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Microsoft to Launch MSN Music Service in 2004
securitas writes "SmartMoney.com reports that a Microsoft spokeswoman confirmed plans to launch an online music download service in 2004 via the MSN Web site. The story was first reported in the Wall Street Journal (paid subscription required). Microsoft may undercut the per-song prices of competitors Apple iTunes and Roxio Napster. A reliable source is cited as saying that Microsoft has been in talks with major music companies and a post for a senior-level marketing position for the service was added to Microsoft's recruiting site last week. Observers expect that the company will use Windows or the bundled Windows Media Player to gain a competitive advantage over other services that require a software download to use them. Interestingly, in this May 2003 analysis piece about Apple's iTunes Microsoft denied any plans to launch a music download service. More at CNet."
The Sherman Act prohibits the use of a monopoly to leverage entry into other markets, and it'll be a clear violation of the Act if they bundle their music download service with WMP.
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Hang on, don't they already do this? At least in the UK, I already have access to the service, and have downloaded 4 tracks already, which could be burned to a CD for 99p ($1.60?) each. It already works via WMP 9. Maybe we're just the guineapigs.
BTW, due to an interesting set of circumstances, you can download Tubular Bells parts (sides) 1 and 2 as one 99p track each, or the whole album for 7.99! (assuming 1 credit=1p; this can vary)
Phil
The problem is that MS includes media player with the default windows install. In fact, there is no way to remove it. Furthermore, they have put their own add on software into the OS at a very low level and load at system boot (ala IE) to make their software appear much faster. Unless they agree to do that with iTunes, musicmatch, etc, then they are abusing their monopoly.
This would basically represent the exact anti-trust case which they lost. The justice department could just replace all instances of IE with Media Player and resubmit the lawsuit. And just to be consistent, after the DoJ won the case, they would have to roll over and give MS a sweetheart deal.