During his presentation, which should figure prominently in Congress' subsequent consideration of the issues identified with P2P technology, Weiss quoted from an audio recording of a voicemail message from Real Networks, Inc. Chief Technology Officer, which included the statement that "the labels have blacklisted you guys. So that is the problem we've got. Basically, what they're saying is you've got to denounce P2P, and/or resolve the lawsuit is what you have to do. And so, until they resolve the lawsuit, they're going to keep you on the blacklist, which means I'm probably not going to get much latitude to do anything."

"Policy need and should not be based on propaganda," Weiss remarked before the Committee, urging Congress to consider the realistically potential benefits to consumers and content providers that are generated by peer-to-peer applications, as well as how this technology will develop in the future before initiating policy against it, "We have done much good at StreamCast and through P2P United, and we will do more, Mr. Chairman, but we need the help of you and your colleagues. Imposing extraordinary warning requirements on our industry and technology without making such requirements equally applicable to web browser software, e-mail programs, instant messenger programs, chat rooms, and all other significant avenues of on-line exposure would be unjustified, unfair and - most importantly - ineffective."

Specifically, Weiss, in conjunction with initiatives set forth by P2P United, called for Congress to:

* Commission an objective outside study that we are confident will confirm that software like Morpheus cannot centrally filter out content and should not be fundamentally redesigned to require that.

* Explore whether a collective or compulsory license should be used to turn 60 million Americans who use file-sharing software like Morpheus into customers instead of alleged criminals.

* Direct the Federal Trade Commission and/or Department of Justice to investigate the apparently collusive anti-competitive conduct in restraint of trade by the music industry.

Weiss made additional comments following his testimony, emphasizing that Congress has been misled by lobbyists for the RIAA and MPAA while Morpheus and the other responsible members of P2P United are doing a great deal to educate, protect and empower our users.

"It's not the first time the RIAA, and the MPAA under Mr. Valenti, have been accused of trying to prevent competitors from doing business. We now have solid evidence that major record labels are putting out the word to prevent third parties from doing business with Morpheus. This stance is directly impeding work toward commercially developing P2P technology to its full potential and places a stranglehold on engineers and computer scientists who realize the widespread and valuable impact that P2P can have on both the marketplace and the academic, scientific and research communities-not to mention the fact that they're simply not providing consumers with the option to legitimately purchase DRM protected music and other entertainment files in a P2P environment."

About StreamCast Networks, Inc. StreamCast Networks, Inc., creators of the Morpheus software product is a leading global communications technology company that is revolutionizing Internet digital media distribution and communications via software that enables users to communicate directly with one another on an unprecedented scale. Users according to CNET's download.com have downloaded over 124 million copies of Morpheus.

Brian O'Neal Sr. Director of Communications StreamCast Networks 818-887-8610 ext. 122

Seed Newsvine