Yahoo, rethinking earlier plans, is quietly exploring ways to develop a music download service as archrivals Microsoft and America Online place bigger bets on digital song sales.
According to knowledgeable sources, Yahoo bought music software developer Mediacode in December to help create a digital jukebox and media player--the key components in many music download services. The Mediacode team includes two founding members of Nullsoft, which created the popular Winamp music player and is now owned by AOL. In addition, Yahoo also has begun kicking the tires of online music services as it rethinks its strategy, which hinges on streaming media, not downloads. For example, Yahoo has held discussions with Musicmatch, one of the largest Internet music services, in what could be a prelude to acquisition talks, according to sources familiar with the meetings.
Sources characterized the discussions as preliminary and said Yahoo has not yet made any offer. They added that Yahoo meets with companies often to discuss possible deals and has received inquiries in recent months from a handful of Web music services, including BuyMusic.com and Napster owner Roxio. Yahoo declined to comment on any of these talks. "We do not seek to comment or speculate on market rumors," Yahoo spokeswoman Charlene English said. Napster and BuyMusic also declined to comment. Musicmatch spokeswoman Jennifer Roberts would only say, "We talk to lots of companies, but we're just focused on running our business."
News source: C|Net News.com
According to knowledgeable sources, Yahoo bought music software developer Mediacode in December to help create a digital jukebox and media player--the key components in many music download services. The Mediacode team includes two founding members of Nullsoft, which created the popular Winamp music player and is now owned by AOL. In addition, Yahoo also has begun kicking the tires of online music services as it rethinks its strategy, which hinges on streaming media, not downloads. For example, Yahoo has held discussions with Musicmatch, one of the largest Internet music services, in what could be a prelude to acquisition talks, according to sources familiar with the meetings.
Sources characterized the discussions as preliminary and said Yahoo has not yet made any offer. They added that Yahoo meets with companies often to discuss possible deals and has received inquiries in recent months from a handful of Web music services, including BuyMusic.com and Napster owner Roxio. Yahoo declined to comment on any of these talks. "We do not seek to comment or speculate on market rumors," Yahoo spokeswoman Charlene English said. Napster and BuyMusic also declined to comment. Musicmatch spokeswoman Jennifer Roberts would only say, "We talk to lots of companies, but we're just focused on running our business."
News source: C|Net News.com
Tim Sweeney, of Unreal developers Epic Games, agrees: "For a console to really have a useful online component, it has to have the hard drive to store downloaded maps and other data. If Microsoft waits for Sony, it is in effect allowing Sony to design Microsoft's box."
Meanwhile, as the chips at the core of the original Xbox are from different manufacturers (Intel and Nvidia) to those that will be in Xbox 2 (IBM and ATI Technologies), Microsoft have voiced concern that hardware and licensing fees would cost too much to enable the machine to play old Xbox games. However, one analyst has already said, "I can't imagine that Microsoft would be so insanely stupid as to make it incompatible," and some sources suggest that the issue could be resolved by using emulation.
At the core of the machine will be three IBM-designed 64-bit microprocessors, the combined power of which will be greater than current top-end PCs. The ATI Technologies-designed graphics chip will also be faster than its forthcoming R400 which basically means that Xbox 2 will be able to display with the resolution of high-definition TV.
Microsoft's emphasis appears to be on keeping the retail price down and, crucially, launching the machine before PlayStation 3 hits shelves in 2006. Xbox first launched just under two years after PS2 and, so far, 13.7 million of them have been shifted, compared to 70 million for PS2. As soon as we have more on Xbox 2, we'll let you know.
You tried to be a "brand name" but your commercials we're lame, and nobody wants to say they were "Yahoo'ing" anything. It's not right.
You don't even have originality in your search engine anymore. You license Google's.
The only worthwhile property you truly posess right now is Yahoo Mail. It has always had decent spam filters. Thank you.
Playing the Me Too with online music is only going to get the nail shoved further into the coffin. Nobody cares about you since the big boys have already entered the online music market.
You were a staple of the early internet boom, but you can safely roll over now and die.
R.I.P. Yahoo.
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