RUMOR MILL
Wednesday, October 4, 2000
SONY BROADBAND
BEARS BROAD BANK
Doling Out Actual Cash For Digital Ventures
Sony Broadband Entertainment (SBE), the U.S. holding company for Sony's entertainment assets, has formed a technology investment offshoot called 550 Digital Media Ventures. Through 550 Digital, the company will invest millions into digital technology companies including Spinner.com Internet radio and Mongo Music, an Internet music technology developer. The company will initially focus its investments on approximately 35 companies dealing with digital technologies including broadband service, wireless and personal broadcasting and e-commerce technologies, managing an investment portfolio for the network of companies with Sony resources and facilities. Though they may blow the cash on Razor scooters.
Fred Ehrlich, President of Sony Music Entertainment's New Technology and Business Development division, has been named as 550 Digital's CEO. He said, "We have a great slate of companies currently assembled in 550 Digital Media Ventures, and with the depth and breadth of Sony's vast resources at hand, we will be able to offer them the tools they need to accelerate their growth. Plus, the keys to the Sony Playstation Playroom. That was pretty much the selling point."
