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Napster
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startups
digital music
Nine years later, Napster repeats its feat of making MP3s widely available
The celestial jukebox is back, far too late to matter. Napster is now selling a library of 6 million songs, from all four major labels, as MP3 files, a format which lacks copy protection and hence is compatible with any number of devices — most importantly, the iPod. In other words, the state of affairs that existed nine years ago at Napster's original launch, save for the 99-cent fee now charged per download. Egghead Netscape cofounder Marc Andreessen notes the irony without explanation. For the slightly less brilliant among us, here it is: The record labels, having killed Napster once, have now rallied behind it, hoping to weaken Apple, a company whose iTunes store is already the dominant music retailer in the U.S.
once you're lucky, twice you're good
P is for Parker, the Valley's bad boy
Sean Parker has had a hand in some of the Valley's biggest successes. His first company, Napster, took the world by storm, but didn't make Parker rich. His second, Plaxo, just sold to Comcast. And his third, Facebook — well, say no more. Except for the bit about him getting kicked out, according to Mark Zuckerberg's legal testimony, for a cocaine arrest. (Parker characterized the incident as "a misunderstanding.") That and more is covered in the 21 pages Sarah Lacy devotes to Parker in Once You're Lucky, Twice You're Good, new book about Web 2.0. The index page where Parker is listed: More »
jackpot
Shawn Fanning might never have to pitch Volkswagens again
Finally, Napster creator Shawn Fanning will make a little bank. After Napster went bankrupt and he sold Snocap to Imeem for not much at all, Fanning and cofounder Jon Baudanza have sold social network startup Rupture to Electronic Arts for $30 million. The best part: Fanning and Baudanza did it without launching a product out of beta. All Rupture ever built was a still-in-beta network for World of Warcraft gamers. Investors cashing in on the Volkswagen pitchman's payday (see video) include Ron Conway, Joi Ito, Reid Hoffman, and Baseline Ventures.
clips
Napster founder Shawn Fanning's third act: Volkswagen pitchman
For his second act, Napster founder Shawn Fanning founded a startup, Snocap, which utterly failed to change the music business. After he left, its remnants were sold to Imeem. For his third, Fanning joined Volkswagen's new ad campaign. My favorite part about Fanning's commercial, below? Count how many times Fanning or the bug says the word "Napster." Got to love lawyers. More »
great moments in journalism
AP breaks four-month-old story on Yahoo Music
Record company sources told the AP Yahoo wants to offer DRM-free MP3s for sale or for free via an ad-supported service. Thank you, in-the-know record executives! Ian Rogers, the general manager of Yahoo Music, publicly said much the same thing back in October. More »
yahoo
Anyone want to buy a music subscription service? Anyone? Anyone?
According to Silicon Alley Insider, Yahoo may be looking to sell its music subscription service. The move makes sense: Ian Rogers, the general manager of Yahoo Music, declared in October that he was done inconveniencing users with the digital restrictions labels required for online music subscriptions. Subscriptions simply haven't materialized as the profitable business model for artists, labels, and services alike that many had imagined. Freeing itself of the failed model will allow Yahoo to focus on free, ad-supported music. The only problem now is dumping the old service. More »
digital music
Now Napster's selling unprotected MP3s?
Sensing the changing tide of digital music, Napster will start selling unprotected MP3s this spring. The sale of albums and individual tracks comes in addition to its current subscription offerings. The more surprising news is that Napster is still in business at all.
online music
You just can't quit Napster. Literally
Wired music writer Eliot Van Buskirk decided to cancel his online subscriptions. His anti-DRM talk made me sleepy, but what woke me up was the ludicrous amount of time Van Buskirk spent on the phone with Napster and Rhapsody. No doubt many subscribers hang up after half an hour and let the charges accumulate. The real moneymaker for these companies may not be DRM, but CRM.
deathwatch
Napster CFO quits after three years of commuting
Napster CFO and VP Nand Gangwani will leave the company at the end of the year. The "personal reason" cited? A killer commute. "Mr. Gangwani has been commuting from his home in the Bay Area to Los Angeles for the last four years," the release reads. Hmm. Why are we more inclined to believe Gangwani's departure has more to do with Napster's three-year share-price tumble from $10 in 2003 to $2.36 at yesterday's close — and that his commute showed he was never that committed to the company in the first place? Last we checked, homes were cheaper in southern California.
digital music
Shawn Fanning's company deals itself losing hand with new music play
Snocap, the peer-to-peer music store started by Napster creator Shawn Fanning, is losing money, staff, founders, and partners. Not to mention money. So what's its new gambit, after licensing peer-to-peer technology and building MySpace stores both flopped? Enter BoomShuffle, a Web widget for creating music mixes using content from the Snocap store. It sounds less like a music product than a startup strategy, though. What do you do when your first two business plans fail? Why, you boomshuffle them! It's the game every entrepreneur can play! Unfortunately for Snocap, I suspect the deck is stacked against it.
copyfight
Government cash linked to college file-sharing ban
Last month, NBC Universal CEO Jeff Zucker told the nation's governing bodies they needed to make intellectual property theft a priority. Well, the House is fed up with the public berating and is finally doing something. A proposed education bill threatens to withhold federal aid from colleges and universities that don't proactively deter file sharing. Along with technical countermeasures, like network throttling, campuses will be asked to find file-sharing alternatives that will eventually wean students off their illicit ways. In other words: Force educational institutions to subsidize Napster's shareholders.
digital music
AT&T and Napster make sweet necrophiliac music
Napster, the slow-dying music-subscription service born from the file-sharing startup's ashes, continues to lurch, corpse-like, at any business partner that doesn't flinch in disgust. Its latest shamble is a deal with AT&T to place its song library on mobile phones — at twice the price of regular downloads. AT&T backs the $1.99 price, saying that it costs a ton to transfer data files over the air. Somehow, I don't think consumers care about AT&T's bandwidth problems; the price point will likely make this partnership dead on arrival. Anyway, we're more interested in the other part of the Napster deal, which involves AT&T's broadband business. How, exactly, is AT&T going to promote Napster to AT&T Yahoo DSL subscribers without displacing its broadband partner's Yahoo Music service?
bad ideas
Why won't you die, Napster?
When all else fails, blame Napster. The file-sharing startup, in its first incarnation, pretty much gutted the music industry. The progeny it spawned has ruined the life of Minnesota single mom Jammie Thomas, who was fined a $222,000 fine for illegally downloading music. Now, reborn as a tedious iTunes wannabe, the company is ruining my morning with its latest bad idea. Napster 4.0 is a $10/mo. subscription service which ever so kindly allows users to access and play their music on any Internet-connected computer without downloading any software. The advantage, in short, is that you can hijack your friends' computers to play your own music. Tell you what, Napster: I'll keep my money and listen to Pandora for free instead.
digital music
Beating Apple requires big thinking, but not this big
Doug Morris, head of Universal Music, the most powerful of the four major record-label groups, thinks he has a plan to reclaim the music industry from Apple, maker of the iPod and iTunes. There are scant details and the plan is in flux, but the basic idea, dubbed Total Music, is this: All of the studios will pool their content for online distribution and share in the revenue. The service will be a subscription subsidized by any form of provider: device manufacturers, music stores, cellphone carriers, whomever. The consumer doesn't have to pay for a music service because it's baked in, the music industry finally gets the revenue stream that they've been missing. But we're skeptical. More »
"The iPod will be obsolete," says Rick Rubin, co-head of Columbia Records. In order to combat file sharing, the recording industry needs to operate on a subscription model, he says: "You'd pay, say, $19.95 a month, and the music will come anywhere you'd like. In this new world, there will be a virtual library that will be accessible from your car, from your cellphone, from your computer, from your television," he explains. Oh, you mean already extant services like Napster, Rhapsody, or Yahoo Music? [The New York Times]
tapeitofftheinternet
War Is Peace, Freedom Is Slavery, Internet is Television
TapeItOffTheInternet.com (TIOTI) is a still-closed beta project looking to create 'Napster Moment with television', the site combines torrent-tracking, RSS feeds, tags and more Web2.0 wankery. In an interview on Torrent Freaks, TIOTI founder, Paul Pud (real name?), tries to get you to recall the thrill of being a p2p bandit for the first time. More »
napster
Silicon chairs: Who's moving, leaving, and dropping in tech today
- Veteran venture capitalist Jack Gill joins daughter Jennifer Gill Roberts's venture firm, further abandoning his own firm now struggling after investing in bubble startups in 2000, just before that scene crashed. [VentureBeat]
- The Department of Homeland Security names tech lobbyist Greg Garcia as its cyber-security chief. His first act is to not return calls seeking comment — must be afraid someone's tapping the line. [Washington Post]
- Napster's looking for a buyer as its subscription rate drops. What happened to all those guaranteed accounts from colleges that signed up for Napster en masse? [New York Times]
- Whoa, why did Sun Microsystems's customer service advocate just whip out the door without an explanation? Make a guess in the comments (if you don't have an account, enter a new username/password). [ITworld]
