NAPSTER GOES STRAIGHT November 27 2000 dotmusic.com Major labels close to joining up, says Bertelsmann BMG Records parent company and Napster partner Bertelsmann says it is close to bringing more major labels on board. "...We'll be able to announce a deal or two soon", remarks Andreas Schmidt, President of Bertelsmann's e-commerce division. Ultimately, he believes, all the big record companies will want to sign up, something that will be key to the success of a legitimate Napster: "I am optimistic that in the end all of them will join." Since jumping into bed with file-sharing scourge Napster, Bertelsmann has been looking at ways of turning the free service into a paid-up, revenue generating cash cow. Early statements from Napster's Hank Barry centred around a $4.99 monthly 'membership fee', although few practicalities were revealed. Now Andreas Schmidt reckons "It's all worked out. We have a model...We are bringing it forward now to the other parties, hearing their concerns..." As far as the public and Napster users are concerned, there are still many questions to be answered. Will Bertelsmann run a policed version of file-sharing featuring only sanctioned music tracks? Or will the songs be delivered from a secure server, thus defeating the object of peer-to-peer in the first place? Bertelsmann Direct Group chief executive Klaus Eierhoff is clear on one thing: the Napster brand is so strong that "even if only 30 percent of the existing more than 40 million Napster users were to accept the new business model, that would be a success." Despite any changes, though, Andreas Schmidt promises his system will keep the spirit of the old Napster: "They are an independent company...it's not about dominance or taking over." But whether the new Napster can truly become a major player having lost its renegade image and free-for-all attitude to copyrights remains to be seen. comment on this article e-mail this to a friend start a discussion [about i-drive] writing index thoughts dotmusic index Problems? Questions? Suggestions? Contact me: mail@tobyslater.com back to top back to home page

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