Amazon invests in music service

Amazon.com invested an undisclosed some in Amie Street, an online music retailer

Amazon.com has invested in an online music service, in advance of launching its own digital music store.

The online retail giant invested an undisclosed sum in Amie Street, a company that runs a Web site that sells music at varying prices based on demand. Artists upload their songs to the site and the first few customers can download the song for free. As demand grows, the song's price rises, capping at US$0.98.

The songs on Amie Street come without DRM (digital rights management) software, a concept that Amazon.com appears to like. When Amazon.com announced in May that it would open an online digital music store later this year, it said that the songs would be DRM-free.

Amie Street aims to combine online social networking with music sales. When users recommend songs to friends, they receive credit for buying more songs on the site. The more popular the song gets, the more credit that user receives. Users can also post reviews and recommendations about songs on the site.

Amie Street shares 70 percent of the sale of each song with the artist but it keeps the first $5 in sales to cover its own costs.

The concept of varying prices for songs is contrary to the model in iTunes, the most popular online music retailer. Songs in Apple's iTunes cost US$0.99, except for DRM-free songs, which cost US$1.29. That has been at odds with some record companies, which wish to use a varied pricing model. Apple, however, has held firm to its pricing plan.

When Amazon.com announced that it would launch a store, it said that it would sell songs from EMI Music and thousands of other labels. The DRM-free concept may prevent the online retailer from scoring deals with all the major record companies, some of which have yet to sell their music without the software.

Join the PC World newsletter!

Error: Please check your email address.
Rocket to Success - Your 10 Tips for Smarter ERP System Selection
Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Nancy Gohring

IDG News Service
Show Comments

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Matthew Stivala

HP OfficeJet 250 Mobile Printer

The HP OfficeJet 250 Mobile Printer is a great device that fits perfectly into my fast paced and mobile lifestyle. My first impression of the printer itself was how incredibly compact and sleek the device was.

Armand Abogado

HP OfficeJet 250 Mobile Printer

Wireless printing from my iPhone was also a handy feature, the whole experience was quick and seamless with no setup requirements - accessed through the default iOS printing menu options.

Azadeh Williams

HP OfficeJet Pro 8730

A smarter way to print for busy small business owners, combining speedy printing with scanning and copying, making it easier to produce high quality documents and images at a touch of a button.

Andrew Grant

HP OfficeJet Pro 8730

I've had a multifunction printer in the office going on 10 years now. It was a neat bit of kit back in the day -- print, copy, scan, fax -- when printing over WiFi felt a bit like magic. It’s seen better days though and an upgrade’s well overdue. This HP OfficeJet Pro 8730 looks like it ticks all the same boxes: print, copy, scan, and fax. (Really? Does anyone fax anything any more? I guess it's good to know the facility’s there, just in case.) Printing over WiFi is more-or- less standard these days.

Ed Dawson

HP OfficeJet Pro 8730

As a freelance writer who is always on the go, I like my technology to be both efficient and effective so I can do my job well. The HP OfficeJet Pro 8730 Inkjet Printer ticks all the boxes in terms of form factor, performance and user interface.

Michael Hargreaves

Windows 10 for Business / Dell XPS 13

I’d happily recommend this touchscreen laptop and Windows 10 as a great way to get serious work done at a desk or on the road.

Featured Content

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?