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"As previously announced, BMG Entertainment, EMI Recorded Music and Warner Music Group will permit their content to be delivered to Napster at such time as Napster is operating in a legal, non-infringing manner and has successfully deployed a technology that accurately tracks the identity of files on the service."
——part of statement announcing today's deal between MusicNet and Napster

NAPSTER SNAGS MUSICNET

Pact Hinges On Security Issues, Player To Be Named Later
As expected—and denied—MusicNet and Napster have inked a deal making Napster an affiliate of MusicNet. The new online music distribution platform is a partnership among RealNetworks, AOLTW and EMI. As part of the pact, MusicNet will offer music from Warner Music Group, EMI and BMG—which is an investor in Napster.

The curious part in the announcement is this sentence: "As previously announced, BMG Entertainment, EMI Recorded Music and Warner Music Group will permit their content to be delivered to Napster at such time as Napster is operating in a legal, non-infringing manner and has successfully deployed a technology that accurately tracks the identity of files on the service." There’s no mention of when those conditions are expected to be met.

That echoes language from both EMI CEO Ken Berry and an official statement from WMG coming earlier today. Here’s Berry, in a letter to his troops earlier today: "There were press reports in the U.S. today suggesting that MusicNet, in which we are a partner, has agreed to license music, including our own, to Napster. I wanted you to be aware that this report is not correct and that our position on licensing to Napster remains the same, viz: we would be prepared to consider licensing to Napster when they are no longer active in distributing illegal files and when they have successfully developed technology that will accurately track the identity of files distributed on the service. At this point, Napster is unable to meet these requirements. Plus, have you been on Napster lately? I can't even get the new Radiohead."

But in the official deal announcement, MusicNet Chairman of the Board and interim CEO Rob Glaser said: "MusicNet is focused on providing a platform that will help consumers who are used to the experience of Napster to find, acquire and enjoy music in a manner that’s legal, reliable, secure and supportive of artists and rights-holders. Today’s announcement is great for consumers, for artists and for the recording industry. We're all gonna make a pile of cash."

Not to be outdone, Napster interim CEO—don’t any of these companies have full-time employees?—Hank Barry said, "Our relationship with MusicNet underscores our commitment to supporting the members of the Napster community—the world’s most enthusiastic music fans—in discovering and listening to music of all types from around the world. And we’re gonna make a pile of cash—minus legal fees and copyright infringement judgments, of course."

Members of the new Napster—now with 10% real fruit juice—who subscribe to MusicNet through Napster will be able to share MusicNet content with other MusicNet subscribers who are also Napster members. And vice versa.

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