Category: Business

U.S. District Judge Thomas Penfield Jackson, who ordered the split of Microsoft into two firms, has asked the Supreme Court to hear the software giants appeal case directly. By using the obscure Antitrust Expediting Act, Judge Jackson has put the Microsoft matter on a fast track to the top court, therefore avoiding multiple appeals if Microsoft would lose again in a lower appeals court. Jackson has also postponed business restrictions against the software company until the appeal is heard.

Microsoft Corp. announced it acquired Chicago-based Bungie Software Products Corp., a leading developer of action oriented computer and video games. As a result, Microsoft gains exclusive publishing and distribution rights to select Bungie-developed titles, including the highly anticipated HALO. Bungie's development staff will become an independent studio within the Microsoft Game Division. Microsoft expects the Bungie team to play a key role in the development of content for Microsofts X-Box console.

SteeleVFX, Inc. has relocated its visual effects studio to Santa Monica. The new facility includes: a Java-enabled Henry Infinity suite (with Masher and Chaser planned); a Mac Graphics Suite featuring After Effects, Photoshop, Illustrator, and Lightwave 3D; a Sony 2000 D1; a Sony A-500 DBC; Beta SP; 60 Sec. DDR; dubbing facilities; a Tascam DAT; and D2, PAL DBC and FTP file transfer services. SteeleVFX was founded in 1996 by Jo Steele and visual effects artist Jerry Steele and specializes in non-linear on-line editing and visual effects compositing.

Sony Pictures Entertainment (SPE) announced it has acquired the on-line game company Verant Interactive, Inc. and named digital gaming executive Kelly Flock as president and CEO of Sony On-line Entertainment (SOE). Verant will be blended into SOE, which will base its operations in San Diego, California. The new arm of Sony has been responsible for operating the popular on-line games EVERQUEST, TANARUS and SOVEREIGN. Verant President John Smedley will become SOEs executive vice president and chief operating officer.

Nintendo of America Inc. has filed an infringement complaint against SongBoy.Com, a minority-owned company that has developed a digital multimedia player plug-in module that transforms the Nintendo Gameboy player into a CD-like music player. SongBoy.Com offered Nintendo a deal to become a licensee but was denied. SongBoy.Com claims that Nintendo's lawsuit is not valid and is a harassment measure. "Our legal team has taken great measures to ensure that we have in no way violated the Nintendo patent and trademark.

Cinar's insurance company, Liberty Mutual, has hired private investigators to look into the allegations of fraud against the children's television producer. Liberty may have to pay out millions if the board of Cinar is found liable. The insurance company's law firm Gasco Lelarge hired two former Montreal police detectives, Alain Pirrol and Andre Boudreau, to head up the investigation. Pirrol and Boudreau run the Montreal-based investigation agency Quali-T Investigation.

Thirteen of the largest computer and video game producers have filed suit against six game pirates who have been selling bootleg titles over the Net. The suit claims that James Cabot of Brook Park, Ohio; C. Graves of Raleigh, North Carolina; Tim Knoblich of Daytona Beach, Florida; Travis Lallman of Burley, Idaho; Derek Rufo of Vancouver, British Columbia; and Carol Scott of Columbia, South Carolina allegedly copied games, advertised them on six separate Web sites and sold them via mail.

Speaking at an investors conference in London, Viacom president and COO, Mel Karmazin, emphasized to attendees that if UPN doesnt begin to make a profit it would either be shut down or sold off. Karmazin said Viacom expects UPN to meet the performance criteria set for all its operating divisions. The total losses for the five-year old network have risen to nearly $800 million. "UPN will become profitable, or it wont exist," Karmazin said.

BKN International, a childrens animated series production, distribution and marketing company, announced their acquisition of France-based Arles Animation. Arles has worked on series such as WACKY WORLD OF TEX AVERY, SABRINA and SONIC UNDERGROUND. Arles credits itself as being the only studio in France with experience in managing and executing a two-episode per week schedule. The French firm has created work for DIC, TF1, Canal +, RTL and La Cinquieme.

On Wednesday, June 7, 2000, U.S. District Court Judge Thomas Penfield Jackson ordered that the worlds largest software company, Microsoft, be split into two separate companies. The ruling came as no surprise as the current conclusion to this phase of the antitrust case brought against the mega-firm. Quickly after the decision was handed down Microsoft pledged it would appeal the ruling all the way to the Supreme Court.

Amidst the resignation of their three-month term CFO, Cinar Corp. announced it would regain CA$10 million more of the $122 million that was invested without the company boards approval. Cinar expects to receive the $10 million from Nassau, Bahamas-based Globe-X Management Ltd. after the investment matured May 31, 2000. Cinar said Globe-X required five business days from May 31 to "process transactions for administrative purposes" and that Cinar expected to receive the $10 million within that time.

Vancouver-based EnterCor Entertainment Corp. has signed a deal with Johannesburg-based TV and film conglomerate, Sasani Limited. As part of the deal, EnterCor will represent Sasani in North America. EnterCor COO Ed Richardson said, "I think North Americans will be astounded to see the level of sophistication of the Sasani Group and the extent of their world-class facilities.