R!OT and Liberty Livewire LLC's Interactive Services Group, both units of Liberty Media Group, have launched a joint venture aimed at developing interactive television applications. Under the plan, R!OT will link its broadcast post-production services with the Interactive Services Group's Web authoring, data management and e-commerce services. As part of the new venture, Liberty Livewire's Interactive Services Group has relocated its creative staff to the R!OT campus in Santa Monica.

Toonz Animation India has acquired Toonsense Studios in Mumbai, India. Focusing on the creation of traditional animation for the advertising community Toonsense Animation Studios has created animation for dozens of diverse television commercials, combining traditional animation with live-action and computer graphics. Toonsense founders Suhael Merchant and Shrirang Sathaye will remain with the company.

After a four-year organizing drive, the membership of the Motion Picture Screen Cartoonists, Local 839 IATSE (M.P.S.C. Local 839) has unanimously ratified a collective bargaining agreement with BKN Studios, Inc. (BKN). "The BKN contract marks the successful end of one of the longest organizing drives in the union's history," business representative Steve Hulett said after the vote at the local's membership meeting on November 27, 2001. M.P.S.C.

An AP Newswire brief stated that Sega Corp. has reported a $169 million loss for the first fiscal half, largely because the declining value of its investments more than offset the improvement in its video-game business. Sega, which earlier in 2001 abandoned production of its Dreamcast game system, has also announced another reduction in price for the discontinued console. The Dreamcast system, which originally retailed for $199, will now be available for $49.99. Sega hopes the drastically reduced price will move the remaining 270,000 units out of stores by the end of the holiday season.

Three games from the Walt Disney Internet Group are now available to users of the Sprint PCS Wireless Web including a game based on the current Disney/Pixar blockbuster film Monsters, Inc. and a game based on Disney's animated film Atlantis: The Lost Empire.

Scandal-plagued children's television producer Cinar Corp. has laid off staff and appointed new auditors in an attempt to restructure its entertainment and corporate divisions. Under the restructuring, Cinar's Montreal staff has been reduced from 164 to 110. While most of the layoffs were corporate positions, 22 employees were cut in Cinar's studios and animation department. The restructuring is the latest of several administrative steps taken during the past 20 months by Cinar's current management to put the company on solid footing once again.

SIMPSONS producer Film Roman, Inc. announced a revenue decrease of 26%, or $1.3 million, to $3.7 million for the quarter ended September 30, 2001. This number is down from $5.0 million for the previous year at this time. Total revenue decreased primarily because the company delivered fewer prime time fee-for-services episodes offset by more Saturday morning fee-for-services episodes.

In an aggressive attempt to discredit Nickelodeon, the Writers Guild of America, west (WGAw) has launched an advertising campaign requesting Nickelodeon Animation Studios adhere to the standards of the International Council of Toy Industries (ICTI) Code of Business Practices or the Fair Labor Association (FLA) Workplace Code of Conduct. The request is in reference to the licensing and manufacturing of toys and other merchandise based on two Nickelodeon animated characters SPONGEBOB SQUAREPANTS and JIMMY NEUTRON: BOY GENIUS.

TV-Loonland AG has its eyes set on 29.9 percent of the British DVD and video distributor Metrodome Group plc., London. If the green light is given at a general meeting on November 29, 2001, TV-Loonland will buy 4,184,250 new shares from Metrodome at a price of 17 pence (approximately US$.25) per share as part of a capital increase. At the same time TV-Loonland is prepared to extend a £1.5M ($2.18M) loan to Metrodome for the purpose of buying new film and DVD/video rights.

In further developments of the MTV restructuring that has so far resulted in layoffs and the closing of MTV Animation production, Abby Terkuhle is no longer president of MTV Animation. However, according to an MTV spokesperson, Terkuhle will continue his relationship with the company, although the nature of this relationship could not be discussed at press time. Sources suggest that Terkuhle will have a first look producing deal or some similar arrangement.