U.S. Album Sales Fell 9.5% in 2007 [NYT]
While CDs, cassettes, and LPs continue to decline in sales, digital tracks surged 45% in 2007, and digital albums reached 10% of total album sales, according to Nielsen SoundScan. Mobile phone owners bought 220 million ringtones for the year, the firm said.
Related: Sony BMG Plans to Drop DRM [BusinessWeek]
2008: The Year of Multimedia Handsets? [Silicon.com via BusinessWeek]
In 2008, mobile carriers will duke it out with Apple and Google for control of revenue from handsets offering the web, e-mail, music, etc. Stay tuned…
Sundance Taps ChaCha for Human-Powered Mobile Search [MediaPost]
ChaCha unveils its new mobile text search service at the upcoming Sundance Film Festival, where moviegoers will be able to message a shortcode for real-time info on Park City events, restaurants, even sold-out showings. The search engine will also send users text alerts on the most popular films, as well as weather updates and trivia.
Related: A New Twist on Mobile Search: Human Guides [NYT]
Practicing the Subtle Sell of Placing Products on Webisodes [NYT]
American Eagle Outfitters is increasingly relying on sponsored webisodes (staring NBC “Heroes” star Milo Ventimiglia) and an online music and video channel on its website, entitled 77e, to attract its 15-25-year-old target demographic. “We thought more could be done than just another 30-second spot on television,” said Kathy Savitt, chief marketing officer at American Eagle.
Burgeoning Online Ad Spend Will Pass TV Next Year in 2 European Countries [Independent]
Online advertising revenue will surpass that on television in Sweden this year, and in the U.K. by 2009, according to WPP.
Games Ring Up Mega Bucks [Baltimore Sun]
New mobile games based on hit TV shows like “Desperate Housewives,” “Top Chef”, and “Heroes” are bringing instant relief to cash-starved networks, which can rake in anything from $5-20 million just for the game, not the mention the brand publicity. No wonder the mobile-game industry has grown into a $675 million-a-year industry, up 24% since 2006.
Sony Confirms Skype Coming to PSP [RegHardware]
Sony and Skype hookup to give European PSP gamers new video chat and IM options.
Samsung, Reactrix To Showcase Ad Platform At CES [MediaPost]
Hilton Hotels will be the first client to install the companies’ new WAVEscape interactive ad displays, which will provide a virtual world to market hotel services, as well as local restaurants, shopping centers, etc. The technology includes two pairs of cameras with “practical computer vision” that can detect and adapt to consumer behavior.
Wizzard Offers Dynamic Podcast Ad Insertion [MarketingVOX]
The new product will allow marketers to place ads in between breaks in podcasts.

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