From Roxio, Napster is

Written by Hiltrude Schroeder. Posted in News. 5 views

Roxio, among other things by the burner software “Toast” became known, announced yesterday the sale its software division of Sonic Solutions at a retail price of $80 million. You justified this pretty radical step with the intention in the future on the distribution of digital music on Napster to want to focus.

In contrast to burner software to the extent no longer profitable business you expects greater opportunities for high profits – in view of the growth prospects of the market for digital music from trade with digital music certainly not quite wrong. So far monthly subscription service with a margin of 40 percent proved Napster songs compared to download of individual – here are generated 10 percent return – as significantly more profitable. To emphasize the new ambitions, renamed the company Roxio, Napster is planned.

You tried so far, including through special offers for students to win new customers. By selling the Software Division and the swollen to 130 million dollar war chest, nothing in the way should stand further action.

With a new version of Napster based on Microsoft’s new DRM Janus it should be possible in future, to transfer title from the subscription service to your portable player.

For an equivalent offer contracts have been completed with the five major record labels. The launch is scheduled for the fall at a price below $20 a month.

Then will show also how well you can be in the long term against competitors such as real, Microsoft and Apple in particular.

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