Bertelsmann Gets Music-Locker Service For $30M - InformationWeek

InformationWeek is part of the Informa Tech Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them.Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

IoT
IoT
News

Bertelsmann Gets Music-Locker Service For $30M

Online music-locker service myplay.com is the latest digital music company to be snatched up by a major label.

The consolidation in the digital music arena continued Wednesday when Bertelsmann eCommerce Group acquired privately held MyPlay Inc. and its myplay.com online music-locker service for $30 million. Bertelsmann will integrate MyPlay into its newly created BeMusic division, which brings together CDNow, its online music retailer, and BMG Direct, its offline music club.

Bertelsmann also is expected to fold the commercial version of the Napster file-sharing service, which it plans to launch this summer, into BeMusic. The acquisition of MyPlay will let BeMusic offer online music storage for its 12 million subscribers, giving them access to digital versions of CDs purchased through CDNow and BMG Direct.

Bertelsmann senior VP Frank Sarfeld says the acquisition compares favorably with Universal's purchase earlier this month of MP3.com for $372 million. "I think we did quite well," says Sarfeld of the MyPlay purchase price. Universal also acquired EMusic.com and its MP3 download subscription service in April.

Yankee Group analyst Kevin Noonan says the MyPlay deal is a bargain for Bertelsmann and that the service should integrate nicely into CDNow. Noonan says that integration is key if Bertelsmann is to turn MyPlay, which he says has yet to turn a profit, into a money-making business.

We welcome your comments on this topic on our social media channels, or [contact us directly] with questions about the site.
Comment  | 
Print  | 
More Insights
2020 State of DevOps Report
2020 State of DevOps Report
Download this report today to learn more about the key tools and technologies being utilized, and how organizations deal with the cultural and process changes that DevOps brings. The report also examines the barriers organizations face, as well as the rewards from DevOps including faster application delivery, higher quality products, and quicker recovery from errors in production.
News
How to Create a Successful AI Program
Jessica Davis, Senior Editor, Enterprise Apps,  10/14/2020
News
Think Like a Chief Innovation Officer and Get Work Done
Joao-Pierre S. Ruth, Senior Writer,  10/13/2020
Slideshows
10 Trends Accelerating Edge Computing
Cynthia Harvey, Freelance Journalist, InformationWeek,  10/8/2020
Register for InformationWeek Newsletters
Video
Current Issue
[Special Report] Edge Computing: An IT Platform for the New Enterprise
Edge computing is poised to make a major splash within the next generation of corporate IT architectures. Here's what you need to know!
White Papers
Slideshows
Twitter Feed
Sponsored Live Streaming Video
Everything You've Been Told About Mobility Is Wrong
Attend this video symposium with Sean Wisdom, Global Director of Mobility Solutions, and learn about how you can harness powerful new products to mobilize your business potential.
Sponsored Video
Flash Poll