Supreme Court hearing landmark copyright case
The future of copyright infringement law will be decided soon, starting this morning. In MGM Studios v. Grokster, the Supreme Court will hear arguments to determine whether file-swapping software companies Grokster and StreamCast Networks should be held responsible for how their customers use their products, namely to illegally copy and share digital materials. The issue in front of the Supreme Court is whether content holders can sue peer-to-peer distributors for copyright violations of their users. Hollywood studios and record labels say the two companies have built their businesses by encouraging people to use their software to trade files illegally online. Grokster and StreamCast claim they merely provide the services and aren't there to play referee. For the first time in 20 years, the high court is revisiting the landmark decision that found the Sony Betamax VCR was legal to sell, though it could make copies of television shows.

And in that case, Cuban will foot Grokster's bill
In the continuing battle of Grokster versus MGM, the peer-to-peer company has found a financially formidable ally in web-made billionaire Mark Cuban. The HD.net and Broadcast.com co-founder is putting his considerable monetary muscle behind Grokster’s defense just as the Supreme Court begins to hear arguments on the legality of peer-to-peer internet file-sharing services today. Cuban will fund the defense in the case. A loss for Grokster would make technological innovations impossible for smaller companies, Cuban wrote on his blog, because they will be unable to protect themselves against lawsuits that might result from the perceived threat that their new technology might hold against the entertainment business. "If Grokster loses, technological innovation might not die, but it will have such a significant price tag associated with it,” Cuban writes. “It’s about our ability to use future innovations to compete vs. their ability to use the courts to shut down our ability to compete. It’s that simple.”

Study: Online local radio ads so very hot, hot, hot
Local advertisers are flocking to radio web sites and they’re flocking en masse. Local ad spending increased 94 percent from 2003 to 2004, according to a study by Virginia-based research firm Borrell Associates. Radio stations' sites grew ad revenue from $17 million to almost $33 million. That’s sweet music to the ears of folks at Clear Channel Communications and Infinity Broadcasting, who are taking the lead in streaming audio content through their radio station web sites. The study shows that not only is there money to be made through local advertising, there’s room for growth as well. Individual stations generated anywhere from $500,000 to $1.5 million from their web site operations last year, the report found. The dramatic growth rate of online radio ad spending can be partially attributed to its humble beginnings. In comparison, newspapers generated $1.3 billion in revenues, making up 48 percent of local online ad spending in 2004. Likewise, local TV stations’ total online ad revenues grew by 40 percent over 2003, with $105 million last year. The trend is expected to continue in 2005, with Borrell estimating a 46 percent growth in local web site ad spending.

Should web date sites reveal Romeo's rap sheet?
Any extra protection from stalkers and rapists is always a plus. That unassailable logic has sparked the Michigan Senate to consider a bill that would force online dating sites to say whether criminal background checks have been conducted on their members. The Senate says that as online dating becomes more popular, its residents need better protection from predators. Twenty-six million people visited dating sites in January, according to Nielsen//NetRatings. A Senate panel is divided on the issue and voted 4-3 to ship the bill to the full chamber. Matchmaking site True.com is the only online dating service that performs criminal screening. Similar legislation has been proposed in five other states: California, Ohio, Virginia, Florida and Texas.