Netflix Sides With Blu-ray In HD Format War

Monday, February 11th, 2008 - 1 Comment »

 netflix bluray disc blu-ray dvd

In yet another coup for the burgeoning high-definition DVD format, online DVD rental service Netflix Monday said it will stock high-def movies exclusively in Blu-ray.

For Netflix, that means no more discs in HD DVD, the format spearheaded by Toshiba. Netflix has been stocking high-def movies in both formats since early 2006, but said in a statement that all of its new high-def movie purchases will be Blu-ray and that it will phase out HD DVD discs by the end of the year.

Netflix made its choice after watching several major studios side with Sony-backed Blu-ray. Warner Bros. Entertainment in January said it will put out high-def movies exclusively in Blu-ray, joining Metro-Goldwyn-Mayer Studios, Sony Pictures, Twentieth Century Fox and Walt Disney in the Blu-ray camp. Two major studios, Paramount Pictures and Universal Studios, have sided with HD DVD.

The rental service said that only a portion of its subscribers choose to receive high-def movies. To put it in perspective, Netflix says its library includes more than 90,000 DVD titles, with only 400 of those in Blu-ray.

But that’s hardly the point. The main reason for Netflix’s decision seems to be its desire to get this format war over quickly so that people will start buying high-def gear. After all, what retailer (or DVD renter) wants to have to stock two HD versions and a standard-def version of every movie title?

“The prolonged period of competition between two formats has prevented clear communication to the consumer regarding the richness of the high-def experience versus standard definition,” said Ted Sarandos, chief content officer for Netflix, in the statement. “We’re now at the point where the industry can pursue the migration to a single format, bring clarity to the consumer and accelerate the adoption of high-def.”

Some have already called this fight in Blu-ray’s favor. One thing’s for sure, it’s come out swinging in 2008.

WPP Acquires Stake Web Analytics firm NuConomy

Monday, February 11th, 2008 - No Comments »

WPP announced today that it has acquired a stake in Israeli Web analytics company NuConomy, although it would not reveal how big a stake it has or how much it was worth.

The NuConomy platform appears to be in beta, judging from the company’s Web site, but claims to “measure consumers’ engagement and interaction with content, while giving advertisers actionable insight into the audience they engage with.”

The acquisition follows a handful of recent WPP investments in digital media firms, including Integrated Media Measurement Inc., VideoEgg, SpotRunner and Dutch interactive agency LaCommunidad. Rumors that it would make a move to acquire the outstanding share of SpotRunner have been circulating for months, with no new developments.

Interpublic to be Minority Partner in New Multicultural Advertising Agency

Friday, February 8th, 2008 - No Comments »

Steve Stoute and Shawn “JAY-Z” Carter announced today that they will form a new advertising agency dedicated to reaching the multicultural consumer. The firm will be majority owned by Mr. Stoute, 37, and Mr. Carter, 38, with Interpublic Group (NYSE: IPG8.26, -0.18, -2.13%) holding a 49% stake in the new company. Stoute is the founder of Translation Consulting + Brand Imaging, a leading brand consultancy for the urban youth market which works with many of the world’s best-known brands. Shawn “JAY-Z” Carter is a recording artist, the former president and CEO of Def Jam Recordings and Roc-A-Fella Records and an owner of the New Jersey Nets. The agency, called Translation Advertising, will be headquartered in New York and will work with clients on a full range of advertising and marketing programs.In October of this year, Interpublic Group acquired Stoute’s marketing consultancy firm Translation Consulting. Translation Consulting, which focuses on brand planning and strategic consulting with clients looking to engage with the urban and youth markets, will continue to be led by Stoute and will remain a separate entity from Translation Advertising. Stoute and Interpublic management will jointly oversee the hiring of a senior management team for Translation Advertising, made up of marketing professionals from across the industry.As a stand-alone agency, Translation Advertising will be accessible to and partner with Interpublic’s leading network of full-service agencies. The new company will focus on creating advertising programs for clients, including television, print and radio, which are aimed at African American and culturally-blended consumers. As the agency grows, it will seek to partner with sister IPG companies to deliver specialty marketing services, such as special events and activation.”We saw a place in the market for a new agency. The current fashion and standing that African Americans hold in the world today - especially in American culture - isn’t fully represented in the advertising community,” commented Mr. Stoute. “We want to show this community in advertising that’s fresh, accurate and perfectly executed. And we’re excited to be doing it with a great partner like Interpublic, which has such deep relationships with the world’s greatest marketers. Our plans for this new agency have been repeatedly speculated at in recent press reports. As a result, we’re announcing Translation Advertising a little earlier than anticipated.”"Translation Advertising is a new and exciting venture,” said Mr. Carter. “Interpublic shares a vision of representing and connecting with the African-American culture and community in an honest and responsible way. This partnership with Interpublic and Translation Advertising is a natural business pairing. I look forward to sharing ideas and breaking new ground once again in a new area. We are not looking to just have an agency, we are looking to perfect our relationship with the consumer.”"A priority at Interpublic has been to create a forward-looking strategy to reach a mix of evolving consumer segments. Translation Advertising is an important piece in this comprehensive approach to the changing market. The African American community is a crucial element of the population for our clients, and Translation Advertising gives us a strong partner to connect with that market,” commented Michael Roth, Chairman and CEO of Interpublic. “What’s more, Translation Advertising allows us to address this key market by leveraging our new relationship with Steve, instead of pursuing additional acquisitions. Having Steve and Shawn on board in this venture creates a strong and highly-visible team. They are both tremendous businessmen, with great insight and experience into connecting brands with consumers for many of the world’s biggest clients.”About InterpublicInterpublic is one of the world’s leading organizations of advertising agencies and marketing services companies. Major global brands include Draftfcb, FutureBrand, GolinHarris International, Initiative, Jack Morton Worldwide, Lowe Worldwide, MAGNA Global, McCann Erickson, Momentum, MRM Worldwide, Octagon, Universal McCann and Weber Shandwick. Leading domestic brands include Campbell-Ewald, Carmichael Lynch, Deutsch, Hill Holliday, Mullen, The Martin Agency and R/GA. For more information, please visit www.interpublic.com.SOURCE: Interpublic Group

Interpublic Group Philippe Krakowsky, 212-704-1328 or Jerry Leshne, 212-704-1439

Google Is At It Again

Thursday, February 7th, 2008 - No Comments »

 February is turning out to be a busy month for Google’s corporate IT initiatives. Earlier this week, the search giant announced a new, corporate-focused, suite of security and spam-filtering software suites under the “Powered by Postini” moniker. Today, Google announced another new Google Apps bundle, known as Google Apps Team Edition. Unlike the Powered by Postini product suite, Google Apps Team Edition is aimed at enabling user and group-level collaboration without the need for approval from the IT department.Current business versions of Google Apps are linked to an organization’s Internet domain and therefore require IT approval and at least some degree of administration. Team Edition eschews this approach, and allows end-users to create sharing workgroups so long as the individuals in question have valid e-mail addresses within the employer’s Internet domain. Team Edition contains the standard core features of Google Apps, save for Gmail, as that service requires a degree of IT oversight and administration.

According to Google Apps senior product manager Rajen Sheth, “Google Apps has been, by definition, an IT project, and now we want to let people use it without IT involvement.” Signing up for Google Apps Team Edition will allow registrants to see which of their coworkers has also signed up, which, in theory, promotes additional collaboration. Google emphasizes that this type of two-way visibility will allow workgroups to begin collaborating with each other—apparently spontaneously.

There is, of course, a rather obvious fly in this particular ointment. Sheth suggests that IT departments and administrators shouldn’t be upset about discovering unplanned and unapproved implementations of Google Apps running on the corporate network because “[t]he IT department always has the option to sign up for the Standard Edition for free if they want to provide control over this. This is a solid, happy medium.”

One problem with that: IT administrators tend to fervently dislike the sudden appearance of unapproved applications, even if said software package promises world peace, actually delivers all those free iPods, and periodically spits gold doubloons out of the CD-ROM drive.

Google’s approach seems predicated on the old adage that it’s always easier to get forgiveness than permission. One the one hand, Google Apps Team Edition could help facilitate group-level communication on projects, but the program could also engender a significant backlash from IT managers who aren’t at all thrilled at its sudden appearance. This is particularly true of companies with strict(er) IT policies, or companies already in the middle of deploying an alternative work collaboration system.

Google claims that the purpose of Team Edition is to allow users to “share documents and calendars securely without burdening IT for support,” are more likely to be greeted by raised eyebrows from the IT department. In the right (or wrong) circumstances, the unapproved presence and use of Google Apps Team Edition could, in fact, increase the burden on IT support staff. Google seems to be betting that if it can build enough grassroots support for Google Apps, IT departments and corporations will have no choice but to embrace it as a provider. Such an approach may work beautifully in the consumer market, but there’s no guarantee corporations will be as flexible. 

Break.com’s Video Entertainment Now Available on V CAST from Verizon Wireless

Wednesday, February 6th, 2008 - No Comments »

Verizon Wireless, the leading wireless company with the nation's most reliable wireless voice

 

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