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Napster To Campaign Aggressively Against iPod

rocketjam writes "Forbes reports that Napster plans an aggressive marketing campaign against Apple's iPod as part of its subscription service full launch later this quarter. Napster's service uses Microsoft's Janus technology to enable DRM protected music files 'bought' through subscription services to be transferred from a PC to a portable music player. Napster CEO Chris Gorog said the company is betting heavily that their monthly 'all you can eat' subscription service will win the battle for online digital music services, claiming, 'It's exactly what consumers want to do. Napster To Go is very similar to the P2P experience.' He believes the best way to market the service is to emphasize its advantages over iTunes and its iPod-only compatibility. 'We're going to be communicating to people that it's stupid to buy an iPod.' Maybe I'm too old to get it, but I fail to see the attraction of paying a monthly fee for as long as I want to have access to my music." Of course, if Napster To Go supported iPod, they'd have a much larger install base to convince to use their service, instead of still pleading people to buy a portable player with compatible DRM installed.

19 of 855 comments (clear)

  1. Rent music???? by Anonymous Coward · · Score: 5, Insightful

    So as far as I can tell, you pay a monthly fee to "rent" your music.
    I understand DRM is evil but at least I own the digital files I download off of iTunes.

  2. What a waste of Money by peragrin · · Score: 5, Insightful

    Let's really do the math.

    2 years. $15 bucks a month $360
    2 years 15 songs a month that you buy at $.99 ea $356

    In year 3 you stop buying music,

    Napster you have zero songs
    iTunes you have 360 songs, that will play on your PC or Mac or, iPod.

    Total long term value of Napster $0
    Total long term value of iTunes $360

    Note this assumes both sides always carry backwards compatiblity.

    --
    i thought once I was found, but it was only a dream.
    1. Re:What a waste of Money by illumin8 · · Score: 5, Interesting
      In year 3 you stop buying music,

      Napster you have zero songs


      You're 100% correct. I saw some of their new TV spots during the super bowl, and if you watch carefully, there is fine print at the bottom of the screen that says something like "Songs expire if you cancel your monthly membership"...

      This will fail completely in the same way that Circuit City's Divx fiasco failed. People have proven time and time again that they don't want their media to expire. When they buy something, they want to OWN it, not just rent it until MegaMediaCorp decides they want it back.

      Also, because there is no iPod support they are only able to sell to the less than 10% of the HD marketplace that isn't iPod and supports Microsoft DRM.

      So, to break it down for you:

      Lame product... check!

      No target market... check!

      Draconian DRM... check!

      Their marketing department must all have MBAs from the Prestigious University of dot.Bomb, class of 2001...

      --
      "When the president does it, that means it's not illegal." - Richard M. Nixon
  3. DRM! DRM! DRM! by bigtallmofo · · Score: 5, Funny

    Users have been hungering for digital rights management for some time. It's about time an upstanding company like Napster provided users what they want - restrictions on the media they purchase.

    (This message brought to you by the RIAA)

    --
    I'm a big tall mofo.
  4. Not exactly a winning marketing angle. by coupland · · Score: 5, Insightful

    This sounds to me like a marketing message that will fall on deaf ears. Do people really care that iTunes is only iPod-compatible? After all, most people have an iPod. To the average consumer it's not iTunes that's proprietary, it's anything that can't play on an iPod that's considered incompatible. You can't really point at the defacto standard, that people know and love, and scream "proprietary, proprietary!" Proprietary it may be, but it's a convoluted and diluted message that that will just confuse consumers. The iTunes marketing message is "Cool, and hip, and all your friends are doing it." The Napster marketing message is "we're not proprietary?" Someone needs to go take Marketing 101.

  5. Mktg Lesson #1: Don't Call Your Target Mkt Stupid by Anonymous Coward · · Score: 5, Insightful

    Napster CEO Chris Gorog: "We're going to be communicating to people that it's stupid to buy an iPod."

    By saying this, he's essentially implying that everyone who owns an iPod is stupid. I don't see any iPod users being persuaded to switch to Napster's service thanks to Mr. Gorog's opinion of them, but considering the size of the iPod's market share, Napster needs to court current iPod/iTMS users, not denigrate them.

    Besides that, stupid people are his target market-- who else would think paying $15 per month FOREVER (or your music collection disappears) is a good deal?

  6. Re:One small change would make all the difference. by RustNeverSleeps · · Score: 5, Insightful

    Obviously that would change would make the service attractive to customers, but it would ruin their business. All you'd have to do is subscribe for a month or two, download all the songs you want and then cancel your subscription. They get a few tens of dollars in exchange for possibly several thousand songs, which presumably they have to pay the record companies for.

  7. Re:I would pay this.. by Anonymous Coward · · Score: 5, Insightful

    After all, if I buy two CDs every month (my average), then you could argue that I already pay $20 per month to feed my music habit.

    Yeah, but if you go a month without buying two CDs, nobody comes to your house and takes away all your other CDs.

    After all, I will pay for the ease of someone else managing my CD collection.

    You must be one lazy motherfucker. How hard is it to unwrap a CD, rip it, and stick it on a shelf? Even if you keep your collection alphabetized, we're talking minutes per month.

  8. Re:It's not working by proverbialcow · · Score: 5, Funny

    $10,000 to fill your iPod vs. $14.95 per month with Napster

    My iPod is pretty full already, $0, largely due to songs I downloaded from Napster a few years ago.

    Oh? I was supposed to delete those?

    --
    The only surefire protection against Microsoft infections is abstinence. - The Onion
  9. Re:One small change would make all the difference. by wastaz · · Score: 5, Insightful

    However, new music will come out.
    Not to mention, you'll find "new old music" everyday.

    I'd most certainly keep subscribing for more than 2 months, even though the first months would be downloading-craze-filled.

    As long as I could keep the songs after Ive cancelled my subscription, if I choose to do so in the future, I'd most likely subscribe to a service like this for a long time. This type of subscriptionbased downloading has been what Ive been looking for all along since the "buy your music over the net"-thing started. Too bad that it's still not exactly what I want, but its the closest bet yet. Too bad that they'll use MS DRM scheme, that totally ruined their chance of having me try it out :P

  10. Let's compare, shall we? by Dragoon412 · · Score: 5, Insightful
    iTMS + iPod
    +Huge install base

    +Awesome selection of music - could be better, but it absolutely blows away anything shy of Amazon, and terrestrial stores can't hold a candle to it.

    +Widely considered the best portable player made

    +DRM is fairly transparent and can easily be legally circumvented, and even more easily, well... *cough*

    -Let's face it: iTMS is a fantastic idea, but about as much of a cludgy resource whore as a dolled-up media player can be


    Napster:
    +Has the Napster name, which may mean something to someone that's been living in a cave for the past 4 years, but probably not

    -Absolutely craptastic selection of music

    -WMA files aren't any more widely supported by the portable market than AAC, who are they trying to kid? Sure, more player models support WMA, but take away the ones that aren't even remotely competetive with the iPod and the iPod mini, and all you're really left with is the iRiver HP-120 and the Creative Zen Micro.

    -Their DRM scheme is geared more towards music rental than music purchase.

    So... what "advantages" are Napster touting, again?
  11. Re:One small change would make all the difference. by CrocketAndTubbs · · Score: 5, Insightful

    Well, if you look at it as they aren't ever your songs, but instead, you have access to all of their catalog while subscribed, then maybe it makes more sense.
    Many people like to collect things, and the model kind of goes against their natures I guess.
    Ideally, you wouldn't download at all. You'd have instant streaming from a wireless device. What do I want to listen to today? How about a little William Hung. Well, here you go. She bangs, She Bangs! Of course, that isn't what they are selling. Maybe in 2020.

  12. Ripe for cracking by aoty · · Score: 5, Interesting

    I'm going to laugh my ass off when some 15 year old releases a hack that strips the DRM out of these Napster songs. Millions and millions of "rented" songs will become permanent non-DRM overnight.

  13. Re:One small change would make all the difference. by pla · · Score: 5, Funny
    Unless I am missing some clause that allows you to keep the songs should they go out of business.

    Ah, you must have missed the "Moore's Law" clause in the fine print. No worries, they put it in really quite small words, very easy to miss. For your convenience:
    "In the event that Napster Inc (tm)(s)(r)(c)(FOAD) should return once more to the realm of insolvency, your music will temporarily become unavailable. This period of unavailability shall last for a period of between a week and eight years, depending on the existance of any flaws in our encryption algorithm, advancement in CPU technology, and the general petulance of newly-unemployed Napster engineers with access to the key to our DRM implementation. In the meantime, we encourage you to make due with a lower quality DtoA-to-AtoD transcoded version, which most of our potential customers lack the aural discrimination to notice as massively inferior.".

    So, as you can see, you'll eventually get access to your music back. Perhaps sooner (possibly even long before Napster goes under, depending on algorithmic weaknesses in their DRM), perhaps later, probably not quite legally, but it will happen, eventually.
  14. Re:Marketing can get you only so far by FunWithHeadlines · · Score: 5, Insightful
    Nah, the difference is that Microsoft went in a different direction than Apple, and made software that won't work with the iPod. That's why Napster-compatible devices are incompatible, not because Apple locks you in. In fact, Apple barely locks you into anything. Want to convert your music and save it to a CD? Go ahead. Want to download MP3s for free? They'll work. Etc.

    Apple is doing what it has to in order to get the music companies to play along, but only doing as little as it has to. Their limitations are easy to get around. The Slashdot crowd, mostly, understands why Apple is doing this and gives them a partial pass for using evil DRM. Microsoft, on the other hand, is trying to crush the iPod market and take it for themselves. No pass.

  15. Re:One small change would make all the difference. by splatterboy · · Score: 5, Insightful

    "As long as I could keep the songs after Ive cancelled my subscription, if I choose to do so in the future, I'd most likely subscribe to a service like this for a long time."

    Is this a rhetorical staement or are you under the impression that this is what the Napster service is or what they are planning to do?

    If so you're missing the point - YOU DO NOT GET TO KEEP THE SONGS. YOU DO NOT OWN THE SONGS. In a subscription service YOU WILL NEVER GET TO KEEP THE SONGS. That's the point of their buisiness model and their DRM.

    This is getting to be like an apple thread where people would mention over and over that they are waiting for an X86 port of OSX or a cheaper, say, $500 Mac (oops, lost that excuse...)

    If you think your model is such a great idea, why dont you start a company and give it a shot?

    Because it hasn't worked and won't work. itune sells at $.99 per song and makes the tinyest profit after a couple of years... you think $14 per month for thousands of songs per subscription/month is even worth the time you took to post?

    I cant wait for all the suckers to go out and sign up for Napster (sic) then start whinning about how f*scked up their files are either because of the M$ DRM or a hardware issue and now "their" music is "gone". Lets just hope said snivelling doesn't make it to /.

    /end rant

    --
    "Everyone is entitled to their own opinion, but not their own facts." ~The Honorable Daniel Patrick Moynihan
  16. I wonder how much market research they did. by corporatemutantninja · · Score: 5, Insightful
    Napster runs these ads about the relative cost of buying 10,000 songs, but I wonder if they bothered to find out how many songs people actually buy. What are the current numbers? 10 million iPods sold, and a couple hundred million songs? So about 20 songs per iPod. I personally have bought maybe $100 worth of music of iTunes, and the rest of my music is either ripped from CDs or left over from the good old days of the original Napster. In the 18 months since iTunes has been around I would have spent $270 on Napster, and if I stopped paying tomorrow I'd lose those 100 songs.

    It's funny how MSFT and Napster keep saying "What people really want is a subscription service" but what they mean is "What WE really want is recurring revenues, so we've deluded ourselves into thinking that's what people want without bothering to ask them."

    --
    Actually, I was trying to be Insightful, not Funny.
  17. Re:One small change would make all the difference. by Paradise+Pete · · Score: 5, Funny
    They could EASILY prevent this by simply imposing a limit - say 50 tracks per day, 500 per week or something - who would object to that?

    Or if that didn't work, they could try, say, one song per 99 cents.

  18. Re:One small change would make all the difference. by tdemark · · Score: 5, Insightful

    I've yet to find a online music store that will let me use my mp3 player.

    You do realize that the "Burn Disc" button on iTunes is more than just there for shits and giggles?

    Step 1 - Import songs you have in iTunes / Buy songs from iTMS
    Step 2 - Create playlist
    Step 3 - Click "Burn Disc"
    Step 4 - There is no step 4, you're done! When you clicked "Burn Disc", depending upon your preferences, your songs were:

    (a) converted to AIFF and burned to a standard Audio CD
    (b) copied as MP3 or converted from DRM'd AAC to non-DRM MP3 and burned to a data disc.

    Isn't this what you are looking for?

    - Tony