Microsoft rejects blame for video iPod virus

Microsoft isn't about to take the blame for the fact that a portion of new video iPods have been infected with a Windows virus. Apple said on Monday that 1 percent of its video iPods shipped available for purchase after September 12 were infected with the RavMonE.exe. In making the announcement and recommending ways to remove the virus, Apple stated, "We are upset at Windows for not being more hardy against such viruses." Microsoft security staffers have shot back, saying the batch of factory-infected iPods reveals a troubling lack of thoroughness in the company's manufacturing process. In a blog post, Jonathan Poon, who oversees scans of Microsoft products for viruses before they ship, wrote, "It's not a matter of which platform the virus originated [on]. The fact that it's found on the portable player means that there's an issue with how the quality checks, specifically the content check, was done," Poon wrote in a blog entry. "Steve [Jobs], if you need someone to advise you on how to improve your quality checks, feel free to contact me."

eMusic surpasses 20K subscribers in Europe

Digital music subscription service eMusic said this week that its European version has signed up more than 20,000 subscribers and served more than 2 million downloads since its beta launch on August 10 and official launch September 12. The service, which boasts a catalog of 1.7 million tracks from 8,500 mostly independent labels and artists, now claims to be the number-two digital music service in Europe. eMusic offers 40 downloads a month for $10, selling music in MP3 format that doesn't restrict what the user can do with it once purchased. "European music lovers searching for a digital music service that truly helps them discover new music and doesn't handicap them with DRM have finally found a home," eMusic CEO David Pakman said in a statement. "Selling 2 million tracks in Europe in two months speaks volumes about the unmet demand for universally compatible and well-priced digital music services in Europe."

Logitech buys Slim Devices

Logitech said this week that it has purchased Slim Devices, a maker of music devices for the home, for $20 million in cash. Slim Devices is best known for the Squeezebox, a device that uses Wi-Fi connections to deliver PC-based music and Internet radio through the home. "Millions of people around the world, in all walks of life, are using their PC or Mac to store their music collection--and those with broadband Internet connections are enjoying the wealth of Internet-radio content and other services," Logitech's Junien Labrousse said in a statement. "Logitech sees significant potential for network-based digital music systems that can enhance the listening experience with high-quality audio, flexibility, choice, and control."

MySpace video rising fast

While video-sharing giant YouTube has dominated the headlines in recent weeks with its major record label licensing deals and its $1.65 billion acquisition by Google, MySpace has been the one serving up the majority of the video, according to Media Metrix, which tracked the US video streaming sites. Media Metrix reported that MySpace served up 1.4 billion streams or 20.1 percent of all Web-based streamed video in August, towering over the 688 million streams--or 9.9 percent--served up by YouTube in that same period. Even Yahoo ranked ahead of YouTube, serving up 823 million or 11.8 percent of all video streams.

In related news, Ben Folds will perform the first live MySpace webcast next week to promote the release of his new album on October 24. The performance will be streamed from Folds' MySpace page, and the artist will be taking requests via MySpace's instant messenger feature. Folds will also interact and chat live with fans this evening within the online world Second Life, as well as play songs off the new album. The chat and listening party will take place within Sony BMG's new city space on Media Island in Second Life, where fans will also be able to access streaming music and videos, as well as purchase "virtual merchandise" like T-shirts, hats, and posters.

Finally, German media giant Bertelsmann is reportedly developing plans to build an entertainment-driven social networking Web site to compete with MySpace

Crackspace set to launch November 1

Crackspace, a new social networking site for the hip-hop set, said this week that it plans to launch November 1 with a series of content promotions from major label artists. The site said that it will stream previously unreleased songs, remixes, and videos from artists such as Ludacris, T.I., Diddy, Akon, Ghostface, Lloyd Banks, Hi-Tek, Jim Jones, and Foxy Brown. The site looks to mirror MySpace, allowing users to create their own pages and upload both audio and video. The site, also called Hip-Hop Crack, was created by Chuck Wilson, founder of Babygrande Records and a screenwriter on the movie Soul Plane.

"The market need for a technologically advanced urban website could not be more urgent," Wilson said in a statement. "MySpace is great but it doesn't even come close to fully satisfying the hip-hop generation." Wilson said he has enlisted TAG Strategic, the consulting firm of former EMI digital distribution exec Ted Cohen, to advise the site after its launch.