CNM Short Takes

Itemus soothes investors over Shooting Gallery acquisitionIn response to concerns in the U.S. over a round of layoffs at intended acquisition target Shooting Gallery, itemus inc, Toronto, released a mid-month press release to assure observers that the acquisition is still on track. No figures for the number of people let go were released, but itemus says the moves were necessary at the NYC-based new media producer to ensure a "path to profitability". Inukshuk sold by beleaguered Telesystem affiliate LookFinancially-struggling Look Communications has sold its 50% stake in Inukshuk Internet Inc to affiliate company Microcell Telecommunications Inc for $150 million and an agreement to provide wholesale access to the company’s network to Look. Microcell now owns the entire company. Early last year, Inukshuk won the right to use the 2500 MHz frequency to provide Multipoint Communication Services (MCS) – high speed wireless Internet access – with a significant commitment to provide the educational community a package of benefits. This Monday, affiliate publication Report on Wireless examined a likely new hurdle to Inukshuk’s MCS rollout plans that could delay its plans by several years.Brakes put on PhotoChannel, Moto Photo mergerVancouver-based PhotoChannel Networks Inc, which had announced an intended merger with U.S. photography giant Moto Photo Inc, has dropped the acquisition plans. Meltdown conditions in the U.S. financial markets have been blamed for the halt to proceedings. The two companies will continue to work together, however, and Moto Photo has agreed to beta-test the PhotoChannel Network at selected retail outlets."Call me Bell Globemedia"The media colossus created by the BCE Inc acquisition of the Globe & Mail and of CTV Inc has a name – Bell Globemedia. It is 70.1% owned by Ma Bell, 20% by The Thomson Corp, and 9.9% by The Woodbridge Company Ltd. Robin Fillingham, formerly executive VP and CFO of CTV Inc, will become the CFO and chief administrative officer of the new entity.Song Corp’s tune turns to bluesAllan Gregg-led The Song Corp has effected a restructuring of its operations to shave $2.4 million in infrastructure costs. Among the measures to save cash are the layoffs of 30 employees. Gregg, chair and CEO, has agreed not to draw any salary. Bill Dawson, the company’s EVP, COO and CFO has left Song Corp for greener pastures, and the company has also lost one of its directors. The company blames the need for re-structuring on the end of a licence agreement with Roadrunner Records, and slower than anticipated growth of the company’s record production and entertainment distribution business. Gregg is still confident the company is viable, saying other foreign and domestic record companies will step in to fill the gap.BCE extends cash bailout to affiliate ExtendMediaMinority shareholder BCE Inc has extended a life preserver to ExtendMedia Inc, of which it owns approximately 23%. The $2.8 million financing package will be funneled through BCE Media Inc which will receive warrants to purchase 5.6 million common shares at an exercise price of $0.50. If exercised, those shares would give BCE a 32% stake in the company. Extend has been struggling with staff layoffs and a slow-developing market for interactive video products.YOUtopia.com wins BMG Entertainment alliance dealOttawa-based teen portal and ecom site YOUtopia.com has won an undisclosed investment from U.S. entertainment giant BMG Entertainment, the music and entertainment arm of Bertelsmann AG. The deal is potentially lucrative, linking the under-20 set with popular artists such as Christina Aguilera and Toni Braxton. The company grabbed headlines last year when it scored teen phenom Britney Spears as a corporate spokesperson.March Networks makes late-year content acquisitionsMarch Networks Corp, recently purchased by former Newbridge founder Terry Matthews, has gone on an acquisition streak of its own. Over the holiday period, the company purchased new media content producer Infopreneur Inc, Toronto, and MainSource Software Inc, Ottawa. Infopreneur is the winning producer of Chilly Beach.AOL Canada donates cool million to SchoolNetAOL Canada has presented a million-dollar cheque to Industry Canada’s SchoolNet Grassroots program, earning it the right to be called a Founding Partner. The funds will be used to create online learning resources by students in K-12. Since 1996, over 10,000 such projects have been initiated. The government has challenged the private sector to match a $15 million 1999 investment in the program, and close to $4 million has been raised.CinemaNow launches video-on-demand over InternetVancouver-based Lions Gate Entertainment’s subsidiary CinemaNow has unveiled an on-demand, streaming and fee-based versions of current Lions Gate films in its traditional pay-per-view window. Officials say it marks the first time that studios have offered first-run, video-on-demand films over the Internet in this fashion. Several high-profile films have been tapped for offer this year. The features will run using Microsoft Corp’s Windows Media 7 Player incorporating digital rights management technology.EMI Canada links with Moontaxi Media for streamingEMI Music Canada has inked a licensing agreement with Toronto-based Moontaxi Media which will stream EMI copyrighted music over the ‘Net. As part of the agreement, Moontaxi will build a web channel for EMI’s site. Exact terms for the deal were not disclosed, but EMI has taken a "small equity stake" in the company. Moontaxi is the first company in Canada to be licenced to stream EMI’s catalogue.Bouchard, artists, support Quebec freelancersLa Presse reports that a coalition of prominent Quebeckers has signed a manifesto demanding compensation for freelance authors whose works are reproduced on websites. The list includes former premier Lucien Bouchard, as well as Janette Bertrand, Michel Chartrand, Yvon Deschamps, Gilles Vigneault, Michel Tremblay and Pierre Falardeau. The group has also premiered a new magazine devoted to the issue dubbed Droits devant. Five thousand copies have been printed, available for $10 each.Mainframe Entertainment buys Whiteblack The PenguinVancouver-based Mainframe Entertainment, which produces computer animation for television and film, has bought the rights for WhiteblackThe Penguin from U.S. publishing house Houghton Mifflin. The company will develop the content, originally created in 1937 by the creators of Curious George, as a "marquee property".No holiday jump at Canadian ecom sites: Media MetrixMedia Metrix Canada is reporting stable results for Canadian online retailers from November to December 2000. Usage intensity showed no marked increase between the two months. Unique visitors were roughly equal at 6.1 million in November, and 6.3 million in December to sites tracked by the company. The figures do show an increase from six months earlier, however, when 4.8 million Canadians visited a retail site.24/7 finds marketers committed to InternetToronto-based 24/7 Media Canada has found that four out of five Canadian marketers will strengthen or maintain their commitment to the Internet in 2001. The survey, conducted last fall, solicited the intentions of over 200 of the country’s marketing decision-makers. Besides raw numbers, the survey indicates that tracking marketing investments to ensure reasonable returns and the use of email list brokers and managers are important trends. A complete copy of the report is available at http://www.247canada.com/survey.Rogers to buy Hip content for wireless devicesRogers AT&T Wireless has entered into a partnership agreement with Toronto-based Hip Interactive Corp to buy commerce and content products from Hip subsidiaries Microplay.com and Gamesmania.com. The two companies’ websites will be featured on Rogers’ Blackberry devices. Hip and Rogers will share advertising revenue, as well as revenue generated from the sale of video games on Microplay.com. Wireless customers will have access to video game hardware and software, and up-to-the-minute gaming news and reviews.

CNM Short Takes

News | 01/24/2001 5:00 am EST

To keep reading, get a free trial.

Already a Subscriber?

Reuse & Permissions

Inside The Wire Report

Information

Hill Times Publishing

Get in Touch With Us