MusicNet gave its technology platform to its distribution partners on Thursday, moving a step closer to offering the first music industry-endorsed alternative to Napster.
Analysts believe that new commercial services like MusicNet face several hurdles, not the least of which is convincing users to pay a fee after getting music for free on Napster and copycat services for years.
"Free and unlimited is a difficult thing to compete with; however, I think we are offering things that consumers will like," said Richard Wolpert, MusicNet's strategic adviser.
At launch, subscribers will be able to choose from about 100,000 tracks, company officials say.
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Delisting rule changed: Reacting to the instability caused by the Sept. 11 attacks, the Nasdaq has suspended its rules to allow companies with share prices of less than $1 to remain on the No. 2 U.S. exchange.
The move, which was expected, was approved by Nasdaq's board on Wednesday. It suspends the $1 requirement until Jan. 2, exchange officials said.
The board will decide later whether to make the change permanent.
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The vulture is circling: AT&T is contemplating bidding for certain assets of ExciteAtHome if the troubled Internet access and content provider ultimately files for bankruptcy protection.
AT&T (T) is particularly interested in assets that help ExciteAtHome (ATHM) deliver broadband Internet access to cable providers, sources said.
The nature of the bid is still undetermined and will likely remain so until ExciteAtHome determines whether it intends to file for bankruptcy.
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Hitachi restructures: Hitachi said it would split off its consumer electronics and industrial component divisions into separate units next April in a bid to boost efficiency.
The latest reshuffle at the sprawling industrial giant is aimed at speeding up decision making and bringing the divisions closer to customers, Hitachi (HIT) executives said.
"In the last two or three years we've been able to generate a stable profit, but this still isn't enough," said Kunio Sebata, chief executive of Hitachi's consumer products group, who pointed to low profit margins and growth rates in his division.
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Expanding its power: Reliant Resources confirmed it would acquire Orion Power Holdings for about $2.9 billion in cash to expand its presence in the fast-growing U.S. independent power production industry.
Reliant (RRI) said it would pay $26.80 per share for Orion, about a 40 percent premium based on Orion's closing price of $19.20 on the New York Stock Exchange.
The acquisition would significantly bolster Reliant's production capacity. Orion's generation capacity is concentrated mainly in New York, Ohio and Pennsylvania.
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This author means business: Lou Dobbs, the strong-willed anchor and managing editor of CNN's Moneyline, will write a book about his experiences.
Doubleday said Wednesday that it will publish the book, as yet untitled, under its Currency imprint sometime in 2002.
"The economy, the financial markets and the face of business journalism itself are being transformed," Dobbs said. "I am hoping that, by sharing the stories of many of the extraordinary people I have come to know, both on camera and behind the scenes, this book will bring to life this period of unprecedented change."
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Briefly told: Microsoft (MSFT) is investing $30 million over the next 12 months to woo advertisers to its MSN portal around the world.... European Union regulators gave antitrust clearance Thursday to a joint venture between LM Ericsson (ERICY) and Sony (SNE).... Sony Bank online banking services failed because of system glitches.
AP and Reuters contributed to this report
