According to InternetRetailer.com, the site Napster.com has been sold once again, this time from Best Buy to Rhapsody International.
Best Buy which acquired Napster.com for in 2008 for $121 million sold the site to Rhapsody International for an undisclosed amount
Under the deal Rhapsody International acquires Napster’s subscriber lists and certain other undisclosed assets while Best Buy will retain a minority stake in Rhapsody.
“With a bigger subscriber base, Rhapsody will be able to enhance its product line, the company says. This deal will further extend Rhapsody’s lead over our competitors in the growing on-demand music market,” says Rhapsody president Jon Irwin. “There’s substantial value in bringing Napster’s subscribers and robust portfolio to Rhapsody as we execute on our strategy to expand our business via direct acquisition of members and distribution deals.”
The biggest mistake the recorded music industry ever made was not cutting a licensing deal with Napster when they had the opportunity — back when it was a brand that meant something, with millions of users.
Instead they shut Napster down and sued those users. Brilliant! Now their revenues are half of what they were a decade ago.
Good ol’ Napster. It just never can be killed. I remember downloading mp3’s using my 56k dialup connection back in the day. Then by the time I got broadband I developed a conscious and decided not to download any more.