Kazaa And Skype Not Enough: Founders Now Looking At Online TV Distribution

from the so-they-say dept

Apparently the billions of dollars Niklas Zennstrom and Janus Friis picked up when eBay overpaid for Skype isn't enough. Business Week reports that the two are working on a new project that has to do with video sharing for television programming. The two are supposedly still working at Skype. Zennstrom is just contributing money and advice, with Friis spending 20% of his time on the new effort -- which is supposedly trying to partner with just about every TV network they can talk to. Of course, it's worth remembering that the music industry would still like to put the two of these guys in jail for Kazaa -- which has kept them out of the US, despite the eBay buyout. They also face charges from rival Streamcast that Skype actually uses Kazaa code, which Zennstrom (so the lawsuit charges) promised Streamcast it could buy. In other words, despite the success of Skype, there may be some legal baggage associated with any new company they're involved in -- especially for those in the entertainment industry. Also, of course, the video streaming and distribution market is already incredibly crowded -- with players from YouTube to BitTorrent already having plenty of users and name recognition. While it's true that neither Kazaa nor Skype were first to market in their spaces, neither market was nearly as crowded as the online video market is already today.

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  1. identicon
    Rajesh, 24 Jul 2006 @ 6:51am

    No FW

    BitTorrent is illegal? Hmm, no. Its a way to distribute large files and there's nothing illegal about that. And the company has deals with studios to distribute files (that are large) so the studios seemingly have no problem with BitTorrent technology. The only difference is probably that YouTube is centralized and BitTorrent is decentralized and the final destination of any media is a desktop rather than a Flash app on the web. Other than that, both are onliny media distribution mechanisms so the comparison is apt. As an aside, there's probably as much copyright violation happening with YouTube as on BitTorrent.

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