Archive for the ‘Business’ Category

OSC takes on BBC over Microsoft formats

Monday, June 25th, 2007

You may have heard that the BBC recently decided to use the Windows Media format for its on demand service, called iPlayer. It seems that decision has come under fire from an advocacy group called the Open Source Consortium (OSC) who feel that the BBC is unfairly locking the public into Microsoft products. From The Register:

The OSC compared the situation to the European Commission’s prosecution of Microsoft over its bundling of Windows Media Player with Windows. That case was initiated in 2004 by complaints from other vendors, and resulted in European courts imposing a record fine on Redmond, which it is still appealing against.

The same situation that resulted in Windows XP Edition N? That version of the operating system, which ships without Windows Media Player, has been a complete dud with “roughly 1500 units shipped to OEMS, and no reported sales to consumers.” I don’t think the comparison is accurate at all. This is about DRM, not vendor lock-in.

The main reason the BBC decided to go with Windows Media, it seems, was because the format’s DRM features can enable content to become unviewable after 30 days. That was specified by the BBC Trust as a requirement for iPlayer. I am absolutely not a fan of DRM, and I think that’s a very unfortunate requirement indeed.

The OSC thinks DRM-free downloads would be more in the public interest, and I agree with them on that point. I think it’s a shame they have to spin the argument as “being locked in to Microsoft formats” however. The BBC could very well have chosen Apple’s DRM scheme if they had felt it would work for them.

The long and short of it is that the OSC should be fighting DRM, not Microsoft.

Media deals in China for Microsoft

Monday, June 25th, 2007

Sounds like Microsoft is trying to become a big player in China’s living rooms with their investment last week in Sichuan Changhong Electric Co. Ltd., one of China’s largest TV makers. The USD $12.3 million investment ensures that Changhong will develop TVs and other products that can hook up to the Internet.

The deal is about Microsoft’s software, not hardware:

Current versions of Windows are capable of connecting a TV with the Internet, and these types of systems are already available in China.

Changhong’s own M10 Living Room Entertainment Center is an example. Based on Windows XP Media Center Edition, the M10 is designed to connect with a television and comes with a remote control and wireless keyboard, allowing users to access music, videos and the Internet from a couch instead of a desk.

I think Microsoft is simply trying to make some new friends in the emerging Chinese marketplace. If the Changhong deal goes well, it’ll definitely give a boost to both Windows Media Center and the recently announced Mediaroom too.

Microsoft also signed an agreement with Shanghai Media Group (SMG) last week. Financial terms were not disclosed, but SMG agreed to “use Microsoft products across its new-media division, which includes Internet video, IPTV and mobile television.”

I expect we’ll hear more from Microsoft in China very soon!