SIX MORE WEEKS OF WINTER
VS. FIVE TECH ITEMS
BECAUSE NOBODY EXPECTED THE SPANISH INQUISITION…
TerraLycos CEO Bob Davis has stepped down from his post. The move comes four months after Davis' Lycos web network joined forces with Spain's Terra Networks in an attempted to create a global Internet empire. While Davis has accepted a quieter position as vice-chairman, he announced his joining of onetime Lycos investor venture capital firm Highland Capital Partners. Reports had been circulating that the flamboyant Davis clashed with the more subdued personalities in TerraLycos' Barcelona headquarters, although insiders blame Davis' habit of constantly playing Englebert Humperdinck's rendition of "Spanish Eyes" as the breaking point.
MOVER OVER, KENNY KINGSTON
When is a loss a gain? When it's lower than predicted. Ticketmaster has announced its fourth quarter losses were lower than estimated. For the period ending December 31, revenues increased 53% to $55.7 million, up from $36.4 million for the year ago quarter. The company posted a loss of $4.7 million, down from a loss of $13.4 million in 1999. While the ticketer's stock dropped $.09 per share, the loss beat the outcome of a First Call/Thomson Financial poll, which predicted 4Qlosses at $12 per share. Formerly known as Ticketmaster Online-CitySearch, the company plans to buy its holdings from USA Networks for $650 million in stock… or a USA Network biopic starring Perry King and Tori Spelling.
CD WAREHOUSE DISCHORD
Music retailer CD Warehouse has shuttered nine locations. The closures will affect locations in California, Colorado, Florida and Oklahoma and will result in a one-time charge of $450,000 in the fourth quarter. Last September, the company shut down its e-commerce site in a play for profitability. CD Warehouse operates stores in 37 states, as well as the District of Columbia, England, France, Guatemala, Canada and Venezuela, under CD Warehouse, Disc Go Round, CD Exchange and Music Trader. It recently reported a 4Q loss of $6.8 million. Rumors declining sales were blamed on the voodoo doll of a lovely, youthful, vibrant hitsdailydouble.com staffer who felt slighted when a Music Trader employee asked if her punk-rock purchases were for her teenage son were unfounded.
GIVE LUXEMBOURG SOME
Luxembourg-based broadcaster RTL had made a $12 million bid for Bertelsmann Broadband, the online commerce division of Bertelsmann AG. RTL plans to utilize Bertelsmann Broadband to enhance interactive sales with its German pay-TV division as well as through RTL New Media. Said RTL spokesperson Markus Payer: "We see our core competency as interactive content, while Bertelsmann is good at the retailing of media products." The company plans to approach hunky "Baywatch" star David Hasslehoff… not as a spokesperson, just to approach him.
BLUE IN THE FACE
Vitaminic has entered into an affiliate relationship with Universal Music Group to offer UMG's bluematter digital downloads. The service will soon make tracks from UMG artists, including blink 182, Marvin Gaye, Shania Twain, Smash Mouth, Steely Dan and 98 Degrees, available for digital distribution. In addition, bluematter songs can format can include enhanced content, including photos, bios, lyrics and credits. Vitaminic recently struck deals with BMG and Sony, who thought they were actually entering into an illicit tryst with pop chanteuse Vitamin C.
