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Playboy to hit Internet with digital edition

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Playboy magazine, losing money in the face of depressed advertising, will go digital later this year in hopes of winning new subscribers and advertisers.

The first digital magazine -- which will mirror the print version -- will be available in September after months of testing the technology, Playboy Enterprises Inc. said on Wednesday.

The move comes as Playboy Enterprises is increasingly dependent on revenue from its licensing and entertainment businesses rather than the publishing division, where it posted a second-quarter loss of $2.3 million. The media company's overall profit totaled $4.6 million.

"I think we're all cognizant of the fact that there are two macro trends going on here that this product is designed to respond to," Playboy Enterprises Chief Executive Christie Hefner said in an interview.

"One is more and more consumers are getting information and entertainment online and the other is more and more advertising dollars are going online."

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