Even by the unsettled standards of file-swapping businesses, StreamCast Networks and Morpheus have ridden a roller coaster of change over the last few years. Originally launched as Music City, and as a streaming-media company, StreamCast later launched the Morpheus file-swapping application. As people fled Napster's service in 2001, Morpheus became the most popular replacement for people looking for a new way to swap files. However, StreamCast had licensed its file-swapping technology from the same Amsterdam-based developers that created the Kazaa software, and a licensing dispute ultimately ended with the Morpheus network going dark almost overnight. StreamCast quickly released a wholly new version of its software based on open-source Gnutella technology, but the company's popularity never recovered. The new Morpheus technology is also based on Gnutella, but streamlined and with new additions that Weiss said come from users' requests. People will be able to download pieces of the same file from multiple sources, and chat more easily with other users, for example. Early indications from some users indicated that the software still had some hurdles to overcome. One person using the screen name "Selkeyes" said he preferred the earlier version's search capabilities, both to the new software and to other file-swapping software. "The old was sure better," said Selkeyes in an online chat interview. "As long as Kazaa is not good for my CPU, I'll actually try to dig up the old 2.0 version." The new version of Morpheus comes with several bundled software applications, none of which actively monitors users. The "My Search Bar" software creates an IE search toolbar and can replace a users' home page with its own site. Weiss indicated that StreamCast will move ahead aggressively with other business ideas now that it has some vindication by the court. The company received a new round of venture funding from Timberline Venture Partners recently -- before the court ruling, Weiss said -- and so should have enough funds to pursue new projects. The long legal fight had previously drained the company's coffers to dangerously low levels. "I think that investors behind the company finally see a bright light at the end of the tunnel," Weiss said. "If I didn't think they were going to support it, I would not be here."
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