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Kazaa Settles for $100M+ and Goes ‘Legit’
Categories: BigMedia v P2P Providers • Settlements
After many years of legal battles both in North America and Australia, Sharman Networks, the owners of the popular Kazaa peer-to-peer file sharing network, (owned by the founders of Skype) have settled with the international record labels (Universal, Sony BMG, EMI and Warner Music) for in excess of $100 million U.S. Sharman will distribute music through licensing arrangements and has agreed to filter out non-licensed content. Sharman had lost an important decision in the Federal Court of Australia in September 2005, but on February 20, 2006 had said they were going to appeal that decision. Under the settlement agreement, major record companies will be entitled to 20% of proceeds of eventual music sales through the system.
Sources: New York Times | L.A. Times | ARIA Press Release | Red Herring | ars technica | BBC | Daily Telegraph (Aus) | Herald Sun (Aus) | Slyck | SiliconValley.com | Xinhaunet (China) | San Jose Mercury News | Toronto Star | Seattle Times (AP) | VNUNet | Washington Times | CNet | ZDNet | PC World (Aus) | USA Today | Bloomberg
- RIAA P2P Defendant Brings Class Action Suit Against Kazaa Creator Sharman Networks (December 12, 2006)
- P2P Download Defendant Argues Kazaa Settlement Covers Him (Greubel) (November 20, 2006)
- Kazaa Settles for $100M+ and Goes 'Legit' (July 27, 2006)
- Kazaa, Record Company Lawyers Ready for Australian Appeal (February 20, 2006)
- Australian High Court Rules Against Kazaa (September 5, 2005)
- iMesh Raises BearShare from the Dead and Takes it 'Legit' (August 23, 2006)
- Kazaa Settles for $100+ and Goes 'Legit' (July 27, 2006)
- Warner Bros. and BitTorrent Partner to Download Movies (May 9, 2006)
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