Go Symbol Lookup
Loading...

Amazon Launches Early Version of Music Service

 Text Size  
Published: Tuesday, 25 Sep 2007 | 10:56 AM ET
By: Reuters

Amazon.com launched an early version of its highly anticipated digital music download store, which is seen as a potential rival toApple'sdominant iTunes system.

Amazon's store, named "Amazon MP3," allows users to buy music without copy protection technology, so that the songs can play on a variety of devices including Apple's iPod.

Most songs are priced from 89 cents to 99 cents, with more than half of the 2 million songs priced at 89 cents, the online retailer said in a statement.

Many Web start-ups have proposed business models to take on iTunes, which has a 70% market share of digital music sales. Many have also failed as they get caught up in negotiations with the music companies.

For weeks Amazon had been expected to launch its iTunes rival after signing deals with Universal Music Group, which is owned by French media giant Vivendi, and EMI.

U.S. music companies, concerned about piracy enabled by file-sharing Web site, are mulling new business models with a goal of increasing digital revenue as CD sales drop more sharply than anticipated.

They also hope to create alternatives to iTunes to boost their negotiating power against Apple when licensing contracts are renewed.

 Print
Amazon.com launched an early version of its highly anticipated digital music download store, which is seen as a potential rival to Apple's dominant iTunes system.
  Price   Change %Change
AMZN ---
AAPL ---

   
Comments

 

More Comments

 
 

Add Comments

 

Your Comments (Up to 1100 characters):

Remaining characters

Your comments have not been posted yet.

Please review your submission to make sure you are comfortable with your entry.

Your Comments:


                
            
            
        

Featured

Contact Technology

  • Editor of CNBC.com's Tech Section, always plugged in and yet also wireless.

  • Working from Los Angeles, Boorstin is CNBC's media and entertainment reporter and author of CNBC.com's "Media Money" blog.

  • Fortt is CNBC's technology correspondent, working from CNBC's Silicon Valley bureau and contributes to "Tech Check" on CNBC.com.