ONLINE SERVICES/INTERACTIVE MEDIA
Private-equity firms are said to be reaching out to Yahoo since the Internet company’s stock started trading below $24. One of the strategic buyers that has kicked the tires on the company in the past — a list that includes AOL, CBS, Viacom and News Corp. — might make a move. (http://www.nypost.com/seven/01242008/business/sharks_circle_yahoo__978070.htm 1/24)

Yahoo! reportedly is negotiating with major record companies to develop a music service that would offer MP3 downloads without digital rights management. The music could be distributed for a fee, or at no-cost to users under an ad-driven model, according to this article. Yahoo! spokeswoman Carrie Davis denied such a deal is pending, and the labels had no comment. (The Boston Globe/Associated Press 1/23)

Digital-music sales grew by less than 40% in 2007 after nearly doubling the previous year, according to the International Federation of the Phonographic Industry, which said revenues rose from $2.1 billion to $2.9 billion. Sales from music distributed online or via mobile devices made up 15% of total revenues compared with 11% in 2006. (International Herald Tribune 1/24)
CBS’s Last.fm Web site is starting a free streaming music service supported by advertising. Last.fm has deals with the four-biggest record companies to offer about 3.5 million tracks free of charge to listeners. The site plans to expand beyond music into sports, news and television. (http://www.techcrunch.com/2008/01/23/goodbye-30-second-song-clips-lastfm-offers-limited-full-track-streaming-and-moves-towards-subscriptions 1/23)
Sample Search on Last.FM for Beck
Not a huge selection of music as seen here but a nice add-on none the less.

Microsoft is developing a method of using personal data such as credit-card information to target Internet users with advertising once they connect to the Web, according to a patent application. Google is currently facing questions in Europe about its own collection of user data. (http://www.marketwatch.com/news/story/microsoft-ponders-offline-profiling-web/story.aspx?guid=%7BF0D7FACF%2D0072%2D43C6%2DB341%2DB934D7E84635%7D 1/23)
News Corp.’s MySpace and the BBC’s commercial arm are announcing an agreement that will see clips from popular programs distributed on the social-networking site. BBC Worldwide will be MySpace’s first broadcasting partner, as the site seeks to increase its video content. (http://www.ft.com/cms/s/0/d792b73c-c9ea-11dc-b5dc-000077b07658.html 1/24)
The Hollywood writers strike is beginning to take a toll on television viewing behavior, suggests a poll by MindShare. Almost half of those surveyed in the poll say they are spending more time online as a result of the repeat programming they encounter because of the strike. (http://www.hollywoodreporter.com/hr/content_display/news/e3i70209203cc8683219c7b296574299b52 1/24)
Celebrity blogger Perez Hilton is entitled to nearly $85,000 to pay his legal costs in a defamation lawsuit brought by Samantha Ronson, a friend of actress Lindsay Lohan, a judge says. Ronson sued Hilton last year for posting on his Web site that she planted cocaine in Lohan’s car. (http://news.yahoo.com/s/ap/20080124/ap_en_mo/people_perez_hilton 1/23)