Among tech companies that welcomed the ruling were those that rely on the so-called peer-to-peer (P2P) networking technology that underlies StreamCast and Grokster's products but have sought to work with the recording industry.
"It's a fantastic boost for us," said Wayne Rosso, chief executive for the Virginia Beach, Virginia-based Mashboxx, which is among a new crop of P2P-based services slated to launch this year to offer music download sales and, in some cases, swapping of tracks that are not under copyright restrictions.
"I think you'll see the investment community suddenly rush in to support the licensed P2P model," suggested Rosso, who once headed the company behind the Grokster file-swapping software.
Gregory Kerber, chairman and chief executive of New York-based Wurld Media, was also optimistic about the impact the file-sharing decision will have for its P2P-based music service, Peer Impact.
"The ruling removes a roadblock that has hampered the widespread development of legitimate online music models," he said.
Apple and RealNetworks Inc, which operate industry-sanctioned online music stores, also praised the ruling while touting their respective services.
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