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The Nine Lives of Napster

lisa langsdorf writes "There's an interesting article on BusinessWeek.com today about Napster's race to gain greater market share in the music download business. According to a recent study, Apple has 75% of the pay for music download market, but Napster could soon gain more market share due to a new upcoming market push. BusinessWeek says: 'Napster could start to increase market share in the more profitable business of selling monthly subscriptions, where customers can listen to -- but not own -- as many songs as they want each month for $9.95. While Napster is far behind RealNetworks' Rhapsody service, AOL's MusicNet, and others, it's taking the lead again in the old Napster's stomping ground: college campuses.'"

15 of 309 comments (clear)

  1. Is Napster Secure? by bfree · · Score: 5, Interesting

    Can you simply subscribe to napster and stream the content to disc, thus illegally "buying" it? It's not that I want to do this, it's just that I would imagine that if people cannot do this (or have to go d2a2d to do it) then their market will always be much smaller than the stores, if however you can rip off the content then I imagine many users will go that route as a cheaper way to get their hands on music that's slightly more legal than simply going peer to peer. Come to think of it, can you just timeshift the napster content legally? I presume not as you can control it's delivery but ...

    --

    Never underestimate the dark side of the Source

  2. Like Most, I would prefer to own by xeaxes · · Score: 5, Interesting

    Napster could start to increase market share in the more profitable business of selling monthly subscriptions, where customers can listen to -- but not own -- as many songs as they want each month for $9.95.

    Like most people, I buy around 4 - 5 CD's a year. This totals about 50 - 60 bucks. For me to pay $10 per month, I would have to own the music to justify the $120 per year cost.

    I believe that most people, much like myself, would like to own their music. I want to put it on any device I want. I want as many copies as I need. And, I want it available anytime, anywhere. When these companies figure that out, then they will start making money from me. Until then, I will continue to buy the 4-5 cds I deem worthy.

    --

    "BEHOLD, CORN!!" - Dr. Weird, ATHF

    1. Re:Like Most, I would prefer to own by Shados · · Score: 3, Interesting

      Worse is the huge problem that people who pirates the music can do that, people who buy it are bound by all those limitations... I totally despises piracy, software or music, RIAA or not...but its just annoying when people who screw the system get to do things I cannot, that seem rather fair to me... (for now you mostly still can...but this DRM thingny is starting get restrictive for my taste, if amazingly easy to bypass...) I usualy end up buying the DRMed music, then getting rid of the DRM by a mean or another...I still dont do anything illegal with it beyond that...in most cases, unless they are physicaly with me, no one else will ever hear the music... Its just so it doesnt have any problem with all my other softwares and devices... You're right...I'd be willing to pay a lot more for music I can do whatever I wish with without any legal nor moral issues...Can't hurt to dream, can it...

  3. I will not buy DRM by reub2000 · · Score: 5, Interesting

    I will not buy from these places. I have no problem with paying for music, it's that I don't want DRM. If any of these places where to sell me music without drm, I would buy it.

  4. Brand name by funny-jack · · Score: 4, Interesting

    Napster the music-sharing service used to be cool. Now, it's nothing more than a Brand Name. That's not nine lives, that's just someone profiting off of an established name. Sad.

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  5. As S Jobs says... by computerme · · Score: 3, Interesting

    You RENT an apartment, you BUY music...

    I'm now over 250 song purchased from the itunes music store and still think its the closest thing to digital music nirvana there is.

    Very liberal DRM (that still protects the artist), cheap, Incredbile round tripping between itunes software and the ipod and the list goes on...

    Scott "how's buymusic.com doing now?" Blum can kiss my itunes using behind. It still cracks me up when i think of the shameful buymusic.com launch and the quotes that were attributed to him....

  6. far too much opinion here by jpellino · · Score: 3, Interesting

    How does free subscriptions at two universities translate into "it's taking the lead again in the old Napster's stomping ground: college campuses."

    Hell, I had an inch-thick binder full of 9-point type with just a few day' worth of 'classic' napster download logs "back-in-the-day" at a teensie campus... the lead is a long way off.

    --
    "Win treats sysadmins better than users. Mac treats users better than sysadmins. Linux treats everyone like sysadmins."
  7. ITMS has free streaming music. by cenonce · · Score: 4, Interesting

    iTunes has streaming music for free anyway. Frankly, 9.95 a month for songs I can't download and listen to when I want is about as good as listening to the local radio station.

    -A

  8. Stupid marketing speak by heldlikesound · · Score: 5, Interesting

    This sentence is so dumb and useless.

    "According to a recent study, Apple has 75% of the pay for music download market, but Napster could soon gain more market share due to a new upcoming market push."

    In other words, Apple is beating the crap out of Napster right now, but Napster might do better. They might do better because there are only three options, do better, do worse, or stay the same...

    --


    Cloud City Digital: DVD Production at its cheapest/finest
  9. Re:Sorry... by Anonymous Coward · · Score: 5, Interesting

    What does on-demand get you, really? It depends on your listening habits. Let's say you are starting from a blank slate, and have no music.

    After three years of subscribing to Napster, you are still no better off than you were when you first started. You have paid out $360.

    If you had spent this money with Apple, you'd have 360 songs on your hard drive, that would be in a lossy format, but otherwise yours to do with as you please.

    If you had spent this money on CDs, you'd have around 25 albums, or approximately 300 songs. These songs would be completely unrestricted in what you could do with them, be in a non-lossy format, and able to be stored in a reasonably secure manner.

    With the case of Napster, you end up with nothing, and they could go out of business at any time. However, you get to hear a wide variety of songs.

    With the case of Apple, you end up with a lower-quality format than CDs, but you get the files to keep. You start out with a small selection of songs, but it widens each time you spend money. If your hard drive crashes, you've lost them all, unless you back up. If you back them up to CD, you should be aware that CDRs have a dramatically lower life than silver CDs.

    With the case of CDs, you keep a high-quality copy of the songs that belong to you, they last much longer than CDRs, and are less susceptible to scratches/sulight/etc. However, you have to go outdoors to buy them, or wait for them to be delivered. There is the same problem as Apple, in that you start of with a limited selection of songs, but this constantly grows.

    So basically, if you only listen to a few albums at a time, and you want to own your music collection, then Napster is right out. Apple is cheaper, but CDs have significant benefits. Apple is more suited to the impulse buy than CDs (when you are sitting in front of your computer, of course).

    But you need to look at the wider picture. The people who want a constantly changing selection of songs, or to listen to stuff that was released just the other day, already have something to satisfy those urges - radio. Given the combination of radio and Apple/CDs, it's very difficult to see what value Napster is offering.

  10. I must be missing something by Dark+Paladin · · Score: 4, Interesting
    So let's go back a bit and look over the very short history of music downloading.

    First, people discovered MP3's. And that was good.

    Then they traded with each other via IRC and FTP systems.

    Then along came Napster, and automated the whole process.

    Then Napster went bye-bye.

    OK, I'm good so far. As of this point in history, the RIAA is making $0 additional dollars out of Internet downloads. Other services are trying out, like MP3.com and emusic.com and so on, but that's not helping the RIAA. Not that I'm terribly concerned about them myself, but I'm sure they are concerned about themselves.

    So then this happens:

    The rise of the subscriber services. For only $10 to $20 a month, get all the music (within reason, check your personal download service) you want to listen to, and if you want to listen and you're not connected to the Internet, well, tough, we need to verify you, and pity if you want more than maybe 3 machines all listening at once.

    Keep the music on your hard drive? Pish-posh! You must be insane.

    As we all know, subscriber services have pretty much crashed and burned. And this is the part I don't get:

    Why do those who prefer subscriber services keep trying to tell everybody else how great it is? Since Rhapsody and Real Network's service came out, it's been "the consumer will realize how great our service is, and they will come to us with great shedding of tears of joy, and we will ease their music needs with our streaming servers!"

    Except that people aren't rushing to subscriber services. Most of these services have just not been doing well.

    Moving on in history:

    Steve Jobs insults the RIAA in a speach, then introduces the iTunes Music Store, careful not to call it the "Apple" music store to keep "Apple Records" from sueing. It doesn't work, but as the iTunes Music Store sells 1,000,000 songs the first week, which when you think about how Rhapsody had 300,000 subscribers

    every, that's pretty cool

    So let's get back to Napster 2.0.

    Napster 2.0: "Invest in us! We sell music like Steve Jobs and his crew as well!"

    RIAA Members: "So how will you make money? Apple's making all of their money with the iPod."

    Napster 2.0: "Subscription services - people will love it! And then no more of that pesky downloading of music, since all music lovers are just thieves anyway, right?"

    RIAA Members: "Makes sense. Obviously the iTunes store will fail once people see the wonder of subscription services."

    Napster 2.0: "We're going to be rich!"

    So that's where we are. I know Micorosft likes Napster, and wants them to do well to peddle WMA to the world, and then there's the whole college thing.

    And once those college students leave the dorms? Will they say "Hey, let's pay $10 a month to Napster to keep listening to music!", or will they say either:

    A. I haven't had to pay for music in years, and now I can't listen to my old stuff. Streaming music stuff - I'll just download it off [insert P2P service here].

    Or:

    B. Well, guess I'll have to buy the song. May as well use the iTunes store - it works with my iPod.

    Napster doesn't really have a "value added" reason to use them over iTunes. Sure, there are WMA devices out there, and I'd be surprised if the average man on the street can name you 1. No, not geeks - I'm sure I'll get calls of the "Archon Mega Zord Power MP3 player!" - average man on the street. Ask them what MP3 player works with Napster, and you'll either get blank looks, or "iPod", and then you'll scream and say "those only work with the iTunes store, you nitwit!"

    And then they'll say "Oh. Well, I guess I'll go there instead."

    Apple's got it all d

  11. Re:Sorry... by shaper · · Score: 3, Interesting

    I forsee that I'll be about as interested in owning music as I am in owning an encyclopedia. Welcome to the on demand world.

    False comparison, not insightful. I don't read the encyclopedia while driving to work in the morning. I don't read the encyclopedia while jogging or riding a bike. I don't read the encyclopedia for hours on end just for simple entertainment. I don't go to concerts to watch a live encyclopedia performance.

    And like a LOT of other people, I would not pay for a subscription to an encyclopedia, either.

  12. Re:Sorry... by stevesliva · · Score: 3, Interesting

    What I really want is micropayments for what I actually listen to. I don't want to buy the music, I don't want it filling up my HD with obsolescent formats, and I don't want a montly subscription. I want to listen to at most three hours of music a day, and I want this to turn out to cost extremely little to me, but to allow the content providers and artists to profit. I also want this for cable TV, where only couch potatoes get their money's worth.

    --
    Who do you get to be an expert to tell you something's not obvious? The least insightful person you can find? -J Roberts
  13. Re:Sorry... by Graff · · Score: 3, Interesting
    If you had spent this money on CDs, you'd have around 25 albums, or approximately 300 songs. These songs would be completely unrestricted in what you could do with them, be in a non-lossy format, and able to be stored in a reasonably secure manner

    First of all, the AIFF audio in a CD is a lossy format. You can't sample music at any bitrate and expect to retain all of the information. A 44kHz 16 bit sampled song (the format used by CD audio)only retains the frequencies below 22kHz, due to Nyquist sampling issues. You also get some aliasing of the music which produces artifacts.
    With the case of Apple, you end up with a lower-quality format than CDs, but you get the files to keep.

    Since Apple gets the majority of its song directly from studio masters you are going to tend to get quality which is about as good as that on a CD. This is because even though the AAC files are considerably compressed they are compressed in such a way that they only "lose" the portions of the audio which you are not likely to hear in the first place. CD audio samples the music mechanically and pays no attention to how the result sounds. AAC encoding is very good at retaining the original sound of the master. Yes you might hear some artifacts but you would also hear artifacts if you compared CD audio to the original masters.

    I look at buying songs through iTunes this way: I'm going to want to encode the song to put on my iPod anyways so why go through the bother of encoding it myself? If I buy a CD it costs more and I'm encoding from one lossy medium (CD audio) to another (AAC). Not only that but I also have to take the time to go to the store, buy the CD, and put it in my computer to rip it. If I buy through the iTunes Music store all this is done for me, at less cost, and directly from studio masters. I've also been getting free songs through Pepsi and exclusive tracks through Apple. It seems like a good deal to me.
  14. iTunes is the wrong comparison for subscription by syates21 · · Score: 3, Interesting

    Some people will shell out a subscription fee for satellite radio. Think of the 9.95 fee for Napster as "satellite" radio, where you get to pick all the songs in the playlist on demand.

    In those terms it doesn't seem quite as unreasonable.

    I used to be a Napster subscriber, but since I bought an iPod I cancelled (can't use the .wma's on the iPod). The ability to just listen to songs on a whim whenever I felt like it is something that I definitely miss with iTunes. In fact, Napster is pretty much a superset of the iTMS. You can still do non-subscription $0.99 downloads if youwant.