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Sleeping with the enemy: Is Cable poised to screw over MLB Advance Media?

After whining themselves into the DirecTV deal, Cable suddenly forgot what team it’s playing for.

indemand-onmlb.jpgThe technology landscape has changed dramatically since last year’s ill-fated DirecTV-Extra Innings exclusive deal; more and more people have migrated to the web to watch TV shows and download movies, something that’s been traditionally and intrinsically tied to the Television and the cable or satellite set top box.

Ironically, the Extra Innings deal would’ve forced subscribers to switch to the MLB.TV service, where they’d be able to watch most games from their computers at home or work. But due to huge fan outcry and a brief intervention by Congress, MLB New Media Goons, aka, MLB’s Advance Media arm decided to let Cable into the deal.

This time around, however, it’s Cable that’s about to screw us all over. And this time, I doubt there’s anything Selig or his henchmen can do to stop it.

From the AP:

NEW YORK - Time Warner Cable will experiment with a new pricing structure for high-speed Internet access later this year, charging customers based on how much data they download, a company spokesman said Wednesday.

As you all remember, Time Warner is part of that group of affiliates that own and operate In Demand, the system that distributes the MLB Extra Innings package to cable subscribers.

And this new pricing structure that they’re testing for broadband access will undoubtedly add a premium to the luxurious price that those of us who watch TV programming online (IE, baseball games through MLB.TV) already pay.

And what’s the reasoning, you ask?

Now, let’s see — that pricing structure would be really bad news for any Web entity selling downloadable movies and TV shows. Customers of cable company broadband might think twice if the download would bust them through to the next tier of service, forcing them to pay more.

And, hmm, who is most threatened by Web entities selling movies and TV shows? Why — that would be cable companies! How coincidental! By making downloadable video more expensive, cable companies might convince customers to just watch cable TV or get a movie on cable’s pay-per-view. Amazing how that works, huh?

Sure, that this becomes the norm is only speculative, but the Net Neutrality issue has been brewing for a while, with Cable leading the charge that we ought to have a tiered system to pay for broadband.

And so, the fact that Networks are enticing people to watch TV online, and not to mention, the big push for online movie rentals, oh and of course, music downloads, will make broadband internet service providers (IE, Cable) only think of pulling schemes like Time Warner’s out of their digital rear ends.


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Dialogue or diatribe? You decide!

Among certain of my friends, the phenomenon of “Sarah’s Angry Emails” is not unknown. Something sets me off (usually involving politics, sports, ex-boyfriends, feminism, a particular downstairs neighbor, or some combination thereof) and before I can stop myself, I’ve seized my keyboard and pounded out a single-spaced screed. This happened recently in regard to a post I wrote that got picked up by Deadspin (always interesting, the folks that wander over here from Deadspin). Only instead of Sarah’s Angry Email, it was Sarah’s Angry Blog Comment, and instead of going only to an ex-boyfriend/my e-mail drafts folder/the spam filter of one of these columnists, it ended up on the Interwebs for all to see.

Though the ranting began because of a particularly limp Bob Ryan column, the weakness rampant throughout sports journalism had actually been a topic of discussion between Nick and myself for some time. (And of course, it’s been a frequent topic on UmpBump is well, thanks to the likes of Murray Chass, Jay Mariotti and other MSM folks and their questionable writings or uninspiring broadcasts.) So after a recent spate of emailing between us, Nick and I decided what the heck, let’s post this private conversation and open it up for public comment.

Read the rest of this entry »


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The name of the winner of the DirecTV-MLB exclusive deal is not DirecTV or MLB

Or cable, for that matter.

You will all remember that when said deal was announced, many of us cried foul. Some doubted our conviction, yet our resolve would not be undermined until we got results. And results we got. MLB was publicly scorned and vilified into including poor-ol’ cable into their deal.

All was well with the world, fans could again watch their MLB Extra Innings packages through Cable or DirecTV. Oh, uhm, well not all fans. Certainly not those with Dish satellite service in their living rooms.

Curious that nobody raised their arms in protest because the other satellite provider was not invited to the MLB Extra Innings party. Curious also that Echo Star, the parent company of said Sat Service Provider just announced that it had acquired Sling Media.

So the conspiracy nut in me has to wonder…

But if you’re just joining us, let’s recap:

Sling Media is a tiny little compnay (not really, but it makes for great Drama) that makes the Sling Player. This brick-shaped device allows you to connect it to your home internet connection and television service (be it Satellite or Cable or UHF). Once you hit the road, you’ll be able to connect remotely to your Sling Player to watch your home’s TV service using those series of tubes we call the Internets.

You will also remember that just this summer, the MLB New Media Goons, née MLB Advance Media hinted at suing (then backed off) Sling Media for putting a huge obstacle into their Geotracking scheme. What is GEO Tracking you ask? Well, you should know that you can watch baseball games through MLB.tv, a concoction brought to you by MLB owners and Bud Selig.

Though it resides on the Web, this service has a peculiar distinction from other Video streaming services. MLB managed to impose a TV-style restriction system on it, where you cannot watch your local team due to Blackout restrictions. This means you’re stuck, and they’re stuck with all the cash for the local TV deals.

How was this possible? Yes, Virginia, GEO Tracking would be the correct answer. They know where you are from the IP address your computer is using while online.

Naturally, that small device known as the Sling Player would flush that model down the toilet, eliminating any and all trace of GEO Tracking, because, as you remember, you’d technically be using the cable or sat signal from your home, allowing you to watch local market baseball gratis.

We ain’t greedy like Bug Selig…So back to the conspiracy nut in me. Now that Echo Star, aka Dish network, aka the other satellite service provider that was not, I repeat, WAS NOT, included in the MLB Extra Innings Deal, has acquired Sling Media, they own the Sling Player and anything and everything you do with it.

Again, the winner of the MLB Extra Innings deal is not MLB, is not DirecTV, is not Cable. It is Dish, who silently understood who really has the heft to pull some leverage.

That’d be Us. Or as Time put it, “you.”

A belated thank you to Forager for the WSJ info. Hit us up with an email and we’ll get you that umpbump.com sticker.


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MLB New Media Goons have learned their lesson

sling.jpg

Endgadget is reporting that MLB Advance Media, AKA MLB New Media Goons are not going to sue the hell out of Sling Media.

Major League Baseball may not be happy about Sling Media enabling fans to stream out of market baseball games over the internet, but it is apparently backing off of plans to sue the company into oblivion, RIAA-style. Bob Bowman, president of Major League Baseball Advanced Media said in an interview that winning could be done with “good technology and good content, not lawyers”.

The interview in question in which Mr. Bowman alias Captian New Media Goon said what he said is in the Wall Street Journal, meaning you won’t be able to read the article unless you’re a paid subscriber.

[For an umpbump.com sticker, which WSJ subscriber is going to share the good stuff from that column in our comments?]

Here’s a quick primer about the issue: Sling Media is a company that makes this little gizmo that allows you to hook it up to your TV (which in turn can be connected to your cable or sat service) and then broadcast said TV’s signal through a broadband Internet connection to wherever you are. Could be your office downtown, or your hotel room across the country. A loyal Pirates fan from Pittsburgh, who also happens to own a Sling Player can watch his Bucs from L.A. gratis. Unlike some of us who ponyed up the cash for MLB.TV, Baseball’s service that… aw hell you know what it does.

Naturally, Baseball didn’t like this, and was threatening to sue Sling.

Frankly, it doesn’t surprise me. We all saw what kind of backlash Baseball had to endure after they made a “dumb” decision. So now they’re backing off Sling in order to avoid alienating fans (aka costumers) who use their service to watch games from their home markets through the Internet.

That’s right. Back off.


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MLB, iNDemand reach deal. For sure this time. Promise.

It took a whopping 3 days into the season for cable to finally quit posturing and start shelling the cash.

mlb-directv-indemand.jpg

The deal, which had already been inked by DirecTV, ends months of acrimony and gives baseball fans the opportunity to renew the package with their local operators rather than switch to the satellite provider. EchoStar Satellite LLC is the lone entity that still hasn’t come to an agreement.

Those cable operators that agree to carry the product would also be required to offer the new MLB Channel on its basic tier when it is launched in 2009.

“Our chief goal throughout the process was to ensure that fans would have access to as many baseball games and as much baseball coverage as possible,” Bob DuPuy, MLB’s president and chief operating officer, said in a release. “With this agreement, the MLB Channel will launch with an unprecedented platform. We are pleased with the launch of the MLB Channel to so many homes coupled with our agreement to extend the distribution of MLB Extra Innings with iN DEMAND.”

MLB and iN DEMAND had been put under increasing pressure from Congress to come to an agreement so that fans without satellite access would still able to view out-of-market games. When the DirecTV deal was announced on Feb. 8, MLB set a deadline of Opening Night this past Sunday for iN DEMAND and EchoStar to match the same terms.

But that deadline was extended Sunday as the parties continued to negotiate.

Bittersweet? Nah, I gotta say this is a victory for all; fans who can’t get DirecTV will be able to watch out-market-games through cable, and MLB’s New Media Goons get their fat wads of cash.

If they can make Echostar AKA Dish Network pony-up the same terms, something that seems inevitable at this point, then they’ll score the Baseball Broadcasting Triple-Play.

I’m glad we all could come to an agreement; even if it exposed how utterly sleazy, greedy, and out-right dumb you Baseball Execs can be.

But hey, all’s well that ends well. Today, I renewed my MLB.TV; and whenever you guys get Dish on board for Extra Innings, we might pony-up the cash then as well.

See? Wasn’t so hard, no was it?

Oh and, by the way, you Bob DuPuy, are a lying snake.

You’re now saying that your “chief goal throughout the process was to ensure that fans would have access to as many baseball games and as much baseball coverage as possible” but not too long ago, you said something along the lines of:

“We cannot put the interests of what we believe are a relatively small minority of fans over what we believe are the best interests of the entire fan base as a whole,” Bob DuPuy, baseball’s chief operating officer, said in a letter to the Federal Communications Commission.

So which is it Bob? All fans? Some fans? No fans?


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Will MLB New Media Goons Toe the Line?

With opening day a mere six days away, teams have begun to assemble their rosters; some have announced their starters, others have had to make last-second moves to keep their core intact, but over all, 2007 is upon us.

Traditionally, I would’ve spent a good amount of Spring Training glued to my monitor at work, watching MLB.TV as my team prepared for the regular season. Watching all of the pre-season action was one of the few features of the Online service I actually considered an incentive. I understood I had to pay the price if I wanted to enjoy in-demand games at my fingertips, and though steep, I would willingly pay the $80 dollars it used to cost to subscribe to the service.

But that was the premise set four years ago when MLB.TV began. More than a service it was a luxury; I knew some people that had bought the monthly plan, and though they had enjoyed the service, they canceled it for the price.

My brother and I, both baseball nuts, put together enough money to get both the Extra Innings service for our house, and the MLB.TV service that allowed us to watch any game that, on a rare occasion, was not broadcast on cable’s version of the Extra Innings package (any one remember the “Tier 1″ channel?).

Together we spent more than $200 a season on paying for what I’m sure Selig and his New Media Goons consider premium product. The Major Leagues are, after all, the cream of the crop, and as such, you should pay top dollar to watch it, be it by the dugout, or in your living room.

Or should it?

MLB New Media GoonsI feel like, as anything in this country, it should have it’s price, but it should be accessible to me if I wanted to. I mean, that’s one of the inherent freedoms we get, isn’t it? Freedom of commercial choice? Freedom to buy whatever the hell we want?

But now, it has gotten to a point where a U.S. Senator has to step up and say, “I don’t like this on behalf of my constituents.” That is ludicrous. He should be paying attention to more pressing matters; he shouldn’t have to call a hearing on the deal. But I applaud him for it, and I am glad he’s doing it.

That hearing takes place tomorrow, and surprisingly, a day before it happens, MLB.com runs an AP story in which Kerry cites some drastic numbers:

“When you’ve got 75 million people who currently have the option of doing something and you reduce it to 15 million, you’ve got to ask are the terms of this deal fair and does it work for the fan and for the sport itself?” he said during a conference call Monday.

Regardless of whether the deal goes through or not; the fact that Kerry (and it could’ve been Sen. Jim Bunning for that matter) is defending us before a bunch of greedy businessmen who continue to degrade the nature of the National Pastime, is uplifting.

I did not renew my MLB.TV (and they totally ignored my email asking why they had automatically renewed it when nothing stipulated they could do so) and if the Direc TV deal is matched by Cable and/or Dish, I may not buy the MLB Extra Innings package. Or maybe I will.

But that’s the point; it should be my choice, not Selig’s.


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Breaking: Cable’s arm twisted too far back; INDemand matches DTV on Extra Innings deal – NOT!

The shit has hit the fan. What the hell was all the chest-thumping for, cable?? All it would’ve taken for you to have this stupid deal in the first place was to agree to carry the baseball channel, but not only did you have to make all of us get a collective ulcer for the past two months, you now match Direc TV’s terms in the infamous Extra Innings deal, just like that?

NEW YORK — Baseball’s “Extra Innings” package of out-of-market games might wind up staying on cable television.
IN Demand said Wednesday it will offer to match the terms of DirecTV’s $700 million, seven-year deal with Major League Baseball on behalf its owners, who are affiliates of the companies that own Time Warner, Comcast and Cox cable systems.

As part of the offer, iN Demand also said it would carry The Baseball Channel when it launches in 2009 to at least the same number of subscribers who will get the channel on DirecTV.

“As the current home for ‘Extra Innings’ for more than 200,000 cable subscribers, we have extended ourselves to do our best to be able to continue to provide this package to baseball fans and our customers,” iN Demand president Robert Jacobson said. “This offer meets all the conditions set forth by MLB last week. “

Bob DuPuy, baseball’s chief operating officer, said he would have to find out details of iN Demand’s offer before commenting.

One thing I haven’t heard is whether Dish network will match the terms. I’m guessing since it’s a satellite service provider, it wouldn’t have a problem in offering space for the baseball channel.

But I have a feeling somewhere in this great nation, MLB’s New Media Goons are wringing their hands and grinning with greed; what a gruesome, bitter-sweet result.

Thanks again, forager.

Update [11:29 p.m.]: With all the day’s actions now nearing a close, the truth has been revealed. iN Demand was bluffing, and MLB’s New Media Goons called them out on it.

From an updated version of the AP story I linked to above:

“As the current home for Extra Innings for more than 200,000 cable subscribers, we have extended ourselves to do our best to be able to continue to provide this package to baseball fans and our customers,” iN Demand president Robert Jacobson said. “This offer meets all the conditions set forth by MLB last week.”

Not so fast, said DuPuy.

IN Demand offered to distribute The Baseball Channel to the 15 million homes projected to receive it on DirecTV — 80 percent of the company’s subscribers. Baseball wants it to be available to a larger figure — 80 percent of the digital households of iN Demand’s owners and affiliates, DuPuy said in his letter to the FCC.

“The communication sent to our office today by iN Demand is not responsive to that offer,” he said. “In spite of their public comments, the response falls short of nearly all of the material conditions (among them requirements for carriage of The Baseball Channel and their share of the rights fees for Extra Innings) set forth in the Major League Baseball offer made to them on March 9.”

DuPuy said the March 31 deadline to match remains.

What’s still startling is Baseball’s insistence that this exclusive deal is somehow for the good of the “entire fan base as whole.” DuPuy sent a letter to the FCC trying to play nice, saying that they believe the interests of a “relatively small minority” of fans were getting in the way.

I’m sorry but when you’re a anti-trust-exempted monopoly, the rule should be that you are obligated to cater to 100 percent of the fan base. And let’s not forget he’s using the term “relative small minority” very loosely. Are 500,000 iN Demand subscribers a “relatively small minority”?

With a Senate hearing set for March 27, Sen. John Kerry is our last hope.


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MLB, DTV reach deal; polygamy clause causes jeers

The news today was that the MLB / DirecTV deal was finalized.

Refusing to even give it a glimpse, I braced for a season of late-night box-score reading.

Naturally, I gave in, and searched for a news report about the deal. Couldn’t find it on NYT, didn’t see it quickly enough on ESPN.COM. What the hell, let’s just get it straight from the horse’s mouth.

From an MLB.COM Press Release:

Major League Baseball and DIRECTV, the nation’s leading satellite provider, today announced a seven-year agreement that continues carriage rights to the MLB EXTRA INNINGS subscription package of out-of-market games and includes the launch of the MLB Channel as part of DIRECTV’s basic package. Included within the agreement, DIRECTV will be a minority partner in the MLB Channel, and will work with MLB to develop the network, which will launch in 2009.

Additionally, in keeping with MLB’s desire to provide as much MLB programming to as many baseball fans as possible, MLB and DIRECTV have agreed to include a provision that allows MLB EXTRA INNINGS to be offered to other incumbents - In Demand and DISH Network - at consistent rates and carriage requirements with a deal to be concluded before the baseball season begins. The provision also requires the incumbents to agree to carriage rights to the MLB Channel proportionally equivalent to DIRECTV’s commitment. Should the incumbents decide not to match DIRECTV’s commitment, the MLB EXTRA INNINGS package will be exclusive to DIRECTV. All out of market games continue to be available on MLB.com.

Is that right? Am I reading correctly? Does that say what I think it says?

Well, after carefully examining the press release, what I think I got out of it is that both DirecTV and MLB will include some kind of provision in their deal that invites In Demand and Dish to carry the Extra Innings package at the same rate DirecTV decides to set and if they agree to carry the new MLB channel.

This means there will be a new negotiation round that has to conclude before the season starts.

If In Demand and/or Dish do not match DirecTV’s “commitment” (think boatloads of cash), or do not agree to carry the channel, only then will the deal be exclusive.

Smart move, Selig, now you’ve turned the deal completely on its head. Not only do you open the whole thing up, but you then up the ante and put In Demand and Dish on the spot for not wanting to carry the MLB channel. So the pressure’s on them now.

Very smart.

Too bad most everyone realizes that you’re basically twisting the Cable companies’ arm; whilst giving all of us non-DTV people a big fat $700 million-sized finger.

From the AP:

The president of one of those providers, iN Demand’s Robert Jacobson, immediately said those terms were impossible for his company to agree to and called it a “de facto exclusive deal.”

UPDATE 03/09 11:42 a.m.: The fallout has begun.

- Baseball Bends on TV Deal; But Doubts Linger - [nytimes.com]
- MLB Pretends It Cares, A Little, Barely - [deadspin.com]
- The Real Deal on “Extra Innings” - [CNBC]


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Baseball’s New Media Goons Out for your Last Buck

The outlook for baseball’s DirecTV deal is bleak. The more I hear about it, the more I’m convinced it’s going to go through and the rest of us who don’t want DirecTV will be screwed.

We either pony up however much it costs to switch and get the package, or we move because, as I’m sure Selig and his New Media Goons aren’t aware, there are restrictions on some apartment buildings, neighborhoods and subdivisions everywhere that don’t allow you to have a dish protruding out of your property.

Oh, but no, they’ll say, Extra Innings is not the ultimate resource for watching out of market games, we have this shiny new thing called MLB.TV that we want you to try. Never mind that we jacked the priced by $10 for the “standard” package ($89.95 this year) and are hoping we can rip you off even more for our “premium” package, at the very low price of $129.95. That’s just $10 less than what you would’ve paid for the MLB Extra Innings package!

Here’s the kicker; since I was a subscriber last year, I got a notice for automatic renewal to the thing a few days ago:

MLB.TV is back and better than ever…As a 2006 subscriber of MLB.TV, we are pleased to automatically renew your subscription for the 2007 season. You can still watch all 2,430 regular season games online (subject to blackout restrictions). Over 100 games live per week. No other service comes close!

That’s right! Because it’s the ONLY ONE! Baseball’s anti-trust exemption allows it to monopolize TV deals outside city markets.

As a reminder, your subscription to 2007 MLB.TV Yearly Package is being renewed at the same low price as last season - only $79.95 for the entire year (a $10 savings off the new 2007 MLB.TV Yearly Package regular price).

How nice! They gave me a 13% discount!

Well I would wax romantic about one of the few cool things I would look forward to, the ability to listen to the radio broadcasts for all games (even the infamous Fox Saturday blackouts), but then I flipped through this week’s issue of Sports Illustrated, and found this nugget on a story by David Epstein.

Neither MLB nor DirecTV would comment, but the satellite jump appears driven by MLB’s desire for a 24/7 channel. Cable companies reportedly refused to include in their basic services – a promise DirecTV is more than willing to make. (The Baseball network would debut on the service in 2009.) MLB may also be trying to steer viewers toward its website, where, for $89.95 a year, fans can watch out-of-market games on MLB.TV. Last year the service had 300,000 subscribers, and some in the industry think baseball is planning to take MLB Advance Media, its online operation, public. Says Ben Silverman, an editor a the investment service site findprofit.com, “Investment bankers say [an IPO] could be successful, given the amount of business and the MLB brand attached.”

PUBLIC?! Are you serious?! Not only are they jacking up prices as they force fans to signup for their New Media vice, baseball wants to take their whole operation public so its fat pockets get even fatter. I wonder if I’m guaranteed some stock options in my subscription plan?

Where’s Sen. Kerry when you need him?

[Edit]: To clarify some things. MLB Advance Media is a private company, and, like any other private company, they have the right to take it public after its business has sustained significant growth. Think Google.

The problem is, Baseball is doing some shady things to hike up the value of the company. I doubt any of it is illegal per se, but it’s bloody annoying.

First of all, I don’t recall “agreeing” to anything last year that insinuated I was going to be automatically renewed for this year’s MLB.TV service. I had to log on to MLB.COM and repurchase my subscription last year (I’m waiting for an email response from them on this matter).

Second, I can’t stress enough what’s really happening: Baseball takes its TV package exclusively to DirecTV for a thick wad of cash ($700 mil), they then tell you you can sign up for MLB.TV, their great online service (and I can totally see them making the argument that the Web is the future, so this is the package you really want) if you don’t switch to DTV.

Meanwhile, they quietly increase prices by $10 for the standard MLB.TV package ($89.95); profiting from what some fans may see as a forced move to MLB.TV.

All this, in addition to the services MLB Advance Media already offers, will bolster the value of the company, which, thanks to Epstein and SI, we now know they plan to take public.

We all know Baseball has an anti-trust exemption; I doubt their sleazy tactics would sit nice with Congress if they didn’t have it.


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Sen. John Kerry toughens up on MLB; watches over shoulder for Schilling

Well, well, turns out John Kerry had to be good for something. I mean, he could be facing a tough reelection campaign with Curt Schilling being teased to run for his seat; might as well make it interesting, right?

Flip flop KerryOne of our readers (thanks Vincent) forwarded this to us:

Kerry to Question FCC Chairman Over Direct TV-Major League Baseball Deal

WASHINGTON, DC – Senator John Kerry said today that he intends to seek answers from the FCC about a pending DirectTV deal that could make it harder for baseball fans to watch their favorite teams. The issue centers on a plan to shift the “Extra Innings” baseball package to DirectTV as part of a $700 million exclusive deal. According to recent press reports, during the last five years, the Extra Innings package has been available to 75 million people. If the deal goes through, the baseball package will be available to the 15 million people who have DirectTV.

“I am opposed to anything that deprives people of reasonable choices. In this day and age, consumers should have more choices – not fewer. I’d like to know how this serves the public - a deal which will force fans to subscribe to DirectTV in order to tune in to their favorite players. A Red Sox fan ought to be able to watch their team without having to switch to DirectTV,” said Kerry.

The chairman of the Federal Communications Commission, Kevin Martin, is a witness at a hearing tomorrow of the Commerce, Science and Transportation Committee. Kerry is a member of the committee.

I’m not sure what good would come out of this, I mean, Kerry can be a bit of a douche, so, we’ll take it with a grain of salt. Even though, as far as Selig and the rest of his MLB New Media goons are concerned, we might as well be dead.

Note: The headline for this post was changed due to lameness - a result from hastily writing copy as one is leaving for brainstorming meeting at neighborhood pub.


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