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Could the future of iTunes be digital software downloads?

One thing that struck me during Steve Jobs' keynote yesterday was this odd moment when Jobs was trying to rationalize many of the reasons MacBook Air owners would be happy not having an optical drive in their laptop. He was going down a list of things we need optical media for and replacing them one by one with various Apple creations. Apple's perceived solution for not having a drive would be to buy all your media through iTunes and play it on your iPod, delegate the task of reading discs to another computer in your house, or simplify things with a new and proprietary $99 external drive. Sounds simple, right?

It's commonly been referred to as the "Steve Jobs reality distortion field" and there hasn't really been a clearer example of it since Apple launched the "simpler" version of its one-button mouse that actually had five. In this case, it's the importance of optical media and the role it still plays in our lives. While I applaud Jobs and Apple trying to get rid of what's admittedly become a weak and cumbersome format, I'm a little disappointed that Apple hasn't decided to offer a real solution to the problem they're creating for novice computer users and road warriors who want to avoid optical media altogether--at least not yet.

What I'm getting at is that Apple's in the perfect position to start offering digital software downloads to the masses, and tie it into a software system that millions of people are comfortable with giving their credit card information to on a daily basis. I'm speaking of course, about iTunes.

Apple's got all the pieces in place to start offering people computer software the same way Valve's been doing with video games with its hugely successful Steam service for the last six years. I love Steam for many reasons, but primarily for its built-in updating tools and easy-to-navigate digital storefront that make it easy to buy software with one click and not have to worry about it again. If I could get the same performance from an app that's admittedly become a little bloated but already has a decent updating system, I'd be happy as a pig in mud.

Two things stick out in my mind as being good signs such a service is in the works via iTunes:

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Conde Nast's Flip.com gets an extreme makeover

It may be too soon to say Flip.com has completely flopped, but Conde Nast has indeed flipped its strategy.

The teenage girl-centric site, which the company's CondeNet Web unit launched last February, has been morphed from a standalone social network to a set of distributed Web applications designed for existing social networks' developer platforms. It'll first go live on the Facebook Platform, according to Conde Nast.

In essence, the magazine-publishing giant realized that capitalizing on the popularity of existing social networks was probably a better strategy than trying to create its own.

The original Flip was centered … Read more

XStreamHD beams 1080p HD video and DTS-HD Master Audio into your living room

Anytime the format war between HD DVD and Blu-ray is discussed on the Internet, there's always a commenter that chimes in to say that digital downloads are going to beat them both. While we've seen some successful products using the digital distribution model, such as Vudu, we've always been skeptical about true high-def digital distribution taking off in the near future, mostly because high-bandwidth Internet access just isn't cheap enough.

Instead of waiting for cheap, super-fast internet connections, XStreamHD is looking to an older technology to provide the extra bandwidth--a satellite dish. The XStreamHD system consists … Read more

Studios still searching for best way to do video online

LAS VEGAS--Studios know how to make money in the traditional way--in the theater, via broadcast television. But the Internet still has them slightly flummoxed.

True, most of the major film and television studios are embracing the Web. But the exact formula for distributing their content while still making money remains somewhat up in the air.

Here at CES during a panel sponsored by Hollywood trade pub Variety, the heads of digitial distribution for Disney/ABC, Fox, Paramount Pictures, and Warner Bros. discussed what is and isn't working for them.

All present were adamant that there is no one good … Read more

Radiohead on its In Rainbows distribution: "It's the only obvious thing to do"

Ask Thom Yorke, lead singer of Radiohead, whether the band's foray into a "pay what you want" model for music was successful and he'll tell you, as he told David Byne (Talking Heads) in this Wired interview:

In terms of digital income, we've made more money out of this record than out of all the other Radiohead albums put together, forever--in terms of anything on the Net. And that's nuts. It's partly due to the fact that EMI wasn't giving us any money for digital sales. All the contracts signed in a certain era have none of that stuff.

Sounds great, except that he's comparing "more money" to "zero money." Apparently the music companies don't pay new bands (or old?) squat for digital sales (read: iTunes) of their music. I can't fathom why. I suppose because they don't have to.

But where the interview becomes useful and interesting is when Yorke talks through the relevance of this new model for new bands. Teaser: it's not.… Read more

Will 'Purple Violets' mark the decline of movie theaters?

Edward Burns' latest film, Purple Violets, won't be coming to a theater near you, but you won't have to go far to see it. The movie is available to anyone with $13 and an account at iTunes. It is the first time a feature film has premiered at the Apple media store.

Burns first landed on the scene in Hollywood with his highly successful 1995 film The Brothers McMullen. He wrote, directed, produced and starred while managing to spend less than $30,000 putting together the vehicle that would pave the way for his role acting in Saving Private Ryan.

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SezWho rolls out widgets, sticky metrics

Yesterday we were all aflutter over Disqus (review) and Intense Debate (review)--two companies offering similar products for replacing an existing blog comment system, and one is centered around universal profiles and comment tracking. Today we're taking a look at SezWho, a comment enhancement service that's been around since June (we briefly wrote about them last month), and has since been integrated into more than 300 sites.

Instead of replacing your current system, SezWho layers on a reputation and rating system to your comments. Registered users can vote on the usefulness of other people's comments, and that … Read more

Radiohead: music for nothing

Now here's an innovation: "music on demand," in the truest sense of the meaning. Radiohead, the juggernauts of intelligentsia rock, announced that they will give away their new album "In Rainbows" as a download for whatever price consumers are willing to pay. The band is free to sell the new album directly from the official website because it is no longer tied to a record label. So far, the album is only available to pre-order, but it can be downloaded when released on October 10.

It's not the first time that an artist or … Read more

Joost partners with Creative Arts Agency

Joost has announced another partnership--but this one's a little different than the seemingly endless announcements of niche TV deals that the much-hyped Web video start-up has been rolling out over the past few months. This time, Joost will be partnering with the Creative Artists Agency (CAA), a talent and literary agency with offices in Los Angeles, New York, Nashville, and several international locations. Through this deal, the CAA--which represents industries from TV to theater to video games to sports--will help Joost secure more content for distribution.

In other words, it's a partnership that will optimally lead to more … Read more

Early EA system shows need for speed

Earlier today, I wrote about the launch of EA Link, Electronic Arts' new digital distribution system for video games. The new service will allow gamers to buy and download to their PCs popular games like "The Sims 2" and "Need for Speed: Carbon."

But now word comes that in its earliest moments, the service is having some serious troubles. "EA Link thus far is a complete disaster," wrote a CNET News.com reader in an e-mail Friday. "I pre-ordered 'Need for Speed: Carbon'...The server was deader than a doornail...Since then, I … Read more