Barry Willis

Middelhoff Departs Bertelsmann

Late July was a volatile period for the music industry. On the 29th, Bertelsmann CEO Thomas Middelhoff announced his resignation. The "young lion" who ushered the German media conglomerate into the Internet age—and into an ill-advised $100 million investment in now-forgotten Napster—apparently had a very different vision for the future of the company than does the Mohn family, which controls 75% of Bertelsmann stock. "Shareholders had mid- and long-term development prospects that were different from mine," Middelhoff told reporters. "In this context, I had no choice but to resign." Bertelsmann is parent company of BMG, the music giant.

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Hi-Rez Resources

Many audiophiles eager to try their new high-resolution disc players have been disappointed to discover skimpy offerings of Super Audio CDs and DVD-A recordings at their local music marts. Fortunately, several online sources stock such discs, and are constantly updating their inventories.

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Digital Copyright War Escalates

The war over digital copyright protection intensified in late July, when the <A HREF="http://www.aclu.org">American Civil Liberties Union</A> launched a legal attack against the Digital Millennium Copyright Act. Almost simultaneously, a congressman from Southern California introduced a bill that would give copyright holders the right to hack computers owned by suspected copyright violators.

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