Stage6

Infobox Website
name = Stage6



caption = Screenshot of the previous Stage6.com home page
url = http://www.stage6.com
commercial = Yes
type = video sharing
language = English
registration = Free
owner = DivX, Inc.
author = DivX, Inc.
launch date = 2006
current status = Offline
revenue =
slogan =
alexa = ~90 (February 2008)

Stage6 was a video sharing website owned and operated by DivX, Inc., where users could upload, share, and view video clips. [cite web |title=PC World - Stage6 Beta review|url=http://www.pcworld.com/article/id,136108-page,1/article.html|accessdate=2008-01-14] Stage6 was different from other video services in that it streamed high quality video clips that were user-encoded with DivX and Xvid video codecs.

The site never left its beta status and was shut down on February 29 2008 because of DivX Inc.'s apparent inability to support Stage6 financially, or other officially unspecified reasons.

In June 2008, CNET hailed Stage6 as one of the greatest defunct websites in history. [cite web|url=http://crave.cnet.co.uk/0,39029477,49296926-10,00.htm|title=The greatest defunct Web sites and dotcom disasters|publisher=CNET|date=2008-06-05|accessdate=2008-06-05]

History

First launched in 2006 by DivX, Inc. and in public beta,cite web |title=Stage6 alpha becomes beta|url=http://www.webtvhub.com/stage-6-alpha-becomes-beta|accessdate=2008-01-14] Stage6 was similar to other video sharing sites like YouTube in allowing streaming video to be uploaded freely by anyone willing to register.

On July 24 2007 DivX, Inc. announced that it would be seeking to separate Stage6 as a company from the rest of DivX, Inc. Co-Founder and Executive Chairman Jordan Greenhall would be switching from his current role as CEO to manage the separating Stage6, which, if successful, was expected to be completed later in 2007. [ [http://www.divx.com/company/press/press_detail.php?pr_id=251 "DivX Announces Plans to Maximize Value and Growth Potential of Core Businesses and Stage6.com"] DivX.com Press Releases, July 24, 2007]

However, Stage6, which in January 2008 had 10.7 million views, [http://money.cnn.com/news/newsfeeds/articles/newstex/IBD-0001-23782473.htm] announced that it would shut down on February 28 2008. [cite news |url=http://www.divx.com/company/press/press_detail.php?pr_id=290
publisher=DivX.com|date=2008-02-25|title=DivX Announces Plans to Shut Down Stage6.com] On February 29 2008, a day later than announced, Stage6 was reduced to its frontpage and suggested that the userbase should migrate to Veoh, another video sharing service allowing high-quality uploads.

Usage

Stage6 accepted a wide variety of video content, including TV clips and trailers, music videos, feature length television episodes and films, as well as amateur content such as video-blogging, original videos and amateur films. Unregistered users could view and download to hard-drive all videos on the site, except those containing potentially offensive content.

The users who went through the free registration had access to additional features. These included:
* "18+" videos. These usually containing pornography or other sexually stimulating content, excessive blood and gore or obscenity. Note that Stage6 did not censor offensive content.
* Rating. The users had the ability to either rate the video as "good", by clicking on the "thumb up"-button, or respectively "bad", by clicking the "thumb down"-button. After a significant number of hits the site then rated the video's popularity on its search or front pages, by either displaying up to five "thumbs up" or "thumbs down" respectively. The videos with higher rating were then displayed higher in the search results.
* Comments. The users had an opportunity to add a comment, placed below the video.
* Tagging. The registered users were able to place and suggest the removal of tags to each video. These were then used to power the inbuilt search engine.

Stage6 also featured its own search engine profiling the videos by the user-generated tags and their popularity. Because the search engine used the tags, rather than the title, as a primary search criteria, it was often difficult to find a video based on its name.

Significant differences between Stage6 and other sites included better quality video through use of higher resolutions up to 1080p, few upload limitations cite web |title=Stage6 FAQ|url=http://www.stage6.com/info/faq|accessdate=2008-01-14] , the option to download media directly through the website or the DivX Web Player, however this feature has been removed in the update, without the need to install browser extensions, and the use of DivX video codec instead of Flash Video. Unlike most video sharing websites, Stage6 required the installation of the "DivX Web Player" to view videos. The "DivX Content Uploader" is also bundled with the "DivX Web Player", enabling users to upload Stage6 compliant videos via web browser.

Technical

Stage6 accepted DivX or Xvid encoded files up to 1080p60, exceeding DVD quality. [ [http://stage6.divx.com/imasPV/video/1177659/ Possible example of 1080p60 Xvid encoded video on Stage6] ] Stage6 rejected encoded videos not mixed with MP2 or MP3 audio. Upload file size limit for an individual video was 2 Gigabytes. [ [http://stage6.divx.com/info/faq Stage6 FAQ stating a 2GB limit] ] The download speeds from Stage6 ranged up to and above 16 MBit/s.

The video playback was based on the DivX codec and required the user to download and install a web browser plug-in in order to view video. Since the "DivX Web Player" was designed specifically for viewing videos, streamed on extremely high quality, high resolution videos were made possible under comparatively low CPU usage.

Downloaded videos could also be played-back with third-party media players such as Windows Media Player, if a MPEG-4 decoder is installed on the computer, or with media players such as VLC Media Player or MPlayer with appropriate web plugins. Certain downloaded videos could also be played on a PlayStation 3 or Xbox 360 with current firmware by renaming the extension '.divx' from the downloaded file to '.avi'.

Copyright issues

Stage6 did not permit the upload of copyrighted content without the original author's permission, and a large volume of content was deleted for breaching these terms. Despite this a large amount of copyrighted content continued to be uploaded, with television shows, feature films and music videos routinely hotlinked to Stage6 by third parties offering television or film downloads.

In December 2006, Universal Music Group (UMG) sent a cease and desist letter to DivX, Inc., notifying them that several of their videos had appeared on Stage6. DivX removed the videos in question but were reapproached several months later by UMG who proposed a licensing agreement and suggested DivX pay $30 million for "past infringements". Anticipating legal action, DivX filed a preemptive lawsuit against UMG on September 6, 2007, asking for a declaratory ruling to affirm Stage6's legality under DMCA safe harbor provisions. Six weeks later UMG filed a copyright infringement lawsuit against DivX, arguing that their trial was the appropriate venue for DivX's question to be answered. On February 5, 2008, UMG's request was upheld. [cite web|title=Can DivX’s Safe Harbor Protect It from Stage6 Pirates?|url=http://seekingalpha.com/article/63562-can-divxs-safe-harbor-protect-it-from-stage6-pirates] [cite web|title=DivX sues Universal over DMCA takedowns, Universal says: stop ripping us|url=http://arstechnica.com/news.ars/post/20070909-divx-preemptively-files-lawsuit-against-universal-update.html]

Hacking

At approximately 16:00 GMT 9 February 2008, Stage6.com was thought to have been hacked. People visiting the front page of Stage6 were being redirected to multiple shock sites. This lasted for approximately two and a half hours before a site maintenance notice was put up by the Stage6 team. The motive and extent of damage are still unclear at this point.

Service to the site was restored at approximately 11:30 GMT 10 February 2008. The upload and publishing functions were disabled after the attack, and restored on February 14 2008. [ [http://www.stage6.com/forum/712/18170/ "Uploads are now working again" Thread] ]

Login credentials for several thousand users were accessed by the attackers. Users who have uploaded videos to Stage6 between December 7 2007 and February 10 2008 may have been compromised in the attack and were advised to change their passwords. [ [http://www.stage6.com/forum/712/17788/ Change your password if...] ]

hutdown

DivX's Statements

On February 25 2008 DivX announced that they would shut down Stage6 on February 28 2008, stating that they were unable to continue to provide the attention and resources required for its continued operation.cite web |title=Stage6 Shut Down|url=http://www.stage6.com/] A day later than stated, Stage6 ceased to operate, directing users to a Veoh welcome page designed specifically for the purpose of receiving the Stage6 community. [cite web |title=Welcome Stage6-ers!|url=http://www.veoh.com/stage6.html|publisher=Veoh]

On March 11 2008 DivX Inc. disclosed "significant costs" and "potential copyright litigation" as the primary considerations leading to the shutdown of Stage6. [cite web|title=Did DivX close Stage6 to duck copyright litigation?|url=http://www.news.com/8301-10784_3-9891761-7.html|first=Greg |last=Sandoval|publisher=CNET]

LiveUniverse Inc.'s offer

On February 25 2008 LiveUniverse Inc. offered to acquire Stage6 prior to the site being shutdown by DivX. The offer consists of 3 million USD lump sum, 5 million USD in online advertising credits for DivX to use on the their sites and a 10% equity stake in the new entity. If, after three years, DivX should decide to cash out its stake, LiveUniverse would pay a minimum of 3 million USD for it. The net payment would total to 11 million USD. However, after LiveUniverse made its first offer, DivX Board refused to engage in any direct dialogue for over 5 days, during which it shut down Stage6. [cite web |title=LiveUniverse Trying To Acquire Stage6 From Divx |url=http://www.techcrunch.com/2008/03/07/liveuniverse-trying-to-acquire-stage6-from-divx/ |first=Duncan |last=Riley |publisher=TechCrunch |2008-03-07]

TechCrunch report

According to the web-news blog TechCrunch, the prime reason for the shutdown were not the Stage6-generated bandwidth costs (approx. 1 Million USD per month), but an internal conflict on the DivX, Inc. board. The site states that DivX, Inc. would have been close to breaking-even solely with the income from the Yahoo Toolbar (approx. 8 Million USD per year), distributed with "DivX Web Player", and gain extra profits from other deals with their investors. The reason for the decline of the deal is described by TechCrunch as a "Serious Drama, And Lots of Stupidity" pointing out that DivX Inc.'s stock has hit its newest low on the date of the shutdown. [cite web |title=Serious Drama, And Lot Of Stupidity, Behind Stage6 Shutdown |url=http://www.techcrunch.com/2008/02/26/serious-drama-and-lots-of-stupidity-behind-stage6-shutdown/ |first=Michael |last=Arrington |publisher=TechCrunch |2008-02-26]

ee also

* Comparison of video services

References

External links

* [http://www.stage6.com/ Stage6] - video sharing site designed to demonstrate DivX codec
* [http://www.divx.com/ DivX.com] - DivX, Inc. website