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Friday, 18 July 2003 ,  Written by Jerry Del Colliano
In a move designed to cut down on AOL Time Warner’s staggering debt, the company is reportedly selling its CD and DVD pressing plants to a Canadian Company for $1,000,000,000 in cash. While the move helped AOL’s stock today one has to wonder what it means to its long term plan as a record label and home video company. One of the biggest problems facing Sony Music and Universal Music Group is finding pressing plants that can make enough hybrid SACDs to keep up with the demand for the new format. Many new plants have been opened since the advent of SACD reportedly with support from Sony. AOL Time Warner’s move seems to be in the exact opposite direction.
Wednesday, 02 July 2003 ,  Written by Jerry Del Colliano has learned that Harman International is consolidating the operations of what used to be Madrigal (Mark Levinson, Revel and the now defunct Proceed brands) with Lexicon’s operations in Massachusetts. The entire manufacturing process is being moved to consolidate computer systems, inventory and beyond. “The goal of the program” says Wayne Morris, the President of Harman Specially Group, “is to increase both the reliability of Lexicon and Mark Levinson's products while being able to get to market more quickly with new products that consumers want to buy.”
Friday, 27 June 2003 ,  Written by Scott Selter
EchoStar, DISH Network, and DIRECTV, just filed a lawsuit against the state of Ohio for passing a discriminatory 6 percent sales tax for satellite television service, which Ohio Governor Bob Taft signed into law earlier today. The sales tax was not imposed on local cable television services, even though satellite television companies compete with incumbent cable operators in the same market. The lawsuit was filed in the Court of Common Pleas, Franklin County, Ohio. The suit seeks a declaratory judgment holding that the satellite-only tax is unconstitutional and requests a permanent injunction against enforcement of the tax on approximately 700,000 satellite TV customers in Ohio.
Wednesday, 14 May 2003 ,  Written by Scott Selter
CNN and The Wall Street Journal reported that there are rumors that AOL Time-Warner (WEA) and Bertelsmann (BMG) are in discussions for AOL to buyout BMG. The combination of the two labels would reduce the “big five” down to four. CNN says both sides aren’t commenting what is to be expected in such a large scale deal, if it is in fact going down. With the music business sucking wind for the last two years, record companies are prime for consolidation and the economies of scale that come with making two big companies into one. AOL is coming off of the worst quarter for ANY company in U.S. economic history (Q4, 2002) but might see an opportunity in buying up BMG to become even bigger in the music business. Other industry scuttlebutt has AOL looking to buy EMI as well as Apple computers looking to buy Universal. It is hard to tell what ...
Tuesday, 06 May 2003 ,  Written by Scott Selter
Digital Theater Systems (DTS) last week filed with the Securities and Exchange commission to raise as much as $60,000,000 with a stock offering on the NASDAQ exchange. If approved they would trade under the ticker symbol of “DTSI.” DTS is in its tenth year in business and has had investments from companies like Universal since 1993. DTS is best known for its surround sound for Jurassic Park and has since then picked up significant marketshare in the market of commercial theater surround sound. For home theater applications, DTS decoding is a standard feature that comes in every AV receiver and AV preamp. DTS’ lossy compression surround sound competes directly with another lossy compression format – Dolby Digital. DTS surround sound can be used as a surround option for DVD-Video and DVD-Audio discs. DTS Entertainment, also part of the DTS products, is a boutique record label that specializes in surround sound mixes of music on DVD-Audio, CD, ...
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