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Skype Founders Launch Joost
Janus Friis and Niklas Zennström, the founders of Skype and Kazaa, have named their new online-video start-up ‘Joost’.
Joost will provide studios, cable stations and anyone wanting to distribute high-quality video over the Internet, with a fast, efficient and cost-effective method of distribution. It will use the peer-to-peer technology employed by Skype and Kazaa - Friis and Zennstrom’s earlier successes.
Joost will face fierce competition from YouTube and Apple, which are already establishing themselves as video-distribution platforms. Joost has yet to secure any marquee partnerships with top film or TV producers, which might make it difficult for the company to secure content.
Additional competition will come from BitTorrent, the distributor of a competing peer-to-peer company which also licenses technology to Internet video companies. There are also an increasing number of sites, such as TVU Networks, which offer cable and movie channels without permission.
Joost’s advantage is that its software replicates the TV-viewing experience better than many of its competitors’ services. Users can switch channels just by clicking on a menu and also have control of the content and access to any show offered at any time of the day. They can also move forwards or backwards within a show.
Joost’s revenues will come from advertising, with a focus on Internet ads that mimic TV commercials.
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