Ecast digital jukebox maker closes doors

[Ken Layton]

Jukebox operators of digital downloading jukeboxes using Ecast technology and/or connected to the Ecast music network are scrambling to find other music sources as all Ecast jukeboxes went dark today.

Here is the breaking news from Replay Magazine:

Ecast Inc. Closes Its Doors, Shuts Down Music Network
(Posted March 1, 2012 -- 5PM)

It’s a sad day for the jukebox biz.

Ecast Inc., the first company to introduce broadband music for the digital jukebox, has closed its doors for good. The shocking move leaves their operator base, which some say numbers near 7,000 units on the street, scrambling to find a replacement source of music for their locations. All 55 employees of the company have also been let go as of today.

Scott Walker, who served as VP at Ecast, said the company has been in ongoing negotiations with outside partners as well as competitors to strike a deal that would keep the doors open. However, nothing came together before time and money ran out. “This was not our intention,” said Walker, speaking on behalf of the company earlier today. “We tried everything we would to avoid this happening. We regret the position this puts many of our loyal customers in.”

Ecast’s network has also gone dark, meaning operators can no longer access music on the server or any of other features of Ecast Central. Credit cards processing is also disabled.

Walker said the local music on individual jukebox hard drives will remain available for location patrons “for a limited period of time,” but Ecast is encouraging operators to act quickly in making arrangements for another source of music. Ecast execs called as many distributors and customers as possible, but news of the shutdown came suddenly and so some customers were not officially notified.

[Karetaker]

Looks like AMI is stepping up:

AMI follows through on music services starting March 8

AMI Entertainment Network is following through on its announcement to provide AMI music content through the existing network to Ecast jukeboxes tomorrow, March 8, as well as to offer a simple Web-based sign-up process to contract for AMI music services. Mike Maas, President and CEO of AMI, told Play Meter this afternoon, "As of this moment in time we are on track for delivery of this service tomorrow. Both the AMI Web site (www.amientertainment.com) and the Ecast Web site (www.ecastnetwork.com) will have the information available tomorrow. The signup system will enable customers to contract with us."

Maas said that a number of Ecast customers are also AMI customers. "If you are not currently an AMI customer, it will be easy to sign up with the forms on the Web sites that will enable you to become an AMI customer. Once you've done that you will have access to the AMI music catalog for existing Ecast jukeboxes."

Maas added, "We are trying to do all this electronically, but we are ready to take any phone calls if customers prefer to do it that way. Just call our customer service number (877)ROC-N-ROL (762-6765)." He also said, "It's been a busy five days. A lot of people have worked very hard to make this happen. I think that if a solution like this had not been found, the effect on the industry would have been disastrous because a large number of locations would not be served by digital jukeboxes any more. I encourage operators to take a deep breath, relax, and then proceed with planning. We hope they appreciate what AMI has done and look to upgrade to our jukeboxes over time."
 
AMI will make several announcements during the Amusement Expo next week in Las Vegas. "We happen to have a robust set of new products on the music side," said Maas. He also said, "Not only will we be talking about the Ecast situation at the show, but we will also have additional space beyond our normal booth space specifically to bring in technical staff to talk about this Ecast transition from both a hardware and software perspective. We felt education for operators was required. This will be a place for Ecast operators to come to learn more about how to transition with AMI."
 
 
 

[Ken Layton]

Here is what I have heard lately:

Yes, Rowe/AMI/Merit (AMI Entertainment) will provide kits at no charge once you sign up with them. They will take 20% of your cashbox at each collection for the term of the contract.

Touchtunes will sell you a conversion kit for $300.

NSM will provide a conversion kit. However, I have heard reports of NSM salesmen going directly into locations and selling the location their own jukebox and booting out the operator. Also, just two months ago NSM lost a lawsuit in the UK in which they were accused of NOT paying their music licenses. Here is the story from Vending Times:

http://www.vendingtimes.com/ME2/dirmod.asp?sid=&nm=Article+Archives&type=Publishing&mod=Publications%3A%3AArticle&mid=8F3A7027421841978F18BE895F87F791&tier=4&id=0AB2D307B63542DCB907C6ABD01C18AF

[Barry Barcrest]

That NSM lawsuit probably had some origins at sound leisure, they run almost all jukeboxes in the UK much like BOSE and touchtunes in the U.S. The big difference is the sound leisure boxes until their latest venue hub have looked like they were made in 1995. The NSM boxes have a slicker interface and more features (Although these are too pretty primative) and were starting to get market share from SL. SL Also handles it's own content delivery... Strange that PRS got involved really as PRS Licences are required by the venue and cover a jukebox, so quite how NSM go dragged into this is odd unless it was somehow for content delivery.

[ami-man]

Hello Barry,

I agree with you that the PRS licence is levied against a site or location where music is played that the public can hear or there is the possibility that the music can be heard. This is why garages, corner shops etc have been fined etc.

Back in the day as operators we had to all pay our PPL licences for playing 45's or CD's I am not sure how it works with downloads. Maybe PRS has taken over the payments?

Regards
Alan

Alan Hood
ami-man
UK

[Puck]

Not that it'll ever happen, but I wouldn't mind if the ecast software lived on for home use.

Yeah, a trolling newbie said something wishful.

[Karetaker]

From AMI's website:

AMI Steps In to Restore Online Music Services to eCast Jukebox Operators Bristol, PA, March 5, 2012 Since the news of eCast ceasing operations last week, AMI has been working around the clock to help the hundreds of eCast operators find support for their jukeboxes. AMI has obtained possession of certain assets and intends to provide AMI music content through the existing network to eCast jukeboxes as soon as possible.

For operators, this offers an immediate, simple option that allows them to keep their entire existing eCast footprint intact and relieves the pressure for operators to make a hasty decision to replace their eCast boxes. Without any hardware changes and without going to locations, eCast operators can get all of their jukeboxes functioning properly with access to a large fully-licensed music catalog from AMI. In fact, the music catalog will be substantially larger than what they had previously from eCast.

Also, eCast operators will be able to access the acclaimed Customer Support team at AMI to help with their jukeboxes. AMI is committing to network support, hardware support, and repair services for nearly all existing machines previously on the eCast network, making it very easy for operators to take advantage of all that AMI has to offer.

Later this week, AMI will provide a simple web-based signup process which will allow operators to contract for AMI Music Services. At the completion of that session, the operator's eCast jukeboxes will start receiving music content from AMI.

Over the next 90 days, AMI intends to engineer a seamless, software-only upgrade path for operators of eCast jukeboxes. AMI will transition the jukeboxes from AMI content over the eCast network, to using all AMI services and software. As part of that effort, we intend to replicate key eCast functionality in the AMI software to preserve the "user experience" that eCast patrons have come to expect. We expect the software only migration to be transparent to operators, such that after signing up this week there are no further actions required by the operator.

For clarity, AMI did not acquire the business or operations of eCast. AMI is exercising its rights as a secured creditor of eCast.

For more information regarding AMI and eCast, please contact your AMI sales representative.

I couldn't find anything on Touchtunes website.

[Ken Layton]

From Replay Magazine, the Ecast jukeboxes are now shutting down and becoming inoperative:

Ecast Jukeboxes Begin To Go Dark
(Posted March 28, 2012 --11:30PM)

At least one former Ecast operator from the eastern region of the U.S. says his Ecast jukeboxes have ceased providing music. Virginia operator Charles Rowland said his units went dark on Thursday. Ecast ceased operations at the close of business on the last day of February.

"We already replaced some boxes and had the TouchTunes boxes in house for the last three so as they went down we replaced them," said Charles. "At one time we were 50-50 TouchTunes and Ecast.  But last year I started changing them over as Ecast support for the old View and Rock-Ola boxes became non-existent."

In the aftermath of Ecast's closure, AMI Entertainment stepped in to assume control of the network, offering former Ecast operators the chance to opt-in with their older jukes. An AMI executive said recently they had signed up more than 75% of the former Ecast units.