Sony BMG has agreed to pay $1 million to settle allegations the company has been in violation of the Children’s Online Privacy Protection Act (COPPA) by collecting information from children under the age of 13 on some of its Web sites without parents’ consent. The COPPA act is enforced by the Federal Trade Commission, which alleged in a suit that Sony BMG was collecting, maintaining and disclosing personal information about children on some 196 Web sites it operates for music fans in support of Sony BMG artists. Many of these sites enabled users to create personal fan pages, upload photos, post comments, and exchange private messages.
Tag Archive: BMG
Sony BMG Sues Mediamax Developer
Remember back in 2005 and 2006, Sony BMG repeatedly shot itself in the foot with its handling of controversial copy protection software embedded in selected audio CDs? In an effort to cut down on music piracy, Sony experimented with two copy protection schemes on standard audio CDs. The technologies went by the names XCP and Mediamax, and Sony got itself into trouble in two ways: first, it never really told consumers what they might be installing on their computers when they used the CDs; and, second, both copy protection schemes led to vulnerabilities attackers could exploit to steal personal information or take over the computer. Sony BMG was sued by, well, almost everyone, was forced to recall the CDs, offer refunds, and promise it wouldn’t do anything similar for a little while.
Sony BMG Settling State Rootkit Suits
It’s been more than a year since Sony BMG’s Music CD rootkit fiasco came to a head, and now Sony BMG, one the world’s four largest music distributors, has agreed to pay the state of California $750,000 to settle a lawsuit stemming from the blowout.
Sony BMG Touts MediaMax CD Security Fix
Sony BMG just can’t seem to catch a break: just as the public firestorm of controversy and outrage over the XCP copy protection software (and the Windows security nightmares it engendered) begins to fade from everyday headlines, the company has to perform another mea culpa. SunComm’s MediaMax? That other copy protection system Sony BMG has shipped on some of its music CDs in an effort to cut down on piracy? Yeah
German Media Company Buys Columbia House
Due to the popularity of online CD sites such as Amazon.com, CD club sales have diminished in the past few years.
Columbia House will be added to Bertelsmann’s U.S. CD club BMG Direct. Stuart Goldfarb, CEO of BMG Direct, will serve as president and CEO of the newly acquired company.
Bertelsmann is the fourth-largest media group in the world, that has risen due to its CD club business. BMG Direct is currently the largest direct to consumer retailer of recorded music in the UnitedStates. Columbia House currently is the largest specialized retailer of DVDs.
Sources: CNN, Yahoo!, Audio Video Revolution
Sony Music and BMG to merge
The two companies will reportedly keep their autonomy sharing their power 50-50 but now have the opportunity to compete with Universal Music Group to become the largest record company in theworld.
The Sony-BMG merger comes as two suitors are hunting down another juicy target in Warner Music (WEA). EMI reportedly is close to submitting a 1 billion dollar offer for the vast WEA operation whilebillionaire movie producer Haim Saban and former Seagram chairman, Edgar Bronfman Jr. are also reportedly tendering a similar offer. TimeWarner (they officially dumped the AOL from their name a fewweeks ago) has made no secret about their desire to sell off elements of their business that are not making money right now. This includes their music operations and possibly even their sportsfranchises. Earlier in the year TimeWarner sold off their CD pressing facilities although sources close to the deal tell AudioRevolution.com that WEA has a sweetheart deal negotiated for the pressingof their music titles on both CD and any DVD-Audio/CD “flip disc.â€
AOL Time-Warner to buy 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 goingdown.
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