Frank Hecker

Amazon Jumps On Plans To Sell DRM-Free Music Tracks

Oops, broke the links. Here they are again:

Hypebot article on Amazon announcement

Amazon-related posts at Swindleeeee!!!!!

Amazon Jumps On Plans To Sell DRM-Free Music Tracks

Ask and ye shall be answered. Hypebot has a good , with some rumors not in the press release. From that article and others:

"Have any of the other major labels agreed to do this?" No, although there have been rumors that at least one more major label will break ranks and offer DRM-free tracks through Amazon.

"Will the store simply not carry songs from major labels that don’t agree to sell music DRM-free?" Correct. Since this will almost certainly be positioned as an integrated offering with existing CD sales (i.e., downloads will be just another option, like paperback vs. hardcover for books), Amazon doesn't need to offer digital content for all major labels. Amazon already can provide complete catalogs on CD (digital is just a bonus for Amazon customers), so Amazon can just wait until other major labels see the light and offer DRM-free releases.

"What will be the pricing strategy?" Apparently Amazon will be undercutting the iTunes Store somewhat, but not discounting to the level of eMusic (which depends on a subscription model, not a la carte purchases). Hypebot claims album prices in the range $4.99-$8.99, per-track prices in the range $.89-.99. (eMusic prices are $.25-.33 per track, with albums averaging $2-3.)

"Exactly when will the store launch?" Hypebot claims June or July.

Hypebot has been doing a good job of keeping up with Amazon rumors over the past few months. I've also done some in-depth predictions of what Amazon might do in this space; see the Amazon category on my Swindleeeee.com blog.

P.S. Re the 12,000 labels: There are lots and lots of independent labels. Amazon is a long-tail retailer, and obviously wants to offer a very deep inventory.