaving the Internet giant to help run the multimedia arm of Bloomberg LP. Cheng will oversee Bloomberg's television, radio, Web and mobile assets. He previously oversaw the Web site of the Financial Times. Time Warner: AOL Staffers in 'Bloodbath' SAI AOL is said to be firing a large number of employees in its Platform-A sales unit. Remaining sales reps are being told the fired staffers will be replaced with new ones -- "most likely from Google." New AOL CEO Tim Armstrong and sales boss Jeff Levick are Google veterans. France Adopts Strictest Laws for Piracy Radio France French lawmakers are voting to approve the world's strictest anti-piracy laws. The bill calls for a new police agency to monitor illegal downloads. Offenders will be sent an email as a warning, then sent a letter, and then lose their Internet connection completely. Pirate Bay: File-Sharing Still Rampant Financial Times Just weeks after a court found the four men behind the Pirate Bay site guilty of promoting copyright infringement, illegal file-sharing of music is as rampant as ever, says the U.K.'s PRS for Music. "The Pirate Bay trial has done nothing to discourage file sharing." MySpace Drags Down Social Network Ads Adotas U.S. social network advertising spending will fall 3% to $1.14 billion in 2009, from $1.18 billion in 2008, according to a forecast by eMarketer. MySpace is described as "the major problem." While it has been cash cow for News Corp., "the brand has lost its shine." Amazon to Pay Bloggers for Subscriptions Wall Street Journal Amazon.com is unveiling a program that pays bloggers for Kindle e-reader subscriptions to their posts. Amazon will pay registered bloggers 30% of its subscription fee. At a $2 per month price point, a blogger could make $50,000 per year with just 7,000 annual subscribers. Pirate Bay Tries to Sabotage Media Payback New York Post The four co-founders of the file-sharing site The Pirate Bay aim to sabotage the $3.6 million fine owned to media giants for breaking copyright laws. The quartet is asking supporters to make minuscule online payments on their behalf, in hopes that tiny submissions will wreck the system. Google Unveils Rival to Twitter Real-Time Search Reuters Google is announcing a slew of new and future features, including one that allows users to narrow search results for a topic to the past 24 hours. The feature comes amid the rising popularity of real-time search products, like the search feature on the microblogging site Twitter. Twitter Heads Into Space as Traffic Skyrockets TechCrunch Twitter reached 17 million U.S. unique visitors in April, an 83% increase from March, says comScore. Twitter's rocket-like trajectory comes as the microblogging site posts its first tweet from outer space: NASA astronaut Mike Massimino is twittering from the Atlantis space shuttle. IAC: Struggling Ask.com to Lose CEO Safka Wall Street Journal Jim Safka, CEO of IAC/InterActiveCorp's Ask.com, is leaving the struggling search engine after a year and a half in the position. Scott Garell, an exec at the company, will assume his duties. Safka is said to be leaving to become CEO of online textbook-rental outfit Chegg. MySpace Debuts Online Wedding Reality Series TV Week MySpace is teaming up with production studio Endemol to produce the Web reality series "Married on MySpace," kicking off this week. The show, which will end with one lucky couple tying the knot live online, is sponsored by Touchstone Pictures, the studio behind the movie "The Proposal." Facebook, Warner to Team Up on Blu-Ray Hollywood Reporter Warner Home Video plans to sync Facebook with the interactive features of its Blu-ray discs, starting with the release of "Watchmen Director's Cut" in July. Purchasers of "Watchmen" will be allowed to share comments with their Facebook friends as they watch the film. Hulu May Become 'Victim of Its Own Success' Wired Hulu, the online television service, yanked most of the episodes of FX's "It's Always Sunny in Philadelphia" per the network's request, after users made the show one of the site's most popular programs. One Hulu user commented in a forum: "Well, off to the torrent sites ..." Geffen, Google Eye Buy of New York Times Fortune In recent weeks, Hollywood mogul David Geffen made an offer to buy the 19% stake in the New York Times Co. held by Harbinger Capital Partners, but no deal was struck. Separately, Times board member Scott Galloway made an overture to Google about buying the Times Co. Google in Talks with Newspaper Publishers AllThingsD Google is said to be in informal talks with some of the biggest U.S. newspapers, including the New York Times and the Washington Post. While the subject of the talks is not clear, "every Web publisher realizes that Google can direct a firehose of traffic to their content." Radio Tunes Out Google's Offline Ad Push Wall Street Journal Google is pulling the plug on its attempt to automate radio-advertising sales after stations refused to turn over airtime to a computer algorithm that set prices far lower than their own rates. In a statement, Google says the service "didn't have the impact we had hoped for." Bruckheimer to Launch Video-Game Studio Los Angeles Times Jerry Bruckheimer, the producer of action films and television shows such as "Top Gun" and "CSI," now thinks video games are where the action is. Bruckheimer plans to announce the creation of the Jerry Bruckheimer Games studio. "Games are evolving just like movies," he says. Google Search Ads to Recover in 'Real Time' Reuters Sanford Bernstein is raising its price target on Google by 30% to $600, saying improving economic conditions will rapidly translate into higher revenue for paid search advertising. Also: Google is running its first-ever television commercial to promote its Chrome Web browser. WaPo, Google Talk of Possible Collaboration Washington Post Washington Post Co. CEO Donald Graham and Google CEO Eric Schmidt are holding talks about a possible collaboration aimed at "improving ways of creating and presenting news online." A tie-up could range from creating new Web pages to tech tools for journalists or readers. Twitter Founder to Launch Another Startup TechCrunch Twitter co-founder Jack Dorsey is preparing to launch a startup code-named "Squirrel," which is believed to be a service that will enable mobile devices to accept credit-card payments. But Dorsey says he is not leaving Twitter. The microblogging site is "my life's work and baby." Perez Hilton Wins Internet Domain Lawsuit New York Post Celebrity gossip blogger Perez Hilton is blocking the owner of a parody blog, PerezRevenge.com, from using the "Perez" name. A federal judge is ordering PerezRevenge owner Infuse LLC to turn over the PerezRevenge Web domain to Hilton, whose real name is Mario Lavandeira. MySpace Lays Off Staff After CEO Shakeup TechCrunch News Corp.'s MySpace, the world's leading social portal, is said to have let go of as many as 45 employees in the past week. The news comes only a few weeks after MySpace dropped founding CEO Chris DeWolfe and brought on a new executive team led by Owen Van Natta. AOL's CEO Expected to Face an Uphill Battle Crain's New York Tim Armstrong, the former advertising chief at Google, will be hard-pressed to make substantial improvements in his new job as CEO of AOL, analysts say. If he succeeds in turning around the floundering Time Warner unit, "he's a genius." However, if he fails, "no one can blame him." YouTube, Universal Name Chief for New Site CNET Rio Caraeff, an exec with Universal Music's eLabs, is expected to be named president of Vevo, the new music video site formed by Universal Music and YouTube, due to launch later this year. Universal and YouTube unveiled Vevo in April, saying it will be a showcase for music videos. Google May Add Twitter-like Features Reuters Google execs say they are looking at ways to integrate microblogging capabilities, such as those popularized by Twitter, into its own search product. Also, Google CEO Eric Schmidt says he has no plans to resign from Apple's board, despite a U.S. federal antitrust inquiry. Twitter to Expand Search Functionality Newsfactor Twitter is expanding its search functionality by checking links in tweets and ranking real-time trends based on the reputation of the tweet writer. Twitter Search will be used to crawl information from links by Twitterers to analyze and then index the content for future use. YouTube Users Get Closer to Google Associated Press Google is routing YouTube users further into the online search giant's Internet world. People signing up for YouTube accounts will automatically get matching Google accounts. Users will be able to "take greater advantage of services both on YouTube and on Google." Hulu in Deal to Run Bollywood Films Hollywood Reporter Hulu, a joint venture of News Corp., NBC Universal and Disney, is entering a deal with Saavn, a digital distributor and marketer of Bollywood entertainment, to stream films from Bollywood. The contemporary feature films from India will include English subtitles. Activision Eyes 'Guitar Hero' TV Series Hollywood Reporter The worldwide hit video game "Guitar Hero" could become a reality television show and a real-life concert tour. "Hero" is from Activision Blizzard, a leading video game publisher that is looking to turn some of its games, including "World of Warcraft," into TV and film properties. Microsoft Buys Canadian Game Company AFP Microsoft is announcing plans to buy BigPark, an interactive online game company based in Vancouver. Microsoft says the Canadian videogame maker will be integrated with Microsoft Game Studios, "where the team will continue development on an exclusive Xbox 360 game." Fox: Pirated 'Wolverine' Bigger Than Expected Hollywood Reporter News Corp's. 20th Century Fox says that the pirated version of "X-Men Origins: Wolverine" that hit the Web on March 30 has been downloaded 4 million times -- four times greater than previous estimates. The piracy could conceivably have cost Fox $28.7 million. MySpace Reports Big Decline in Ad Revenue ClickZ News Corp. is reporting a 16% decline in advertising revenue within its Fox Interactive Media subsidiary, which includes MySpace. The unit saw reductions in both brand and performance-based ads. Also dragging on the unit are costs associated with MySpace Music. Disney to Create Web Subscription Service Reuters Disney is developing an Internet subscription service that will offer company-branded content. "We are looking to create a real blend in terms of how we monetize and how we reach consumers and what kind of product we make available," says CEO Bob Iger. ABC Opens Web Music Lounge to Sell Tunes Associated Press ABC is opening an online ABC Music Lounge to offer songs and artists featured on its shows. The site features a streaming "radio station" that will play more than 200 tunes. The site also offers Web pages for featured artists and a link for online song purchases. YouTube Welcomes Channel for ABC News UPI ABC News is announcing the establishment of its own branded channel on YouTube. The channel on Google's video site will feature breaking news and highlights from newsmaker interviews, as well as ABC News programming, including "Good Morning America" and "Nightline." Hulu Signs TV Deals Ahead of Global Roll Out Financial Times Hulu, the video site owned by NBC Universal, News Corp. and Disney, is signing its first batch of content deals with international television producers, the first step towards a full global launch of the service. Hulu is in talks to launch the site in eight of the leading broadcast markets. Twitter Co-Founder Says Company Not for Sale Reuters Twitter, the hit microblogging service, is not for sale, insists co-founder Biz Stone in an appearance on ABC's "The View." Says Stone: "We're just getting started. The company is two years old, we have so much to do, so much product stuff to fix, and so much growing to do." NBCU: iVillage Gets a Makeover as Traffic Slips Advertising Age IVillage, the "grand dame" of the online community world since 1995, is counting on a site makeover to become the fresh face of women's communication once again. With a new logo and home page, the NBC Universal site plans to roll out a redesign over the coming year. Amazon's New Kindle Offers Newspaper Deal CNNMoney Amazon is unveiling the Kindle DX, which has a larger screen than earlier versions of the device, making it more appealing for reading newspapers and magazines. The New York Times, Washington Post and Boston Globe will offer discount subscriptions on the $489 e-reader. Google's Mayer: We're Good for Journalism CNET Google exec Marissa Mayer: "Google News and Google search provide a valuable free service to online newspapers by sending interested readers to their sites at a rate of more than 1 billion clicks per month. Newspapers use that Web traffic to generate additional revenue." HuffPost's Arianna: Old Media No Longer Exists HuffPost The Huffington Post's Arianna Huffington: "The future of journalism is not dependent on the future of newspapers." ... The open-source journalism produced by HuffPost "would be open to anybody; the New York Times could take it. We would monetize that through advertising." Hulu Deal Won't Hurt Other Business, Iger Says Dow Jones Disney's deal to take an equity stake in Hulu and put video content on the site isn't a threat to the media giant's existing businesses, says CEO Bob Iger. Hulu will allow Disney to add new revenue streams and combat the rise of digital piracy. "We think we can expand the audience." Apple? Twitter Acquisition Rumors Heating Up AllThingsD Several media and tech giants are rumored to be circling Twitter, the hit microblogging service. Companies are said to be expressing a "proper level of interest" to Twitter's execs. Among the so-called interested parties: Apple, AOL, Comcast, Cisco, Microsoft, News Corp., Yahoo. Microsoft Lays Off Workers; More Cuts Coming? Reuters Microsoft says it is laying off more workers, almost completing its plan to cut 5,000 jobs by June 2010, and is leaving the door open for yet more job cuts: "We will continue to monitor the impact of the economic downturn and if necessary, take further actions on our cost structure." AOL Helps Warner Bros TV with Social Media CNET Social media is coming to Warner Bros. Television's Web sites, thanks to a property at Time Warner sibling AOL called Socialthing. A feed of members' activity on sites such as TheWB.com and TheCW.com will be displayed on their Socialthing profiles for their online "friends" to see. Facebook to Relocate HQ to New 'Friendplex' San Francisco Chronicle Facebook is leaving its downtown Palo Alto, Calif., headquarters for new office space in Stanford Research Park. The move will consolidate many of the social networking giant's hundreds of employees into a single building, down from the 10 offices that currently serve as its home. TheStreet.com Posts Loss, Searches for CEO TheStreet.com TheStreet.com is posting Q1 revenue of $14 million, down 26% from a year ago. Daryl Otte, the interim CEO of the online financial news provider, says that the recruitment of the next CEO is well underway. "We're very excited by the caliber of the candidates." Webby Awards Dominated by Traditional Media Monsters and Critics The Internet might not be the death of traditional media after all: The New York Times, NBC and National Public Radio dominate this year's Webby Awards, which are sometimes called the Oscars of the Internet, to be presented June 8. The Times leads nominees with 13 nods. Nielsen: Online Media to See Bright Future Adweek While 2009 will not be a banner year for online advertising revenues, online will once again outperform all other media in growth, according to Nielsen Online. Online's share of ad spending "will continue its upward trend." Also, prospects for mobile "continue to improve." Google Phones to Arrive with Mobile Ads Dow Jones Mobile advertising is expected to accelerate next year, just as a growing number of cellphones built with Google's Android software are expected to hit the market. U.S. advertisers will spend $229 million on mobile ads this year, according to a report from Magna. MySpace Expects Huge Growth in Mobile Computerworld Half of the users of MySpace will be on mobile in two years, according to John Faith, general manager of the News Corp. online social network. "We have seen 450% year over year growth in mobile subscribers. The time of the mobile Internet is now." Facebook Rolls Out Live Streaming Updates TechCrunch Facebook is moving a step closer to live updating, with a new status message that appears towards the top of the page whenever there are new updates that users have not yet read. The feature is seen as very similar to the approach being taken by Twitter search. Apple, Google Ties Attract Antitrust Probe New York Times The U.S. Federal Trade Commission is investigating whether the ties between the boards of Apple and Google amount to antitrust violation. The two leading tech companies share two directors, Eric Schmidt, CEO of Google, and Arthur Levinson, former CEO of Genentech. Google's Book Deal Eyed by Library Groups Information Week U.S. library groups want a federal court judge to exercise "vigorous oversight" of a settlement between Google and book publishers and authors that allows the search giant to scan books. The groups fear Google could become the sole provider of the digital form of many books. White House Embraces Facebook, Twitter Bloomberg The White House is starting to use Twitter, Facebook and News Corp.'s MySpace to connect with Americans. President Obama's administration is creating pages on the social-networking sites, which have already attracted more than 100,000 followers -- mostly on Facebook. Google Boosts Spending on D.C. Lobbying Associated Press Google spent $880,000 on its political lobbying during the first quarter, a 42% increase from the same period last year. The Internet giant's lobbying efforts include online advertising issues. Google is focused on behavioral advertising, which tracks people's Web surfing. YouTube Cracks Down on Ad Placements Mediaweek YouTube, seeking to monetize as much of its content as possible, is sending notices to content producers who have inked branded integration deals with advertisers, reminding them that they are not allowed to post commercial videos on the site without permission. Hulu Hires Leary for New TV Commercial Entertainment Weekly FX "Rescue Me" star Denis Leary is joining fellow television celebrities Alec Baldwin and Seth McFarlane in appearing in a commercial for Hulu, the video site. The new Leary spot, which both mocks and promotes TV addiction, made its debut over the weekend. MySpace Expected to Focus on Youth Demo New York Times Observers expect new MySpace CEO Owen Van Natta to concentrate on the 13- to 34-year-olds who make up much of the audience of the online social network. Audio and video are likely to be increased. MySpace "sees itself as a media platform, akin to a television." Amazon to Introduce Kindle for Periodicals NYT / WSJ Amazon, maker of the Kindle e-reader, plans to introduce a big-screen version of the device tailored for displaying newspapers and magazines. The New York Times is expected to be involved. Also: Apple, News Corp., Hearst and Plastic Logic plan to develop rival devices. MTV to Share Ad Revenue with Web Sites Advertising Age MTV's new show "What You're Watching With Alexa Chung" will allow viewers to interact with the host and its celebrity guests via Twitter and Facebook. MTV describes the show as a "joint venture" with Facebook and Twitter, with revenue-sharing advertising deals in the works. Twitter Launches Real-Time Search Service TechCrunch Twitter is rolling out real-time search and a "Trending Topics" feature to all users. Twitter's new search service is "a discovery engine for finding out what is happening right now," while "Trending Topics" tracks the hot items people are searching for across the microblogging site. Google: World's First $100 Billion Brand vnunet Google has become the first $100 billion brand, says a new report from research and marketing firm Millward Brown Optimor. The company's latest BrandZ: Top 100 Most Valuable Global Brands report places Google ahead of Microsoft and Coca-Cola, among other giants. Disney Takes Stake in Hulu for ABC Shows Bloomberg Disney is acquiring a 27% equity stake in Hulu, gaining a new Internet outlet for television shows such as "Grey's Anatomy" and "Lost." Disney is joining NBC Universal and News Corp. as investors in the third most-watched video site. Hulu would welcome CBS, says CEO Jason Kilar. YouTube Model In Doubt After Hulu-Disney Dow Jones / CNET Disney's deal to put ABC television shows on Hulu suggests Google's YouTube may have to rethink its revenue-sharing business model. Content creators may start seeking payments from Google. Also: The Hulu-Disney deal could help come to help cable companies. AOL Ad Sales Chief to Exit After Three Months AllThingsD Greg Coleman, a former Yahoo advertising sales exec who came to AOL only three months ago, is said to be leaving, as new CEO Tim Armstrong remakes his top staff in preparation to spin off the Time Warner unit. Coleman will be replaced by Google ad exec Jeff Levick. Google's Head of Global Display Ads to Leave Reuters David Rosenblatt, the president of Google's global display advertising business, is resigning. Rosenblatt joined Google last year through its acquisition of DoubleClick. In March, Google's head of Americas sales Tim Armstrong left the company to become CEO of AOL. IAC/Interactive in Talks to Buy Yahoo Personals Wall Street Journal Barry Diller's IAC/InterActiveCorp says it is in talks to buy Yahoo's online-dating business, after posting a first-quarter loss due to advertising woes. "We would love to have Yahoo Personals," Diller says. IAC already owns Match.com, the Web's largest online personals service. Verklin: Web Media Still Face Many Challenges MediaPost Contrary to popular belief, the Web's overthrow of television is far from certain, according to David Verklin, the former head of agency Carat, and now CEO of cable consortium Canoe Ventures. The video site Hulu offers a "fantastic" user experience, "but there isn't a business model." Facebook Seeks 'Dumb Money' for New Funding New York Post Facebook is said to be holding exploratory meetings with private-equity firms about raising another round of funding, but the two sides are $3 billion apart on the social-networking site's worth. Facebook "is looking for dumb money, but there's none of it out there anymore." Facebook Exec Mulls Bid for Attorney General InternetNews Chris Kelly, Facebook's chief privacy officer, is announcing he has formed a committee to explore running for California attorney general in 2010. "At Facebook I lead an outstanding team that is building a safer and more trusted online experience," he says. Google Launches PR Effort to Fight Charges BusinessWeek Google, aiming to counter charges of monopoly abuse, is launching a full-throttle public relations campaign. Company officials are talking to journalists -- and lawmakers -- to explain why the Internet giant should not be feared. U.S. antitrust scrutiny could "create challenges." AOL's Future Includes Content, CEO Says Advertising Age The future of AOL is as a "great Internet products company, and products include content," says Tim Armstrong, the new CEO of the Time Warner unit, speaking at the 4A's Leadership Conference. "People are not paying enough to put their ads on AOL content." Diller Talks AOL, Twitter, Future of Print USA Today IAC/InterActiveCorp CEO Barry Diller is stockpiling cash and says he aims to "spend it intelligently." Speaking at the USA Today CEO Forum, he says Facebook is "the real deal." However, "nobody can buy Facebook now." Also, Web video will evolve "just like the movie business did." Hulu Overtakes Yahoo as No. 3 Video Site Bloomberg Hulu, the Web site that offers television shows and movies, is now the third most-watched Internet video destination, according to comScore. Hulu, whose owners include News Corp. and NBC Universal, is surpassing Yahoo and now ranks behind video leaders YouTube and MySpace. Facebook Gets Serious; CEO to Wear Necktie Bloomberg Facebook is on a "clear path to be cash-flow positive next year," says COO Sheryl Sandberg. One indication that 2009 is an important year: Mark Zuckerberg, the company's 24-year-old founder and CEO, has committed to wearing a tie everyday to the office, she adds. MySpace to Move Away From Social Networking? The Wrap With its new management team, News Corp.'s MySpace "looks more like a media and entertainment portal," observers say. If MySpace comes to define itself that way, the site could incorporate social networking like Facebook, but with a focus on "consuming entertainment." Twitter Users Don't Stick Around, Nielsen Says AFP More than 60% of Twitter users stop using the microblogging service a month after joining, according to Nielsen Online. "Twitter has enjoyed a nice ride over the last few months, but it will not be able to sustain its meteoric rise without establishing a higher level of user loyalty." Google's Book Deal Eyed by Justice Dept Reuters The U.S. Justice Department is making inquiries about a deal that Google struck giving it the right to digitize and sell entire libraries. A plan to let readers to search through millions of copyrighted books online will allow Google alone to digitize so-called orphan works. Google Starts Twittering News Headlines InformationWeek Google is launching a feed on Twitter to deliver Google News headlines. The move underscores the Internet search giant's interest in moving news delivery from the five-minute auto-refresh cycle of the Google News page to something closer to the broadcast model. Google Launches a Feature Similar to Digg CNET Google is unveiling "What's Popular," a Web page plug-in that can give iGoogle home-page users a service similar to one offered by Digg. Google's own servers select links and blend them with those submitted by users, who vote their approval or disapproval. Google Preps 'High-Quality' News Service The Wrap Google plans to roll out a system that will bring high-quality news content to users without them actively looking for it, according to CEO Eric Schmidt. Users will be automatically served the kind of news that interests them. Google will sell advertising against premium content. Mixx.com's 'Sifter' to Go Beyond the News Washington Post Mixx.com hopes to persuade consumer product developers to draw on "the wisdom of the Web" as it launches a service, called Sifter, that pairs its community of news junkies with companies wanting to bounce ideas off an audience -- basically, an online version of focus-group testing. MySpace Names Former MTV Exec as Officer Reuters News Corp. is hiring two digital media veterans to fill top roles at MySpace after a management shakeup last week. Former Userplane staffer Michael Jones will become COO, while ex-MTV Networks digital head Jason Hirschhorn will become chief product officer. Amazon Buys Maker of iPhone E-Book Reader InformationWeek Amazon.com is acquiring Lexcycle, maker of the Stanza electronic book reader for the iPhone and the iPod Touch. Stanza is a free application that has had more 1 million downloads and provides access to a variety of online e-books stores, including Barnes and Noble's. Google CEO Schmidt to Join Obama's Team Reuters Google CEO Eric Schmidt is being appointed to President Obama's Council of Advisors on Science and Technology. The 20-member group consists of leading U.S. scientists and engineers who will help the president formulate policy in areas concerning technology and innovation. Google Eyes Bigger Audience in Arab World Financial Times Google hopes to provide the tools that will help users to increase the amount of Arabic content online. A regional engineering team, based in Switzerland, is adapting existing Google products to the Arabic language while also developing new, customized products. YouTube Won't Get Video Ads, Report Says Dow Jones The online video advertising market will see most of its growth fueled by traditional television players, such as CNN, ESPN and Hulu, according to a new report by Magna. Traditional advertisers are still reluctant to be associated with the user-generated videos on YouTube. Comcast Declines to Bid for Joost Video Site Associated Press Online video site Joost is shopping itself around to different cable TV operators, but at least one, Comcast, is said to have declined to buy it. Comcast owns a competing online video site called Fancast. Time Warner Cable is in talks with Joost for a possible acquisition. Facebook Opens to Third-Party Developers Wall Street Journal Facebook is expected to open up core parts of its site to third-party developers so that they can build new services. The move means developers can build services that access the photos, videos, notes and comments users upload to Facebook, with users' permission. Twitter a Global Sensation, Hitwise Says AFP With celebrities such as Ashton Kutcher and Oprah Winfrey helping fuel Twitter mania, the micro-blogging site is soaring to stardom around the world, according to Hitwise. "Ashton and Oprah seem to have had an impact in all countries; Twitter is a truly global phenomenon." YouTube May Help 'Bring Down' Internet Telegraph Computers will freeze and drop offline with increasing regularity as the Web's outdated infrastructure struggles to cope with the surging popularity of bandwidth-hungry video sites, analysts warn. YouTube reportedly uses as much bandwidth as the entire Internet took up in 2000. Yahoo Chief of Communications to Depart Wall Street Journal Brad Williams, Yahoo's head of communications, is leaving the company. The move is the latest management shakeup orchestrated by new CEO Carol Bartz, coming just days after Yahoo posted a sharp drop in earnings and said it would cut nearly 700 positions. AOL Launches 'Newsmagazine' PoliticsDaily TechCrunch AOL's new political news site, PoliticsDaily.com, will provide original content, from long-form analysis to blog posts on issues in U.S. politics. Led by former New York Times Washington correspondent Melinda Henneberger, PoliticsDaily will offer contributions by top political journalists. Facebook Vet Van Natta Named MySpace CEO Wall Street Journal News Corp. is announcing that it has hired former Facebook exec Owen Van Natta as CEO of MySpace, as the company accelerates efforts to reinvigorate its social networking site. Van Natta helped spearhead Facebook's expansion into a legitimate business. MySpace's Ills Shared by Facebook, Twitter USA Today MySpace's management shakeup this week underscores the pressure faced by social media: turning popular sites — including Facebook and Twitter — into money-making ventures. "New investors are asking for a proven business plan. Ad-based business models are out of favor." AOL's New Plan: Content, Content, Content BusinessWeek AOL's MediaGlow unit, which oversees the Internet firm's content sites, is betting on a huge traffic advantage to make its properties a success. AOL already publishes 70 low-cost content sites (Asylum, TMZ) and plans to launch at least 30 more in 2009. Google Brings Product Search to Handhelds InformationWeek Google is extending its Product Search service to the Android operating system and Apple's iPhone. Users of mobile devices will be able to access product pricing and other data. The move fits in with Google's goal to extend its advertising platform to mobiles. Yahoo to Pull the Plug on GeoCities Service Reuters Yahoo is shutting down GeoCities, a free service that hosts personal home pages for consumers, which it acquired for more than $4 billion 10 years ago during the dotcom boom. The move comes a few days after Yahoo announced plans to lay off nearly 700 workers. Microsoft Posts First-Ever Revenue Decline Bloomberg Microsoft is reporting its first revenue decline since the world's biggest software maker went public in 1986. Microsoft is reaffirming plans to eliminate as many as 5,000 jobs by the middle of 2010, with the goal of saving $1.5 billion annually in operating expenses. Amazon Net Profit Up; Kindle Sales Praised AFP Amazon is announcing a 24% increase in quarterly net profit and says sales of its electronic book reader, the Kindle, are exceeding its "most optimistic expectations." Amazon released a new Kindle 2 during the first quarter. The company is not providing sales figures for the device. BlackBerry: Obama to Get 'Secure' Device Washington Times President Obama will soon get a souped-up, high-security BlackBerry device. The top-secret BlackBerry 8830 is being developed by the National Security Agency. The president was forced to give up his previous BlackBerry after Inauguration Day, amid security concerns. Netflix Sees Record Growth in Subscribers Los Angeles Times The bottom may be falling out of the DVD market for Hollywood, but not at Netflix. The DVD rental firm is setting a record for subscriber growth — blowing past the 10-million-customer mark — and reporting that first-quarter profit is up almost 70% from the same period last year. RealNetworks, Hollywood in Battle Over DVDs Associated Press Hollywood and RealNetworks are set to square off in court on Friday. The major film studios argue that RealNetworks' DVD "ripper" is an illegal digital piracy tool. RealNetworks, however, insists that its software that allows DVDs to be easily copied is legitimate. Online Privacy Bill Eyed by House Members ClickZ U.S. House members plan to draft new legislation regarding online privacy. A House subcommittee is meeting to address concerns regarding privacy implications of behavioral ad targeting technologies. The very idea of behavioral ad targeting is "alarming" to politicians. News Corp: MySpace Founders to Step Aside Wall Street Journal MySpace founders Chris DeWolfe and Tom Anderson are leaving the helm of the pioneering social-networking site, as owner News Corp. seeks to reinvigorate the once-hot property. News Corp. is said to be eyeing former Facebook COO Owen Van Natta as MySpace's new CEO. Facebook Use Surpasses Email, Nielsen Says TheDeal In the last year, people somehow found a way to spend 73% more time on Facebook and other social networking sites, according to a new report from Nielsen. In February, Nielsen says, people used social network sites more than they used Web-based e-mail for the first time ever. Hulu, Labels in Talks on Music-Video Site Bloomberg Hulu, the video site owned by NBC Universal and News Corp., is said to be in talks with the world's largest record labels to offer music videos in competition with Google's YouTube. Hulu plans to compete with Vevo, the music service planned by Universal Music and YouTube. YouTube to Get More Social with 'RealTime' TechCrunch YouTube is about to become even more viral. Google's video site is testing a feature dubbed YouTube RealTime, which allows users to see which of their friends are currently online and the videos they are watching. Users receive updates as their friends discover "cool" videos. IAC's Diller in Talks to Sell Very Short List New York Post Barry Diller is said to be shopping the "hipster" tip sheet Very Short List. The media mogul's IAC is in talks with several potential buyers, including Bob Pittman's The Pilot Group and New York Observer owner Jared Kushner. The small business "likely won't fetch a substantial sale price." Microsoft: MSN to Take On TMZ, E! Online InformationWeek Microsoft is launching a service that allows users of its MSN portal to create a home page dedicated to the goings-on around Lindsay Lohan, Britney Spears and other celebs. Microsoft in the future plans to offer home pages customized around other topics. Wikipedia Gets Its First Corporate Partner Wall Street Journal The nonprofit Wikipedia is entering its first content partnership with a major company, Orange, the European telecom brand of France Telecom. The deal will allow Orange to develop Wiki channels on its mobile and Web portals, as well as new services around Wikipedia content. Internet Has Only Just Begun, Founders Say AFP The full impact of the Internet will only be realized when far more people go online, its founders say. "The future is still so much bigger," says Tim Berners-Lee. Internet use will increase as mobile access takes off, adds Vinton Cerf. "We will have more speed, more appliances." Apple iPods, iPhones See Big Surge in Sales Los Angeles Times Shrugging off a bad economy, Apple is reporting a 15.2% jump in profit and an 8.6% uptick in revenue for its first quarter, juiced by sales of its iPhones and iPods. Consumers' jitters did not prevent them from buying millions of the iPod Touches, which sell for $229 to $399. Amazon Kindle Sells for Nearly Double Its Cost NewsFactor Amazon.com's Kindle 2, an electronic book reader available from the online retailer since late February, retails for almost double what it costs to build the device, according to iSuppli. Its analysis service says the Kindle 2 retails for $359 but only costs $185.49 to build. Hollywood Bloggers, Twitterers Vie for Power New York Observer Twittering actors and industry bloggers are threatening the role of the once mighty Variety as the premier source for Hollywood news. Nikki Finke's blog is "the one to beat right now." Still, actors, directors and producers are bypassing the press — and blogs — via Twitter feeds. Google 'Profiles' to Rival Facebook, Twitter USA Today Google is introducing Profiles, a service that allows people to create personal profiles that will turn up during Web searches for their name. The service is seen as Google's attempt to take on Facebook and Twitter. "This improves Google's relevancy in people search." Yahoo to Cut 700 Jobs; Eyes Google Fight Associated Press Yahoo will lay off nearly 700 workers after getting off to a bumpy start under new CEO Carol Bartz, who promises to engineer a long-awaited turnaround. Yahoo is said to be getting closer to forging an Internet advertising partnership with Microsoft to fight Google. News Corp Exploring MySpace CEO Options TechCrunch MySpace CEO Chris DeWolfe and co-founder Tom Anderson are reportedly paid an aggregate of $30 million a year. Their contract with News Corp. expires this October and must be renegotiated soon. A top headhunting firm is said to be scouring for possible replacements. Amazon to Offer Movies, TV Shows in HD Associated Press Amazon.com says it is adding high-definition video to its on-demand service, allowing consumers to rent movies and purchase television episodes shown in HD. "Our customers have been asking us for two things: HD and the ability to watch movies and TV shows instantly." Global Music Sales Declining, Led by U.S. Reuters Global recorded music sales fell by more than 8% in 2008 to $18.42 billion, led by a sharp drop-off in the United States, according to the world music trade body IFPI. The music industry is facing the transition by consumers to cheaper digital song formats and rampant piracy. Amanda Congdon Resurfaces at Flo TV Hollywood Reporter Amanda Congdon, who emerged as the face of indie Internet darling Rocketboom before going on to digital initiatives at ABC and HBO, is resurfacing at Flo TV, the live mobile TV service from Qualcomm. Her series, "Sometimes Daily," serves up quirky commentaries. Craigslist Founder to Speak at Victim's Tribute Star Tribune Craigslist founder Craig Newmark will be on hand to speak at a tribute in Minneapolis for Katherine Ann Olson, a 24-year-old woman who was murdered after she answered a job posting on the classified site. Newmark is described as "really supportive of the Olson family." Drudge Goes 'Underground' to Escape Media New Republic Matt Drudge, the infamous man behind Drudge Report, is said to be keeping a low profile nowadays. Those who know him say that part of the reason he has disappeared from public view is that he is bothered by the news media's interest in his personal life. "He sees it as nonsense." Blog Credibility Ranking System Is Coming Ars Technica Researchers at the Know-Center in Austria are working on a software program that analyzes the language used on blogs in order to rank them as highly credible, having average credibility or "little credible." The code compares blog topics against articles in mainstream news. Google Refines Search for News, Images AFP Google is unveiling software tools that let people search the Internet using pictures or chronologically organize results of queries for news. The new News Timeline amasses stories from newspapers, magazines and blogs and presents search results in chronological graphs. Google, Twitter Execs Dispatched to Iraq CNN The U.S. State Department is sending a delegation of execs from AT&T, Google, Twitter and YouTube to Iraq to help grow the country's emerging new media. The execs will meet with Iraqi officials and groups in an effort to "empower local entities and individuals." Digg Severs Ad Contract with Microsoft CNET Social-news site Digg is ending its advertising partnership with Microsoft more than a year before their contract is due to expire. Instead of relying on Microsoft as its exclusive ad partner, Digg will now primarily use the internal sales force it recently began building. Blogging: America's 'Newest Profession' Wall Street Journal More Americans are said to be making their income from blogging than from working as computer programmers, firefighters or bartenders. More than 20 million Americans are now blogging, with 452,000 of those using blogging "as their main source of income." Google CEO Talks of Internet Domination PC Magazine While Google sends readers to newspaper Web sites, that traffic might not make up for the loss of revenue from print, admits CEO Eric Schmidt. But "that's probably not a problem we can solve." He adds: Google has an internal policy on "how to be good while being big." Obama Names First Chief Tech Officer Washington Post President Obama is naming Virginia technology secretary Aneesh Chopra to be the nation's first chief technology officer. "Aneesh will promote technological innovation," Obama says. Chopra is a former head of the Advisory Board Company, a health-care think tank. Hulu iPhone App Said Coming Soon SAI Hulu is said to be in the process of developing an app for Apple's iPhone and iPod touch. The app is believed to be coming within a few months and is "badass" -- as excellent as Hulu's Web site. The app could help sell iPhones, iPod touches and AT&T subscriptions. YouTube Begins Roll Out of Redesign ClickZ YouTube is beginning the first phase of a redesign that will highlight its gradually expanding library of premium shows and movies. The changes are motivated largely by the need to enhance YouTube's appeal to advertisers, and to increase the available quantity of its in-stream ads. Adobe in Push to Spread Web Video to TV New York Times Adobe Flash, a standard for online video, is to be extended to the television screen. TVs and set-top boxes that support the Flash format are expected to start selling later this year. A single format means Hollywood studios can create their entertainment for multiple digital formats. Kutcher vs CNN Leaves Oprah Atwitter Reuters / Mediaweek A week of Twitter mania culminated on Friday with actor Ashton Kutcher winning a popularity contest against CNN on the Web platform and Oprah Winfrey sending her first "tweet." Also: Lamar Advertising volunteered to post "follow Ashton Kutcher" on its network of outdoor billboards. Jossip Blog Folds After Unsuccessful Sale ASSME Blog publisher David Hauslaib is said to be folding his flagship media-and-celebrity gossip site Jossip. The site's two editors, Cord Jefferson and Drew Grant, are being let go. The blog has been for sale for more than a year, and Conde Nast was once rumored to be circling. Media News Site by Abrams Preps Launch New York Post Dan Abrams, the former MSNBC host, plans to launch Mediaite.com, which he says will, in addition to aggregating news from the mainstream and online press, essentially "watch the watchers." Abrams hopes the Web site will serve as a calling card for his new consulting firm. Facebook Closing In On MySpace In U.S. MediaPost / NMA Facebook added about 4 million U.S. visitors in March to reach 61.2 million and close within 9 million of social-network leader MySpace, according to comScore. Also: Facebook founder Mark Zuckerberg is encouraging users to vote on how they want the site to be run. Amazon.com: Kindle Sales Beat Estimates Bloomberg Demand for the Amazon.com Kindle electronic reader is exceeding the company's "most optimistic expectations," says CEO Jeff Bezos. The Kindle, which sells for $359, can hold up to 1,500 books. More than 250,000 titles are available for the device. Pirate Bay Crew Ordered to Pay Big Media CNET The four Swedish founders of The Pirate Bay site are being sentenced to a year in jail for helping consumers illegally download online music and films. The defendants are also being ordered to pay $3.6 million in damages to subsidiaries of News Corp., Time Warner and Sony. Google 'Feeling' Weak Economy; Talks Twitter Dow Jones Google is "absolutely feeling the impact" of the weak economy, says CEO Eric Schmidt, but the Internet giant's first-quarter results demonstrate the company's resilience. Schmidt adds that he is interested in pursuing an advertising deal with the "incredibly useful" Twitter. YouTube to Run Movies, TV Shows with Ads Ars Technica Watch out, Hulu: Google is partnering with Sony, CBS, MGM and other major movie studios to stream full-length films and television shows for free on YouTube. The movies will be supported by advertising, and the ad revenue will be shared with the content owners. Yahoo Ready to Sell Job Site, Other Units Financial Times Yahoo is said to be seeking buyers for its employment site HotJobs. Yahoo acquired HotJobs in 2001 for $436 million. Yahoo is expected to announce what divisions are for sale, along with hundreds of job cuts, when it reports earnings on Tuesday. Twitter CEO to Appear on 'Oprah' Friday CT / THR / NYT Twitter CEO Evan Williams will be a guest on "The Oprah Winfrey Show" on Friday, along with "Twitter star" Ashton Kutcher. Winfrey is poised to post her first tweet during the show. Also: CBS is using Twitter to announce a series renewal. Plus: Twitter "is not looking to sell itself." Facebook Valuation Rumors Swirling Again CNET Facebook CEO Mark Zuckerberg is said to have rejected a fresh round of funding that would have valued the company at $4 billion. Another source says that one potential investor submitted a term sheet for a valuation of around $2 billion. Facebook is declining to comment. AOL: Time Warner Gets OK for Sale, Spin-Off Reuters Time Warner's bondholders have agreed to change the terms of their debt contracts, removing restrictions on a sale or spin-off of its beleaguered Internet unit AOL. Time Warner CEO Jeff Bewkes has said he is examining options for the future structure of AOL. Google Increases Its Dominance in Search Reuters Google took its widest-ever lead in the U.S. search market in March, with a 63.7% share, according to comScore. Yahoo saw its U.S. search share inch downwards to 20.5%. Ask and AOL each saw slight monthly declines, with 3.8% and 3.7% shares respectively. Yahoo Plans to Cut Several Hundred Jobs Bloomberg Yahoo is said to be planning job cuts that could affect several hundred employees. The cuts would be the first under new CEO Carol Bartz. The last round of job cuts, affecting about 1,600 workers, came in late 2008. Yahoo is grappling with a slump in online advertising. Universal Music, YouTube in Video Deal Financial Times Universal Music and YouTube are finalizing plans for a premium music video site, a landmark agreement between the largest record label and the Google-owned video site it had once threatened to sue. Vevo, the planned new service, is to launch later this year. EBay to Buy Gmarket Online Marketplace MarketWatch EBay says it will pay up to $1.2 billion to buy Gmarket, the largest online marketplace in South Korea, in a move to expand its Asian operations. Also: EBay plans to spin off Skype, the Web telephone service, in an IPO. The online auctioneer plans to focus on its "core businesses." Twitter Growth Surges Thanks to Media InformationWeek Twitter's popularity surged in March to 9.3 million, according to comScore, thanks in part to constant news stories about the microblogging site's increasing popularity. "It seems you can't get through a typical newscast anymore without some mention of Twitter." Yelp: Businesses May Respond to Reviews CNET Yelp is rolling out a feature to allow business owners to respond to user reviews -- both good and bad -- of their establishments. The local reviews site is aiming to give businesses a way to provide feedback in a public forum. Comments are to be "pleasant and useful." Internet to Overtake TV in Europe Next Year Brand Republic The Internet will overtake broadcast television as Europe's most consumed form of media in June 2010 if current growth trends continue, according to research by Microsoft. Internet consumption in 2010 will average 14.2 hours per week, compared to 11.5 hours a week for TV. YouTube Sees Improvement in Video Ad Sales Advertising Age YouTube is selling advertisements against about 9% of its video views in the U.S., up from just 6% a year ago. In fact, Google's video site is selling ads against more videos than its nearest competitor -- MySpace parent Fox Interactive Media -- has total views. Facebook's Ad Pitch: 200M 'Active' Users CNET Facebook COO Sheryl Sandberg, in her address at the AdAge Digital conference, notes that the social network has reached the milestone of 200 million "active" users worldwide. Facebook's "active network" is bringing about a "dramatic shift in how people are communicating." Twitter Use Soaring Among Older Adults USA Today Worldwide visitors to Twitter neared 10 million in February, up 700% in a year, reports comScore. Adults 35 and older are leading the trend. Specifically, 45-54 year olds are 36% more likely than average to visit Twitter, as many businesses sign up to use the service. Facebook, Twitter Users Showing 'Fatigue' Associated Press Some young people are starting to feel conflicted about staying in constant contact through social media outlets. "With Facebook, LinkedIn, Plaxo and Twitter, young adults struggle to keep up to avoid the consequences -- being left out of the loop or becoming irrelevant." FunnyOrDie.com Nabs Disney Star for Video Associated Press In a new comedic Web video, Zac Efron hosts a star-studded pool party that dissolves quickly when his rude uncle arrives. The Disney "High School Musical" star did the video for FunnyOrDie.com, the video site co-founded by Will Ferrell. The clip is said to be rapidly turning viral. Barnes & Noble to Develop E-Book Device TheStreet.com Barnes & Noble, the No. 1 U.S. bookstore chain, is working on creating an e-book device that would compete with the Amazon.com Kindle and the Sony Reader, according to one wireless insider. Barnes & Noble recently bought e-bookseller Fictionwise for $15.7 million. Yahoo Eyes Facebook in Social Redo of Sites Reuters Social networking features available on sites like Facebook will soon become part of many of Yahoo's sites. The Yahoo home page, Flickr and the Internet company's other products will add social media elements, including a common user profile, to tie the properties together. Twitter Takes Equity Stake in 'Brand Broker' New Media Age The new firm Twitter Partners aims to help brands and media companies harness the power of the microblogging site. Twitter Partners is being endorsed by Twitter itself, which is said to be taking an equity stake in the outfit. The firm helps "broker brands" onto Twitter. Apple App Store: Traditional Media is a Bust Mediaweek No apps from publishers like the New York Times or broadcasters like CBS appear in the top 25 downloaded apps in the Apple App Store, where external developers launch programs or tools for iPhone users, says a report by comScore. Games dominate in Apple apps. 'Wolverine' Actor Jackman Condemns Piracy Reuters Hugh Jackman, the star of "X-Men Origins: Wolverine," says he is "heartbroken" that the 20th Century Fox film has been leaked on the Internet almost a month before its premiere. "Obviously people are seeing an unfinished film. It's like a Ferrari without a paint job." Google CEO Sees Ad-Driven Media Future WSJ / DJ Google CEO Eric Schmidt, speaking at the Newspaper Association of America conference, says he foresees media services mixing professional content with user-generated material. Online newspapers, he adds, will be supported by subscriptions, micro-payments and advertising. Google Eyed by AP, WSJ in Online Standoff CNET The Associated Press and the Wall Street Journal are taking shots at Google and other sites that aggregate the news. The AP vows to take legal action against sites that "walk off with our work." Meanwhile, WSJ top editor Robert Thomson describes aggregators as "parasites." Sony, YouTube in Talks Over Feature Films CNET YouTube is said to be in talks to acquire licensing rights to full-length content from Sony Pictures, home of such films as "The International" and "Spider-Man." Google's video-sharing site appears to be aiming to become a player in Hollywood as online video is booming. Amazon Kindle Readers Protest E-Book Prices Wired Some 250 readers of the Kindle are using Amazon.com's own book-tagging system to mark e-books priced more than $10 with the tag "9 99 boycott." Their argument: A Kindle book is more restricted in its use than a paper book and therefore should not cost as much. Glam Raises $10M for International Expansion San Francisco Business Glam Media is raising a $10 million round from Mizuho Venture Capital that it will use to grow in the United States, Japan and Germany. The content distributor is also announcing a joint venture between various Japanese media outlets and Glam Media Japan. Google's Twitter Talks Seen as Defensive New York Post Google's talks with Twitter are seen as a defensive play aimed at forming an alliance with the microblogging service before it starts eating into the Internet giant's search advertising business. Twitter boss Biz Stone says that the firm's goal is to remain "independent." Twitter 'Will Never' Find a Business Model Barron's Bernstein Research analyst Jeffrey Lindsay says that Google should steer clear of Internet start-ups with no visible signs of support and instead give back the cash to shareholders in a once-a-year dividend. Twitter "will never have a viable business model." YouTube to Lose Nearly $500M This Year WebProNews Google's YouTube could lose $470 million in 2009, according to a report from Credit Suisse. The video-sharing site is estimated to generate $240 million in revenue this year. However, various expenses, especially pricy bandwidth costs, could add up to $711 million. Google to Face Trademark Trial Over Ads Wall Street Journal Google will have to defend itself against a trademark lawsuit over advertisements linked to certain keyword searches, says a new U.S. appeals court ruling. If the court adopted Google's argument, search engines could use trademarks "in ways designed to deceive." Report: Google in Talks to Acquire Twitter TechCrunch Google is in "late stage" negotiations to acquire Twitter for more than $250 million, according to two sources. Another source says that the talks are in the early stage, and the two companies are also considering collaborating on a "real time search engine." Facebook Revolt Leads to Site 'Democracy' New York Following a user backlash to changes in its terms of service, Facebook will allow its community to vote on a revised document during the week of April 20. The social-networking giant "is walking a fine line of keeping the trust of its members, and wanting to exploit them for profit." TMZ Looks to Expand Its Role in Washington Reuters Time Warner celebrity site TMZ.com is expanding its coverage of Washington, D.C., and attempting to put a new face on U.S. lawmakers. TMZ mastermind Harvey Levin is looking to hire a second D.C. staff member who will give politicians the TMZ "star treatment." YouTube Blocks Music Videos in Germany AFP YouTube is blocking music videos from recording firms on its German platform, in a move similar to an action the video-sharing site took in Britain two weeks ago. Licensing deal talks between YouTube and GEMA, a body representing German artists, are said to have collapsed. Yeoh Video Site Cuts Jobs, Names New CEO AFP Veoh is reportedly axing 25 workers and the remaining staff will be fewer than 50 people, as the Internet television firm announces plans to focus on its online video search capabilities under founder/new CEO Dmitry Shapiro. Veoh's backers includes Time Warner. Twitter, Federated Web Site Gets Spiked ClickZ MarchTweetness.com -- a new college basketball-themed mash-up from Twitter, online advertising firm Federated Media and sponsor AT&T -- is being taken down at the insistence of the National Collegiate Athletic Association, which objects to the use of its copyrights. YouTube, 'SNL' Take Home Peabody Awards Associated Press YouTube, NBC's "Saturday Night Live" and the Onion News Network are among the recipients of 2008 Peabody Awards, presented by the University of Georgia's Grady College of Journalism and Mass Communication. The winners "clearly indicate a changing media environment." AOL Expected to Test New CEO Armstrong Dow Jones Wall Street skeptics are questioning whether Tim Armstrong's experience selling Google's best-of-breed search advertising products has prepared him for the challenges he will face in reviving AOL as the Time Warner unit's new CEO. At AOL, "he'll have to roll up his sleeves." News Corp Names Miller as Digital Chief Reuters News Corp. is officially naming former AOL CEO Jon Miller to supervise the media conglomerate's digital strategy. Rupert Murdoch's media company also says that 20-year veteran Peter Levinsohn will be the head of new media and digital distribution at Fox Filmed Entertainment. Tech Spend to Fall More Than Post-Dotcom Reuters Global information technology spending will fare worse in 2009 than during the dotcom bubble collapse of 2001, says industry research firm Gartner. A worsening global recession is discouraging corporations and consumers from spending to get the latest in technology. Teens Cut Spending on Online Music Sites Bloomberg U.S. teenagers, a bellwether customer for the record industry, bought 19% less music last year and instead turned to free alternatives like MySpace, according to NPD Group. The music industry is "being challenged anew by slowing digital sales among teens." 'Google Killer' Wikia Search is Killed Off CNET Wikia is closing down its Wikia Search product. The service was intended to be a user-generated search engine, through which users could influence the rankings of results. Founder Jimmy Wales says Wikia needs to "do what we need to do to get to profitability." Facebook CFO to Depart Amid IPO Talk Wall Street Journal Facebook CFO Gideon Yu is leaving the Internet company. Yu, who joined Facebook in 2007, is the latest in a string of execs to depart the leading online social network. His exit is likely to renew speculation that Facebook is stepping up plans to go public. Twitter Means No More Closed Movie Sets Hollywood Reporter Hollywood film sets are more transparent, thanks to Twitter. Both actor Ashton Kutcher and director Robert Luketic are issuing dozens of tweets a day from the set of their film "Five Killers." Twitter offers an "unvarnished" look at filmmaking. "It has promotional benefits." MySpace, Citysearch Team for Local Ads CNET News Corp.'s MySpace is partnering with IAC's Citysearch to launch MySpace Local, a small business directory that allows the MySpace community to review and rate local businesses. The venture will present more opportunities for local advertising. Google Offering Free Music in China AFP Google is launching a music search service in China that offers free downloads of songs supported by advertising. Through a partnership with China's Top100.cn, Google is offering more than 1.1 million songs from record labels including Warner, Sony, Universal and EMI. Google: $100M for Venture Capital Fund Wall Street Journal Google is expected to announce details of its new venture capital fund, Google Ventures, including a $100 million investment in the first year. The fund will be headed by William Maris, an investor and entrepreneur, and Rich Miner, former manager of Google's mobile platforms group. Twitter Hires Former Google Designer CNET Douglas Bowman, Google's former visual design leader, is landing a new gig as creative director for Twitter. Bowman will replace Twitter co-founder Biz Stone, who was acting as the microblogging site's creative director. Twitter's design "needs a lot of work," says Stone. Disney Pacts with YouTube; Hulu Deal Near Bloomberg Disney is entering a deal to put video clips from ABC and ESPN on Google's YouTube in an advertising-revenue sharing arrangement. Disney also is near an agreement to take a stake in rival video portal Hulu, whose owners include NBC Universal and News Corp. YouTube Eyes Hulu in Planned Redesign ClickZ YouTube will soon unveil a redesign that separates its professional content from amateur videos. YouTube is also redesigning its video player to resemble the video experience on NBC Universal-News Corp.'s increasingly popular Hulu. "It's totally a Hulu approach." Microsoft CEO: Media Person of the Year Adweek Microsoft boss Steve Ballmer will be honored as the Media Person of the Year at the 56th Cannes Lions International Advertising Festival in June, for his influential role in media. (Arianna Huffington was voted I Want Media's Media Person of the Year for 2008.) Associated Content Hires Google, CBS Vet Reuters Associated Content is hiring ex-Google advertising exec Patrick Keane as CEO. Keane has also served as chief marketing officer for CBS Interactive. Associated Content lets people post their own articles and other content to the Web and make money from advertising. News Corp Hires Former AOLer for Digital DHD Jon Miller, the former CEO of Time Warner's AOL, is joining News Corp. in a newly created role as CEO of digital media, reporting to chief Rupert Murdoch. Peter Levinsohn, the head of News Corp.'s Fox Interactive Media, will return to the Fox studio with a promotion "in a big job." MySpace Shrinks as Rivals Grab its Users Guardian Rupert Murdoch's MySpace, the site once synonymous with social networking, is suffering a drop in visitor traffic and is now less than half the size of its younger rival, Facebook. Twitter is among the latest online novelties grabbing users' attention. Video Game Makers Threatened by Internet New York Times The proliferation of free or low-cost video games on the Internet and for phones is limiting how much the major game publishers can raise prices. It is also diverting attention from the game consoles, like Sony's PlayStation 3. The business model "as it exists is dying." Web 2.0 Expo Mantra: 'The Power of Less' San Francisco Chronicle Economic uncertainty will be a central theme at Web 2.0 Expo, a four-day Internet conference that starts Tuesday in San Francisco. This year, the theme is "The Power of Less." Venture capitalists are now balking at funding social media sites that use buzzwords like "sharing." IAC: CollegeHumor Buys Sports Satire Site MinOnline IAC property CollegeHumor is acquiring the sports satire site SportsPickle for an undisclosed sum. The purchase puts the popular CollegeHumor portfolio of comedy content into the sports vertical. Barry Diller's IAC already encompasses 35 Internet businesses. The Knot to Unveil 75 Localized Web Sites Wall Street Journal The Knot, the wedding Web site, is launching 75 localized sites in the hopes of reaching brides-to-be across the U.S. Brides are best served by content available in their specific location, says CEO David Liu. The Knot plans to have some 200 such sites by the end of the year. Google Aims to Connect Ads for TV, YouTube Wall Street Journal Google is developing technology to connect its television-advertising brokering business to YouTube and eventually video on other Web sites. The Internet giant sees an opportunity to wrest business from traditional TV-ad sellers such as stations and cable companies. Google Dumps 200 Jobs in Largest Layoffs Associated Press Google is jettisoning nearly 200 workers in its largest round of layoffs yet, demonstrating that even highly profitable companies are feeling the recession's pinch. The Internet giant is curbing costs as businesses reduce spending on online advertising, its main revenue source. Facebook Seeking More Money Amid Growth BusinessWeek Facebook is said to be trying to secure some $100 million in debt financing to help cover leases for the growing number of computers it needs to operate. The social network's user growth carries huge tech costs; Facebook is now the world's largest photo-sharing site. Twitter Launches Second Feed with Federated VentureBeat Federated Media is unveiling MarchTweetness, sponsored by AT&T. The aggregation of tweets devoted to NCAA college basketball's "March Madness" is the second Federated Media-Twitter program, following on the heels of Monday's launch of ExecTweets. New Media is 'Overwhelming' to Young People Associated Press "Ambivalent Networkers" -- primarily males in their late 20s -- admit to being glued to their mobile devices. Still, they would like to "take a break" from all the new technologies, says a study by the Pew Internet and American Life Project. Technology "feels like an obligation." AT&T, Comcast Reveal Efforts to Fight Piracy Billboard AT&T and Comcast are announcing their initiatives to work with the music industry to combat online piracy. The Internet service providers are sending letters to identified customers informing them that infringement has taken place on their account -- but with no action outlined. Google, YouTube Attacked Over Music Royalties NME U.K. music acts are striking back against the removal of music videos on YouTube because of a disagreement over royalty rates. ABBA's Bjorn Ulvaeus is among the artists launching Fairplayforcreators.com. Google and YouTube are called "huge money making machines." Hulu Appoints Exec for Global Expansion Move Wall Street Journal Hulu is stepping up its global initiatives to lure audiences and advertising overseas. The NBC Universal-News Corp. video site is naming Johannes Larcher as senior VP of international. Larcher must work with content providers to negotiate global rights for each video. Twitter Preparing to Offer Premium Accounts San Francisco Business Twitter co-founder Biz Stone says that the company is hiring a manager to develop accounts for businesses that will have more features but cost a fee to use. Stone did not disclose a launch date. Twitter is growing rapidly, but is yet to specify how it will make money. Federated Media Sees Relationship with Twitter ClickZ The Microsoft-sponsored ExecTweets, Twitter's first association with an advertiser, is an experimental project developed with online advertising outfit Federated Media. FM says it expects to build a "long fruitful relationship" with Twitter that will incorporate "many brands." Google CEO, Founders Lose Nearly $26 Billion Associated Press Although Google CEO Eric Schmidt and co-founders Larry Page and Sergey Brin remain among the world's wealthiest people, their fortunes plunged by a combined $25.8 billion in 2008, as investors began to fret that the Internet giant would be hurt by the faltering economy. YouTube Blocked in China After Protest Video Bloomberg Google's YouTube is inaccessible in China for a second day after Tibet's government-in-exile released video it says shows Chinese police beating protestors. YouTube is working to resolve the shutdown. The government says that it "manages the Internet according to law." Hulu Nears First Anniversary Showing Gains USA Today One month shy of its 1-year-March anniversary, video site Hulu is joining the top five top video sites, says researcher ComScore Media Metrix. Google's YouTube still reigns at No. 1, but Hulu is seeing the largest boost in viewers, growing 42% from January to February. Google Backs Ad Startup by Netscape Execs Bloomberg Pixazza, an online advertising company started by former Netscape execs Bob Lisbonne and James Everingham, is raising $5.75 million in funding for a service that lets consumers click on products within pictures. Backers include Google and Facebook finance chief Gideon Yu. Twitter Investor is 'Pretty Fired Up' About '09 Bloomberg Institutional Venture Partners, the investor that gave Twitter $14 million last month, plans to pump up to $150 million into digital-media, wireless and information-technology companies this year. "We're pretty fired up about 2009 and 2010," says partner Todd Chaffee. Glam Media Seeks to Profit from Twitter Chatter Wall Street Journal Companies are trying to profit from Twitter's popularity by experimenting with business models that incorporate parts of the microblogging service. Glam Media plans to announce a new site that will filter and package tweets according to their themes and sell ads on those pages. Google Changes Search Results for Relevancy Los Angeles Times Google is making changes to its search results pages. The search engine giant is launching a technology to better understand what people are looking for. It also will give longer snippets after the search title, with relevant words in bold. The point is to make searchers more "relevant." MySpace Music Names Ex-MTVer to Exec Team TechCrunch MySpace Music, the joint venture between News Corp.'s MySpace and the major labels to provide free streaming music, is announcing its executive team. The new execs include CTO Alex Maghen, who previously was CTO of both Yahoo Music/Launch and MTV Networks Online. Facebook Preparing to Tweak New Site Design Wall Street Journal As Facebook users remain in a huff over the site's new layout, it appears change may be coming. Facebook CEO Mark Zuckerberg suggests in an update posted to his public fan profile that he is "looking at some updated designs that include ideas from people's comments." Blockbuster to Sell, Rent Movies Through TiVo Associated Press Blockbuster plans to start renting and selling its movies and television shows through TiVo's digital video recorders. The company is playing catch-up to a similar service from Netflix. Blockbuster's offering, however, will include new releases available ahead of pay-per-view. Video Games Destined for Online Distribution Los Angeles Times A new service from startup OnLive promises to let players buy or rent the latest video games online and start playing within seconds on their television or computers. OnLive, whose investors include Warner Bros., says that disc-only games "will be the dinosaurs of the future." Google Dealmakers Adjust to Slow Times Reuters Google, which has nearly $16 billion in cash and securities in its coffers, is seen as unlikely to be out of the deal market for long. The increasing popularity of Twitter is raising speculation that Google may see a need to co-opt the service to protect its own search business. Twitter Enters Advertising with Microsoft MarketWatch Twitter is making a foray into online advertising by selling sponsorship of a designated ExecTweets site to Microsoft via Federated Media. The move is an answer to critics who note that the red-hot Twitter hasn't yet developed a business model to match its popularity. AOL to Deliver Coupons to Mobile Phones CNET Time Warner's AOL is releasing a version of its online coupons service, Shortcuts.com, optimized for mobile phones. Registered users will be able to redeem the coupons in-store without a paper receipt. Competition among mobile coupon purveyors is said to be growing. Yahoo Names New Chief Marketing Officer Dow Jones Yahoo is naming NetApp senior VP of marketing Elisa Steele to its newly created role of chief marketing officer, part of the Internet giant's push to boost its brand globally. CEO Carol Bartz is re-establishing the position after the company went two years without it. Netflix Becomes 'Friends' with Facebook Reuters Netflix is the latest media company to integrate with Facebook. Starting on Tuesday, Netflix users can use Facebook Connect -- software that links individual Facebook pages to third-party Web sites -- to share their ratings of Netflix movie rentals with their Facebook friends. YouTube Tries Bigger Ads on Home Page Advertising Age YouTube is giving Lionsgate two rich-media units and exclusivity on its home page to advertise the upcoming horror film, "The Haunting in Connecticut." The Lionsgate ad is said to be part of a $500,000 buy that includes search and display across Google's network. Twitter Primarily Used as a Business Tool vnunet Twitter has become primarily a business tool used by people in their late 20s to early 50s, according to data from market research firm Nielsen. The ability for users to access the microblogging site from a mobile phone is "a driving factor in the social network's success." Media Giants Want to Top Google Results Advertising Age Major media companies are lobbying Google to elevate their expensive professional content within the Internet giant's slush of search results. Many publishers argue that the "original source" should "somehow be recognized" over amateurs and link-happy bloggers. Google, Warner Music in Video Rights Clash New York Times Amateur video-makers are ensnared in a dispute between Warner Music and Google's YouTube over how the music company should be paid for non-professional clips that use copyrighted works. The dispute is causing thousands of videos to be yanked from the site. Yahoo Ex-COO to Become a 'Guitar Hero' AllThingsD Quadrangle Group partner and former Yahoo COO Dan Rosensweig is said to be taking over as CEO of Activision's hit "Guitar Hero" video-game franchise. Activision has long talked about turbocharging the largely retail 'Guitar Hero" business online. Hulu Adds Documentaries to Befriend Indies Broadcasting & Cable Hulu is planning a new section dedicated to documentary programming. The section will feature documentary films as well as short form content. The move will help the NBC Universal-News Corp. joint venture form relationships with independent filmmakers and studios. Twitter is Growing Really, Really, Really Fast CNET Twitter is the No. 1 fastest growing U.S. "member community destination," says a survey from Nielsen. From February 2008 to February 2009, the microblogging service clocked in a growth rate of 1,382%. Also, Twitter counts the 35-to-49 age demo as its biggest. Google: Buying Media Wouldn't 'Make Sense' Hollywood Reporter Buying a media company such as NBC or the New York Times wouldn't make sense for Google, says Kevin Yen, an exec with the Internet giant's YouTube. "Those are very different businesses from what Google is. We're not good at content. ... We create platforms." Sony, Google Partner to Battle Amazon's Kindle Los Angeles Times Three weeks after the release of Amazon.com's Kindle 2 electronic book reader, Sony says it will offer customers half a million public domain books from Google's book digitization project. The books will be available for free and searchable by title, author and topic. Analyst: Facebook Could Surpass Google by 2011 Barron's Facebook could displace Google in number of unique users by late 2011, given a annual growth rate of 85% for the social network and just 20% for the Internet search giant, says RBC Capital analyst Ross Sandler. Facebook is becoming a "starting point" for Internet users. MySpace to Become Web Starting Point, CEO Says Portfolio Within five years, MySpace will be "on virtually every site," predicts CEO Chris DeWolfe. The News Corp. social network "will be your home on the Internet, where you'll be able to get whatever it is that you're really into -- from your Gmail to your newsfeeds." TMZ Turns Its Cameras From Stars to Politicians Washington Post TMZ, the celebrity gossip site and television show, now sees politicians as targets for its roving videographers, who usually chase the likes of Jessica Simpson. Politics is fertile ground, says founder Harvey Levin. "How many stories can you do about Lindsay Lohan?" Google Names Insider as New U.S. Ad Chief Dow Jones Google is naming five-year company veteran Dennis Woodside as its head of advertising, replacing the outgoing Tim Armstrong. Woodside, who served as the company's VP for the U.K., Ireland and Benelux, will oversee the Internet giant's effort to sell search, video and graphical ads. AOL Founder Case in Return to Time Warner Washington Post AOL co-founder Steve Case is appearing at a rally to welcome new CEO Tim Armstrong to the Time Warner Internet unit. Case led the disastrous 2001 merger of AOL and Time Warner. "AOL's best days aren't behind it," he says. AOL's assets "are still phenomenal." Expedia: An Acquisition Target for Google? Reuters Google is declining to comment on speculation that the Internet search giant is eyeing Expedia, the online travel agency, as a possible takeover target. Expedia recently cut staff -- a move companies sometimes make before an acquisition to make themselves more attractive. AOL Steps Up Push Into Original News Content The Wrap AOL is moving aggressively toward becoming a producer of traditional news, hiring journalists and launching content sites, such as the forthcoming Politics Daily. The company says it aims to create "blue chip editorial brands rising out of the ashes" of newspapers and magazines. MySpace May See Big Revenue Drop, Layoffs Barron's News Corp.'s MySpace is set for some big changes, according to Pali Research analyst Richard Greenfield. Unit parent Fox Interactive Media is seeing costs increase as revenues shrink. The company will have "little choice" but to make significant job cuts. Social Networks: A Music Source for Teens AFP More Americans bought digital music last year while the number purchasing CDs declined sharply, says market researcher NPD Group. In addition, nearly half of U.S. teens listen to music on social networks such as MySpace, the study says, up from 37% in 2007. Prince Launches Online Subscription Service Billboard Prince is launching a fan subscription service called Lotusflow3r. For $77 a year, subscribers will get exclusive music, video, lyrics, artwork and photos of the musician himself. The site also might offer streaming live performances of Prince -- complete with song requests. Google News, European Press in Partnership AFP Google is entering an agreement to host news stories and photos from eight members of the European Press Agency on Google News and display ads alongside them. The news outlets are from countries including Belgium, Spain, Portugal and Switzerland. Twitter Seen Unlikely to Find Revenue Model New York Times Efforts to monetize Twitter will likely be unsuccessful, say analysts at Sanford Bernstein. Potential acquirers are advised to steer clear. The microblogging site will operate "at a loss in perpetuity, or until the next cool Web 2.0 concept comes along and Twitter tweets no more." Facebook Enjoys a 149% Increase in Traffic InformationWeek U.S. traffic on social networking sites rose in February compared with last year and Facebook's traffic more than doubled year over year, says Hitwise. Facebook's traffic jumped 149% in February. Visitors over age 35 increased on Facebook -- and decreased on MySpace. IMDb Has Goal of Streaming Every Movie CNET Internet Movie Database hopes to add one-button streaming for all of the 1.3 million titles it indexes, says founder Col Needham. While the vision will take some time to come to fruition, the site already offers 14,000 television episodes and a few thousand movies. Hulu to Debut More Prime-Time Commercials TVWeek Building on its Super Bowl advertising momentum, Hulu plans to launch another network prime-time commercials for the online video site later this week on NBC and Fox. Hulu plans to be experiment with additional interactive advertising formats later this year. Twitter Experimenting With Text Advertising TechCrunch Twitter, the subject of endless business model speculation, is starting to run house advertisements on the home page when users are logged in. The microblogging service appears to be testing the units for possible third party ads. Twitter Japan has included ads since it launched last year. Social Media Still in 'Very Early Days' for Ads Adweek Despite the hype surrounding Twitter and Facebook, advertisers for the most part spend little on social media marketing, according to a new report by Forrester Research. Social media has not yet entered the marketing mainstream. "It's very early days for most marketers." Daily News Habit Doubles Among Mobile Users TechCrunch The number of people who access news daily on their mobile phones doubled from 10.8 million in January 2008 to 22.4 million in January 2009, according to comScore. The second most popular mobile activity was social networking, with 9.3 million daily mobile users. Restaurant-Reservation Web Site to Shut Down Wall Street Journal TableXchange, a Web site that let diners buy and sell reservations at restaurants, will close after need for the service collapsed amid the economic downturn. "These days, less people are eating out," says co-founder Gabriel Erbst. The site was launched in 2007. Old Media Execs Don't Get It, AOL Chief Says MediaPost Most traditional media professionals don't understood digital media, says outgoing AOL chief Randy Falco. "Having spent two years at AOL, I would love to be able to go back to that industry knowing what I know. There are a lot of misconceptions about digital media." Google Dealt Blow by Armstrong's Departure Wall Street Journal Tim Armstrong's jump from Google to AOL could create a challenge for the Internet search giant in its effort to win big advertisers. Google's exiting top ad exec has a rep for building strong client relationships. His sales team at Google will find their jobs "more difficult without him." AOL Hiring Sparks Talk About Site's Future Dow Jones The hiring of Google's Tim Armstrong to run AOL is prompting speculation that a long-awaited separation of the troubled Internet unit from Time Warner is finally near. An announcement is expected "in the next 12 months." Ultimately, Armstrong will "run a public company." TheStreet.com CEO Exits Amid Cramer Fracas Crain's New York Thomas Clarke, TheStreet.com's CEO for the past decade, is leaving, effective immediately. The financial-media firm's board is searching for a new CEO. Clarke's abrupt exit comes amid co-founder Jim Cramer's ongoing fracas with Comedy Central's Jon Stewart. Yahoo's Web Videos Won't Compete with TV New York Times Yahoo is abandoning its forays into television-style online productions. Instead, the company is focusing on producing brief, niche Web shows. Yahoo execs say they have found a model for making original video online, in part by not competing with TV. Hulu May Cause 'Collapse' of TV Business Variety Analysis: More television viewers are flocking to Web streaming, but the broadcast networks aren't getting anywhere near the revenues that they would earn from traditional TV commercials. If too many people switch to services like Hulu, TV's business model "could collapse." SXSW: Internet Video Won't Kill Off TV Wall Street Journal A panel of comedians and tech execs at the South by Southwest Interactive conference in Austin, Texas, contend that online video is still a long way from destroying traditional television. "Everyone is still trying to figure out" webisodes, says B.J. Novak of NBC's "The Office." SXSW: News Industry Has a 'Bright Future' CNET Steven Johnson, author of "Everything Bad is Good for You," says during an appearance at SXSW that he sees a bright future for news. Consumers will benefit from the new "ecosystem of news" -- encompassing Digg, Twitter, Facebook, as well as professional journalists. Digg Founder Rose Creates Twitter Directory ZDNet Digg co-founder Kevin Rose is launching a Twitter directory called WeFollow, an index of users based on categories they determine. The user-generated WeFollow includes categories such as News, Tech, Celebrity, Blogger, Music, and Social Media. Oprah to Interview Facebook CEO Zuckerberg Wall Street Journal Facebook founder Mark Zuckerberg will take to Oprah Winfrey's couch on Friday. Winfrey is expected to interview Zuckerberg and show a demo of her TV show's new page on the social network. A "celebrity Facebook addict" might Skype in to talk up the service as well. Twitter Driving Traffic to Social Media Sites MediaPost Twitter is driving much of its traffic to social networking, search, email and entertainment sites, according to an analysis by Hitwise. The data also shows that Twitter has more in common with social networks than search engines. Twitter is "a means of distributing content." Time Warner Ousts AOL Chief, Hires Googler Washington Post Time Warner is replacing AOL CEO Randy Falco with Google senior VP Tim Armstrong, who will move the Internet company "into the next phase," says CEO Jeff Bewkes. Falco had joined AOL in 2006 with the mandate of transforming it into an online advertising business. AOL Chief Armstrong: A Spin Off is Possible AllThingsD New AOL chief Tim Armstrong: "I am looking forward to taking what I have learned at Google and seeing what I can bring to really help AOL." He adds: Time Warner wants "the best outcome" for its Internet company. "That could take the form of different paths," including a spin off. Google to Challenge AT&T with Phone Service San Francisco Chronicle Google is introducing a phone service, Google Voice, allowing users to make free domestic calls, in a challenge to eBay's Skype and major long-distance carriers like AT&T. Google's goal is to become a central hub for people to manage and make calls. Hulu Adds Social Network with 'Hulu Friends' Wall Street Journal Hulu, the News Corp.-NBC Universal video site, is adding social-networking functions in hopes of building user loyalty and mining data to lure advertisers. The new Hulu Friends includes features like Facebook's, such as the ability for users to create profiles and share videos. Google's New Behavioral Ads Stir Concerns Ars Technica Google is starting to track users' Internet search and surfing habits in order to get a better idea of what kind of ads to serve. Privacy advocates are antsy about the idea, noting that the Internet giant will "track everything you're interested in, no matter how personal or sensitive." Apple Introduces 'Talking' iPod Music Player Reuters Apple is introducing a smaller version of its popular iPod Shuffle music player with a new feature that tells the user what song is playing. The VoiceOver feature announces songs to users in 14 different languages. The gadget costs $79 and carries up to 1,000 songs. MySpace Music to Launch 'Album Pages' New York Times MySpace Music, which aims to become the premier Web destination to stream major-label songs for free, is introducing "album pages," so devotees of a particular album -- Rihanna's new record, say -- can have a single place to park their browsers and just listen. Musicians to Seek More Power on the Web BBC News Members of Blur, Radiohead, Pink Floyd and other music performers are launching a U.K. lobbying group for rock and pop artists. The Featured Artists' Coalition hopes to give artists a greater voice in big decisions in the music industry, from digital deals to copyright extension. Google Reader Lets Users Talk About News VentureBeat Google Reader, the Internet giant's site for reading RSS feeds, is adding comments, allowing users to share articles and start conversations about them. The addition is seen as a big step toward turning Google Reader into a social news service -- a "new watercooler." Twitter Trend Tracker Created by PR Firm ZDNet Microsoft's public-relations firm, Waggener Edstrom, is introducing a free software tool for monitoring and analyzing trends on Twitter. Called twendz, the tool reveals the "attitudes and feelings about a particular topic, product or brand as the conversation happens." MySpace Records Blows 'Undead' Deal New York Post The rap-rock band Hollywood Undead could have been MySpace Records' breakthrough act, but the record label arm of the social-networking site missed out after trying to censor the group's music. News Corp. officials "made a stink" about the group's lyrics. Facebook Aims to Expand in Arab World Guardian Facebook is launching in Arabic, tapping into a potentially huge market in the Middle East and beyond. The world's most successful social network already has many users in the Arab world. In Egypt, the site boasts 900,000 users. Some 60 more languages are in development. Time Warner's AOL to Cut 10% of Staff Washington Post AOL is executing its second major round of layoffs in two years amid a weakening online advertising market. The company says it plans to reduce its domestic headcount by 700. AOL is no longer leading-edge, say analysts. AOL is "saddled with an old business." Apple: New Big-Screen Device is Rumored Wall Street Journal Apple is said to be developing a new device with a touch screen that could be as big as 10 inches. Some people say the device is an inexpensive notebook computer. Others say it will be an iPod Touch with a bigger screen for watching movies and reading electronic books. YouTube Rights Row May Reach MySpace Guardian The dispute between YouTube and the U.K.'s Performing Rights Society for Music that prompted the site to remove music videos could spread to MySpace, say industry sources. MySpace U.K. and other sites are struggling to renegotiate their own licenses with the agency. Social Networks More Popular Than Email USA Today Social networks and blogs have moved ahead of personal e-mail among the most popular online activities, according to Nielsen. Time spent on these sites is growing three times faster than the overall Internet rate. Facebook, the top social network, is visited monthly by three in 10 people. Portals, Social Networks Losing Ad Share Advertising Age While sites such as Facebook and Yahoo remain very popular, marketers are shifting advertising dollars toward sites such as those owned by Meredith and NBC, according to digital ad agency Razorfish. Portals aren't necessary "to achieve scale." Google's Outlook Darkens as Ads Weaken Dow Jones Google's advertising business appears to be under increasing pressure as fewer shoppers search for products online and advertisers spend less. CEO Eric Schmidt admits that the economic situation is "pretty dire" and that his company is "not immune" to current conditions. YouTube to Block UK from Music Videos BBC News YouTube is blocking all music videos to U.K. users after failing to reach a new licensing agreement with the Performing Right Society, Britain's music royalty-collecting body. The group says the move "punishes the songwriters whose interests we protect." Bebo Launches Social Network for Latinos AFP AOL's Bebo is launching a Latino version of the U.S. social networking site as the Internet service strives to gain ground in a market led by Facebook and MySpace. Bebo Latino lets users link to their accounts at YouTube, Flickr, Twitter, Facebook, MySpace or elsewhere online. Google Exec, NY Times Vie for Local Ads Bloomberg A post-newspaper war is playing out in suburban New Jersey, as Patch, a new Web venture backed by Google exec Tim Armstrong, battles a new local blog network from the New York Times. "Our costs are a fraction of traditional media's," boasts Patch CEO Jon Brod. Bloggers Like Linking to YouTube, NY Times Technorati YouTube, New York Times, BBC News and CNN top the list of the mainstream media Web sites with the highest number of blogs linking to them, according to a survey by blog search site Technorati. Other top sites include MSN, Guardian and Washington Post. Yahoo Grows Newspaper Ad Consortium Boston Globe Yahoo is adding two newspapers, the Boston Globe and the St. Petersburg Times, to its newspaper consortium, a three-year-old partnership that uses the Internet company's search platform to sell advertising for newspaper Web sites. The consortium includes some 700 newspapers. Microsoft, Google Among the 'Great Stocks' Barron's Microsoft, Google and eBay are among the "10 great stocks to stash away for five years or longer," according to Barron's. The News Corp. financial newspaper cites Google for its growth opportunities of advertising on the Internet and the company's lack of debt. Yahoo Approval May Lead to Buyout Offers Bloomberg Yahoo is getting a judge's approval of a settlement mandating changes to the Internet company's severance plan that investors contend will make it easier for Microsoft or other potential suitors to buy it. The settlement amounts to "an extraordinary victory" for investors. Googlers May Benefit from Stock Slump Associated Press To boost morale and retain workers, Google is offering to lower the exercise price on stock options issued in better times. The change will give some 17,000 of the Internet giant's employees a better chance to profit if the stock rebounds. Universal Wins Eminem Online Song Lawsuit Los Angeles Times A federal jury says that Universal Music doesn't have to pay Mark and Jeff Bass, the producers behind rapper Eminem, royalties for songs sold online, upholding the music industry's business model. The decision could have greatly damaged the record industry. Web Videos to Multiply as Costs Plummet USA Today Media companies are facing new competition for the attention of Web users who like to watch videos. Businesses, colleges and nonprofits are leaping into online video production as the audience for clips soars and production costs decline. Online distribution is now "close to free." Yelp Accused of Rearranging Reviews Chicago Tribune With Yelp still responding to charges by San Francisco businesses that it manipulates the prominence of positive and negative reviews, some Chicago merchants are adding to the heat. They allege that the user-review site is offering to rearrange reviews for companies that advertise. Twitter CEO Mulls a Local News Service TechCrunch Twitter CEO Evan Williams says that the microblogging site could add an extension that would notify users of events taking place in their immediate vicinities. For example, he says, Twitter could ping users, in real-time, to a tweet about a fire burning in their neighborhood. Google Launches Expandable Online Ads New Media Age Google is introducing an "expandable" advertising format across its content network as its steps up its focus on rich media ads. The format expands from a standard AdSense ad size to take up most of the page, allowing marketers to include video and multiple images. Yahoo, Vodafone in Talks About Search Bloomberg Yahoo is said to be in talks with Vodafone about the distribution of the Internet company's mobile search product. A deal could make Yahoo mobile search the default software on phones sold by Vodafone across Europe. Vodafone's deal with Google expires this year. Twitter: Ads in Tweets Are on Their Way PC World Advertising network Adjix is launching a platform that will allow text ads to be embedded within "tweets" on Twitter. Ads could appear at the end of tweets from specific users, who are paid in return for choosing to carry them on their messages. MySpace Appears to Have Lost Its Mojo Fortune MySpace is said to be falling behind rival Facebook in the all-important race to sign up new users. The social network "simply isn't as hot as it was four years ago," when Rupert Murdoch acquired it for $580 million. In today's economy, MySpace "can't afford to miss a step." News Corp Unveils Site for Book Lovers Brand Republic News Corp. publisher HarperCollins is launching BookArmy, a Web site offering book recommendations based on a user's previous reads and the opinions of other users. Visitors can enter the name of a favorite book and the site will generate a list of literary suggestions. Barnes & Noble Buys E-Seller Fictionwise Reuters Barnes & Noble, the world's largest bookseller, is acquiring e-book seller Fictionwise, to expand its presence in the digital world. Barnes & Noble, which plans to launch an e-bookstore later this year, intends to keep Fictionwise as a separate business unit. Obama Names First U.S. Chief Info Officer Washington Post President Obama is appointing Vivek Kundra, the District of Columbia's chief technology officer, as the federal government's first chief information officer. Kundra is charged with making government data "more accessible." Obama still plans to name a chief technology officer. Google CEO Schmidt: 'We Admire Twitter' Reuters The economic downturn will affect all advertising, including online ads, but Google is unlikely to see a drop in revenue, says CEO Eric Schmidt. He adds that Google is continuing to look at acquisition opportunities, without speculating on any possible buys. "We admire Twitter," he says. YouTube, Universal Mull Music Video Hub Wall Street Journal YouTube and Universal Music are discussing a partnership under which Google's video site would build a new hub for music videos. YouTube would also provide technology and advertising-sales support to help distribute Universal's video content to other Web sites. Viacom's MTV to Sell Beatles 'Rock Band' Dow Jones A new Beatles-themed "Rock Band" video game is slated for an early September release, marking the first time the iconic band's music will be made available in the popular music game genre. "The Beatles: Rock Band" will be published by Harmonix and Viacom's MTV Games. Facebook Eyes Twitter in Site Revamp Associated Press Facebook is revamping its home page and planning other changes so its millions of users can more easily choose the types of information they see. Perhaps taking a cue from Twitter, Facebook will now let users receive continuous updates from their friends. MySpace Launches Its Own Credit Card Mashable News Corp.'s MySpace is stamping its brand on a new Citi Credit Card, which will allow users to earn rewards such as free music downloads. The offering is seen as a "no-brainer for MySpace, as all they need to do is supply their brand and collect referral fees." Microsoft OK'd to Photograph 'Big Things' Bloomberg Microsoft has received a U.S. patent for "photographing big things." The new patent covers a technology to produce a single image from a scene that is too large to depict from any single perspective view. Microsoft applied for the patent back in December 2005. CNNMoney Expands Slate of Video Shows Wall Street Journal Time Warner's CNNMoney.com is unveiling eight new online business shows, as news outlets rush to satisfy marketers' appetite for Internet video, the Web's fastest-growing advertising medium. Plus, online video is "part of the mix that users now come to expect." Google Appears Unlikely to Acquire Twitter CNET Google CEO Eric Schmidt says he expects 2009 to be a "tough, tough" year and admits that the search giant is "not immune" from the worsening economy. Google is "pretty inactive right now" on the acquisitions front, he adds, dismissing Twitter as a "poor man's e-mail system." Twitter: We Can Do What Google Can't Advertising Age Twitter's creators say they see lucrative opportunities in search, albeit a different kind of search than what Google offers. The microblogging site's search engine, purchased with the acquisition of Summize last summer, bills itself as a search of "what's happening -- right now." Yahoo Interested in Online Social Networks Reuters Social network sites are a key area of interest for Yahoo, says CEO Carol Bartz, even as the company tries to figure out how to boost its Internet search business. Yahoo might seek to partner with a social network. "I do not believe we can invent the next Facebook." MySpace Loses Three Top Execs to Startup Wall Street Journal Three MySpace execs, including COO Amit Kapur, are leaving the News Corp. social network for their own startup. MySpace co-founders Chris DeWolfe and Tom Anderson say that they remain "committed to executing on our product vision in a manner that engages our users." Amazon to Sell E-Books for Apple Devices New York Times Amazon will begin selling e-books for reading on Apple's iPhone and iPod Touch. The Internet retailer says that it sees its own Kindle e-reader and the iPhone as complementary, and that people will use their mobile phones to read books only for short periods, such as while waiting in line. IAC Former Exec Genachowski to Head FCC MarketWatch As expected, President Obama is naming Julius Genachowski as chairman of the U.S. Federal Communications Commission. Genachowski is a former exec with Barry Diller's IAC/InterActiveCorp and an investor in tech startups. His grasp of the Internet "may be key for an era of change." Google TV Ads Platform Signs Up CNBC WebProNews Google TV Ads, a program aiming to improve the relevance of television advertising, is signing up CNBC, the third network to be added as a result of a partnership with NBC Universal. The Internet giant says is "looking forward to launching MSNBC, Oxygen and SciFi in the coming months." Microsoft Tests New Web Search Engine AllThingsD Microsoft is testing a new version of its online search service internally under the name of Kumo. The service is not yet available outside the company, but may eventually be part of Microsoft's attempt to catch up with search leaders Google and Yahoo. Yahoo's Flickr to Take On Google's YouTube AFP The Yahoo-owned Flickr is now letting users of the free online photo-sharing service upload video snippets in a budding challenge to Google's YouTube. "We are continuing to evolve the video experience to make it more compelling," says Flickr head Kakul Srivastava. YouTube is Not Shunned, White House Says New York Times The White House is denying reports that its official Web site stopped putting YouTube videos on its pages after privacy advocates raised concerns. A spokesman insists it is now hosting President Obama's video address on WhiteHouse.gov as a test of its own capabilities. Hulu in Distribution Deal with Dailymotion New Media Age Online TV platform Hulu is signing a U.S. distribution deal with Dailymotion, the French-owned video-sharing site. Hulu, a joint venture between NBC Universal and News Corp., recently curtailed a contract with TV.com following a relaunch of the CBS-owned online TV platform. Facebook, Twitter Abandoned by U.S. Christians Newark Star-Ledger Many U.S. Christians are swearing off Facebook, MySpace, Twitter and other new technologies for Lent. Thousands of Facebook users are signing up for "Giving up Facebook for Lent" groups on the site, posting notices that they will be gone for the next six weeks. Amazon Retreats on Kindle Text-to-Speech Issue CNET Amazon is modifying the text-to-speech function on the new Kindle 2 electronic reading device after publishers claimed it violated copyrights. Publishers will be allowed to decide whether to enable function the on a per-title basis. For Kindle owners, the device "just lost value." Google News Ads May Spark Media Lawsuits ClickZ Google could face legal action from publishers for its move to serve advertising on Google News search results pages, say legal observers. A significant issue: "whether or not what Google provides becomes a substitute for going to the actual content providers' sites." Yahoo CFO to Depart in Management Shakeup InternetNews Yahoo CFO Blake Jorgensen is leaving the troubled Internet company as new CEO Carol Bartz prepares to roll out her turnaround strategy. Yahoo has been "bogged down," according to Bartz. "You'd be amazed at how complicated some things are here." Google Joins Twitter: Preparing to Purchase? PC World Google is launching its own feed on Twitter, the increasingly popular microblogging site. Will the Internet giant "pull a YouTube" and swoop in to make a bid for Twitter's growing search capabilities? Would a tie-up with Google finally give Twitter access to a revenue stream? Facebook Opens Site Rules to User Voting InformationWeek In an effort to turn a black eye into an appealing new look, Facebook is agreeing to let its users have a say in the site's rules. The social networking site changed its terms of service earlier this month without notice, prompting a furor across the Internet. Hulu Opens Voting for Best Video Awards TV Week Hulu, the News Corp.-NBC Universal online video venture, is launching the inaugural Hulu Awards, honoring the best videos on the site. Voting is starting in multiple categories and will last for two weeks. The winners will be announced March 12, which marks Hulu's first anniversary. Alloy Kicks Off Move Into Internet Video Wall Street Journal Alloy Media + Marketing, the New York company behind "Gossip Girl," plans to launch Teen.com TV, offering online video series based on its entertainment properties. However, media companies are having a hard time holding on to the fickle teen audience of the Internet age. Google Adds Ads to Google News Searches CNET Faced with a tough economy, Google is working harder to make money off more of its properties. The Internet giant is extending its AdWords program to searches on Google News, delivering text ads on the search results page, just as it has long done with Web search results. Yahoo Open to Sale, Partnership for Search AFP Yahoo is open to selling its Web search business or entering into a partnership with another company, but doing a deal would be hard, according to CFO Blake Jorgensen. "It's extremely difficult to draw a line down the middle of the organization and split it in two pieces." Twitter's Rapid Rise Raises Regulation Issues New Media Age Twitter is a child safety and privacy disaster waiting to happen, according to online safety experts. The hugely popular microblogging site's terms state that users must be 13 or over, but it doesn't offer a "report abuse" button or monitor explicit adult and racist content. Netflix to Offer 'Streaming Only' in Future Reuters Netflix plans to offer its online streaming service on a stand-alone basis. "We're likely to do that in the foreseeable future," says CFO Barry McCarthy. Netflix customers currently pay a fixed monthly subscription fee for access to the company's popular by-mail DVD service. Web Sites 'More Trusted' Than Newspapers Adweek Some 48% of respondents of a new survey from We Media/Zogby Interactive cite the Internet as their primary source of news and information. Among 18-29-year-olds, the number is 55%. In addition, Web sites are now "more trusted" news sources than newspapers, television or radio. What Sells Online? Unsexy Email Newsletters BusinessWeek The simple e-mail newsletter is leading the way in showing how to make money online. The most noted success story is DailyCandy, purchased by Comcast for a reported $125 million last fall. Thrillist, with annual sales of up to $10 million, is launching in its 10th city, Philadelphia. MySpace Founders May Depart News Corp Financial Times Chris DeWolfe and Tom Anderson, the co-founders of MySpace, could soon be following Peter Chernin out of News Corp. Their contracts expire in October and both men have privately said there is a chance they will leave. The two are among the best-paid employees at News Corp. News Corp Launches Web Site to Rival TMZ AFP News Corp.'s Slingshot Labs is unveiling its first startup, DailyFill, a site offering nuggets of celebrity gossip. Stories are typically a few paragraphs and offer links to longer versions. Readers don't want "really long articles," says co-creator Josh Berman. "They want a quick summary." Survey: Web Users OK with Illegal Downloads New Media Age Almost half of Web users have used file-sharing sites for illegally downloading music, according to research from European telecommunications firm Tiscali. Of those who admit to downloading illegally, some 10% say they rarely buy music since they can get it for free. Google Slow to Lure New Advertisers to TV ClickZ Google's TV Ads program has yet to deliver on the key promise it made to its television partners: to usher in a new crop of advertisers. The company is also losing out on local media buys. Currently, Google has no way of targeting TV ads to specific localities. Microsoft Still Talking of Yahoo Takeover TheStreet Microsoft chief Steve Ballmer is repeating his warm words for Yahoo at a company strategy session, helping to float shares again on takeover hopes. Ballmer says he would like to talk with Yahoo CEO Carol Bartz to see if the two companies could "somehow get together." Google May Face Threat from ... Twitter San Jose Mercury News Is Twitter -- the microblogging service that famously has no revenue -- a threat to Google? The notion is generating heated chatter across the Web. Very quietly, one of Twitter's most powerful applications has become its ability to allow people to conduct real-time searches. Yahoo Exec Departs to Help 'Transform' Hearst Reuters Neeraj Khemlani, the head of Yahoo's news and information division, is jumping ship to Hearst, amid speculation that the Internet company is on the brink of a management reorganization. At Hearst, Khemlani will oversee a "digital content transformation" across the media company. Microsoft Teams with Web Content Companies Associated Press Microsoft is creating a council of Web companies to help it develop a new advertising platform for publishers. The council will include IAC/InterActiveCorp, Dow Jones Online, New York Times Co., Time Inc. and Viacom. Goals include enhanced targeting and measurement. Google Tops Annual List of 'Super' Brands Financial Times For the second year running, Google is at the top of the annual Business Superbrands survey, a list compiled not with algorithms but from the opinions of 1,500 business execs. Microsoft comes in at third place. Several media brands slipped from this year's top 10. Yahoo to Offer Tools to Match Users, Ads Wall Street Journal Yahoo is unveiling several tools to help marketers better target their online ads, as the Internet company tries to win back business during the recession. The services include targeting graphical ads to users who have searched for particular terms in Yahoo's search engine. Glam Profits from Edited Oscar Twitter Feed VentureBeat Glam is seeking to make money by editing streams from Twitter. The women's online publisher launched a widget that lets users tweet their thoughts about this year's Academy Awards. Glam's editors edit the stream to make advertisers more comfortable with the tweets. Amazon to Face 'Kindle Killer' on Thursday Wall Street Journal As Amazon's Kindle 2 e-book reader starts shipping, bookseller Indigo Books & Music on Thursday will launch Shortcovers, an e-book reading program that works on the iPhone, Blackberry and other devices. The service lets users share comments and Twitter while they read. Universal Sued by Eminem for Download Dollars The Wrap Rapper star Eminem is suing Universal Music over how much he is entitled to when the world's largest music company sells his work to third-party distributors, including Apple's iTunes. At stake is potentially hundreds of millions of dollars from digital downloads. Google Ad Exec Funds Online News Startup Muckety Google advertising head Tim Armstrong is underwriting a new startup called Patch, which plans to put small teams of journalists in U.S. communities to produce hyper-local news content. "Tim believes that Patch should be in every community in America," the company's Web site says. Yahoo to Unveil Management, Media Revamp AllThingsD Yahoo CEO Carol Bartz is expected to announce a major management reorganization this week. The revamp is to include a structure where many execs report to Bartz. Also, product development for Yahoo's heavily trafficked media operations are to be moved under a different exec. Microsoft Opens Online Employment Resource Reuters Microsoft is announcing the creation of a Web site, Elevate America, aimed at improving access to job-training tools. The site provides access to several Microsoft online training programs, including how to use the Internet, send e-mail and create a resume. 'Slumdog,' 'Benjamin Button' Pirated Online Bloomberg Three Southern California men are being charged with illegally posting pirated copies of Hollywood movies, including Oscar contenders "Slumdog Millionaire" and "The Curious Case of Benjamin Button," on the Internet. The three face as much as three years in prison if convicted. YouTube Employed by Oscar Organizers Los Angeles Times A video clip of Academy Awards host Hugh Jackman rehearsing his Oscars shtick in advance of the ceremony allegedly was "leaked" online by a production assistant. But the organizers of the awards are believed to have produced the clip, intending it to go viral. Hulu: Old Media Strikes Back at YouTube Newsweek Hulu, founded by NBC Universal and News Corp., has become a better online video moneymaker than Web darling YouTube. But Hulu's real victim might be cable companies: "Why pay $100 per month for a cable subscription when you can get so much great stuff online for free?" MySpace CEO: Web Sites to Be More Social New York Times Chris DeWolfe, co-founder of MySpace: "In the future, social networks will be more distributed on the Internet. They'll be able to be part of virtually any Web site, even content sites." People will "want to take their profiles with them to make the Web experiences on other sites more personal." U2 Streams Album on MySpace After Leak Billboard Following a widespread leak last week, U2 is streaming its new album, "No Line on the Horizon," on its page on MySpace. The move comes after staffers at Universal Music in Australia inadvertently made the album available digitally more than a week before its release. Twitter Users Get Boost from New Feature Los Angeles Times Twitter accounts are seeing big jumps in the number of users subscribing to profile updates thanks to the new "suggested users" feature, which displays a sort-of featured personalities list. The U.K. Guardian's tech account jumped from 4,000 followers to 66,000 in about a month. Google May Rival Microsoft in Portables Bloomberg Google's Android operating system, after making inroads into the mobile-phone market, may be running on portable computers within the next year, challenging the dominance of Microsoft. Google could use its community of developers to get the software onto low-cost notebooks. TMZ Rihanna Scoop Investigated by Police Associated Press The Los Angeles Police Department is launching a probe to find the person who leaked a photo to the Time Warner celebrity Web site TMZ that appears to be the face of singer Rihanna with bruises and scratches from an attack allegedly at the hands of boyfriend Chris Brown. Yelp Can Be Profitable by 2010, CEO Says Bloomberg Yelp, the Internet site where consumers read and write reviews of local businesses, will still be able to turn a profit even as advertising growth slows, says CEO Jeremy Stoppelman. Yelp has sites for more than 20 U.S. cities and is expanding into the U.K. and Canada. Obama Seen Leading Revolution in Multimedia FT / Daily Beast Barack Obama is quickly establishing himself as the first truly multimedia president. Among other new-media moves, the White House is launching Recovery.gov to track where stimulus money will be spent. Also: Republicans "suck" at the Internet, says John McClain's daughter. Google is a Monopolist, Antitrust Pick Says Bloomberg Christine Varney, nominated by President Obama to be the next U.S. antitrust chief, says Google is a monopolist that will dominate online. The Internet giant "has acquired a monopoly in Internet online advertising." Google, in response, insists that rivals are "one click away." MySpace May Cause Dementia, Doctor Warns BBC People's health could be harmed by MySpace, Facebook and other social networking sites because they reduce levels of face-to-face contact, according to Dr. Aric Sigman. A lack of real-life social contact, he claims, could increase the risk of cancer, heart disease and dementia. Anheuser-Busch Pulls the Plug on Bud.tv Ad Age Anheuser-Busch is shutting down Bud.tv, one of the boldest online video plays by a major marketer. The company cites the cost and effort required to produce reams of original content. "If the networks can't continuously produce that [volume of content], how can a beer company?" Google: Online Journalism Still In Its Infancy Google Blog Internet-enabled phones will give everyone access to the world's information, predicts Jonathan Rosenberg, Google's senior VP of product management, in an essay. But while the Internet has made news "spontaneous," online news "fails to take full advantage" of technology. 'Google Phone' Builds Momentum Worldwide AFP Google's bid to dominate in mobile phone operating software is getting a boost as Taiwanese handset maker HTC and Chinese manufacturer Huawei unveil new phones based on the Internet giant's technology. Google hopes to establish its operating system as the industry standard. Google Is Abusing Its Power, Lawsuit Claims Associated Press TradeComet.com is suing Google for rigging its system for setting ad rates. Google is accused of making it too costly for specialty search engine SourceTool to promote itself within the Internet search leader's online marketing network, thus thwarting competition. Facebook Aims to Build Worldwide Platform Fortune CEO Mark Zuckerberg's ultimate goal is to turn Facebook into the world's standardized communication -- and marketing -- platform, as ubiquitous and intuitive as the telephone but more interactive and indispensable. Facebook plans to "build one worldwide platform," he says. Internet Music Royalty Rates Are Reduced Associated Press SoundExchange, a group that collects royalties for music artists and recording companies, is agreeing to reduce rates for U.S. radio stations that also play songs online. Internet radio station operators had complained that the rates originally set could force them to shut down. Google Tracker Spurs Worries of Privacy Bloomberg Google's new Latitude service, an effort to turn mobile phones into tracking devices, is facing criticism from privacy advocates. Nonetheless, U.S. mobile phones with location features are forecast to increase ten-fold to 30.9 million by 2012. For now, Latitude doesn't have any ads. Mobile Phones to Change Information Use New York Times As the cellphone changes, it will also change how people think about information, according to computer scientists. A "map" metaphor is taking over, they say, which will change the way people find their way around new neighborhoods, as well as the way marketers reach mobile users. Microsoft Makes Moves in Mobile Market Bloomberg Microsoft is signing a deal for Windows Mobile to be included on devices from LG Electronics and introducing updated phone software in a bid to catch up with Apple. Microsoft is also adding software with touch controls and a store that offers phone applications. News Corp's MySpace Eyes Mobile Users Associated Press MySpace, which in a few years expects half its traffic to come from mobile devices, is unveiling new deals with Palm and Nokia that it says will make it the first social network to support every major smart phone. MySpace is also relaunching its mobile site with better-integrated ads. Facebook's Users Ask Who Owns Content New York Times Reacting to online suspicion about changes to Facebook's terms of service, CEO Mark Zuckerberg is reassuring users that they still "own their information." In a recent update to its terms, Facebook said it would retain users' content after an account was terminated. Google Eyes Expansion in Mobile Market Reuters Google will starting allowing developers to sell applications for its Android cell phone operating system. The Internet giant is making moves to expand into the relatively hot mobile market, even as it pulls back on initiatives such as selling advertising for broadcast radio. Google TV Held Back by 'Shortcomings' BusinessWeek In the past two months, Google has abandoned its efforts to sell newspaper and radio advertising. Will it pull the plug on its initiative to sell television ads, too? A range of companies are also developing technologies "that do a better job" of allowing advertisers to target TV viewers. YouTube Downloads of 'Limited Value' New Media Age YouTube's move to offer video downloads is unlikely to deliver substantial revenues for the company, according to digital industry experts. One observer says: "Whether it's enough to satisfy the doubters who argue Google paid too much for YouTube remains to be seen.” Twitter: A 'Very Large' Media Property Wired Twitter is "turning into a very large media property," says Todd Chaffee, general partner at Institutional Venture Partners, which, with Benchmark Capital, is making a new investment of $35 million in the microblogging site. Twitter may one day "supersede other communication channels." Facebook, MySpace in British Army Ban Sun British military chiefs are banning soldiers from online networking sites like MySpace and Facebook. Online chats are seen as a potential security breach. Soldiers are also barred from blogging, joining in forum discussions or taking part in online multiplayer games. NY Eyes Adult Content for 'iPod Tax' New York Post Adult entertainment industry professionals are bemoaning New York Gov. Paterson's plan to apply the so-called "iPod tax" on online music downloads to adult content on the Web. The Paterson administration wants to expand the state's 4% sales tax to all digital purchases. Twitter Users Are Media Junkies, Study Says Ars Technica In its first look at Twitter, the Pew Internet & American Life Project finds that users of the microblogging service tend to consume all sorts of media more than the general population. They are also more likely to read a newspaper on a cell phone and are more engaged in blogging. Facebook, Nokia Eye Alliance for Mobiles Wall Street Journal Facebook is in talks with Nokia on ways to integrate the social network into mobile phones made by the Finnish giant. It is unclear whether a deal will be reached, say people familiar with the matter. Nokia is deciding whether it wants to build a social network from the ground up. Weinsteins Develop Web Networking Movie UPI The Weinstein Co.'s Dimension Films is developing an untitled feature-film thriller in the vein of Agatha Christie's "Ten Little Indians" that involves a teen social-networking site. "Online social networking is a phenomenon that interests me greatly," says co-chief Bob Weinstein. Amazon Kindle 2 Audio Irks Authors Guild Associated Press The Authors Guild wants writers and publishers to consider asking Amazon to disable the text-to-speech feature on the new Kindle 2 reading device. The feature could undermine the market for audio books, the guild says. It "presents a significant challenge" to the industry. IAC's Diller Faces Opposition in Merger Deal Bloomberg Live Nation's largest shareholder, Shapiro Capital, may oppose the proposed merger with Ticketmaster if Barry Diller has a leadership role, says chairman Sam Shapiro. "I'm very much against going into business with Mr. Diller" because of poor returns from companies he leads. Microsoft Eyes Apple in Move to Open Stores Dow Jones Microsoft plans to open a chain of retail stores, in a move that suggests the software giant hopes to emulate the success of its smaller rival, Apple. Microsoft is hiring David Porter a veteran of both DreamWorks and Wal-Mart Stores, to help transform the "Microsoft buying experience." Google to Shut Down Radio Ad Business Bloomberg Google plans to shut down its three-year-old radio-advertising sales business and cut as many as 40 jobs, saying the investment didn't provide enough of a payoff. The Internet giant last month announced plans to close its program that sold ad space in newspapers. YouTube Opens Up Shop with Downloads Wired Google's YouTube will soon allow downloads of author-approved videos with the option of charging a small fee, creating a new revenue stream for online filmmakers in addition to current ad-share agreements. Video owners can also allow downloads to be remixed. Web Users Increasingly Expect Live Video Associated Press When President Obama was sworn in last month, analysts believe the Internet had its greatest traffic ever. CNN.com provided 21.3 million streams over a nine-hour span. People now expect major events -- particularly those that are live -- to simultaneously appear across platforms. Sony Renews Music Video Deal with YouTube Reuters Sony Music is renewing a licensing deal with YouTube, allowing the site to continue showing the company's music videos. The deal is important in light of a decision by Warner Music to walk away from similar renewal talks with YouTube last December in a dispute over licensing fees. Internet Piracy Killing Adult Entertainment The Wrap The adult entertainment industry is being devastated by Internet piracy, and what happens could be a harbinger for Hollywood. As Web sites like RedTube allow users to view illegal adult videos for free, industry professionals are scrambling to find ways to fight back. Midway Games Files for Bankruptcy Protection Reuters Midway Games is filing for bankruptcy protection, saying it can't repay looming debt triggered by the sale of Sumner Redstone's stake in the videogame maker. Midway, famous for its "Mortal Kombat" franchise, saw its shares lose nearly 90% of their value in the past year. Blockbuster Adds Video Games to Web Rentals CNET Video game rentals are coming to Blockbuster Video's Total Access service. The addition is seen an important move for Blockbuster, which Yahoo Finance put on its list of "15 Companies That Might Not Survive 2009." It also gives Blockbuster wider content offerings over rival Netflix. Google to Settle Book Search Claims Online CNET Authors and publishers of tens of thousands of out-of-print books are submitting claims for compensation from Google Book Search as called for in a $125 million October settlement agreement to a copyright lawsuit. Authors and others are submitting claims via a new Web site. Facebook Appraisal Pegs Value at $3.7B Associated Press In a transcript of a June court hearing that was closed to the public, lawyers arguing over a legal settlement revealed Facebook's own appraisal had priced its privately held stock at $8.88 per share, giving the leading social network a market value of about $3.7 billion. MySpace to Be 'Dominated' by Rival Facebook Sydney Morning Herald Brett Brewer, the co-founder of MySpace's parent company before it was sold to News Corp., says the global battle against Facebook is over. Facebook, he predicts, will come to dominate MySpace in worldwide user numbers. "There's a fundamental shift going on." Digg Attacked with 'Cyber Traps' from Crooks AFP Cyber-crooks are setting traps on the popular news-sharing Web site Digg. Criminals pose as Digg members and then entice readers with links to "scintillating" online celebrity videos. Those that follow the links are prompted to download software, which turns out to be malware. Google Buys a Paper Mill for Data Center Reuters Google is acquiring a former paper mill in southeastern Finland for $51.71 million that the Internet giant plans to transform into a data center. "As with any sort of construction project, there are a number of contingencies to be resolved," says a Google spokesperson. Google Helps Consumers Reduce Energy Use Reuters Google says it will use its software skills to help consumers track their home energy use and thereby lower demand and the global warming emissions that come from producing electricity. The move is part of Google's effort to pump hundreds of millions of dollars into renewable energy. Facebook Said to Pay $65 Million Settlement Associated Press A mistake by a legal firm is revealing that Facebook founder Mark Zuckerberg paid $65 million to end a legal case over the origin of his company. Zuckerberg was sued by two former university classmates, who claimed that he stole the idea for Facebook from their social network. Twitter May Charge Companies That 'Tweet' CNET Twitter is mulling charging companies that use the microblogging site to market their brands, says co-founder Biz Stone. In a follow-up blog post, Twitter says that is "not imposing fees on existing services," adding that "we don't have anything to share just yet" about monetization. Amazon Kindle Accused of Violating Copyrights CNET The Authors Guild, an advocacy organization for writers, objects to the new Amazon Kindle 2's text-to-speech feature. "They don't have the right to read a book out loud," says executive director Paul Aitken. "That's an audio right, which is derivative under copyright law." Random House: Grisham Near E-Book Deal Wall Street Journal Best-selling novelist John Grisham, one of the few major authors whose books aren't sold in electronic form, is close to wrapping up an agreement with Bertelsmann's Random House that will make all 22 of his titles available in all e-book formats, including for Amazon's Kindle reader. Google's Ad Strategy Focuses on Local, Mobile USA Today Google says it sees many advertising opportunities in mobile. High on the list is using local search results -- local pizza parlors, for example -- to provide links for "instant action," such as clicking on a number to call the restaurant, or on a business name to link to a map. Google CEO to Advise Britain's Conservatives Sky News Google CEO Eric Schmidt is consulting for Britain’s Conservative Party, the country's main opposition party, as it gears up to take on the incumbent Labour Party in next year's expected election. Schmidt had served on U.S. president-elect Barack Obama's transition advisory board. EBay Ex-CEO Whitman Eyes Run for Governor Reuters Former eBay CEO Meg Whitman, one of the highest profile Republican tech execs in Silicon Valley, is forming a committee to explore running for governor of California in 2010. "California faces challenges unlike any other time in its history," she says. "I refuse to stand by and watch it fail." Forrester Lays Off 50 Staffers Amid 'Challenges' CNET Forrester Research is cutting its workforce by about 5%, or 50 jobs, worldwide. The layoffs will be across functions and geographies. "We have made this difficult decision in response to challenging global economic conditions," says CEO George Colony. Amazon Kindle Brings Audio to Print, Blogs PC Mag Finally, an audio version of Huffington Post: Amazon's newly released second generation of its Kindle e-book reading device boasts a new "talk to me" function that will convert books, newspapers, magazines and blogs into speech. Users can select a female or male voice. TV, Movie Viewers Turning to the Internet CNN / Dow Jones As more Web sites like Hulu and Joost offer free movies and television shows, some consumers are taking advantage and eliminating their cable or satellite TV subscriptions. Joost CEO Mike Volpi says: "We believe that the majority of TV will be viewed over the Internet." Apple Said to Prep iTunes-Connected TV Set TVPredictions Apple may be preparing to produce its own branded set with a built in DVR that could sync with PCs, iPhones and iPods, according to Gene Muster of investment bank Piper Jafray. Apple could be looking to eliminate the middleman by including iTunes videos and music directly in the set. Google CEO Schmidt the New David Geffen? CNET Three of the largest recording companies are in talks to renegotiate music-licensing deals with Google's YouTube. Plus, the top labels are seeing big music sales from Google's G-1 mobile phone. Google CEO Eric Schmidt could find himself "an accidental music industry titan." Hulu Shows What Works in Online Video Economist Hulu, the online video joint venture from NBC Universal and News Corp., appears to have the firmest grip on what consumers and advertisers want, according to The Economist. "Supporting streamed video with advertising, rather than charging for downloads, turns out to work very well." Amazon Kindle to Offer King Exclusive Wall Street Journal Amazon.com is announcing a new version of its Kindle e-book reader on Monday. The company is also expected to say it has acquired a new work by novelist Stephen King that will be available exclusively on Kindle. Amazon also is working to make titles for the device available on cellphones. Plastic Logic E-Book to Rival Kindle New York Times Plastic Logic plans to announce partnership deals on Monday that it says will bring a number of major publications to its planned electronic book reader. Unlike the Amazon Kindle, the screen of the Plastic Logic Reader approximates the look of a printed newspaper or magazine page. Twitter: Still No Idea How to Make Money New York Twitter is the "hot Web company right now." Nonetheless, the company itself isn't making any money yet. Twitter's creators decline to discuss possible revenue strategies. "We have a product, and we're working on it," says CEO Evan Williams. "The money will come." Web Sites for Women Seen as Growing DMNews From iVillage to Jezebel to WoWoWoW, Web sites catering to women are picking up speed. Women's sites were one of the fastest growing Web site categories in 2008. Washington Post Co.'s Slate.com plans to launch Double X, a spinoff of its women's political blog, The XX Factor. Google, Amazon Put More Books on Mobiles New York Times The 1.5 million public domain books Google has scanned and made available free on PCs are now accessible on mobile devices like the iPhone. Also, Amazon.com is working on making the titles for its popular e-book reader, the Kindle, available on a variety of mobile phones. Diller Seeking 'Transformational' Acquisition Forbes Cash-rich InterActiveCorp chief Barry Diller is said to be hunting for a "transformational" acquisition. Analysts say they wouldn't be surprised if Diller's next deal is "on the scale of a YouTube." Diller is reportedly on the lookout for a Chinese version of the Huffington Post. NY Times's About.com Cuts 19 Employees Reuters The New York Times Co.'s About.com is laying off 19 people, or about 9.5% of its staff, in response to the economic crisis. Also, About.com is suspending pay raises, limiting travel budgets and cutting discretionary spending to compensate for lower revenue projections. 'Google Killers' Are Still Possible, Study Says Adweek Despite the solid lead Google enjoys in online search, brand loyalty to search engines is quite low, according to a new survey by Forrester Research. In fact, most consumers say Microsoft and Yahoo are more effective than Google for finding news and media content. News Corp Preps MySpace Promotional Push USA Today MySpace is rolling out an ambitious redesign, aiming to appeal to an older crowd and more advertisers. Coming up: a major promotional push across the various media holdings of parent News Corp., possibly via "American Idol," "The Simpsons" and other popular Fox properties. Time Warner Buys Video-Game Firm Snowblind Financial Times Time Warner's Warner Bros. is bolstering its presence in video games with the acquisition of Snowblind Studios, a Seattle-based developer. Warner Bros. already holds a stake in Eidos, the company behind "Tomb Raider." Unlike DVDs, sales of video games are rising. Microsoft Launches Site to Rival PerezHilton Seattle Times Microsoft is partnering with entertainment firm BermanBraun Interactive to create a celebrity news site. The creators of the new Wonderwall say it will attempt to "decommoditize" the stream of celebrity images, with a balance of the editorial tone found on TMZ and People.com. JuicyCampus Shuts Down as Ads Dry Up Los Angeles Times JuicyCampus, an online hangout for college students to spread anonymous rumors, is shutting down, citing a lack of advertising revenue and funding. Despite expanding to more than 500 U.S. campuses, the site was unable to "muster the resources needed to survive," says CEO Matt Ivester. IAC's CollegeHumor to Premiere MTV Series USA Today IAC/InterActive Corp's CollegeHumor.com has evolved into a go-to site for 6 million visitors monthly, a comedy tour, books and now a television series, MTV's "The CollegeHumor Show," premiering Sunday. Beer, babes and parodies dominate the site, a favorite of men ages 18 to 22. Google Wants Time Warner to Buy Back AOL San Francisco Business Google is said to be exercising a right to force Time Warner to buy back the search giant's stake in AOL or take the Internet unit public. Google invested $1 billion in AOL in 2005; the stake's value is now believed to be worth about $250 million. Time Warner says it is "evaluating its options." YouTube, Online Video Sites Report Growth CNET As Americans tuned into their computers during December, the number of online videos viewed jumped 13% over the previous month, says comScore. U.S. viewers watched 14.3 billion online videos in December. Google's YouTube remained the leader in online video viewing. Google to Track Users of Mobile Devices Financial Times Google is set to draw scrutiny to the privacy implications of "location-aware" mobile services with the announcement of a service that allows users to track the whereabouts of their friends. The new Google Latitude will enable handset users to broadcast their location constantly. AOL Hires Yet Another Online Ad Director Associated Press AOL is naming former Yahoo exec Gregory Coleman as head of its Platform-A online advertising unit, making him the third person in that role in 17 months. Coleman replaces Lynda Clarizio, who took the position last March. AOL did not say where Clarizio will be headed. Google News to Expand Across the Web Google Blog Google is starting a service enabling Web-site owners to integrate news headlines from the Google News aggregator into any Web page. The service could help newspapers "reach new audiences." Participants can control the types of stories in their chosen news feed. YouTube's New Sensation: Christian Bale UPI An audio recording of "Batman" actor Christian Bale losing his temper while working on a movie set hit the Internet this week. The tirade soon became the basis for more than one music remix on YouTube. In less than 24 hours, one remix received 110,000 hits. MySpace Sex Offenders Jump to Facebook TechCrunch News Corp.'s MySpace says it has removed the profiles of 90,000 registered sex offenders who attempted to create accounts on the site. A portion of them are now on rival Facebook, according to security tech firm Sentinel. Facebook is described as a "safe haven" for sex offenders. Facebook Turns Five; Yet to Be Monetized BBC News Facebook is giving its 150 million users a mystery virtual gift to celebrate its fifth birthday. The perennial question for the world's leading online social network has been how to monetize the site. "That's not something we've figured out," admits founder Mark Zuckerberg. Amazon Sold 500,000 Kindles, Analyst Says Associated Press Amazon.com says that its Kindle electronic book reader is out of stock, but isn't revealing how many have been sold. Citi Investment Research analyst Mark Mahaney is estimating that 500,000 Kindles were sold in 2008, based on a regulatory filing from Kindle partner Sprint. IAC's Daily Beast Site Sees Drop in Traffic New York Observer The Daily Beast, the Barry Diller-Tina Brown news site, saw a strong kickoff. But traffic numbers fell 17% by the end of December from their November heights, according to Compete.com. The Daily Beast says that numbers seem to be picking back up for January. Google Execs Face Jail Time for Video InformationWeek Four Google execs, including global privacy counsel Peter Fleischer, could be jailed for a video that was uploaded to Google Video in 2006. The clip showed four teens in Turin, Italy, taunting a boy with Down's syndrome. Google shouldn't have let the clip be posted, an Italian court says. Twitter Feed Declares 'The Media Is Thriving' New York Times "The Media Is Dying," a Twitter feed that documents media hirings and firings, is inspiring a more upbeat counterpart. The new "Media Is Thriving," created by staffers at interactive marketing agency the Barbarian Group, asserts that "it's really not all bad news." Diller's IAC: Media, Ad Operations Weak Dow Jones IAC/InterActiveCorp is reporting a fourth-quarter profit from its investments, as results at its media-and-advertising segment weakened sharply. Chief Barry Diller says it is unclear how much online advertising will be affected by the downturn in 2009, but sees it "potentially thriving." Google Frets Over Digital TV 'Translators' MarketWatch Google, Microsoft and Dell are complaining to the U.S. Federal Communications Commission about its proposed "translator" service for television broadcasters to help them fill any gaps in signal coverage after the Feb 17 digital shift. The move could interfere with "white spaces." Wikipedia Creator Launches Q&A Wiki Site TechCrunch Wikipedia co-founder Jimmy Wales is launching Wikianswers, a question-and-answer site that attempts to create one true, consensus answer for each question, wiki-style. The new site's "open community" will "always do better than a corporate site," says Wikia CEO Gil Penchina. Twitter to Unveil Revenue Model by April San Francisco Chronicle After nearly two years as a company, Twitter has yet to bring in revenue. The micro-blogging site's initial stab at making money likely will come by April, although it won't be anything revolutionary, according to CEO Evan Williams. "We don't like to make too big a deal of it." Hulu Says 'We're Evil' in Super Bowl Ad CNET Hulu, the NBC-News Corp. Web video joint venture, premiered its television commercial during the Super Bowl, describing itself as "evil" in a humorous spot featuring NBC star Alec Baldwin. The ad is seen as important for Hulu, as many TV audiences had likely never heard of it. Internet Won't Replace TV, Pittman Says TheDeal Television is one area of the media that won't be threatened by the Internet, according to Bob Pittman, speaking at Columbia Business School. The former MTV and AOL exec says that Web video can't "do the same thing" as TV. Newspapers, however, are in for a painful adjustment. Google Exec Joins Obama Administration AllThingsD President Obama has yet to announce the identity of his chief technology officer. But he has hired a Silicon Valley exec for another role: Google product manager Katie Jacobs Stanton will be the new president's so-called "director of citizen participation," starting in March. Amazon: Kindle Demand 'Unusually Strong' AFP Online retailer Amazon.com has not released figures but says that demand for the Kindle electronic book readers has been "unusually strong." Amazon, which is expected to issue a new version of the Kindle in New York next month, now offers 230,000 titles for the Kindle. Yahoo, News Corp to Develop TV Show New York Times Yahoo aims to extend its brand to television by developing a half-hour newsmagazine with Twentieth Television, a unit of News Corp. The program, called "Yahoo Buzz" and inspired by the Web feature of the same name, will be syndicated to TV stations as early as this fall. Time Warner: AOL to Lay Off 700 Workers AllThingsD Time Warner's AOL online unit has announced layoffs of 700 employees, or 10% of its work force, due to the weak economy, a drop in advertising and structural changes. "Our goal is to provide our core businesses the resources they need to thrive," said CEO Randy Falco. Google CEO Fears Recession May Deepen Bloomberg Google chief Eric Schmidt called on President Obama to get a stimulus plan passed quickly, citing concerns that the U.S. economy could worsen. Schmidt joined 12 other execs in a White House meeting Wednesday. Also: Google's business is not "recession-proof." YouTube, William Morris Near Talent Deal New York Times Google's YouTube and the William Morris Agency are close to signing a deal to place the Hollywood talent agency's clients in Web productions. The deal will give William Morris clients ownership in videos they create for YouTube, bypassing traditional television networks. Glam Media Buys Startup for Ad Targeting VentureBeat Glam Media, the online network for women, has acquired a Silicon Valley startup AdaptiveAds for an undisclosed price to help it better target ads. AdaptiveAds gives advertisers more ways to target different times of the day, and also lets them target according to geographic region. TechCrunch Boss on Hiatus After Threats Wall Street Journal TechCrunch founder Michael Arrington blamed fellow tech bloggers for the recent attacks on him, saying that his competitors' criticisms made him a target. Arrington has said he plans to take a break from his influential blog following acts from hostile readers, including a death threat. Google Preps Launch of Online Hard Drive Financial Post Google is expected to launch an online hard drive this year, the first step towards making the desktop computer "obsolete." Google's online file storage service will allow users to create a backup of all their documents to be accessed anywhere there is an Internet connection. Yahoo CEO Wants to Keep Company Whole CNET Carol Bartz, Yahoo's new CEO, has revealed her first public assessment of the embattled Internet company, arguing that it is stronger as a whole than as the sum of its parts. "This is a fantastic Internet property. This is not a company that needs to be pulled apart and left for the chickens." MySpace Fights Yahoo, MSN for Ad Cash Financial Times News Corp.'s MySpace is squaring off against Yahoo and Microsoft's MSN in an attempt to lure advertisers. MySpace has started letting brands take over its home page and created "safe havens" on the site to appeal to advertisers unwilling to put their brands on profile pages. YouTube Channel for Pope Loses Viewers Times of London The Vatican's YouTube channel registered 90,411 hits on Jan. 24, the day of its launch. But three days later, the audience for the English-language version of the site fell to 31,558 views. One problem: The channel does not allow for its videos to be embedded on third-party sites. Amazon to Unveil New Kindle E-Reader New York Times Amazon.com will introduce the next generation of its Kindle e-book reader at a news conference in New York City on Feb. 9. The new Kindle is expected to allow for faster screen refreshes and a more responsive screen. "It's a major change," says E-Ink CEO Russell Wilcox. Time Warner, AOL Deny Plan to Sell Bebo TechCrunch Time Warner's AOL has been reported to be considering selling Bebo, the social network it acquired only a year ago. Bebo has performed "much worse than it had hoped." However, a corporate communications rep at AOL has said: "There is no truth to this rumor." Yahoo 'Should Acquire' NY Times, Gawker Barron's Piper Jaffray analyst Gene Munster offers some eye-opening suggestions for Yahoo. In a piece titled "An Open Letter to CEO Carol Bartz," Munster says Yahoo should acquire the New York Times and blog publisher Gawker Media, which would "maximize stickiness." Monster.com Hackers Steal Personal Data BBC Hackers are believed to have stolen the personal data of millions of people around the world using the online job site Monster. Hackers are said to have stolen user names, passwords, telephone numbers and e-mail addresses. Monster is advising users to change their passwords. Wikipedia May Tighten Rules for Editing AFP Wikipedia is considering tightening its rules on who can edit the user-generated online encyclopedia after vandals last week changed the entries of two U.S. senators, Ted Kennedy and Robert Byrd, to erroneously report that they had died. Founder Jimmy Wales proposed the change. Hulu to Reveal 'Secret' in Super Bowl Ad CNET Hulu, the joint video venture between NBC Universal and News Corp., will be running a commercial during this Sunday's Super Bowl. The big game airs on NBC, one of Hulu's corporate parents. Hulu's announcement of the spot promises that the ad will "reveal the secret behind Hulu." Fox Interactive Lays Off 100 Employees Wall Street Journal News Corp.'s Fox Interactive Media is laying off about 5% of its work force, or about 100 people, from properties including MySpace and Photobucket. When News Corp. reports earnings next week, it will be under pressure to show significant results from its digital division. MySpace, YouTube Pick Bloggers for Davos TechCrunch The YouTube and MySpace contests to send videobloggers to report from the World Economic Forum in Davos, Switzerland, are over. Rebecca McQuigg from Los Angeles will represent MySpace; Pablo Camacho from Bogota, Colombia, will represent YouTube. Google to Pursue Agenda in Washington Los Angeles Times Google's execs and employees overwhelmingly supported Barack Obama for U.S. president, contributing more money than all but three companies or universities. "The question going forward is: Will Google turn into just another business entity looking for favors in Washington?" MySpace, Facebook Held Merger Talks TechCrunch Wall Street Journal editor Julia Angwin's new tell-all book about MySpace reveals that the social network's cofounder, Chris DeWolfe, met in 2005 with Facebook chief Mark Zuckerberg to discuss a merger. Zuckerberg, however, wanted $75 million, so DeWolfe passed. Microsoft's Zune Sees Sales Plummet Wired Microsoft's Zune media player is said to be suffering a revenue decline of 54%. The $100 million revenue drop "reflects a decrease in device sales," says Microsoft in a U.S. regulatory filing. Meanwhile, Apple says it is seeing an increase in sales of its rival iPod media player. Twitter Raising Cash at $250M Valuation TechCrunch Twitter, which recently turned down a $500 million acquisition offer from Facebook, is said to have signed a term sheet with one or more venture capital firms that would value the microblogging company at $250 million. Investors may be "encouraged by Twitter's breakneck growth." Piracy: Oscar-Contending Films Online CNET Twenty-four of this year's Oscar-nominated films are already available in DVD quality on the Internet, according to independent programmer Andy Baio. This is the highest percentage of Oscar contenders to appear online since he began tracking them six years ago. Murdoch's New Gossip Site Blasts Off TechCrunch DailyFill, a celebrity gossip site in the same vein as TMZ and Perez Hilton, is already reporting 1.7 million unique visitors less than two months after its launch. DailyFill is a creation of News Corp.'s Slingshot Labs, a startup incubator dedicated to developing new Web ventures. Diller's IAC Makes New Internet Moves Crain's New York Barry Diller's IAC/InterActiveCorp is continuing to reevaluate its holdings, selling campground reservation provider ReserveAmerica to the Active Network in a stock swap. Separately, IAC's Ask.com search site is buying Sendori, a startup that offers an online advertising exchange. Waxman Launches Hollywood News Site MarketWatch Former New York Times Hollywood correspondent Sharon Waxman is launching The Wrap, offering news and commentary for the entertainment industry. Waxman aims to create a "go-to" Internet destination for Hollywood news. Seattle venture capital firm Maveron is the lead investor. 'BarackBerry' Proves How Devices Are Vital USA Today President Obama, a self-proclaimed BlackBerry addict, won't have to give up his smartphone. But Obama's device, with "enhanced" security, may not actually be a BlackBerry from Research In Motion. Regardless, Obama's decision "shows how indispensable these devices have become." YouTube: A New Conduit for Music Acts Bloomberg Musicians are turning to YouTube videos as a new "conduit between artists and fans," says Brian Message, the co-manager of Radiohead, Faithless and Kate Nash, speaking at the annual Midem conference in Cannes. Record labels "are no longer the only option.” Facebook Surpasses MySpace Worldwide TechCrunch The privately held Facebook now has nearly 100 million more worldwide users than News Corp.'s MySpace, which is still the king in the United States. However, by January 2010, at current growth rates, Facebook will overtake MySpace as the largest U.S. social network as well. Pope Warns Against Facebook, MySpace Associated Press Pope Benedict XVI says social networking sites such as Facebook and MySpace can foster friendships and understanding, but warns they also can isolate people. Benedict urges a culture of online respect in his annual message for the World Day of Communications. Encyclopedia Britannica to Battle Wikipedia Sydney Morning Herald Encyclopedia Britannica is inviting the public to edit and contribute to its online version, in a move to take on the online user-generated Wikipedia. Features enabling the inclusion of this user-generated content will be rolled out on the encyclopedia's site over the next 24 hours. Digg to Cut Work Force 10%, Hire Sales Team CNET Digg is laying off a "very small" portion of its work force, but will also be hiring a new direct sales force and head of sales to drive the social news site to profitability this year. The overall job cuts at the 75-person company will be "microscopic in size," insists CEO Jay Adelson. Google: More Resistant Than Old Media San Francisco Chronicle Google is reporting sharply lower fourth quarter profits from bad investments, but its core business shows resilience amid the global recession. The Internet giant's results beat analysts' expectations. Google is "still growing, and you can't say that about a lot of media companies." Yahoo to Freeze Employee Pay Increases Bloomberg Yahoo is freezing annual pay raises as it tries to cope with a slowing online advertising market. The freeze won't affect Yahoo's annual bonus program and some workers, including those getting promotions. New CEO Carol Bartz was involved in the decision to freeze the increases. Microsoft Cuts 5,000 Jobs in First-Ever Firings Bloomberg Microsoft will cut 5,000 jobs, or about 5% of its work force, as the global recession eats into demand for software. The reductions, Microsoft's first companywide firings, will take place in nearly all areas, including research, sales and marketing, and will save the company $1.5 billion. Apple Earnings Boosted by Strong iPod Sales Los Angeles Times Despite a bleak economy, Apple is reporting record revenue and profit for its first quarter ended Dec. 27, propelled by surprisingly strong sales of its iPod. Apple says it sold a record 22.7 million iPods, which commands a 70% share of the U.S. market for music players. Yahoo, Microsoft, AOL Deal Seen as Elusive CNBC Despite reports of recent talks, Microsoft, Yahoo and Time Warner's AOL are said to be no closer to a possible partnership or any other deal than they were six months ago. A deal hasn't happened yet, according to one source, because it is "complicated." The parties can't "agree on price." Google Powers New NYC Information Hub CNET Google Maps and Google Earth are the centerpiece of NYCGo, a new information and reference project launched by the New York City government to provide resources to both visitors and locals. NYCGo also contains local content from Time Out New York, Paper magazine and the New York Observer. Twitter to Add Search to User Home Pages Times of London Twitter, the hit microblogging site, is about to make the biggest shift in its short history by integrating search functions into users' home pages. "Search integration is a way of introducing relevancy to people," says CEO Biz Stone. "This is a powerful new way of repositioning the product." CBS, Hulu to Test Online-Video Ad Formats Wall Street Journal Microsoft, Yahoo, CBS Interactive and Hulu are joining forces to attract more money to the fledgling online-video advertising marketplace by testing ad formats. The project, dubbed "the Pool," developed by Publicis Groupe's Starcom MediaVest, aims to create standards in online video. YouTube to Let Content Partners Sell Ads TechCrunch YouTube is trying to convince big media companies that "love is better than war" by giving them a cut of advertising revenues from their videos that appear on the site, regardless of who put them there. The prospect of selling ads against videos on YouTube has media "salivating." Twitter Said to Surpass Market Share of Digg CNET Twitter, the microblogging service, has for the first time surpassed the market share of visits of the hit content aggregation site Digg, says Internet analysis firm Hitwise. The interest last week in Twitter users' reports of the US Airways crash in the Hudson may have been a driver. HuffPost Sees Traffic Growth After Election Editor & Publisher The Huffington Post continues to attract more readers, despite the end of U.S. election season. According to Nielsen Online, the number of unique visitors to the news and opinion site grew 244% to 6.1 million in December compared to the same month a year ago. Microsoft Expected to Cut Thousands of Jobs Reuters Microsoft is expected to post a quarterly profit that misses its own target and announce thousands of job cuts this week, as the global economic slump hurts even the tech industry's biggest players. The report comes against a backdrop of a wounded global economy. Google to Stop Ad Program for Newspapers Dow Jones Google is canceling its program to sell print ads for newspapers, saying the effort was not as effective as it had hoped and citing the need to focus its resources on more promising products. The 2-year-old program isn't "providing a meaningful revenue impact." Apple Faces SEC Review Over Jobs Disclosures Bloomberg The U.S. Securities and Exchange Commission is said to be examining Apple's disclosures about CEO Steve Jobs's health to ensure investors haven't been misled. Investors have been seeking information on Jobs since June, when he appeared noticeably thinner at an Apple event. AOL May Be Sued by Thousands of Californians Sacramento Bee California residents can now sue AOL for invasion of privacy despite agreements they signed requiring all legal disputes to go before "courts of Virginia," says a new court ruling. In a July 2006 "screw-up," AOL posted members' personal data online, prompting a flood of lawsuit threats. Google: The Plot to Kill the Internet Giant Wired The Microsoft-led campaign to block U.S. regulatory approval of Google's advertising deal with Yahoo is unlikely to be the last attack by the many forces -- Viacom, AT&T, WPP Group -- aligning against the Internet giant. One observer says: "I expect a feeding frenzy in 2009." Advertisers: We're Still Scared of Google Advertising Age Advertisers continue to be concerned about Google's clout in online advertising, says a survey by the International Advertising Association, which was underwritten by Microsoft. Some 85% say it is important for a strong competitor to Google to emerge in the online ad market. Internet M&As Fall with Media Valuations MediaPost After a year highlighted by Internet mega-deals in 2007, the total value of online media mergers and acquisitions fell by more than half to $16.9 billion in 2008, says Peachtree Media Advisors. "The media companies that were doing the buying have seen their own valuations go down." Music Industry Urged to Embrace the Web Reuters The music industry needs to learn from the "dark side of the Internet" if it is to ever regain the upper hand in the fight against piracy, according to execs speaking at the MidemNet conference in Cannes. All online upstarts aren't necessarily "trying to screw you," says Google exec David Eun. Kanye West Makes Money from Blogging BBC News As the music business scrambles to find new revenue streams, some performers are reaching out to fans with new ideas to get paid. Kanye West makes money from his prolific blogging activities, with his Web site turning a profit thanks to advertising and sponsorships. Celebrities Take Their Blogging Seriously Independent Internet-savvy singers and actors are devoting more time to cultivating their online presence. Britney Spears believes it is so important to get the right "online media manager" that she is focusing her recruitment efforts on Harvard University graduates. YouTube Starts Offering Video Downloads San Francisco Business YouTube is starting to provide downloadable video for the first time, with offerings on U.S. president-elect Barack Obama's ChangeDotGov channel. Visitors to the Obama channel can download the video clips to their computers and devices rather than simply stream them online. MySpace to Let Users, Ads 'Get Married' World Screen News Corp.'s social networking site MySpace is partnering with global television producer Endemol for "Get Married on MySpace," a new online reality video series. One couple will have the opportunity to have their wedding streamed live online, with advertiser tie-ins. IAC's Daily Beast Runs 'Sponsored' Content Daily Beast The Daily Beast, the Tina Brown-edited news site from Barry Diller's IAC, is publishing a "sponsored interview" with Taraji P. Henson, a supporting actress in the Paramount/Warner Bros. film "The Curious Case of Benjamin Button." The actress is described as "Hollywood's new dramatic queen." Internet Giants in Talks to Take On Google AllThingsD Yahoo chief Roy Bostock, Microsoft CEO Steve Ballmer and Time Warner-AOL boss Jeff Bewkes are said to have met in New York last week. The chieftains are believed to have discussed possible partnerships or deals that could create a Web counterweight to the growing power of Google. YouTube to Launch Channel for the Vatican Reuters The Vatican will soon have its own channel on YouTube, where the Catholic faithful or the curious will be able to see Pope Benedict or Church events. The accord is due to be announced Friday at a news conference attended by officials from both the Vatican and YouTube owner Google. 'Wired' Obama Likely to Bypass Old Media CNN Barack Obama, the first president-elect with a Facebook page and a YouTube channel, is expected to use the Internet to bypass traditional media filters and interact directly with Americans. "Obama has invented an alternative media model," says CNN political analyst Bill Schneider. Federated Media Ad Firm Announces Layoffs CNET Federated Media Publishing, the online advertising company founded by former journalist John Battelle, is laying off seven of its 90 employees, mostly in display ads. With the online ad downturn in full effect, Federated will focus on creating marketing campaigns, a "growth area." Twitter Spreads News of US Airways Ordeal InfoWeek / CNET Twitter carried news about the US Airways plane emergency landing on the Hudson River before it was available on CNN.com, NYTimes.com and FoxNews.com. Also: TwitPic, an application that allows users to post pictures to Twitter, saw its servers get overloaded. Music Industry Still Faces Huge Online Piracy AFP The global music industry is making progress in clamping down on online piracy by creating new ways of selling tunes -- but 95% of downloads remain illegal, according to a report from the International Federation of the Phonographic Industry. The music sector is still "overshadowed." Virgin Megastore to Close as CD Sales Drop BBC New York's largest record shop, the 12-year-old Virgin Megastore in Times Square, is set to close in April. Virgin has been the only major music chain in New York since 2006, when Tower Records went into liquidation. Record shops are being hard hit by the rise of digital downloads. Hulu, Joost to Stream Nets' Obama Coverage Variety / Mashable Hulu, the video site jointly owned by News Corp. and NBC Universal, will stream Fox Broadcasting's live coverage of Barack Obama's inauguration. Meanwhile: Video site Joost is taking advantage of its partnership with CBS to live stream the network’s inauguration coverage. YouTube Opens TV-Friendly Site for Games CNET YouTube is overhauling its living room-friendly console interface, initially available through the Sony PS3 and Nintendo Wii games at youtube.com/tv. Currently in beta, the site lets users watch and share YouTube videos on consoles, emulating a traditional television experience. Digg, Kutcher Plan Reality Show for Internet AFP Actor Ashton Kutcher and Digg social-news site founder Kevin Rose plan to use the Sundance Film festival as a stage for "24 Hours @ Sundance," a live online game show. "24 Hours" will pit bloggers against each other in "zany" challenges for "a new kind of reality television." Web Video Beats TV Among Viewers 18-to-24 MediaPost Coveted 18- to-24-year-old consumers now spend more time watching Web-distributed video than broadcast television, according to a survey released by online video advertising network LiveRail. The trend is seen as due to an increase in quality content on sites like Hulu and TV.com. Google to Lay Off Employees, Close Offices Wall Street Journal Google is laying off 100 recruiters and closing some engineering offices, as the impact of the economic downturn reaches the global Internet giant. Google admits that it needs "fewer people focused on hiring." The company recently let go a significant number of temporary workers. Yahoo CEO Bartz: I Need to Learn About Media ClickZ Carol Bartz, the new CEO of Yahoo, describes herself as a techie, admitting she needs to "jumpstart" her education about media. "I suspect I have a little brain power to learn to understand media." She adds that it is too early to discuss Yahoo's future, including a sale of any businesses. Microsoft Mulls Job Cuts Across Company Wall Street Journal Microsoft is said to be seriously exploring significant work force reductions across its various divisions that could be announced as early as next week, in a sign that the weak economy is prompting tough decisions even at one of the steadiest ships in the tech industry. Apple CEO Jobs May Have Pancreas Removed Bloomberg Apple's Steve Jobs says he will take a leave of absence after discovering that his health problems are "more complex" than originally thought. COO Tim Cook will serve as interim CEO. Jobs could be facing surgery to remove his pancreas following his 2004 cancer treatment, doctors say. Blockbuster Enters Multi-Device Movie Deal InformationWeek Movie-rental company Blockbuster is partnering with Sonic Solutions, the parent of online movie service CinemaNow, to deliver movies over the Internet to a variety of devices, from PCs to mobile phones. The new service will carry the Blockbuster brand. Huffington Post: Layoffs in 23/6 Acquisition Portfolio The Huffington Post, which just announced the acquisition of the 23/6 humor site it co-founded with Barry Diller's IAC, is losing about a dozen staffers at its new buy as a result of the deal. Only one 23/6 editorial employee will be kept. The site will be the basis of a new HuffPost comedy vertical. Twitter Hires Its First 'Guru' for Business CNET Twitter is hiring tech veteran Kevin Thau as director of mobile business development. The increasingly popular microblogging site describes Thau as its "first official business development guru," who will handle the "crushing amount" of partnership proposals it receives. Google CEO's Obama Ties to Face Test Bloomberg U.S. consumer advocate groups are filing a complaint seeking safeguards for mobile-phone users, a move that may test Barack Obama's stance on Internet privacy. Google, whose CEO Eric Schmidt is an Obama pal, is "pushing the envelope" in tracking mobile Web use for advertising. Time Warner 'Stuck' with AOL, Magazines Bloomberg It might be too late for Time Warner to sell its battered AOL unit, analysts say. "I just don't see bidders out there." Time Warner is still looking at whether AOL has the "right ownership structure," says CFO John Martin. Also, the company is "reviewing" some of its smaller magazines. Gawker's Denton Sees Gloom, Doom in '09 iMediaConnection Gawker Media blog publisher Nick Denton believes that both the economy and advertising will "perform much worse than people think" in 2009. He adds: "This economic downturn is an extinction-level event. It will be bad for the dinosaurs -- but great for any mammals that survive." HuffPost Integrates IAC's Comedy Site 23/6 Jossip The Huffington Post is acquiring the comedy news site 236.com and will integrate it as a new comedy vertical, says editor in chief Arianna Huffington. The site, developed by Barry Diller's IAC/InterActiveCorp and The Huffington Post, launched in November 2007. The Knot to Acquire Breast Feeding Site Associated Press The Knot is acquiring Breastfeeding.com for an undisclosed amount, as the wedding-planning Web operator expands its brands beyond pregnancy and first-time parenting. Breastfeeding.com offers articles and videos, as well as a directory of lactation consultants. Politico, Starbucks to Host Public Chats Politico Politico, the online political news service and free newspaper, is teaming up with Starbucks to distribute copies of its print edition in the coffee retailer's Washington D.C. outlets. Also, Politico and Starbucks will host "coffeehouse conversations" at various store locations. Facebook May Overtake MySpace by 2010 CNET News Corp.'s MySpace is still ahead of rival social network Facebook in the United States, says traffic firm comScore. But Facebook's traffic is increasing. One account estimates that at current growth rates, Facebook's U.S. audience will overtake MySpace's by early 2010. Yahoo Names Bartz CEO; Decker to Leave Wall Street Journal Yahoo is appointing Autodesk CEO Carol Bartz as the struggling Internet company's next CEO, succeeding Jerry Yang, who stepped down in November. Current president and long-time exec Susan Decker, who also interviewed for the job, is leaving the company. Google Set for 'Strongest Quarter on Record' InformationWeek Google will announce its fourth-quarter fiscal results on Jan. 22. Search advertising data for December "continues to support the thesis that Q4 will prove to be the strongest quarter on record" for the Internet giant, says search engine market researcher AdGooroo. YouTube Awards $10,000 to Citizen Journo Los Angeles Times YouTube's "Project: Report," in partnership with the Pulitzer Center, is awarding $10,000 to Arturo Perez Jr., the non-professional reporter behind "Abilities," a five-minute documentary about a community for the developmentally disabled. The contest aimed to "tell untold stories." Google Removes Links to 'Vulgar' Content AFP China, which boasts the world's largest online population at some 250 million, is shutting down 91 Web sites as authorities crack down on online adult content. Google says it is "willing to be a law-abiding citizen in China," deleting all links to "vulgar material" from its search indexes. Yahoo's Next Frontier: Adding Internet to TV BusinessWeek Yahoo is working with Intel and television makers to inaugurate TV widgets that will add Internet content to home viewing. Analysts view the Web pioneer's efforts as fortuitous: Consumers are eager to enjoy disparate media in a single gadget or appliance. AOL Realigns as Overseer of Niche Blogs New York Times Time Warner's AOL is forming a business unit to organize efforts in launching niche Web sites, such as its popular Engadget and TMZ. The new MediaGlow unit will create "dozens if not hundreds of front doors that are more relevant to advertisers." Thirty new sites are set for 2009. Deloitte: Portable Video, Blogs More Popular E-Commerce Times About half of U.S. consumers want the freedom to view video on any platform they choose -- be it television, cellphone or PC, according to a new media survey from Deloitte. Also, a whopping 67% of young consumers watch movies online. This audience is also more receptive to blogs. TiVo Redesigns Search to Be 'Google of TV' Wired TiVo is developing a new search feature that aims to become the "Google of TV." Users type in the first few letters of a TV show in the "discovery bar" and relevant recommendations of shows on satellite and broadband networks appears. TiVo's search update is in now in beta testing. First30Days.com: The Next Huffington Post? MinOnline Like an East Coast Arianna Huffington, New York-based First30Days founder Ariane de Bonvoisin's alluring European accent shows up just about everywhere these days in promoting a new cross-platform media model. The "positive change" site aims to make "content everywhere." Online Media is Losing Luster, 'Overvalued' Mediaweek Media execs expect mergers and acquisitions to slow online for properties, says a survey from investment bank AdMedia Partners. The estimated value of online media will decline after increasing for several years. Enthusiasm for social media and user-generated content is "waning." Yahoo Nears End of Search for New CEO Wall Street Journal Yahoo is said to be in the final stretch of its search for a CEO, and a decision could come as soon as next week. Among the candidates still under consideration is Carol Bartz, the former CEO of Autodesk, a publicly traded company that builds design software used in engineering. AOL Names Cahall New Product-Tech Chief Wall Street Journal Time Warner's AOL unit is naming Ted Cahall executive VP of products and technologies, as well as to a new post of GM of the company's Dulles campus. Cahall, previously head of AOL platforms and technologies, will oversee AOL video search Truveo and MapQuest, among other services. MySpace, WSJ Offer Citizen Journo Contest Wall Street Journal News Corp. siblings MySpace and the Wall Street Journal are teaming up for a "MySpace Journal" contest, awarding the winner a free trip to report from the World Economic Forum in Davos, Switzerland. The winner also will have his or her blog syndicated on WSJ.com. Facebook, CNN Team to Stream Inauguration Mediaweek CNN.com and Facebook are joining forces in an effort to create what they hope will become the largest live event in the history of the Web. CNN.com will stream live footage from Barack Obama's inauguration ceremony, allowing viewers to provide updates to their Facebook profiles. Google Cuts Jobs as Growth Decelerates Associated Press Google is jettisoning a large number of temporary employees in an austerity drive spurred by the recession. The Internet giant still intends to spend billions of dollars during the next two years on acquisitions and other projects. Although Google's revenue is still rising, growth is slowing. Microsoft Said Not in Talks to Fund Yahoo Bid Bloomberg Microsoft isn't holding talks to finance a new bid for Yahoo, according to a person familiar with the software giant's plans, responding to a report on TechCrunch. The blog says that a Silicon Valley investment group is putting together a bid for Yahoo that will be funded by Microsoft. Google, YouTube Hold Obama Inaugural Bash eWeek Google and its YouTube video site are co-hosting an inaugural party in Washington, D.C., for incoming U.S. president Barack Obama. The invitation says that the event aims to "welcome a new era of open government, and take a break from traditional inaugural balls." Facebook Becomes a (Really Big) Country Adotas Facebook now boasts 150 million global active users, according to a blog post by chief Mark Zuckerberg. "If Facebook were a country, it would be the eighth most populated in the world, just ahead of Japan, Russia and Nigeria." The popular social network is yet to become profitable. MySpace Partnerships Bring Site to TV Set TV Week MySpace is partnering with Toshiba, Yahoo and Intel to bring the News Corp. social-networking site to television sets. A new widget will allow users to interact with MySpace through their TVs. Users will be able to receive friend updates, send messages and browse profiles. Millennials Abandoning TV for PC, Cell Phone World Screen Most 14- to 25-year-olds view the computer as more of an entertainment device than the television set, says research from Deloitte. These so-called Millennials are a "global early-adopter generation." Plus, 59% of Millennials say they use the cell phone as an entertainment device. Gawker: How Gossip Blog Empire Lost Its Mojo Independent Gawker Media is feeling the pain of the advertising downturn and seeing its audience become less willing to tolerate wildly outrageous gossip. Founder Nick Denton snarks: "If American magazines and newspapers weren't so busy defending good taste, they might occasionally break a story." Yelp User Faces Lawsuit Over Negative Review San Francisco Chronicle A San Francisco chiropractor is filing a lawsuit against a local artist over bad reviews published on Yelp, the Web site that rates businesses. The case raises questions about whether people can use the Internet to express negative feelings about others, as well as Yelp's viability. Google CEO: We Won't Acquire Newspapers Fortune Google doesn't plan to buy any newspapers, says CEO Eric Schmidt. "I don't think our purchasing a newspaper would ... solve the underlying problem in the business. Google can't make the cost of newsprint go down." He adds: "I wish I had a brilliant idea" to save newspapers, "but I don't." AOL Exec VP Conroy to Depart for Univision SAI Kevin Conroy, executive VP of products and marketing at Time Warner's AOL, is leaving after eight years to become president of interactive media at Univision. Conroy had headed up deals to make television programs from ABC, CBS, Fox and NBC available on AOL. MySpace, Facebook 'Must Monetize' to Survive New Media Age Social networks must start putting monetization above growth in order to survive, according to Deloitte. The call comes ahead of the release of Deloitte's media report for 2009. The harsh economic climate means that social networks need to "justify their worth to investors." Apple Drops Prices, Copy Protection on iTunes Associated Press Apple is cutting the price of some songs in its iTunes online store to as little as 69 cents and plans to make every track available without copy protection. Apple is facing competition from Amazon.com, which charges as little as 79 cents a song -- with no copy protection. Drudge Pal Breitbart Launches Hollywood Site Washington Times Andrew Breitbart, a developer of the Huffington Post and former contributor to the Drudge Report, is launching Big Hollywood, a conservative-leaning group blog that vows to offer contributions from "hundreds of big minds." The goal, Breitbart says, is "to change the entertainment industry." Traditional Media Memorialized in New Web Site Press Gazette A new Web site, Traditional Publishing RIP, vows to be "an online memorial to the traditional media industry." Created by Dialect, a Canadian Web marketing agency, the site aggregates online reports of newspaper job cuts, publishing company bankruptcy and other media woes. Google Sued by Model Over Blog Comment New York Daily News Model Liskula Cohen is suing Google in an attempt to unmask the blogger who trashed her as a "skank" on a blog hosted by the search engine's Blogger.com subsidiary. The defamation suit seeks a court order compelling Google to identify the source of the online "assault." EBay's Whitman Said to Eye Governor Race San Jose Mercury News Former eBay CEO Meg Whitman is stepping down from the boards of eBay, Procter & Gamble and Dreamworks Animation -- a signal that she likely will throw her hat in the ring for the 2010 California governor's race. Whitman could announce her candidacy within weeks. Google Grabs Most of Obama's Online Ads ClickZ Barack Obama's U.S. presidential campaign spent more than $16 million on online advertising in 2008. Google was far and away the winner, taking in some $7.5 million. Turner Broadcasting/CNN.com netted $461,000 of Obama's online ad spend; Washington Post took home $125,000. Twitter Phishing Scam Snares Media Figures CNET Fox News and CNN anchor Rick Sanchez are among the apparent victims of a password-stealing phishing scam plaguing Twitter. The microblogging service has issued a message on all members' home pages alerting them of the issue. (So far, themediaisdying appears to be unharmed.) Google to 'Fail' to Become a Media Company Searchblog Google will struggle to diversify its revenue in 2009, predicts John Battelle, the head of Federated Media and the author of a book about the Internet giant. While Google has an opportunity to become "a new kind" of media company, it will "fail to do so, mainly for cultural reasons." Apple CEO Jobs Reveals Nutritional Ailment Bloomberg Steve Jobs, after months of concern about his health and weight loss, says he is suffering from a nutritional ailment and that he plans to remain Apple's CEO during his treatment. "A hormone imbalance has been 'robbing' me of the proteins my body needs to be healthy." Netflix to Launch TVs with Instant Movie Viewing Reuters LG Electronics will soon introduce television sets that can screen Netflix movies directly from the Web without an external box. Netflix, which is seeking to equip all home-entertainment screens with instant movie viewing, is also announcing a partnership with Microsoft's Xbox 360. Google, Baidu Targeted in China Crackdown Bloomberg China, the world's biggest Internet market, has announced a crackdown on Web sites that it says spread offensive content, singling out search engines Google and Baidu for criticism. A vulgar tone on the Internet "has seriously damaged the physical and mental health of youth." Facebook Breaks Traffic Record Christmas Eve CNET Facebook saw record traffic on Christmas Eve. The social-networking site's top markets of New York, Chicago, Washington, Boston and Philadelphia were all hard hit last week by severe weather, which may have prevented many people from getting out and visiting in person. FriendFinder, Penthouse Parent Files for IPO Reuters FriendFinder Networks, the publisher of Penthouse magazine and the operator of the social-networking site Adult Friend Finder, has filed for a $460 million initial public offering. FriendFinder, formerly known as Penthouse Media Group, plans to use the proceeds to pay off debt. Gawker Sells Blog, Pessimistic About Web Ads CNET Gawker Media has sold its Consumerist blog to Consumers Union, the publisher of Consumer Reports magazine. Gawker also plans to sell its gossip blog Defamer. "People have generally been too optimistic" about online advertising, says Gawker founder Nick Denton. Google, Web Leaders Rise in Downturn Dow Jones The current Internet leaders have a better chance of retaining their already-dominant positions because of their strong leads, according to industry observers. Google commands 64% of the global search market; Netflix controls some 70% of the U.S. online movie rental audience. Hulu Named AP's Web Site of the Year Associated Press Hulu, the NBC Universal-News Corp. video site, has proven to be "a trailblazing answer to how professional content can thrive on the Web," said the Associated Press. Hulu's advertising revenues have been forecast to equal the much larger YouTube's by the end of 2009. Internet Helping to Kill Off Trade Shows Dow Jones The sliding global economy is prompting companies such as Apple to skip major trade conferences. The Web is providing an instant, inexpensive means for interacting with customers. "The traditional trade show is looking quite old school," said Pund-IT analyst Charles King. Digg, Tech Startups See Valuations Slip BusinessWeek A year ago there were reports that Digg had hired investment bank Allen & Co. to put the popular social news site on the block for $300 million. Now that number "looks like a relic from a bygone era." A venture-capital investment in Digg in September implies a valuation of $167 million. Gawker Blog Network Makes 'Brutal' Cuts WWD Gawker Media is responding to the online advertising recession with consolidations, cutbacks and layoffs. "Brutal" changes are needed to get the business "into good shape," said founder Nick Denton, so that the blog network can "remain independent." Music Industry Halts Online Piracy Suits Wall Street Journal After suing some 35,000 people for allegedly stealing music via the Internet, the Recording Industry Association of America plans to drop its legal assault. Instead, the trade group plans to work with Internet-service providers when it finds customers making music available online. Google Is Violating Privacy, Group Says Reuters A Japanese civilian group called Campaign Against Surveillance Society wants Google to stop providing detailed street-level images of cities in Japan on the Internet, saying they violated privacy rights. Google is "deeply violating a basic right that humans have." Oprah Boosts Amazon's Kindle to $1,500 Bloomberg Amazon.com's Kindle quickly sold out after Oprah Winfrey endorsed the electronic-book reader on her television show in October. With Christmas a week away, used Kindles have been listed on EBay, Craigslist and Amazon.com’s second-hand product site for up to $1,500. Nielsen: Web Video Users Are Day Clickers Mediaweek Daytime is the Internet’s prime time, at least when it comes to video, according to a report by Nielsen Online. During the traditional work week -- Monday through Friday from 9 a.m. to 5 p.m. -- 65% of online video viewers streamed at least one piece of content in October. MPAA Reining in More Illicit Movie Sites Wired The Motion Picture Association of America has sued three allegedly illicit movie sites -- campusist.com, movies-on-demand.tv and sswarez.com -- bringing to 13 the number of MPAA lawsuits since 2007 challenging such services. Illegal downloading, however, continues to skyrocket. Joost Scraps Video App After Web Launch Multichannel News Joost, the Internet television venture, has said it will discontinue its original software application -- which had been central to its strategy of trying to reinvent television online -- and instead focus on its new Web version. Joost released its more accessible Web version in October. LinkedIn CEO Nye Resigns After Two Years Wall Street Journal LinkedIn CEO Dan Nye has resigned after less than two years at the helm of the social-networking site for professionals. He will be replaced by founder Reid Hoffman. The reasons behind Nye's exit are unclear, but LinkedIn remains far smaller than MySpace and Facebook. Twitter Posts Job for Manager of Revenue CNET Twitter has put out a job posting for a product manager to help with "revenue generation." The San Francisco startup, flush with venture funding and media hype, has yet to make a cent. The job description reads: "You will play a defining role in the formulation of Twitter's business." Yahoo Invests in Phone Directory Search PC World Yahoo has bought a 30% stake in Info Network Management Company, a firm in India that specializes in telephone directory search. Users in India will be able to access information about local businesses through Yahoo Web sites, as well as by phone through its own service. NY Gov Eyes 'iPod Tax' on Digital Content New York Daily News New York governor David Paterson, facing a $15.4 billion budget gap, has called for an "iPod tax" on the sale of downloaded music and other "digitally delivered entertainment." Movie tickets, as well as cable and satellite television, could also be taxed. Google Buys Four Buildings in Expansion San Francisco Business Google has bought four buildings in Mountain View, Calif., its home base, as part of the Internet giant's "long-term planning," according to a spokesman. "We like to have employees working in a dense campus cluster. We plan to stay in Mountain View for the long term." Ex-AOLer Miller Not a Yahoo CEO Candidate Bloomberg Despite speculation, former AOL chief Jon Miller isn't trying to buy Yahoo and isn't a candidate for the firm's CEO job. Rather, Miller is focusing on new-media investments as a partner in his Velocity Interactive Group. One of his projects aims to become "the Viacom of the Web." MySpace for BlackBerry Marks 1M Downloads BlackBerry Cool MySpace for BlackBerry, the News Corp. social-networking application "so cool with the kids these days," has been downloaded more than 1 million times, according to RIM. The number has been seen as impressive since the application was launched just a month ago. Midway Games to Lay Off 180 Employees Chicago Tribune Video-game publisher Midway Games has pared its operations as it fights to stay afloat, cutting 25% of its workforce and closing a studio in Texas. The cost cutting is said to have preceded Sumner Redstone's sale of his 87% stake in the maker of the "Mortal Kombat" franchise. Traditional Media Still Matter, Survey Says Ad Age So-called "digital influencers" actually get their information from old media, according to a survey by MS&L. Some 84% of digital influencers go online to find out more about something only after first learning about it from magazines, newspapers, television or radio. Poll: Internet, Cable News Sources on Rise UPI Among daily news sources, only cable and Internet news have shown significant gains in popularity since 2006, according to a Gallup survey. Online news sources had the biggest increase, with 31% saying they turn to the Internet for daily news -- a 100% increase since 2002. Ex-Vodafone Chief Rules Out Move to Yahoo Financial Times Arun Sarin, the former head of Vodafone, has decided not to pursue the possibility of becoming the next CEO of Yahoo. The Internet company had expressed an interest in Sarin succeeding Jerry Yang. One reason for his rejection was a perceived risk that Yahoo could be dismembered. Yahoo 'Most Trusted'; Google Not So Much San Francisco Chronicle Facebook and Yahoo for the first time have made an annual ranking of the top 20 most trusted companies in the United States. Google, however, dropped off the list, released by the Ponemon Institute and TRUSTe. Consumers are said to be "getting more astute" about privacy. Google Slams WSJ Net Story as 'Confused' Associated Press Google has denied that it reversed its stance on Net neutrality, dismissing a story in the Wall Street Journal on the subject as "confused." The Journal's report was "apparently based on a misunderstanding" of Google's offer to place edge servers within ISPs, said the Internet giant. Twitter Joins the Google Friend Connect Fold Wired Google has added Twitter to its Google Friend Connect service. Twitter's popularity is expected to make Google's Friend Connect widgets more appealing to site developers, which in turn could mean gains for Google in providing portable social tools on the larger Web. AOL's Home Page Sees Increase in Traffic WebProNews The new AOL.com home page is bringing advertisers record performance and is also driving increased user reach and engagement, according to AOL's Platform-A. Since AOL redesigned its home page in September, advertising click-through rates are said to have increased 30%. Pew: Mobile Internet Access to Rule by 2020 MediaPost Wireless devices will be the primary means of connecting to the Internet for most people by 2020, according to a report by the Pew Internet & American Life Project. People "won't think of these things as 'phones' either -- these devices will be simply lenses on the online world." Google Seeks Content 'Fast Lane' on the Web Wall Street Journal Google has approached major cable and phone companies that carry Internet traffic with a proposal to create a "fast lane" for its own content. But cable and phone companies are supposed to treat all traffic the same. "If we did this," said one cable exec, "Washington would be on fire." Facebook Book Eyed for Film by Aaron Sorkin Boston Herald Author Ben Mezrich's forthcoming book about the founders of Facebook, the hit social-networking site, has been scheduled for release by Doubleday next autumn. Veteran screenwriter Aaron Sorkin has already signed on to adapt the book into a movie, Mezrich has confirmed. IAC's Diller: No Revenues from Brown's Beast Washington Post IAC chief Barry Diller said he doesn't expect to make a dime on The Daily Beast, the new content site from Tina Brown, for two to three years, if then. "Can today's online economics support a venture like this? The answer is no." We're "developing new advertising methods online." Comcast Site Nabs Whoopi for Online Show Variety Whoopi Goldberg will star in "Strange," a sci-fi miniseries for FEARnet.com, set to debut both online and on video on demand. "Strange" will air in six five-minute weekly segments. FEARnet is a joint venture between Comcast, Sony and Lionsgate. YouTube Turns Videos Into Greeting Cards CNET YouTube has unveiled a holiday feature that lets users create hosted video cards to send to friends and family. Users can select this option from any YouTube video, or from a special page that houses selected community videos and links to a user's own clips. Google's New Mantra: 'Scarcity Brings Clarity' BusinessWeek Is Google too influential? "Our influence comes from the end-users and the trust that we've built," said Google VP Marissa Mayer. "We believe that more competition is better for the Web." Also: "The mantra we're hearing around the Googleplex is 'Scarcity brings clarity.'" Google-NY Times Acquisition Talk Increases TheDeal As the New York Times negotiates with lenders over its debt, speculation has been heating up in the blogosphere that Google could make a move to acquire the Gray Lady. One online observer has argued that cash-flush Google would be able to scoop up the Times for under $4 billion. Time Warner May Keep AOL Content Sites AllThingsD Time Warner is said to be considering selling off pieces of AOL after growing weary of its inability to complete a deal to sell the troubled Internet unit to Yahoo. The media giant may hold on to AOL's content properties, some of which are among the most trafficked on the Web. Washington Post CEO Joins Facebook Board Associated Press Washington Post chairman Donald Graham is joining the board of Facebook, connecting the popular Internet hangout with a media industry veteran. Founder Mark Zuckerberg has been bringing in more experienced leaders as he tries to capitalize on Facebook's massive following. HuffPo, Twitter See Post-Election Declines TechCrunch After showing significant growth leading up to the U.S. presidential election, Twitter saw a 47% decline U.S. page views from October to November. The Huffington Post saw a 20% drop in unique U.S. visitors during the same time period. HuffPo is advised to "broaden its coverage." Google in Push to Make U.S. Gov Searchable Washington Post For years, the U.S. government has been unwilling or unable to make millions of its Web pages accessible. But Google CEO Eric Schmidt aims to change that as an adviser to president-elect Barack Obama. Some federal officials have grumbled that Google's only interest is making money. Yahoo May See More Staff Reductions in '09 New York Times Yahoo began laying off 1,500 workers on Wednesday as part of a plan to slash expenses by $400 million a year. The cost cutting, however, may have to go deeper in the coming year. "There could be additional staff reductions next year," said a Yahoo spokesman. YouTube Pulls in Big Bucks for Some Users New York Times One year after YouTube invited members to become "partners" and added advertising to their videos, the most successful users are earning six-figure incomes. Michael Buckley, of Meriden, Conn., quit his day job after the profits of his YouTube show surpassed his salary. Hulu CEO Stresses Need for Syndication Hollywood Reporter Content is still king in the online video world, but content aggregation and syndication are important strategies, according to a panel of experts. Since media usage is impulse-driven, the News Corp.-NBC video site Hulu has embedded its content into more than 60,000 Web sites. Google Adds Print Magazines to Book Search CNET Google has announced a partnership with several publishers to bring old magazines -- Popular Mechanics, New York, Ebony and others -- online with the same scanning process used for its Book Search product. Google will share advertising revenue with the publishers. AOL Readies High-Stakes Social-Media Debut Wall Street Journal Time Warner's AOL, which acquired the No. 3 social-media site Bebo last spring, is unveiling a relaunch. Among the new features, Bebo members will be able to receive feeds from outside sites, such as Twitter and YouTube. A media-recommendation tool will suggest TV shows and music. Yahoo, Electronic Arts Add to Growing Job Cuts CNNMoney Yahoo and Electronic Arts have added to the mounting number of job losses. Yahoo said it would begin handing out pink slips Wednesday. The toll could reach 1,400 job cuts. EA, the electronics gaming company, has also announced staff cuts but has not specified the number. Forrester: Blogs Rank Last in Consumer Trust WebProNews Forrester Research has released a report that details how much people trust different information sources. At the top of the list is email from people they know. At the bottom are personal and company blogs. Print newspapers come in at fifth place. NYU to Offer New Degree in Video Gaming Crain's New York New York University has announced that it has launched the NYU Game Center, which will offer undergraduate and graduate degrees in the research, design and development of digital games. NYU will become the first New York City college to offer a degree in video games. Fox News Among Top Google Searches in '08 PC Mag Google has released its Zeitgeist 2008, a comprehensive look at the top searches of 2008. Among the "fastest rising" U.S. searches in contrast to 2007: Obama, Facebook, Att, iPhone, YouTube, Fox News, Palin, Beijing 2008, David Cook, and Surf the channel. YouTube Attracts 100M Viewers in October CNET Google's YouTube in October pulled in 100 million viewers in the United States for an online video market share of almost 40%, according to new stats from comScore. Hulu, a joint venture between NBC Universal and News Corp., has edged its way into sixth place. MySpace, Google Team Up to Connect Users Associated Press MySpace is teaming up with Google in a campaign to extend the reach of the News Corp. social network and counter the expansion of their common rival Facebook. MySpace's "MySpaceID" is working with Google's "Friend Connect" to make the login system compatible with other sites. Twitter: Third-Party Developers to Add Ads Los Angeles Times Just because Twitter won't place advertising on its pages doesn't mean others aren't trying. Third-party services such as Twittad allow users to embed ads into the backgrounds of their Twitter pages. The service has attracted 170 advertisers since it launched in August. Hulu Ad Growth Said to Slow Dramatically MediaPost Online advertising growth at Hulu, the NBC Universal-News Corp. online video venture, had proved disappointing recently, said Jeff Zucker. "That marketplace has really, really slowed dramatically. It's still a growth area, but I don't think it's what we thought it would be." Google, Search Ads May Face Tough '09 MarketWatch Internet search could see its first-ever sequential decline in the first quarter of next year, according to a report by Citigroup analyst Mark Mahaney. In anticipation of tough times ahead, Google has made "significant" cost cuts including layoffs of temporary employees. Time Warner Invests in New Google Rival Telegraph Kosmix, a new Internet search site by Indian entrepreneurs that aims to compete with Google, has won $20 million in funding led by Time Warner. Kosmix's "innovations around the traditional online publishing model could represent a paradigm shift," said TW exec Rachel Lam. Yahoo Still Weeks Away from Finding CEO Bloomberg Yahoo is reportedly still weeks away from naming a successor to CEO Jerry Yang. A replacement for Yang isn't expected to be announced until January, or even later. Former Vodafone CEO Arun Sarin is believed to be among the people being considered. Microsoft Aims to Build a Rival to Google Wall Street Journal Microsoft CEO Steve Ballmer said he wants to build a "credible competitor" to Google by acquiring Yahoo's online search business. The software giant should strike a deal "sooner than later," he added. "I think good ideas are usually better done quickly than slowly." Diller to Shut Down, Sell Off IAC Sites Crain's New York Barry Diller's IAC/InterActiveCorp has decided to dismantle its programming division, which consists of Web sites like CollegeHumor.com and Life123.com. As a result, IAC will eliminate a layer of management and sell off or shut down sites that are not making money. Wowowow Wins $1.5M from Pilot, Rhime New York Post Bob Pittman's Pilot Group and the Rhime Group have teamed up to make a $1.5 million investment in Wowowow, the Web site aimed at women over 40. Wow was founded with a $1 million investment from founding partners Evans, Peggy Noonan, Lesley Stahl, Liz Smith and Mary Wells. News Corp's Chernin Eyed for Yahoo CEO AllThingsD Yahoo is said to have approached News Corp. president and COO Peter Chernin to replace former CEO Jerry Yang, but the well-known media exec declined to be interviewed. Chernin, currently in contract renewal talks at News Corp., has said he is not interested in the Yahoo job. IAC's Diller Sees M&A Opportunity in Downturn Reuters IAC chief Barry Diller expects his company will have up to $2.2 billion in cash by March 2009 and has no plans to use it for share buybacks, although he is keen for acquisitions. In media, "there's going to be a 'cascade' of acquisition opportunities." Microsoft Taps Yahoo Exec to Lead Web Biz Associated Press Microsoft has hired former Yahoo search exec Qi Lu to lead its online push, adding to the intrigue surrounding a possible search partnership between the two rivals. Lu spent a decade at Yahoo, where he oversaw "Project Panama," an effort that helped boost search advertising. RealNetworks Cuts 130 Jobs; 7.5% of Its Staff CNET RealNetworks, the media and music company, is reducing headcount by about 130 people, or 7.5% of its staff. Rhapsody America, a joint venture between RealNetworks and Viacom's MTV Networks, is rumored to be closing. RealNetworks has denied this report. Midway Games Hires Lazard Seeks Alternatives Chicago Tribune "Mortal Kombat" video-game publisher Midway Games has warned that it is danger of defaulting on $240 million in debt due in part to its change in ownership after Sumner Redstone sold his 87% stake. The company has hired Lazard to evaluate "strategic and financial alternatives." iVillage Not For Sale, Despite Banker Chatter WWD While one investment banker claims NBC Universal "has been quietly shopping iVillage for the past three months," the Web site for women is not for sale, according to NBC exec Lauren Zalaznick. The site did, however, let go 17 people this week as part of NBC's cost-cutting effort. Google Price Cut on Fewer Shopping Searches Bloomberg Google had its price target cut 23% by Bank of America as online shopping searches slow. Fewer people are looking for products online in the economic slump, said analyst Brian J. Pitz. Consumers are searching online "for news and commentary rather than Blu-Ray players and PCs." Yahoo Reported Takeover Bid Opposed by Icahn Dow Jones Billionaire investor and Yahoo director Carl Icahn said he had "no knowledge" of any effort by former AOL chief Jon Miller to buy all or part of Yahoo. "I'm still not sure what he's doing." He added that he would personally be against it as a shareholder. YouTube Clamps Down on Suggestive Content Associated Press YouTube is putting a tighter grip on content considered adult oriented or "gross." Videos with suggestive content will be age-restricted and available only to users who are 18 or older. The change "will benefit users, partners and advertisers," said YouTube exec Victoria Grand. Google Avoided Antitrust Suit By Three Hours American Lawyer Daily Google withdrew its proposed advertising partnership with Yahoo last month only three hours before the U.S. Justice Department planned to file a lawsuit to block the deal. Regulators concluded that a partnership between the No. 1 and No. 2 search engines would harm competition. Slate to Run Column by Former Gov Spitzer Reuters Former New York Gov. Eliot Spitzer, who resigned earlier this year, will write a column for the Washington Post's online magazine Slate about the economy and financial regulation. The column, which will be called "The Best Policy," will appear every other week. Wikipedia Wins Grant for User-Friendly Editing Associated Press The foundation that runs Wikipedia, the user-generated Web encyclopedia, is getting an $890,000 grant from the Stanton Foundation to try to make the editing process more user-friendly. Wikipedia's current process involves a jumble of coding that may turn away some contributors. Twitter Tracks Reports on How 'Media Is Dying' BusinessWeek For fast, up-to-the-minute company death watches, some are turning to Twitter. The microblogging service has a feed called The Media Is Dying, which is populated by quick, insider-y tips about casualties in the media business. The Media Is Dying feed has more than 1,000 followers. New Media Finding Success With Local Ads Dow Jones Web companies that offer advertisers cheaper, more accountable ways to reach consumers are thriving while the longtime dominators of that market -- newspapers, radio stations and television outlets -- are struggling. IAC's CitySearch sees "no discernible impact" from the economic downturn. Google Starts to Gear Down for Tougher Times Wall Street Journal Google is ratcheting back spending and cutting new projects that, according to CEO Eric Schmidt, "haven't really caught on." Some Google staffers will "get plucked off," he said. Priorities going forward include Web display ads, advertising on mobile phones and online business software. Ex-AOL Chief Seeks Funds -- But Not for Yahoo NYP / WSJ Former AOL CEO Jon Miller is trying to raise money -- but not to acquire Yahoo, as a report on Tuesday implied. Rather, Miller is said to be in talks to raise capital for Velocity Interactive Group, the investment firm he runs with former Fox Interactive Media boss Ross Levinsohn. Twitter: Our Revenues Will Be Product-Based CNET Twitter co-founder and CEO Evan Williams is hinting that the company will soon turn on its revenue-generating engines. The micro-blogging service is in talks with consumer packaged goods companies, he revealed. "We want revenues to be product-based. ... We're looking at Q1 for revenues." YouTube Exec Says Monetization is Coming Broadcasting & Cable YouTube is taking several approaches to build its revenue stream, according to content partnerships head Jordan Hoffner. The video-sharing site can carve a niche appealing to undiscovered audiences as well as try to find older content that otherwise would not be monetized, he said. MySpace to Deliver Video to Mobile Phones Reuters News Corp.'s MySpace online social network will start to make video clips from members' pages available for viewing on mobile devices. Members also will be able to view professionally produced video from TMZ, the Onion and others. The free service will be supported by advertising. Google Forecast to See Revenues Drop, Layoffs Barron's Google's advertising-driven consumer Internet business is going to be hit by "challenging macro-economic conditions," according to Global Equities Research analyst Trip Chowdhry. A new focus on cost reduction will result in up to "15% layoffs of full-time employees in 2009." MySpace May Acquire Web Startup, CEO Says Guardian MySpace co-founder Chris DeWolfe has highlighted an upside to the economic downturn -- digital media startups are on the market at knock-down prices. DeWolfe said he may look to strike some deals. There "may be some opportunities on the music side at some point." Digg No Longer For Sale; New Features Coming BusinessWeek Digg, the online news aggregation site, is no longer for sale, according to CEO Jay Adelson. The four-year-old startup is now focusing on building an independent business that will reach profitability "as quickly as possible." Among the new efforts: selling advertising on its RSS feeds. YouTube Holds 'American Idol'-Style Contest Associated Press Borrowing from "American Idol," YouTube has announced plans for a YouTube Symphony Orchestra, allowing aspiring musicians to submit video clips of their performances to be judged by experts, with winners selected to participate in a concert at Carnegie Hall in April 2009. HuffPost More Valuable Than Some Publishers Ad Age The Huffington Post's $25 million in new funding at a $100 million valuation means Arianna Huffington's news blog is now considered more valuable by its backers than quite a few publicly traded newspaper companies, such as Lee Enterprises, A.H. Belo and Media General. Blogs Attracting More Advertising, Report Says BtoB The majority of blogs in the United States currently have advertising and host an average of 18,000 unique visitors monthly, according to a new report from blog search firm Technorati Media. The most popular blogs see annual revenue from ads averaging more than $75,000. Yahoo Said to Deny Plans for Selling Search Biz Bloomberg Yahoo isn't planning to sell its Internet search business to a group of investors backed by Microsoft, people familiar with the situation said, denying a report in the Times of London that the software giant would put up $5 billion to back Internet vets Jon Miller and Ross Levinsohn. Google Earth Used by Terrorists in India Attacks Computerworld The terrorists who attacked various locations in south Mumbai last week used digital maps from Google Earth to learn their way around, according to officials investigating the attacks. The terrorists are said to have used satellite phones and global positioning systems. Twitter Becomes News Channel in Mumbai Attacks Financial Times Twitter has become a central channel for eyewitness accounts and news updates on the terrorist attacks in India, amid a local coverage black out. The service has been flooded with thousands of "tweets," some from people trapped in the hotels where the attacks were taking place. 'MySpace Suicide' Case May Expand Web Law Washington Post In what legal experts are calling the country's first cyber-bullying verdict, a Missouri mother has been convicted of impersonating a teenage boy online in a hoax that led to a young girl's suicide. The verdict, observers said, "puts the onus" on social networking sites to police users' activities. Facebook Extends Reach via Discovery, Hearst New York Times Facebook Connect, which allows the social network's members to log onto other Web sites, will be weaved into a number of prominent Web sites, including those of the Discovery Channel and Hearst's San Francisco Chronicle, the social news site Digg and the online video hub Hulu. 'Facebook for Millionaires' to Get Investment New York Post Frank DeRose, who runs private-equity firm Furrata Capital, plans to pump some $1 million of his own money into TotalPrestige.com, a 15-year-old social-networking company, in hopes of creating an invitation-only Facebook-style online community for millionaires. Huffington Post Raises $25M in New Backing CNET Liberal news outlet The Huffington Post has announced its latest venture funding round. The new $25 million infusion from the Palo Alto, Calif.-based Oak Venture Partners will be used to boost local news, more video and a fund for investigative journalism. Time Warner Launches 'Gaming 101' Site MediaPost Parents hit with pre-holiday pleas for "Grand Theft Auto IV" have a new source for sorting out which video games are appropriate with the launch of AOL's PlaySavvy.com. The new site offers parents a guide to games, from ratings and reviews to connecting with other parents. Google Pitches Digital Ads Amid the Slowdown Financial Times Google is telling clients that it can help them beat the recession and is urging them not to turn their backs on digital advertising as the economy slumps. "We are making a very explicit pitch to clients about using the Internet to speed up in a slowdown," said Google exec Nikesh Arora. Huffington Post Wins New Backing for Expansion Times of London The Huffington Post, the liberal-leaning news and blog site, will confirm within the next week that it has won $15 million in new support from investors. The money will help finance HuffPost's expansion into local news sites across the United States and into more investigative journalism. Facebook Eyes New Ad Programs, Acquisitions BusinessWeek Facebook sees a bleak economy as all the more reason to press ahead with growth plans. The social-networking site is said to be gearing up to make acquisitions. Options could include sites in Brazil, Germany, India or Japan, where Facebook is yet to have a strong presence. Hulu, Joost May Steal Viewers from Cable TV San Jose Mercury News Video Web sites such as Hulu, Joost and Veoh are starting to seen as an alternative to cable television, especially among young viewers. According to Forrester Research analyst James McQuivey, younger audiences are "more open to the idea that it's not even TV anymore." Yahoo Said to Continue Talks With Time Warner Bloomberg Yahoo, facing dimming prospects for a takeover by Microsoft, is continuing discussions to buy Time Warner's AOL business, people familiar with the matter said. Yahoo and Time Warner execs have met in the past few weeks and continue to negotiate over terms. Microsoft: We're 'Done' with Talks to Buy Yahoo Bloomberg Microsoft CEO Steve Ballmer said all acquisition talks with Yahoo are "done," even after Yahoo CEO Jerry Yang said he would step down. "We've moved on." Ballmer reiterated that a search partnership would be "an interesting possibility," but there are no talks about such a deal. Google, P&G Swap Jobs, Exchange Knowledge Associated Press Procter & Gamble, the world's largest consumer products company, said it has done job swaps with Google, while the Internet search leader's employees have been at P&G's Cincinnati headquarters helping with training. Digital is "definitely a focus" for P&G, the company said. Arianna Huffington to Publish Book on Blogs Amazon Simon & Schuster is publishing "The Huffington Post Complete Guide to Blogging," by the editors of "the most linked-to blog on the Web." The book vows to offer "an A-Z guide to all things blog." According to Chapter One, a book about blogs "fits neatly into this juncture in communication history." MySpace to Offer McCartney, Guns N' Roses Reuters Ex-Beatle Paul McCartney and Guns N' Roses released their biggest hits on vinyl records and compact discs, but on Thursday, their new albums will debut online on MySpace. Members of News Corp.'s social network will be able to play the songs, but will not be able to download them. Microsoft to Let Zune Subscribers Keep Tunes Hollywood Reporter Microsoft is giving an early holiday gift to people who pay for all-you-can-listen access to the Zune digital music store: 10 songs to keep each month, included in the $14.99 monthly subscription fee. The decision may appeal to people who have been reluctant to test the subscription model. Google CEO: Lots of Worries About Revenue MarketWatch Google CEO Eric Schmidt said that conversations he has had with execs have centered on fear over revenue growth. "Basically, everyone is worried about revenue," he said at the Wall Street Journal CEO Council. He declined to comment on his revenue expectations for Google. Yahoo Investors Eye Outsiders for New CEO Bloomberg Yahoo investors say the search to replace CEO Jerry Yang should focus on a "turnaround artist" from outside who can draw Microsoft back into takeover talks. But industry figures like Peter Chernin and Meg Whitman may balk at joining a company "that's only being prepared for a sale." IAC's CitySearch to Add Social Networking Bloomberg IAC/InterActiveCorp redesigned its CitySearch local-entertainment Web site, adding social-networking features to increase advertising sales and encourage users to share advice. Users will be able to highlight tips by friends at Facebook, under a deal between the companies. Dow Jones-IAC's FiLife Loses Top Editor AllThingsD FiLife, the troubled personal finance Web site co-owned by IAC and Dow Jones, has brought in Ezra Kucharz, formerly an exec at online games outfit Oberon Media and NBC's iVillage, as president. He replaces Dave Kansas, who will stay on as an editor-at-large. Daily Beast Holds Launch at Burger Joint New York Observer Tina Brown's new Web venture The Daily Beast held its launch party at Pop Burger in New York's meatpacking district -- a far cry from the celebrity-packed Liberty Island bash for the launch of her Talk magazine in 1999. Pop Burger is near the Web site's home at IAC, Brown explained. HuffPost Vows to Fund Journalism Projects Reuters Huffington Post co-founder Arianna Huffington said that the news and commentary site is going to raise money to fund investigative journalism projects. Details about the fund will come in another three months or so, she promises. HuffPost is run largely by unpaid bloggers. Internet Prized Over Cars, Washing Machines World Screen For 77% of European respondents of a new survey by research firm YouGov, daily access to the Internet is more important than the use of a car or washing machine. Furthermore, 51% had downloaded films over the Internet, while 43% had streamed movies online. Yahoo Adrift After Yang Resigns as CEO Dow Jones Embattled Yahoo CEO Jerry Yang has agreed to give up his position, leaving the struggling Internet giant without a clear leader and increasing the possibility an acquirer might seek to buy it. Also: Tech bloggers are chattering about the shakeup: "This was an unavoidable event." Mark Cuban Charged With Insider Trading CNNMoney Mark Cuban, founder of HDNet and owner of the Dallas Mavericks basketball team, has been charged by the U.S. Securities and Exchange Commission with insider trading. Cuban is accused of selling 600,000 shares of Mamma.com in June 2004 using non-public information. AOL Is Now a Media Company, Exec Says Crain's New York Time Warner's struggling AOL is kicking off a U.S. roadshow to promote its 75-plus Web properties, such as Asylum and Moviefone. The goal: convince the advertising community to spend their dollars on its sites. According to AOL exec Bill Wilson: "Now we are a media company." Indie News Web Sites to Pursue National Ads New York Times As newspapers shrink and shed staff, a new kind of Web-based news operation has arisen in several U.S. cities, forcing papers to follow the stories they uncover. The 11-person VoiceofSanDiego.org and its peers plan to form an association to lure national advertising and foundation grants. Google to Bring Voice Search to iPhone CNET The much-anticipated voice-activated Google Mobile application for the Apple iPhone has been released. The app knows when you bring the phone to your face to speak into it. It beeps, you talk, and it executes a Google search on what you said. The results are "freakishly accurate." Twitter, YouTube Protests Squash J&J Ad Ad Age Johnson & Johnson pulled an online advertisement for its pain pill Motrin after it triggered consumer protests -- via influential bloggers, Twitter and YouTube -- over "insensitivity." The incident illustrates how quickly consumer response on social-media sites can influence corporate behavior. Hulu Forecast to Surpass YouTube in Ads FT / Reuters YouTube is set to be upstaged in advertising revenues by Hulu, the video upstart backed by News Corp. and NBC Universal, according to media researcher Screen Digest. Google's amateur-focused YouTube is struggling to lure advertisers. Also: Hulu hopes to expand internationally. YouTube to Air Weekly Address from Obama Washington Post Barack Obama will address the nation each week via a "fireside chat" video posted on YouTube, his campaign has announced. The Obama White House will also hold online Q&As. Eric Schmidt, the CEO of YouTube owner Google, is a member of the U.S. president-elect's advisory board. AOL to Shut Down Its YouTube Competitor TechCrunch Time Warner's AOL is shutting down its user-generated AOL Video Uploads service this week. Users must move their videos prior to Dec. 18, when the service closes for good. AOL is shuttering a number of services, including XDrive, AOL Pictures, MyMobile and Bluestring. TiVo to Offer Domino's Pizza Delivery Service Bloomberg TiVo, the pioneer of digital video recorders, will launch a service to let subscribers order and track deliveries from Domino's Pizza through their televisions. TiVo has added shopping and video-on-demand features as cable and satellite companies roll out their own DVRs. Online Video Chips Away at TV, Study Says Hollywood Reporter Online video appears to be cannibalizing television consumption. After polling 2,800 people in six countries, IBM says 76% have viewed video online and 45% do so regularly. Of those who have watched online video, 36% say that as a result they watch "significantly less" TV. MySpace Japan Eyes International Growth Reuters Banking on the global appeal of Japanese pop and video games, MySpace said it would more than double the number of artists on its Japanese pages to get more clicks internationally. "We are uniquely positioned to clear barriers posed by language," said MySpace Japan CEO Atsushi Taira. Facebook, MySpace to Battle in Bookstores TechCrunch Two "tell-all" books about the world's biggest social networks are due to be published in 2009. Wall Street Journal editor Julia Angwin's "Stealing MySpace" is coming in March; Fortune senior editor David Kirkpatrick is taking a leave from the magazine to work on "The Facebook Effect." Google Wears Out Its Welcome in Europe IHT While Google's Street View mapping service is available in France, Italy and Spain, privacy laws are threatening its expansion elsewhere in Europe. In Germany, officials are threatening Google with fines and distributing stickers for homeowners to display warning Street View photographers. Yahoo CEO Yang Must Go, Economist Says Economist Yahoo CEO Jerry Yang, "a nice person and a pioneer of the Web," needs to step down at the floundering Internet company, according to The Economist magazine. Yang "has never even given a convincing answer to the question of what Yahoo's strategy should be in an ideal world." MySpace App Now Available for Blackberry ZD Net Research In Motion has released a native MySpace client for its Blackberry devices, allowing users to add comments and post photos, among other features. The move reinforces the company's push to take the Blackberry brand beyond its enterprise roots to target consumers. AOL Blog Sites TMZ, Asylum Break Records BetaNews AOL's blog-style sites -- Engadget, TMZ, Asylum and BlackVoices -- are breaking their own traffic records, and the company overall has reported its 21st quarter of year-over-year growth in unique visitors. AOL's rejection of its walled-garden strategy "seems to be working out." Huffington Post Traffic Explodes by 448% E&P The Huffington Post gained the most unique readers among all outlets on a list of top 30 news destinations in October. The site grew its uniques year-over-year by 448% to 8.1 million, surpassing sites such as Boston.com, and online services from the New York Post and New York Daily News. Google Shares Drop Below $300 for First Time Bloomberg Google fell below $300 for the first time since October 2005 after Citigroup said online advertising growth will slow and cut its profit estimates for the Internet search leader. Search marketers "almost universally expect" the fourth quarter to be "the weakest they have experienced." YouTube Lets Advertisers Buy Search Terms CNET YouTube is rolling out a new advertising platform called Sponsored Videos, which lets users promote their videos by bidding on keywords. Parent company Google has created tools that help users place bids for the keywords in an automated online auction. MySpace to Launch 'Primetime' Application WebProNews News Corp.'s MySpace will be launching the "MySpace Primetime Application," an app that allows users to embed, search and watch content from Hulu and MySpaceTV on their pages. The application is a product of a partnership with Hulu, Warner Bros and Sony. Microsoft to Launch Online Social Network Reuters Microsoft's next release of Windows Live online services will integrate e-mail, instant messaging and Web applications from other outfits into a single platform similar to a social network. The new Windows Live plans to feature a main profile page that updates users to their friends' activities. News Corp Delays New Social Site for Books New Media Age News Corp.'s HarperCollins has delayed the launch of its major online social media play, Book Army, until next year. The site "remains in testing." The book recommendation site will list every book with an ISBN and aims to drive sales and build a community of readers. Study: Unlicensed Web Stories Steal Readers Associated Press The audience perusing online copies of newspaper and magazine articles on blogs and other "unauthorized" sites is nearly 2.5 times larger than the readership on their own Web sites, according to a study by Attributor. "The people creating all this content are not being justly rewarded." Hulu: Success is About Being 'Obsessive' NewTeeVee Hulu CEO Jason Kilar, speaking at the NewTeeVee conference, said that the strategy of the NBC Universal-News Corp. video site is to deliver "brain-spray" awesome quality. "The implementation is similar to when I worked at Disney. We obsess over each pixel on the screen." Yahoo Urges Ad Investments in New Tech New Media Age Yahoo CEO Jerry Yang has urged advertisers to continue to invest in new technologies despite the worsening economic situation. "I'm optimistic about mobile advertising and broadband TV advertising," he said. "But marketers need to be able to invest in new technologies." Google Adds Video, Audio to Gmail Service San Jose Mercury News Google is adding video and audio chat to its free e-mail service, joining Microsoft and Yahoo in a race to make Web communication more social. Video chat is also a popular feature of Skype, eBay's calling service, and has been the focus of a number of startups. Microsoft Battles Google for Verizon Search Wall Street Journal Microsoft is said to be moving closer to an agreement with Verizon to become the default search provider on the wireless carrier's cellphones, a deal rival Google has been seeking. Microsoft would share revenue with Verizon from ads shown in response to cellphone Web searches. Former AOL Exec Cleared of Fraud Charges Wall Street Journal Securities fraud charges against former AOL exec John Tuli have been dropped, ending another chapter of the Internet outfit's saga over its alleged revenue inflation during its merger with Time Warner. The charges stemmed from dealings between AOL and PurchasePro.com. Google Aims to Detect Flu Outbreaks Faster ABC News A tie-up between Google and the U.S. Centers for Disease Control has yielded an online tool that may help people know about flu outbreaks even more quickly than existing surveillance methods. The new Google Flu Trends tool will monitor large numbers of searches for flu terms. Twitter May Charge Firms to Send Coupons Bloomberg Twitter will explore ways of charging companies to reach its users, such as sending out coupons or promotions, so it doesn't have to ask venture capitalists for more cash, said CEO Evan Williams. The economy's tailspin has been tough on startups, he added. "Everybody's worth less." Technorati Boss Launches Travel Guide Site TechCrunch Technorati founder Dave Sifry is launching OffBeatGuides.com, a site that allows travelers to access information from various online resources, including data from Accuweather and articles by professional travel writers. It also guides users to maps, restaurants and attractions. YouTube Ventures Into Live Event Webcasts Reuters YouTube is set to venture into webcasting, in an effort to take the video-sharing site's popularity to a new level by showcasing the talent behind its most viewed videos. On Nov. 22 in San Francisco, it is launching "YouTube Live," a show featuring YouTube "sensations" like Esmee Denters. 'TroopTube' Launches Following YouTube Ban Associated Press The U.S. military, with help from Seattle startup Delve Networks, has launched a video-sharing Web site for troops, their families and supporters, a year and a half after restricting access to YouTube. The new TroopTube site will have uploaded videos screened by a Pentagon rep. Yankee Stadium to Be Wired for Mobile Video New York Post Cisco will wire New York's new Yankee Stadium so fans can use their cellphones for watching video replays or ordering food. Thanks to the 1,100 high-definition TVs to be installed throughout the stadium, never again will a trip to the concession stand mean missing a home run. Google's Rivals Fear Connection to Obama Politico Google CEO Eric Schmidt's close connection to Barack Obama "terrifies Microsoft," according to a Democratic lobbyist. Rivals worry that Google's relationship with the U.S. president-elect will give the Internet giant the muscle it needs to win possible disputes over future deals. Obama Eyes Google Execs for Tech Post San Francisco Chronicle Google CEO Eric Schmidt is just one of many names mentioned for the job of chief technology officer in Barack Obama's new administration. Schmidt colleague Vint Cerf, a Google VP and chief Internet evangelist, is said to be another possible candidate. YouTube to Run Shows from 'Idol' Producer Reuters "American Idol" producer FremantleMedia plans to produce programs to be shown exclusively on YouTube and to split the revenues with the Google video-sharing site. Also: "Sesame Street," now in its 39th year, will become available via YouTube, Hulu and iTunes. MySpace Lets Users 'Drag and Drop' Features WebProNews News Corp.'s MySpace has introduced Profile 2.0, allowing users to take control of several aspects of their presence on the online social network. A new drag-and-drop interface lets members rearrange entire profile modules in just about any way they please. Facebook Battles MySpace with 'Engagement' Wall Street Journal Facebook is testing a new ad format called "engagement ads" that blurs the line between marketing and social networking. The new ads prompt a user to do something within the ad. If the user completes the action, Facebook shares a notice about what the user has done with their "friends." Murdoch's BSkyB Launches Web TV Service Tech Radar British Sky Broadcasting is launching a service that will allow people to pay for and watch its satellite television content online, even if they are not subscribers. Opening up the online service is said to underscore former CEO James Murdoch's mantra that "content is king." Microsoft Steals Away UK Online Video Chief Financial Times Ashley Highfield, CEO of Project Kangaroo, an online video venture between the U.K.'s ITV, Channel 4 and BBC Worldwide, has left after just four months to join Microsoft as U.K. managing director of the online and consumer division. It's "an opportunity I couldn't turn down," he said. E-Bama's Transparency Heralds 'New Digital Age' New York Post Barack Obama's campaign posted on the photo-sharing Web site Flickr a series of behind-the-scenes pictures of him, his family and supporters awaiting Tuesday's election results. The U.S. president-elect "really understands how to leverage technology to communicate." Digg Founder: Timing is Ripe for Internet Startups AFP Digg founder Kevin Rose shined a light on a stormy economic landscape, saying the climate is right for launching Internet startups. Difficulty getting financing means fewer rivals, he told attendees at the Web 2.0 Summit in San Francisco. It's "a great time to do something new." Google CEO: I Won't Be Obama's Tech Officer New York Times Barack Obama has said he intends to appoint a chief technology officer. But Google CEO Eric Schmidt, an Obama supporter and a member of the U.S. president-elect's transition advisory board, said he won't be a candidate: "I have no interest in serving as a government employee." AOL in Two-Day Google Phone Online Ad Push AdAge Mobile carrier T-Mobile is buying 1 billion ad impressions across AOL's Platform-A advertising network to promote the new Google phone. The two-day buy marks the single biggest online ad buy in Platform-A's short history. Ads will run on AOL sites such as Engadget and TMZ. Microsoft Taps Time Inc Vet Domeniconi for Ads ClickZ Microsoft has put Robin Domeniconi, a former media group president at Time Inc., in charge of domestic advertising sales for its vast media properties and network partners. Domeniconi is a former publisher and president of Time Inc.'s Real Simple magazine. YouTube to Offer MGM Movies, TV Episodes New York Times YouTube is announcing an agreement to show full-length television shows and films from MGM, the financially troubled 84-year-old movie studio. Google's video site is trying harder to make friends with Hollywood -- and emulate the appeal of Hulu, a joint venture of NBC and Fox. Microsoft's Ballmer Rules Out New Yahoo Bid Financial Times Steve Ballmer, Microsoft's chief executive, on Friday said emphatically his company would not bid for Yahoo again, following comments by Jerry Yang, the embattled Internet company's chief executive, which added to the belief that Yahoo was seeking a return to negotiations. Facebook Doesn't Need More Money, CEO Says Barron's Facebook doesn't need more money, according to CEO Mark Zuckerberg, who spoke Thursday afternoon at the Web 2.0 Summit in San Francisco. The independent online social network has already attracted thousands of online advertisers, he said. Revenue is in the "hundreds of millions." Twitter Hints of Business Model: Corporate Use CNET In a panel at the Web 2.0 Summit, Twitter co-founder and CEO Evan Williams wouldn't concretely answer a big unanswered question: how the hit microblogging site plans to make money. He did hint, however, of a possible business model: corporate accounts for businesses. MySpace Could Develop Digital Music Player Reuters MySpace, the popular online social network owned by News Corp., could develop a digital music player in the future, pitting it against Apple's hot-selling iPod. However, "right now, we're just focusing on the service," said CEO Chris DeWolfe, speaking at the Web 2.0 summit. Google, Time Warner Bosses to Advise Obama Telegraph U.S. president-elect Barack Obama has appointed a team of advisers, including Google CEO Eric Schmidt and Time Warner chairman Dick Parsons, to help guide his thoughts ahead of taking office. Other members of the advisory team include billionaire investor Warren Buffett. Yahoo May Embrace Microsoft After Google Exit Bloomberg Yahoo CEO Jerry Yang will probably have to go back to the negotiating table with Microsoft, observers say. Yang's options are dwindling after Google scrapped its proposed advertising agreement. "The market does not believe that the company can turn around the business organically." Google Execs to Face Trial for Online Video Reuters A prosecutor in Italy is ordering four former and current Google execs to stand trial on charges related to a video of a taunted youth with Down syndrome posted on the Internet giant's Italian Web site. Google says it shouldn't be punished for the way its site is used by third parties. Google Kills Proposed Yahoo Search Ad Deal CNET Google is pulling the plug on its proposed search-advertising partnership with Yahoo, citing antitrust concerns and the risk of "a protracted legal battle." The demise of the deal is seen as a new blow to the struggling Yahoo, which says it is "disappointed" by Google's move. YouTube to Debut Ad-Supported Feature Films CNET YouTube will begin offering feature films produced by at least one of the biggest Hollywood movie studios possibly as early as next month, sources say. YouTube owner Google is in talks with the major film companies about launching an ad-supported, streaming movie service. Sprint to Launch Phone-Casts of NFL Games Wall Street Journal For the first time Thursday, a National Football League game -- the Cleveland Browns vs. the Denver Broncos -- will be broadcast on Sprint mobile phones as part of the wireless outfit's league partnership. Says Sprint exec Steve Gaffney: "Live compelling content is a game changer." Obama Expected to Be First 'Tech President' AFP Silicon Valley is looking forward to Barack Obama becoming a "tech president" that will champion Internet innovation. "The Valley invested heavily in Obama; millions of dollars," analysts point out. Obama has said he plans to appoint the nation's first "chief technical officer." Social Media Smash Records on Election Day Los Angeles Times Twitter, Digg and YouTube saw huge traffic spikes during the U.S. election. Twitter's peak messaging rate was nearly three times higher than its previous record. Digg also reported its highest traffic ever on Election Day. YouTube's Video Your Vote project netted close to 1,500 videos. Icahn Says Yahoo Should Team with Microsoft Dow Jones Billionaire investor and Yahoo board member Carl Icahn is reiterating his position that the Internet giant should consider striking a search deal with rival Microsoft. "We could save a fortune at Yahoo if Microsoft could do search for us," says Icahn, who once threatened to oust Yahoo's board. Google Denies CNBC Report of Hiring Freeze CNET A report by CNBC's David Faber claims that Google has an unofficial hiring freeze, but the search giant denies it. "We extended offers last week to 30 people," says a Google spokesperson. "We're hiring at a slower rate. We are continuing to hire carefully and strategically." AOL Launches When.com Local Events Site PC Mag AOL is launching When.com, a "local online event guide." The site is designed to be a place where users can find out about local sporting events, musical performances and other get togethers. When.com is "a powerful way for advertisers to reach and connect with a targeted audience." Diller's IAC Sitting on $1.3 Billion in Cash Dow Jones Barry Diller's IAC/InteractiveCorp is reporting a third-quarter loss amid costs related the company's August breakup into five public companies. IAC, now a collection of more than 35 Internet outfits, is yet to reveal what it will do with the $1.3 billion in cash wrung from its spin-offs. Web Sites Name Election Results Before TV New York Times While U.S. television networks were reluctant to report election results early, Web sites such as Slate, Huffington Post and Time.com showed much less restraint. "Obama Wins the Presidency," Slate bellowed at 9:27 p.m. ET, more than 90 minutes before the first of the networks. Twitter Explodes as Users Hail 'Pres Obama' Los Angeles Times Twitter, the microblogging service that has become the best way to take the instant temperature of thousands of online denizens, is exploding with a river of messages saluting Barack Obama. Typing in "president obama" to Twitter's search bar will produce a flood of Obama tweets. Undecided: Digital's Impact on the Election ClickZ Was Barack Obama's triumph determined by "Mad Men" or the "Next Gen?" CNN exec Jon Klein addressed the question at the Ad:Tech NY gathering Tuesday, comparing Madison Avenue's old-style media buying approach to the next generation's use of broad-based interactive tools. Warner Bros to Offer Legal Downloads in China Los Angeles Times In an attempt to make headway against rampant film piracy, Warner Bros. will distribute newly released films online in China. The studio is entering a deal with China's Union Voole Technology to offer new movies at rental prices ranging from 60 cents to $1. AOL Aggregates TV Morning Show Highlights New York Daily News AOL is launching "Morning Rush," a daily 5-minute video feature that aggregates highlights from television breakfast shows, such as "Good Morning America." Visitors will be able to vote on a best clip of the day and post comments. Video Games Immune to Slowdown, CEO Says Bloomberg / NYT Strauss Zelnick, CEO of "Grand Theft Auto" maker Take-Two Interactive, says sales of video games aren't being hurt by the economic slowdown. Entertainment products are often a "must have." Also: Zelnick promises "No More Gut!" as the cover model of Men's Fitness magazine. Yahoo, Google to Revise Search-Ad Deal Wall Street Journal Yahoo and Google are revising their proposed search-advertising agreement, hoping to win approval from the U.S. Justice Department. The companies agree to cap the revenue Yahoo can generate to 25% of Yahoo's search revenue and to shorten the deal's length to two years. Google vs Dolly Parton in Airwaves Battle New York Times Google and country-music star Dolly Parton are two of many combatants in a dispute over a portion of U.S. airwaves. The issue comes to a head on Election Day, when the U.S. Federal Communications Commission votes on a proposal to make "white spaces" available for public use. Yahoo Hires MSNer to Run Media Operations CNET Yahoo is naming former MSN media exec Jeff Dossett to head its media operations, as media exec Scott Moore departs. Dossett will oversee Yahoo News and other properties. Moore, who joined in 2005, is the latest Yahoo exec to exit. He is leaving to "pursue other opportunities." Current TV Teams with Digg, Twitter for Election New Media Age Current TV, the Al Gore-led online television service, is teaming up with both Digg and Twitter to cover the U.S. election from the voter's perspective. "Election All-Nighter LIVE" will include a streaming feed from Digg's aggregated news; Twitter will contribute users' real-time tweets. Twitter Allows Users to Follow Election News InformationWeek Twitter allows its users to follow breaking news without "having to wade through" commentary from pundits, analysts and bloggers. Many news organizations feed their headlines to Twitter. They include CNN, Fox News, New York Times, USA Today, Wall Street Journal, Drudge Report. Obama Eyes Text Messages to Drive Turnout Bloomberg Barack Obama's U.S. presidential campaign regards cell-phone text messages -- an obsession of the young -- as a potent new weapon for Election Day. Says one political consultant: "Obama is reaching a generation that is trying to change the world in 160 characters or less." Google Book-Scanning Project Loses Harvard InformationWeek Harvard is refusing to join Google's book-scanning project despite a recent agreement to settle copyright-infringement lawsuits from book publishers and authors. The deal has too many potential limitations on electronic access to works, the Ivy League school says. Microsoft's Razorfish Cuts Staff, Buys Agency ClickZ Microsoft-owned digital marketing firm Razorfish is laying off 40 of its staff, citing the impact of the economic crisis, "particularly in New York." The firm remains "optimistic," however, and is expanding its European operations with the acquisition of Madrid-based digital agency Wysiwyg. Oprah Boosts Interest in Amazon.com's Kindle Ad Age Visits to Amazon.com rose 6% on Oct. 24, the day Oprah Winfey endorsed the online retailer's Kindle e-reading device on her television show. A 6% bump can translate into hundreds of thousands of visitors. Also, the word "kindle" saw a 479% bump in search traffic that day. MTV, MySpace Aim to Monetize Pirated Videos Los Angeles Times Viacom's MTV Networks plans to pair advertising with clips from "The Daily Show," "Punk'd" and other shows that MySpace users upload to the social network through a deal with Silicon Valley ad-tech firm Auditude. Says MySpace sales exec Jeff Berman: "This is a game changer." Google, Yahoo May Walk from Search Deal Wall Street Journal The prospects for a Web-advertising partnership between Google and Yahoo are dimming, with both sides said to be considering walking away from the deal. The two companies are believed to be unwilling to make compromises to address the U.S. Justice Department's objections. Wikipedia Boss Wales Predicts Web Closures Telegraph Jimmy Wales, the founder of not-for-profit reference site Wikipedia, expects Internet companies will suffer a "serious downturn" that could leave some "household name Web sites" floundering. "A lot of marginal players are going to have serious problems," he says. Many start-ups "will fail." Newser Founder Wolff Becomes a Blogger Newser Vanity Fair media columnist Michael Wolff is unveiling his own media blog on Newser, the online news aggregator site he founded. Wolff's new Off the Grid blog aims to provide "a look at the inner workings of desperate media ... and the true meaning of the news of the day." Blogs: A New 'Sizable Media Force' for Ads Media Life Half of blog readers say they find such sites useful for purchasing information, according to a new JupiterResearch study for BuzzLogic, the advertising network. Says BuzzLogic CEO Rob Crumple: Audiences are simply no longer "hanging out in traditional areas." MySpace: Internet Generation Favors Obama AFP Internet-age users overwhelmingly back Barack Obama for U.S. president, according to a poll by News Corp.'s MySpace. Survey data collected during a year of "unprecedented" online political discourse shows that 60% of the millions of eligible voters on MySpace prefer Obama. Google's Book Settlement Leaves Hurdles Financial Times As authors salivate over the possibility that Google's new settlement with book publishers will lay the groundwork for an "iTunes for publishing," big hurdles remain. The deal does not cover the latest bestsellers. Nor does it allow the purchase of a digital file readable on most gadgets. MTV Exec Holt Offered MySpace Music Job CNET MySpace Music is said to have offered its vacant CEO position to Courtney Holt, MTV Networks' executive VP of digital music and media. Holt's possible exit from MTV comes at a time of upheaval at parent Viacom. Holt's digital-media division is believed to be eyeing a reorganization. MySpace Top Draw For Young Movie Fans MediaPost News Corp.'s MySpace is the top Web destination for 15- to-24-year-olds looking for information on new movies, according to a Nielsen study. Nearly 30% of consumers in that coveted demo turned to MySpace first for movie searches, beating out Yahoo and Google, each with 23%. Yahoo, AOL in Due Diligence on Merger Reuters Yahoo and Time Warner's AOL unit are said to be looking at each other's books, indicating a merger may finally be on the way. While a deal is not believed to be imminent, the two companies are engaging in "meaningful" due diligence about a possible combination. Barnes & Noble Launches Social Network Crain's New York Book retailer Barnes & Noble is launching My B&N, an online social network that allows users to set up personal profiles and share their book tastes with each other. The launch, on barnesandnoble.com, comes two months after rival Amazon.com purchased reading social network Shelfari.com. AOL.com Highlights Social Media Sites CNET Social networks are front and center in the latest redesign of AOL's AOL.com home page. A tabbed interface, called "My Networks," offers updates from five social-networking and messaging services: AOL's own AIM and Bebo, MySpace, Twitter and Facebook. Netflix, TiVo to Deliver TV, Films via DVR Wall Street Journal Netflix and TiVo are teaming up to deliver movies from a Netflix Internet service to TiVo digital-video recorders, part of an industry push to link television sets with online entertainment. Users of TiVo's latest DVRs will be able to access movies and TV shows from 12,000 Netflix titles. Glam Media Partners with TheFind.com DMNews Shopping search engine TheFind.com is partnering with women's content network Glam Media. The venture will enable Glam.com and sites within the network to have access to TheFind's shopping search when searching for boutiques, item type or a particular label. TheStreet.com Ups Cramer to Chairman TheStreet.com TheStreet.com is naming co-founder Jim Cramer as chairman, saying its board decided to separate the roles of chairman and CEO. The change will allow Thomas Clarke Jr., who previously held both positions, to "focus on navigating the company" through difficult times as CEO. Google Knol Roll Outs International Editions TechCrunch Google Knol, which has been likened to a monetizable Wikipedia, is releasing three international versions, enabling French, German and Italian speaking "experts" to contribute. Many similar services monetizing crowdsourced content have yet to release international versions. Viacom Responds to Google's Book Settlement CNET Google's $125 million copyright settlement with book publishers and authors is moving Viacom -- which has its own $1 billion suit against the search giant -- to issue a statement: "We hope that Google comes more quickly to respect movies and television programming." Hulu, on First Anniversary, Lures 'Fewer' Ads New York Times Hulu, the online video joint venture of NBC Universal and News Corp., is celebrating its first anniversary Wednesday as the leader in ad-supported TV and movie streaming. Only one ad is shown during each segment break, making them "memorable" and allowing Hulu to charge higher rates. Strike TV to Serve as Incubator of TV Pilots Wired Strike TV, a video site conceived during the Hollywood writers strike, is officially launching, with original Web shows written by veterans of hits like "The Office." Creators will retain all rights to their work, enabling the site to act as a low-cost "nursery of television pilots ripe for the signing." Google: $125M to Settle Book-Scan Lawsuits Associated Press Google will pay $125 million to settle copyright lawsuits filed by publishers and authors over its book-scanning project. Google's payment will help create a Book Rights Registry that will allow U.S. copyright holders to get a cut of Internet advertising revenue and online book sales. Internet Giants to Set Free-Speech Principles Wall Street Journal Google, Yahoo and Microsoft are agreeing to a common set of principles on how to do business in nations that restrict free speech, as they seek to combat criticism that they have helped enable censorship. The tech titans vow to protect users' personal data, among other moves. Google Eyes Investments in Energy Sector New York Times Google is considering large investments in projects that generate electricity from renewable sources. "We want to make money," says Google exec Dan Reicher, "and we want to have impact." Google engineers plan to unveil tools to help consumers make better decisions about energy use. Viacom 'Copyright Cop' Targeted by Google MarketWatch Google is seeking internal documents from BayTSP, a firm hired by Viacom in its $1 billion copyright infringement lawsuit against the search giant. Google claims that the documents will prove that Viacom uploads its own content to YouTube while asking BayTSP to avoid flagging it. Study: Blogs Beat Social Nets for Influence CNET Purchases are more likely to be influenced by what consumers read on a blog versus recommendations from "friends" on social-networking sites like Facebook, according to a study from Jupiter Research. Blogs are "important" when it comes to making purchasing decisions. AOLer Wins Funding for Sports Blog Network SportsBusiness Journal Former AOL programming chief Jim Bankoff is securing a mid-seven-figure sum of venture capital for SB Nation, a startup network of sports blogs, from several tech luminaries. Bankoff is structuring equity swaps for each of the participating sites and the bloggers will share advertising revenue. Twitter May Charge for Premium Services Wall Street Journal Like blogs and social-networking sites, Twitter is starting to cross into the mainstream, as a wide range of people find interesting uses for the free microblogging service. Co-founder Biz Stone says the company might begin charging for premium services in the future. Yahoo CEO Yang: I Won't Talk About AOL AllThingsD Everyone knows Yahoo is in talks with Time Warner's AOL. But what is the thinking here? "I am not going to comment specifically on AOL," says Yahoo CEO Jerry Yang. He adds, however: "We have no debt. We have a strong cash position. And we think we can be opportunistic." Google May Be Hurt by Obama Presidency BusinessWeek If Barack Obama is elected U.S. president, Google could see increased antitrust resistance to its proposed search tie-up with Yahoo. Also, Obama's campaign is said to be considering stealing away Google CEO Eric Schmidt to appoint him the country's first chief technology officer. YouTube: Advertisers May Prefer Rival Hulu USA Today Advertisers are reluctant to spend big dollars on YouTube, says Forrester Research. Instead they prefer sites such as Hulu and ABC.com. "If you're an advertiser, where will you put your money? In front of content you're not sure about, or behind a series like '30 Rock,' a known brand?" Huffington Post: We Don't Expect Layoffs CNET The Huffington Post, like other news sites, could see a drop in traffic after the U.S. presidential election. Will the site have any layoffs? "We don't anticipate that," says HuffPo CEO Betsy Morgan. 'We've had a really good year, ad-wise. We've seen the brand really grow to top of mind." Daily Beast Cost Causing Tension at IAC New York Times The cost of the starting Tina Brown's The Daily Beast -- reports have placed the figure at $18 million -- is causing tension within Barry Diller's IAC/InterActiveCorp, which is financing the site. Online programming chief Michael Jackson is said to be raising questions about the cost. Dotcom 2.0 Crash Seen Likely in Two Years IHT Internet advertising will be hit hard by the economic downturn, experts say. Some advertisers are sticking to "less risky" old media like print and television. One venture-capital exec predicts that as many as a third of VC-backed Internet startups worldwide could fail over the next two years. TMZ's Levin: A Star Watcher With Star Power New York Times TMZ.com, one of the most successful online ventures of the last few years, attracts 10 million unique visitors a month. "Almost all of them want it," says managing editor Harvey Levin, of the celebrities who show up on the Time Warner site and related television show. "This is a business." Twitter a Tool for Terrorists, U.S. Army Warns Wired Twitter doesn't have an effective business model, but the hit microblogging service could become a killer app for terrorists, according to a draft report by U.S. Army intelligence. Terrorists could use Twitter as a tool to coordinate attacks by "tweeting" each other in "near real time." Hulu Debuts Season Premiere of '30 Rock' Wired Fans of the Tina Fey sitcom "30 Rock" don't have to wait until next week for NBC to premiere the show's third season. The News Corp.-NBC video site Hulu is offering the first episode for a full week -- until the network airs the show on prime time television. MySpace Adds Indies to New Music Service Associated Press A month after irking independent music reps by launching its online music service mostly with major labels, MySpace Music is making a deal with the Independent Online Distribution Alliance to almost double the amount of indie tunes offerings. More than 1 million tracks will be added. Media Giants vs Google on White-Spaces Plan Bloomberg News Corp., Disney, CBS and other media companies are urging U.S. regulators to delay a vote on a Google-backed plan to free up unused television airwaves for Internet access. Allowing "poorly conceived" mobile devices to use the "white spaces" might thwart TV signals, they say. Google Blocked from Buying Russian Ad Service Associated Press Russian authorities are blocking Google's planned acquisition of the online advertising service ZAO Begun from Rambler Media, which runs one of the most popular Web portals in Russia. A brief statement by Russia's anti-monopoly authority does not elaborate on the reason. Apple Targeted by Teen in Bogus CNN iReport Bloomberg A fake CNN iReport.com story that Apple CEO Steve Jobs had suffered a heart attack was posted Oct. 3 by a teenager, and investigators have not found evidence he tried to profit from driving down the company's stock. U.S. authorities continue to examine the 18-year-old's motives. Google Protects Profit Through Hedging Bloomberg Google is depending on hedging against fluctuations in exchange rates to prevent international profits from Web search ads and YouTube videos from evaporating. The Internet giant used hedging to net a $34 million gain that helped offset potential negative effects to third-quarter revenue. Is a Yahoo-Lions Gate Deal in the Works? Portfolio Yahoo director Carl Icahn is doubling his stake in film studio Lions Gate. "If Yahoo buys a traditional media company like Lions Gate, all of a sudden that takes it to a whole new level," says one media investment advisor. Yahoo could develop "a profitable online distribution system." News Corp-NBC's Hulu Surpasses CNN, MTV Wired Hulu, the News Corp-NBC Universal online video site launched earlier this year, is already making big strides. Hulu is now the sixth most watched video site, clocking in more than 142 million streams. Hulu ranks ahead of media brands including ESPN, CNN and MTV Networks. Comcast Launches 'Extreme' Internet Service WebProNews Comcast will begin rolling out ultra-fast Internet service in some of its larger markets and will offer faster connections to all of its subscribers over the next two years. The "Extreme 50" service will enable subscribers to download a television show in a matter of seconds. TiVo Broadband to Offer Disney Movies Hollywood Reporter TiVo is set to announce that hundreds of movie titles, most significantly from Disney, will become available to its broadband subscribers. TiVo is seeking to reposition itself as a retriever of entertainment content wherever it resides, as opposed to a simple recorder of TV shows. Twitter, Fueled by Press, Sees Big Growth CNET The biggest social network in the United states is still News Corp.'s MySpace, according to new figures from Nielsen. However, MySpace's traffic has only grown by 1% since September 2007. Twitter, fueled by loads of press coverage, is seeing 343% growth since a year earlier. Yahoo Closes In on AOL; Cuts 1,500 Jobs Bloomberg Yahoo says it is socking away cash for potential acquisitions, fueling speculation that a deal to buy Time Warner's AOL is close. The Internet company also plans to cut at least 10% of its work force in a bid to save $400 million a year. The move will eliminate 1,500 workers. Google, Yahoo Extend Justice Dept Talks AFP Google CEO Eric Schmidt says the company has agreed to keep talking with the U.S. Justice Department about its proposed online advertising deal with Yahoo. Asked for an update on the deal, Schmidt says: "We agreed to extend our discussions." AOL Hit With Lawsuit Over Ads in Email MediaPost A California resident is filing a lawsuit against AOL for inserting "annoying, confusing, intrusive and misleading" ads in his email. AOL subscriber Frank Cecchini alleges that his emails should not contain ads because he pays the company $25.90 a month for his account. Akamai Preps Move Into Online Ad Space TheDeal Akamai Technologies is taking a step beyond its base of Web and content delivery network services by agreeing to acquire an online ad technology company called acerno for $95 million. Acerno grabs online purchasing data and shares it among online retailers. Google: We're Vulnerable to Slowdown Bloomberg Google will make fewer acquisitions and slow hiring amid the global economic turmoil, says CEO Eric Schmidt. "All of us are vulnerable," he adds. "It's a race between a contraction in advertising, which would affect everybody, and a very positive shift from offline to online." Netflix Sees Half Million Blu-Ray Subscribers Reuters DVD rental company Netflix says it expects about 500,000 of its 8.7 million subscribers will be Blu-ray subscribers in the current quarter. Netflix this month began adding $1 to monthly membership fees to provide unlimited access to high-definition Blu-ray movies. Lala Launches New Digital Music Service New York Post Lala.com is set to unveil a new song streaming service that offers online ownership of tunes for 10 cents apiece and many albums for less than $1. The service, backed by Warner Music and others, aims to bridge the gap between the models used by iTunes and Rhapsody. Facebook to See Competition from Blogs Portfolio Blogs will evolve into niche social networks, predicts Chris Alden, CEO of blog software firm Six Apart. Blogs will start competing against Facebook in the same way they began competing with media properties a half-dozen years ago. "Social networking and blogging are converging." U.S. Movies Set for Shakeup by Internet, 3-D WSJ / FT With competition growing to get into U.S. movie theaters, more indie filmmakers are taking their work straight to the Internet. Also: Some $1 billion is to be spent on the installation of digital systems in North American movie theaters, paving the way for the mass adoption of 3-D cinema. Facebook CEO Looks to Old Media for Mentor Times of London Making money is not Facebook CEO Mark Zuckerberg's prime motivation, he insists. "The goal of the company is to help people to share more in order to make the world more open." Zuckerberg says his mentor is Washington Post CEO Donald Graham. "He takes a long-term view on business." Twitter Vows to Unveil Business Model in 2009 Wired New revenue models for Twitter will be unveiled in the first half of next year, says Bijan Sabet, a general partner at Spark Capital, one of the backers of the popular microblogging service. A number of new products and services are currently in the works, he says. Glam Women's Web Net Gets Brash for Men Financial Times Glam.com, which claims to be the biggest Internet network for women, is launching a venture for men, Brash.com. The new network will feature original content and lifestyle, entertainment, car and gadget information from partners including Time, Rolling Stone and CNET. Time Warner, Yahoo Lower AOL Value in Talks Wall Street Journal Yahoo is expected to announce layoffs this week that could exceed 1,000 jobs. The troubled Internet company continues to discuss a combination with Time Warner's AOL. The two sides are said to be valuing AOL below the $8 billion to $10 billion that had been on the table before. Google is 'Neutral,' But CEO Supports Obama Wall Street Journal Google CEO Eric Schmidt will hit the campaign trail this week for Barack Obama, giving the Democratic presidential candidate's campaign a boost from a highly desirable constituency. Schmidt, an advisor to the Obama campaign on tech issues, notes that "Google is officially neutral." Google Says Hard Times Will Drive Business Ars Technica Google is shrugging off the global economy's current spasms, as its third quarter revenues rose more than 30% year-over-year. The Internet search giant's execs are voicing a bit of cautious optimism that economic hard times may make many Google services more appealing. YouTube Ads Won't Boost Google Until 2011 Reuters YouTube will need at least two years to start making a meaningful contribution to parent Google's revenue, analysts say. The concern for investors is that as Google's revenue growth starts to decelerate there will be renewed focus on YouTube's huge bandwidth and hosting costs. DoubleClick Boss to Join Google Ad Effort New York Times Google is naming former DoubleClick CEO David Rosenblatt as president for global display advertising, a new position. His appointment signals that Google, whose business is built mostly on small search-result text ads, is preparing an aggressive push into the display-ad market. Britain's Prince Philip Embarrasses Googlers Times of London During a royal visit to Google's London HQ, Prince Philip asked the search giant's reps to pull up an image of their own offices via Google Earth. The request produced a blank screen. "Do you know where it is?" he asked. Meanwhile, Queen Elizabeth II posted her first video on YouTube. Microsoft: We're Not Interested in Buying Yahoo Barron's Microsoft is issuing statement saying it has "no interest in acquiring Yahoo" after CEO Steve Ballmer said a combination of the two companies would "make sense." Ballmer's remark caused Yahoo's stock to jump. "There are no discussions," Microsoft says. Yahoo Rumored to Prepare Cut of 3,500 Jobs Valleywag Yahoo is said to be preparing to eliminate some 3,500 jobs in early December. Supposedly the announcement will be made Dec. 10, four days after the Internet company's holiday party. Rumors of layoffs have been rampant since Yahoo hired Bain & Co. last month to find efficiencies. Facebook Eyes Entering Digital-Music Business New York Post Facebook boss Mark Zuckerberg is plotting a possible push into the digital-music business in the wake of MySpace's launch of MySpace Music last month. The social-networking giant is talking to a number of song-streaming services and music community sites about an outsourcing deal. Twitter Enters 'New Phase'; CEO Steps Down CNET Twitter CEO Jack Dorsey is switching roles with chairman Evan Williams, as the fast-growing microblogging service enters "a new phase" with "new kinds of challenges ahead." Twitter remains Silicon Valley's poster child for hyped companies without revenue models. Bebo Follows TV-Network Model with 'Originals' Hollywood Reporter Time Warner social-networking site Bebo plans a minimum of six original productions for 2009 under a newly created program banner dubbed "Bebo Originals." The move makes Bebo's efforts similar to that of television networks that commission, schedule and promote shows. News Corp Launches Web Site for Gamers Mediaweek News Corp.'s IGN is quietly rolling out Green Pixels, a new content Web site geared for the fast growing universe of casual gamers. The site is aimed at the mainstream game player -- both men and women. Games are "no longer just a past-time for adolescent(-acting) boys." Google, Yahoo: Cutbacks Depress Web Ads Bloomberg Google and Yahoo can't shrug off the slowing economy anymore, as advertisers are forced to extend their budget cuts to the Web. The online-ad industry is forecast to lose $6.7 billion in sales through 2010. "The weakness is happening in search and display advertising and everywhere." Google Redesigns Home Page for Queen BBC / Guardian An image of Queen Elizabeth II is being incorporated into Google's U.K. home page logo to mark her visit to the Internet giant's London offices. Also: Google is relaxing its global ban on gambling advertising by allowing companies to target Web users in England, Scotland and Wales. Murdoch's MySpace Seen as Smart Buy TechCrunch Three years ago, Rupert Murdoch bought MySpace for $580 million -- which appears to be money well spent. The social network is estimated to be worth between $3 billion and $20 billion. MySpace parent Fox Interactive Media is projected to pocket $1 billion in revenues next year. YouTube: Media Must Embrace Change Screen Daily YouTube CEO Chad Hurley, seeking partnerships with content owners, claims the difference between old and new media is merely "semantics." Perhaps alluding to Viacom's copyright lawsuit, Hurley says: "Do you circle the wagons and push back change, or do you embrace it?" Google Said to Profit From Typo-Squatting Wired Google is profiting from millions of typo-squatting Web sites that earn advertising from the search giant's Adsense advertising program, says a report by Harvard University professor Ben Edelman. "This is one of the unsavory ways we all end up paying Google." YouTube Passes Yahoo, Launches Search Ads Ad Age Google is borrowing from its most successful money-minting product, search advertising, to goose revenue on its video-sharing site YouTube. The move comes just as YouTube's search traffic has passed that of No. 2 search engine Yahoo. Search ads "could be huge" for YouTube. Google Launches Showbiz TV Series on YouTube Hollywood Reporter Google is quietly launching a video series on YouTube called "Poptub," intended to be an "Entertainment Tonight" for the online video set, showcasing "YouTube stars, the best viral videos." "Poptub" provides a curated point of entry to YouTube, which it has been criticized for lacking. McCain Complains to YouTube About Clip Deletes New York Times John McCain's campaign is complaining to YouTube CEO Chad Hurley that the video service is inappropriately removing McCain commercials from the site. The commercials incorporate snippets of television news broadcasts, which news organizations say violate their copyrights. MySpace: World's Largest Karaoke Venue AFP MySpace is overhauling its karaoke channel that lets amateur crooners post online video of themselves in all their vocal glory. In the six months since its launch the channel has attracted some 4 million visitors, which, MySpace says, makes it "the largest karaoke venue in the world." Brightcove: Online Video Will Be Everywhere Reuters Online video publisher Brightcove is retooling its service to accommodate businesses beyond its traditional media customers to include corporations for use as an internal communications and training tool. "Online video is going to be everywhere," predicts CEO Jeremy Allaire. Media, Ad Biz Outlook Is 'Really Negative' Mediaweek A "long and deep" consumer recession is coming, says Merrill Lynch media analyst Jessica Reif-Cohen, speaking at the Media and Money conference organized by Dow Jones and Nielsen. The media and advertising industries are likely to be hit hard, resulting a "really negative" outlook. Microsoft's COO Blocks Google at P&G Bloomberg Microsoft COO Kevin Turner flew to Procter & Gamble headquarters after he learned that the company was testing Google's office programs as replacements for Microsoft products. He left with a bigger three-year contract. Google is "trying to take food off of our plate," he says. Google, Yahoo Seek to Avoid Antitrust Suit Wall Street Journal Google and Yahoo are in talks with the U.S. Justice Department in an effort to head off an antitrust challenge to their proposed advertising agreement. At the same time, investigators are continuing to build a lawsuit to block the deal, worried it would give Google too much power. YouTube: The Real Winner of Election 2008 Politico YouTube will be the big winner of this year's U.S. presidential election, according to Andrew Rasiej and Micah L. Sifry, writing on Politico. Google's video-sharing site "is the killer application." Online video and YouTube "will be recognized as the medium that changed it for 2008." Joost Relaunches for Community-Building Associated Press Joost plans to relaunch to make the video site more interactive. People will now be able to see what their friends are watching and create groups around television shows, characters or artists. "Ultimately, the Internet is about community-building," says CEO Mike Volpi. Twitter CEO Predicts 'Painful' Web 2.0 Fallout Newsweek / CNET The collapsing U.S. economy may mean trouble for Web 2.0 startups with flimsy business plans. "It's going to be painful," says Jack Dorsey, CEO of Twitter, the microblogging site, which itself hasn't made a dime. Also: Web companies in jeopardy may include Meebo, Zillow, Skype. Top Bloggers Paid About $25 Per Web Post ReadWriteWeb An informal survey by the blog ReadWriteWeb of 20 top-tier tech bloggers and social media consultants finds that the average pay on a per-post basis is $25, though some reported to make as little as $10 and as much as $80. Respondents' annual salaries are estimated at about $40K. Microsoft Launches News Aggregation Site WebProNews Microsoft is soft launching a site to aggregate tech news. The new Microsoft Web Platform aims to be "a content aggregator for everything Web," says Microsoft staffer Lauren Cooney. The site will round up news on "what's happening right now with Web development and strategy." Mainstream News Outlets Start Aggregating New York Times This week NBC will introduce Web sites for its local television stations with links to local newspapers, radio stations and other online sources, aiming to become full-fledged city guides. The New York Times will soon offer Web readers an alternative home page with links to rivals. Google Loses German Image-Search Lawsuits Bloomberg Google has lost two copyright lawsuits in Germany over displaying photos and artworks as thumbnails in a preview of search results. "It doesn't matter that thumbnails are much smaller than original pictures," the court says. "By using photos in thumbnails, no new work is created." YouTube Starts Running Full-Length CBS Shows Reuters Will YouTube become a Hulu killer? Google's video-sharing site is starting to run full-length television shows from the CBS archive. CBS will sell the advertisements around the shows. YouTube, which is talking to other TV networks to sign similar deals, is becoming more of a rival to Hulu. Hulu Moves Media Rivals to Mull Video Sites Ad Age The near-instant success of NBC Universal and News Corp.'s Hulu is moving rivals Viacom and Time Warner's HBO to consider launching their own video sites. While Viacom is said to be shelving its effort, HBO is developing a video portal at hbo.com to offer clips and some full episodes. MySpace New Ad System Targets Small Biz Financial Times News Corp.'s MySpace is launching a test of an online advertising system that it hopes will be as simple to use as Google's AdWords, aiming at luring small businesses to the social network. It takes about five minutes to begin advertising on MySpace, according to a demonstration. Google, Yahoo Share Media's Ad Woes Dow Jones Internet advertising growth is generally expected to hold up better than traditional advertising amid the economic downturn, but Web companies aren't immune from lowered expectations. Shares of Google have dropped about 52% so far this year, while Yahoo is down 46%. Yahoo Investor Calls For Microsoft Deal New Media Age Mithras Capital, which holds nearly 2 million shares in Yahoo, is seeking to resurrect the Internet company's failed takeover by Microsoft: "It is imperative for Microsoft to act now, while the Yahoo-Google deal is mired in regulatory concerns, and before Yahoo strikes a deal with AOL." Digital Startups Seek Old Media's Help Financial Times Some digital-media startups are seeking refuge from the souring economy in the traditional media companies they once sought to usurp. Execs at News Corp., Viacom and Disney say they are fielding increasing numbers of pleas from entrepreneurs seeking funding or outright purchases. Live Web Video: A New Revenue Stream Forbes While watching live news on Web sites like MySpace and Hulu is in its infancy, it is gaining ground. Video from news sites is the second most popular category of Web video. Big media Web-video consultant Joey Faust says: "There's a new way to make money here." Digg Hunts for New Staff, Global Growth Times of London Digg founder Kevin Rose is looking for staff as he aims to expand the social news site. The company, founded in 2004, is moving to new headquarters in San Francisco and is doubling its staff to more than 150. Localized Digg sites in Europe and the Far East are expected to launch next year. Apple's iPhone Eyed by Ad Industry Fortune More than 100 million apps have been downloaded from Apple's App store since its launch in July. The numbers are catching the attention of advertisers who see social-networking widgets, restaurant locators, mobile games and other apps as prime real estate. MySpace Needs Less Ads, Murdoch Says Streem News Corp. is increasingly eyeing its digital properties for revenue growth, with the MySpace social-networking site seen as a key profit driver. But chief Rupert Murdoch says he would like to see less ads at a higher rate on MySpace, which is falling behind rival Facebook. EMI Web Site to Take On iTunes, MySpace Financial Times Music giant EMI plans to enter the crowded digital music market, forming its own site to join the likes of iTunes and MySpace and marketing its artists' music directly to fans online. The forthcoming EMI.com will offer audio and video content. Users will be able to buy and download music. Google Gets Into Video Games -- With Ads Associated Press Google is launching the beta version of "Adsense in Games," a technology designed to put relevant advertising links in Web-based games. The expansion of Google's Adsense program will show, for example, video ads targeted at young men in sports and action games. YouTube to Sell TV Shows, Other Media Reuters YouTube will start to sell television shows, music and video games and experiment with text advertising and other ad formats to grow revenue. Google's video-sharing site is taking the first steps toward building an e-commerce service through which it will sell media-related products. Facebook CEO: Media Must Make Ads Social FAZ Facebook CEO Mark Zuckerberg. "If the way people are consuming media changes, the media companies have to change their way to make money with advertising. Social recommendations attached to the advertising content or the traditional media information makes it a lot more interesting." Eisner Produces Autobiographical Web Series Hollywood Reporter Michael Eisner's new online series "Back on Topps," produced by his digital studio Vuguru, features the former Disney chief himself as a recurring off-screen character. Although Eisner doesn't ever actually appear, someone playing him pipes in via speakerphone and barks orders. Yahoo CEO In New York Talking AOL Deal Valleywag The much-talked-about talks between Yahoo and Time Warner to unload AOL are definitely on, sources say. Yahoo CEO Jerry Yang and president Sue Decker are said to be in New York trying to cajole Time Warner CEO Jeff Bewkes into a deal before Yahoo's next earnings report. Google: Internet 'Cesspool' Needs Brands AdAge The Internet is fast becoming a "cesspool" where false information thrives, Google CEO Eric Schmidt says, speaking with magazine execs visiting the Internet giant's offices near San Francisco as part of the American Magazine Conference. "Brands are how you sort out the cesspool." Yahoo-AOL Deal Rumored to Close This Month TechCrunch / Blo