What is IPTV ?

What is IPTV ?

IPTV is not TV that is broadcast over the Internet.

“IPTV is generally funded and supported by large telecom providers who have undertaken the mission of creating a competitive replacement product for digital cable and satellite services.”

“While the “IP” in its name stands for Internet Protocol, that doesn’t mean people will log onto their favorite Web page to access television programming. The IP refers to a method of sending information over a secure, tightly managed network that results in a superior entertainment experience.”

IPTV is particularly good for the established media content production business, including Hollywood and all of the major television distribution networks on satellite and cable. IPTV allows these organizations to have total control of the content distributed and to greatly reduce opportunities for theft and piracy, which last year cost the cable industry $4.76 billion in unrealized revenue.

The way IPTV television is being conceived integrates multiple ways to monitor and record user choices, preferences and selections over time therefore appearing as an ideal platform on which to add personalized e-commerce options and more targeted advertising.

Posted in Advertising, Netflix, New Media, TV, an honest living, mobile media, new platforms, streaming video, the interwebz, the new economy | Tagged , , , , | 1 Comment

News Release: Amazon.com Now Selling More Kindle Books Than Print Books

SEATTLE, May 19, 2011 (BUSINESS WIRE) –(NASDAQ:AMZN)–Amazon began selling hardcover and paperback books in July 1995. Twelve years later in November 2007, Amazon introduced the revolutionary Kindle and began selling Kindle books. By July 2010, Kindle book sales had surpassed hardcover book sales, and six months later, Kindle books overtook paperback books to become the most popular format on Amazon.com. Today, less than four years after introducing Kindle books, Amazon.com customers are now purchasing more Kindle books than all print books – hardcover and paperback – combined.

“Customers are now choosing Kindle books more often than print books. We had high hopes that this would happen eventually, but we never imagined it would happen this quickly – we’ve been selling print books for 15 years and Kindle books for less than four years,” said Jeff Bezos, Founder and CEO, Amazon.com. “In addition, we’re excited by the response to Kindle with Special Offers for only $114, which has quickly become the bestselling member of the Kindle family. We continue to receive positive comments from customers on the low $114 price and the money-saving special offers. We’re grateful to our customers for continuing to make Kindle the bestselling e-reader in the world and the Kindle Store the most popular e-bookstore in the world.”

Recent milestones for Kindle include:

- Since April 1, for every 100 print books Amazon.com has sold, it has sold 105 Kindle books. This includes sales of hardcover and paperback books by Amazon where there is no Kindle edition. Free Kindle books are excluded and if included would make the number even higher.

- So far in 2011, the tremendous growth of Kindle book sales, combined with the continued growth in Amazon’s print book sales, have resulted in the fastest year-over-year growth rate for Amazon’s U.S. books business, in both units and dollars, in over 10 years. This includes books in all formats, print and digital. Free books are excluded in the calculation of growth rates.

- In the five weeks since its introduction, Kindle with Special Offers for only $114 is already the bestselling member of the Kindle family in the U.S.
Amazon sold more than 3x as many Kindle books so far in 2011 as it did during the same period in 2010.

- Less than one year after introducing the UK Kindle Store, Amazon.co.uk is now selling more Kindle books than hardcover books, even as hardcover sales continue to grow. Since April 1, Amazon.co.uk customers are purchasing Kindle books over hardcover books at a rate of more than 2 to 1.

- Kindle offers the largest selection of the most popular books people want to read. The U.S. Kindle Store now has more than 950,000 books, including New Releases and 109 of 111 New York Times Best Sellers. Over 790,000 of these books are $9.99 or less, including 69 New York Times Best Sellers. Millions of free, out-of-copyright, pre-1923 books are also available to read on Kindle devices. More than 175,000 books have been added to the Kindle Store in just the last 5 months.

- All Kindle Books let you “Buy Once, Read Everywhere” – on all generation Kindles, as well as on the largest number of devices and platforms, including iPad, iPod touch, iPhone, Mac, PC, BlackBerry, Windows Phone, Android-based devices, and soon HP TouchPads and BlackBerry PlayBooks. Amazon’s Whispersync technology syncs your place across devices, so you can pick up where you left off. With Kindle Worry-Free Archive, books you purchase from the Kindle Store are automatically backed up online in your Kindle library on Amazon, where they can be re-downloaded wirelessly for free, anytime.

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Who the Heck Wants to Invest in Music These Days?
Lots of People

BillboardBiz
By Glenn Peoples

If you have read newspapers and blogs in the last few years, you know there’s no money to be made in music. So why are billions being invested in music companies? Is there really that much dumb money going into the wrong industry instead of following the smart money elsewhere?

The record industry is a sinking ship, yet Warner Music Group attracted numerous bidders and EMI is likely to see similar interest. The publishing industry also faces uncertainty, but publishing assets are constantly bought and sold. Years have passed since the record label was supposed to have died, but new labels are sprouting up every week.

There’s a reason for this difference between popular sentiment and reality: the music business is not a monolithic entity. Recorded music is just one segment of the industry. Live events, merchandise and publishing are also major parts of the industry. Beyond the more traditional areas of the business are artist services companies like Sonicbids, mobile app developers like Mobile Roadie, ticketing companies like Eventbrite and a slew of information-based startups like the Echo Nest that are helping build the next generation of music companies.

The truth is the music business is still a place where entrepreneurs and investors are willing to take risks. In fact, investment opportunities exist because some investors mistakenly believe all music companies face the same types of disruption.

As Brad Svrluga of High Peaks Venture Partners concedes in a post at Forbes.com, music startups that require licenses to sell downloads or stream music definitely face some tough challenges. But he saw opportunity in Pump Audio, which helped transform music licensing and was sold to Getty Images less than 18 months after High Peaks invested in the company. “If we had let the broader challenges of consumer distribution of music obscure the opportunity inherent in providing a better solution for soundtrack music to an explosion of video content for rapidly proliferating cable networks and web video businesses, we would’ve missed a real winner,” he writes.

Like licensing, ticketing is another area ripe for disruption. High Peaks took part in the fall 2009 first-round funding of ticketing startup Ticketfly. The company announced $12 million in second-round funding last week, and other ticketing startups have received tens of millions in venture capital over the last three years. “Their plan for this year forecasts greater than 100% growth over last year,” writes Svrluga. “I’ll be damned if they didn’t beat their Q1 number by 25%.”

Investors are not even dissuaded from the traditional record industry. Warner Music Group has received three bids of $3 billion or more. The company has also received a number of bids for just one of its two divisions. Live Nation is reported to have bid on Warner’s recorded music division just over a year after its merger with Ticketmaster typified the upside seen in event-oriented business models.

The key to investing in a record and publishing company is to not overpay. You see, corporate valuation is both art and science. The science is the easier part. Put numbers in a spreadsheet and arrive at a number. The art is accurately estimating the future value of a company in an era of tremendous upheaval. The art is in knowing which assumptions to build into that spreadsheet. If you guess wrong, if you overestimate the cash flows to be generated by intangible assets in the next ten or 20 years, or if you’re too optimistic about the positive impact the merger will have on revenues and expenses, you can pay too much and get bogged down in debt. This was the case of the 2007 acquisition of EMI. Terra Firma simply overpaid at a time when the credit markets made possible such a leveraged buyout.

So Warner’s bidders need to make sure they don’t overpay. Warner is definitely a good investment at $1 billion. Even $2 billion. A $3 billion price tag offers less room for downside. But even at $3 billion, there are still a handful of bidders willing to buck conventional wisdom and risk money on a traditional music company.

Posted in Licensing, Live Concerts, Merchandising, Soundtrack Musico, TV, mobile media, music biz, streaming video, the interwebz, the new economy, videogames | Tagged , , , , , | Leave a comment

Redefining Radio by Mary Anne Hobbs

from BillboardBiz

From dropping out of school and working at an egg packing plant to living on a bus with a hard rock band to publishing the fanzine Krush, Mary Anne Hobbs’ bio reads like the best VH1 Behind the Music never made. She went on to become the L.A. metal correspondent for ‘Sounds’ magazine before working for NME and then ‘Loaded.’ It wasn’t until she broke into radio at BBC Greater London Radio and XFM (then a pirate radio station) that she found her true calling. She became the host of a BBC Radio 1′s The Breezeblock in 1997 and changed its moniker to Experimental in 2006, which is where her “Dubstep Warz” show first appeared — a program credited with breaking U.K. dubstep worldwide. Here, she explains the next phase in her colorful music career.

Redefining Radio
By Mary Anne Hobbs

The truth is, I needed to take a risk.

I needed to know if I could raise the game and redefine the traditional disciplines of radio, not just for myself, but for every artist I love and believe in, and every live listener who cares so deeply.

BBC Radio1 gave me 14 years of freedom as a broadcaster, for which I will always be thankful. I was passionately committed and consistently successful in breaking artists as extraordinary and diverse as Slipknot and Burial on the platforms they gave me, ‘The Rock Show’ and ‘Breezeblock,’ which became BBC Radio1 Experimental.

But in 2010, I felt the time was right to attempt some real progression in radio. I wanted to break out of my 2am-4am BBC slot, which in truth, was beginning to feel like a dungeon, at best testing and at worst prohibitive for even the most committed listener. I could not betray my instincts.

Traditionally, artists beloved of ‘Specialist’ programmes like my own, are only able to gain Primetime plays or support from “bigger” DJs, once they are commercially successful and already proven. I wanted to try to break this mould and achieve something much more profound. I longed for a chance to elevate my entire radio platform, for every artist, on the basis of their creative and cultural significance. This was my mission.

Official data measuring listener numbers will never add up. It’s common knowledge that ever since the technology became available, my show has been ripped and download links posted on a myriad of unofficial sites all over the world. It’s been impossible to stem that flow, and thus collect a legitimate estimate of the listeners I have globally. But I know the numbers are vast. My own evidence is the global success of the scene that myself and my Experimental show have been such a significant part of building. Bass music in all its forms, is now one of the biggest musical concerns anywhere in the world. Incidentally, I’m writing this report having just played one of the main stages at Coachella festival shoulder-to- shoulder with 50 artists that I supported on the BBC Radio1 show.

The BBC did not wish to make a schedule change, (a decision that I fully respect). But Xfm had a different kind of vision and true belief in me. They have given me a 3-hour Primetime Saturday night platform, and it’s such a VICTORY for everyone in my world. Xfm’s trust me to bring a fresh, vital, contemporary new sound and agenda, a completely unique show with real credibility that will attract a whole new global audience to their network.

XFM is a commercial station. I will be playing adverts on-air, but I will have complete musical freedom, just as I did at the BBC. I’ll be broadcasting from their base in Manchester in the North West of England and across the world at www.xfm.co.uk bringing future sound and guest mixes from the most forward thinking artists on earth. Dubstep, UK funky, minimal techno, deep house, hip-hop, electronica, grime, neo-folk and art house rock… no holds barred.

I’ve had intensive dialogue with Andy Ashton, Xfm’s Programme Director. I find him just as passionate and devoted as I am. We have worked in collaboration, managing the press announcements about my return to Xfm, the initial on-air trailers, and the Audio Postcards from my current Road Warrior Tour in America created to introduce new listeners to my agenda.

My history with the network is profound. I broadcast my first ever radio show for Xfm. It was simply the most exciting thing I had ever done, and it changed my life forever.

20 years ago, we were broadcasting for just 4 weeks each year with temporary licenses, on what was originally a pirate network. The station’s signal had only a 25-mile radius from our base on Charlotte Street in London’s West End. Yet the scent of Revolution was high in the air.

We truly believed we were about to change the world forever with Xfm. Every major artist of the era felt it too from Radiohead to Mudhoney, and they backed us to the hilt.

Chris Parry, The Cure’s manager, had such passion for Xfm that he sold his record label Fiction and his beloved collection of boats to back us for 5 years before we won a permanent broadcast license.

This was a time before the Internet was established and the only man in the UK doing anything meaningful on legal radio was John Peel. It’s hard to explain just how thrilling it was to be part of the family who created the first radical alternative radio network — a whole station — and changed the way we communicate about the music we love for all time.

So much has changed across our generation; music and culture enriched immeasurably by global Internet access. Yet, 20 years later, the value of everything we stood for at the outset is as vital and powerful as it’s ever been.

In 2011, Xfm have given me the Primetime platform I dreamed of, and a new opportunity to fundamentally change the way we connect audiences with the music and the work of the artists they love once again. I will be forever thankful.

Mary Anne Hobbs is currently on her Road Warrior Tour spinning at clubs and festivals across North America. In the next few days her tour comes to Miami, Boston, NYC and Philladelpia. Her Saturday night primetime radio show on XFM radio begins July 9th.

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Demand Media Downplays Changes to Google’s Search Algorithm

By Audrey Watters
Hacker News
April 18, 2011

When Google announced a tweak to its search algorithm in February, the company presented the change as a move to help improve search results. The official announcement said it wanted to make sure search unearthed “high quality sites,” and while it never specified what the “low quality sites” might be, many interpreted Google’s move as an attack on content farms.

Considering that the company arguably most synonymous with content farms, Demand Media, had just filed an IPO the month prior, industry onlookers were eager to see the impact of the new algorithm.

The company issued a statement yesterday, downplaying the effect of the change on its pageviews and search ranking. But the stock market this morning seemed less than convinced as the company’s shares took a hit.

Posted in Cyber War, Google, New Media, an honest living, new platforms, streaming video, the interwebz, the new economy | Tagged , , , , | 5 Comments

“Outraged,” “Unpaid” Former Huffington Post Bloggers Found New Website

By Ujala Sehgal
April 4, 2011

The Huffington Post Union of Bloggers, or HPUB, a non-profit corporation comprised of current and former bloggers and employees of the Huffington Post, has announced the launch of its website, www.hpub.org.

We learned a little more about HPUB through its facebook page, where it declares “Writers and bloggers of HP, past and present, paid and unpaid, satisfied and outraged, come and join us here.”
From its description:

We didnt like HP’s slide to tabloid journalism and we dont approve of the AOL takeover. 9,000 bloggers didnt spend their time and effort building Huffpo’s content so that the website could be taken over by people with a very different agenda.

We took a look at the website, which has some global news-type stories along with manifestos like “We Are a Police State.” The featured article? “Why the Huffington Post ‘Fired’ Me.” It begins, compellingly:

Last Thursday, I was ‘fired’ as a labor blogger from the Huffington Post by executive business editor Peter Goodman for helping a group of union construction workers disrupt a conference of bankers. (I put fired in quotations marks because I, like the majority of people who blog for the site, was not paid for my contributions.)

Unfortunately, the HPUB site, according to its FAQ, is still ” working on a business model to pay contributors.” We wish it the best of luck.

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Self-Published Millionaire Amanda Hocking, 26 Signs Major Book Deal for “Career Stability.”

26 year old Amanda Hocking writes teen paranormal romances. So far, she’s been self-published and has sold over 1 million books

Now a big publisher is fronting her $2 million CASH for her next four books…that are already written!

Rob Vital, on his blog, explains that, although she’s made more than $2 million self-publishing, she wants to become a household name so that her readers will pick up her books because of that. In her own words, “I want to be the impulse buy that people make when they’re waiting in an airport because they know my name.”

Prolific, savvy young woman – keep your eyes peeled.

Posted in Blogs, Bookscan, Direct Sales, Merchandising, an honest living, electronic books, new platforms, self-publishing vs getting a real publisher, the interwebz, the new economy | Tagged , , , , , | Leave a comment

YouTube planning premium channels with original programming

from Geek.com

Although there are a few dominant video streaming websites on the Internet, by far and away the largest is YouTube. The problem is, paying for all that video content being streamed 24 hours a day, coupled with the copyright issues said content brings, makes it tough to generate a lot of profit or any at all.

Google has been attempting to do so for years now, with advertising noticeably increased recently on the videos you watch, either around them or in them. But Google isn’t just concentrating on advertising, it also wants original content you just can’t watch anywhere else.

The Wall Street Journal has been told that content is now a focus for YouTube, and with it is coming a major revamp to the site. Apparently we can expect to see a number of premium content channels appearing and dominating the homepage. As many as 20, in fact. Within those channels will be original programming which Google has set aside $100 million to pay for and wants up to 10 hours of content going live every week.

In other words, YouTube looks like it may become the equivalent of a TV network, funding premium TV series and possibly even movies that Google can then use to drive traffic to the site.

The change of focus for the video site would fit well with the drive to get Google TV into our homes, and the growing number of TVs being sold that are Internet-enabled. It would also means Google could up the cost of advertising during these original streams.

At the moment Google is thought to be hiring to support the new channels as well as meeting with talent agencies to gauge interest. As for when it will launch, a phased approach is expected starting near the end of this year. Of course, Google isn’t commenting on such rumors.

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Graying Audience Returns to Movies

by Alexandra Bruce

The following NY Times article is about how Hollywood’s new goal is to get the over-50 crowd back into movie theaters. I have always been baffled as to why they’d ever been banished to begin with. Do 20-somethings have anywhere near the discretionary incomes as the 50-somethings? I mean, really. What’s wrong with this picture? The justifications for Hollywood’s pedophilia were that the theaters made most of their money at the concession stands, which weight-conscious Boomers tended to avoid because of the toxic fare offered. And who can really afford Milk Duds at a 1000% mark-up or pig troughs of popcorn, priced at a Central African family’s annual food budget?

In an ailing economy, in which many have said about the publishing industry (of which the Motion Picture industry is a part) is that what works is whatever works RIGHT NOW. And right now, the long-coveted 18-34 demographic is either struggling to get accepted into a university that will accept their subpar education or to hold onto a job that is either being automated or off-shored. Boomers will be the last generation to get Social Security and they’ll be the last to be able to afford going out to the movies.

Hollywood would be wise to give this under-served audience what they want and watch their own bottom lines rise, like the work of only the most skilled of plastic surgeons…

…………………………………………………………………………………………………………………………………………

Tina Fineberg
The New York Times

LOS ANGELES — Hollywood and older Americans have never had much use for each other. The 50-plus crowd doesn’t go to opening weekends or buy popcorn; a youth-obsessed Hollywood has happily ignored them.

The movie industry is trying to get baby boomers like Marisol Clarke back into theater seats.

But in the last few months an older audience has made a startling reassertion of its multiplex power. “True Grit,” “The King’s Speech,” “The Fighter,” “Black Swan” — all movies in contention for a clutch of Oscars on Sunday — have all been surprise hits at the box office.

And they have all been powered by people for whom 3-D means wearing glasses over glasses, and “Twilight” sounds vaguely threatening.

Hollywood, slower than almost any other industry to market to baby boomers, may be getting a glimpse of its graying future. While the percentage of moviegoers in the older population remains relatively small, the actual number of older moviegoers is growing explosively — up 67 percent since 1995, according to GfK MRI, a media research firm.

And the first of the 78 million baby boomers are hitting retirement age with some leisure hours to fill and a long-dormant love affair with movies.

“There is an older audience that is growing, and it’s an underserved audience, which makes for an obvious and important opportunity,” said Nancy Utley, co-president of Fox Searchlight, whose “Black Swan” has sold over $100 million at the North American box office. If the core audience for a particular film is over 50, she noted, “that’s now a gigantic core.”

There are glimmers of a shift. Aging action stars; theaters with adult fare, like better food; reserved seating; and, most important, movies like “The Social Network” and “The King’s Speech” that have become hits based on wit and storytelling, not special effects.

Theaters have long favored younger consumers in part because older moviegoers tend to skip the concession counter, where theaters make most of their money. The imbalance between young and old grew more pronounced over the last decade as theater chains, suffering the after-effects of overbuilding, cut back on maintenance.

Sticky floors and popcorn-strewn aisles have kept even more older people at home. That, and all those texting teenagers, “which is something that adult audiences really find irritating,” said Patrick Corcoran, director of media and research for the National Association of Theater Owners.

The very young still go to the movies more than anyone else — especially on those all-important opening weekends — but distribution executives say they are getting harder to lure in huge numbers. Social networking has sped up word of mouth, turning teenagers and young adults into more discerning moviegoers — a phenomenon pushed along by rising prices. People age 18 to 24 bought an average of seven tickets per person in 2010, down from eight in 2009.

And the industry is battling a generational quirk. When you can legally stream movies on laptops or order them from video-on-demand services soon after their release — or easily pirate them with high-speed Internet connections, often while they are still in theaters — it makes you less likely to buy a ticket.

Fewer teenagers, then, present an opening. Baby boomers are not their Depression-era parents, who grew up on radio and were very conscious of the price of a ticket. Baby boomers were weaned on movies.

“Our generation really had a love affair with the movies in a profound way,” said Nicholas Kazan, a screenwriter whose credits include “Reversal of Fortune,” which was nominated for an Oscar in 1991. “It was not a fling, not a casual relationship, but a real love affair.”

For many baby boomers, the relationship blossomed in 1969, as the movies belatedly caught up with the counterculture in a wave of films that included “Easy Rider,” “Medium Cool” and “Midnight Cowboy.” College film societies and an art-house circuit made generational heroes of foreign directors like Ingmar Bergman, whose “Cries and Whispers” had its New York debut in 1972. The “Godfather” series, from Francis Ford Coppola, forged the lexicon for a generation.

But then a younger, more fantasy-oriented generation asserted itself with “Star Wars” in 1977. Hollywood adjusted its output accordingly.

“For me, the ’80s is a dead zone,” said Peter Biskind, a film historian who sees the baby boomers as having been “betrayed and abandoned” by Hollywood in the era of “E.T.,” “Sixteen Candles” and “Top Gun.”

The baby boomers were taking their children to the movies, however, helping to make megahits of films like the “Home Alone” series. Mr. Biskind, himself a baby boomer, said he believed that as the generation’s love affair with movies ended, television stepped in.

“ ‘The Sopranos’ really nailed the boomer generation,” he said. It offered 50-ish viewers all the moody action of a Coppola film without the bother of a trip to the theater.

Slowly, the movie industry is trying to get baby boomers back in seats. You can see it in the bets studios are taking on scripts. Last year, there were two movies, “RED” and “The Expendables,” that featured older actors in action roles. Helen Mirren, who is 65, was a machine gun-toting assassin in “RED,” which stands for “retired and extremely dangerous.” Sylvester Stallone, who is 64, was a mercenary in “The Expendables.” Both movies were hits.

Just last weekend, “Unknown,” with a 58-year-old Liam Neeson as its action star, was No. 1 at the box office, beating a heavily promoted teenage science fiction movie. More than half of the audience was over 50.

Almost every studio has a movie aimed at an older audience on its current schedule or in development, whether it’s “Dirty Old Men” at Warner Brothers or “Larry Crowne” at Universal Pictures. Fox Searchlight has high hopes for “The Best Exotic Marigold Hotel,” about a group a British retirees who go to India. It stars Judi Dench and Maggie Smith, who are both 76.

Movie theaters have begun to do their part. At ArcLight Cinemas you can now have a grilled ahi tuna sandwich or red pepper Gorgonzola dip.

At AMC Entertainment, the second-largest theater chain in North America after Regal Cinemas, older moviegoers are becoming “an increasingly important part of our plan,” said Stephen A. Colanero, chief marketing officer. He points to efforts to improve adult offerings even if Hollywood doesn’t provide them — Metropolitan Opera simulcasts, for instance.

AMC is also experimenting with seat-side food and cocktail service. The company now operates seven AMC Dine-In Theaters, including three new ones in New Jersey. More are planned.

Studios will continue to tailor the bulk of their releases to younger audiences, and for good reason. In 2010, North Americans ages 12 to 24 made up only 18 percent of the population, but bought 32 percent of the 1.34 billion tickets sold, according to the annual industry snapshot by the Motion Picture Association of America, released on Wednesday.

By contrast, people over 50 made up 32 percent of the population, but bought only 21 percent of the tickets. That is a slight uptick from 2009, when the over-50 audience bought 19 percent of the total tickets sold.

But the actual number of older moviegoers has grown enormously since 1995, the year before boomers started hitting the midcentury mark. Then about 26.8 million people over the age of 50 went to the movies, according to GfK MRI. That number grew to 44.9 million in 2010.

Studios used to deride older viewers as “the once-a-year audience.” They came out once a year, on Christmas Day, to see a movie. Columbia Pictures gave them “Prince of Tides” on Christmas Day in 1991.

It is an attitude, and a reality, that is shifting. “One of the most urgent issues we face as an industry is to figure out how to lure the boomers back to the movie theaters,” said Bob Pisano, president and interim chief executive of the M.P.A.A.

Nancy Perry Graham, editor of AARP The Magazine, says it’s about time. “There is a huge demand that needs to be satisfied, and we’ve been trying to make that point to Hollywood for years,” she said. “I truly believe that Hollywood is finally listening.”

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AOL to buy Huffington Post for $315M

AP – New York – Online company AOL Inc. is buying highly-trafficked website Huffington Post in a $315 million deal that represents a big bet on the future of online news. The acquisition, which will put Huffington Post co-founder Arianna Huffington in charge of all AOL content, brings AOL an additional 25 million unique visitors a day…

Founded in 2005, Huffington Post is owned by Arianna Huffington, Kenneth Lerer and a group of other investors. AOL will pay $300 million of the purchase price in cash.

Arianna Huffington will be named president and editor-in-chief of The Huffington Post Media Group, which will include all Huffington Post and AOL content, including Engadget, TechCrunch, MapQuest, Patch and more.

Since laying off a large number of staff last year, AOL has continued reorganizing its operations. The company, which separated from Time Warner in 2009, has acquired new businesses, launched and relaunched websites, and rolled out a new Web advertising system. AOL CEO Tim Armstrong said last week he sees 2011 as a “comeback year” for the Internet company as it continues its turnaround efforts and starts expanding its ad business in the second half of the year.

The company’s fourth-quarter results show it is still struggling to boost ad sales. AOL had just a 5.3 percent share of the U.S. display advertising revenue in 2010, down from 6.8 percent in 2009, according to eMarketer. Facebook, meanwhile, accounted for 13.6 percent of display revenue last year, up from 7.3 percent in 2009.

Huffington Post grew quickly from startup to online colossus and ranks as one of the top 10 current events and global news sites. Over time, it launched city-specific pages and developed a roster of sections such as food and books. The work of its 70-person paid staff is augmented by content from news outlets and 6,000 bloggers who write for free.

The deal is expected to close late in the first quarter or early in the second quarter, pending regulatory approvals.

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