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MAJORS RACE FOR DOWNLOADS
dotmusic.com
The race to control the digital music scene has begun in earnest. All the "Big Five" record labels are now gearing up to sell digital downloads over the Internet.
The most specific announcements have been from BMG and Sony Music, both of which are hoping to offer a commercial service in the next couple of months. Universal are aiming for June and Warners for the second half of this year; EMI are expected to set an exact date any day now.
BMG have not yet revealed any pricing models but did disclose the details of their relationships with a wide range of technology companies.
It is working with Liquid Audio to create an infrastructure which will support digital rights management systems from IBM, InterTrust and Microsoft, with transactions directed through Reciprocal and Digital World Services. Flexibility is the keyword and it is likely that BMG will eventually want to pare their team down to the best one or two partnerships.
Sony's assault on digital distribution will start with around 50 songs from pop mainstays including Lauryn Hill and Michael Jackson. Tracks are reportedly priced at $2.49 and will be sold through Sony's websites as well as those belonging to retailers such as Tower Records. Following the SDMI technical specs, downloads will be secure but open to superdistribution , meaning that users can e-mail tracks to friends who must then pay to play.
Both companies are desperate to control the online music world, but for different reasons. BMG, floating adrift in a sea of mega-mergers, need to make their mark on the Internet if they are to survive. Sony, the hardware-software hybrid, want to quickly convince the public of downloadable music's importance- if only so we all go out and buy their Memory Stick music players for Christmas.
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