Napster relaunches with Web-enabled Platform
Posted on Tue, 16 Oct 2007 07:59:43 CDT | by Luigi Lugmayr
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NEW YORK (Reuters) - Napster Inc , the digital music service, said on Tuesday it
plans to attract more customers by moving to a Web-based platform allowing users
to play their music from any computer without having to download any additional
software.
The move is intended to open up the service and attract more paying subscribers
by making the Napster platform more flexible and compatible with any
Internet-enabled device.
Before now most Napster subscribers could only listen to their music after
downloading the Napster software application on to their personal computers.
This is similar to a model currently used by Apple Inc's iTunes Music Store,
which is the market leader with more than 70 percent of all digital music sales.
"With this new platform Napster can easily be integrated into consumer
electronics devices or integrated into other Web sites such as social networking
sites," said Christopher Allen, chief operating officer at Napster.
Napster sells a subscription service for $10 to $15 a month where users can
stream or download an unlimited number of songs from its 5 million-strong
library. But Napster's and other music subscription services have so far lagged
behind larger rival iTunes, which uses a more traditional buy-to-own model.
Itunes sells songs as permanent downloads at 99 cents each.
Allen said Napster is getting set for a turning point in the digital music
industry in 2008 as major record companies make more music available without
copy protection software known as digital rights management (DRM). He forecast
that, by the end of next year, the unprotected MP3 digital format will have
become standard with major music companies and retailers. So far, only Universal
Music Group and EMI Group have been selling music without DRM.
"When you can take the same tracks you purchased on Napster or other services
and play them on your iPod or mobile phone, it will help to increase the
exposure and the value of subscription services as the market opens up," Allen
said.
Napster says it has 770,000 subscribers.
(Reporting by Yinka Adegoke)
© Copyright 2007 Reuters.
Photo:
The Napster "Cat" logo is shown on the floor at a launch event for the new Napster online music service October 9, 2003 in New York City. Napster Inc, the digital music service, said on Tuesday it plans to attract more customers by moving to a Web-based platform allowing users to play their music from any computer without having to download any additional software. REUTERS/Jeff Christensen
Posted on Tue, 16 Oct 2007 07:59:43 CDT | by Luigi Lugmayr
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