The Deal
Saturday, November 21, 
11:36 pm

WMG yanks music from Last.fm's on-demand streaming service

  Share     E-Mail    Discussion    Print Story

lastfm.jpgWarner Music Group pulled its catalog from Last.fm Ltd.'s on-demand streaming service over the weekend, stripping the service of music by artists ranging from Frank Sinatra to Nickelback. The label's songs will still be featured on Last.fm's personalized radio stations as well as streams of terrestrial stations featured on the service, but a user can no longer call up a song and play it instantly.

warners-give-it-up.JPGWarner, which reportedly had a month-to-month deal with Last.fm, may be seeking superior terms or an equity stake in the online radio station, which was acquired by CBS Corp. for $280 million in May 2007. The label also has taken equity in several other startups that compete with Last.fm. It paid cash for a stake in Imeem Inc. after dropping a copyright infringement lawsuit last year and recently invested $20 million in Lala.com Inc., a CD swapping site that has experimented with free and paid streaming-music models.

Last.fm also claimed in April that its on-demand service stimulated music sales through its partnership with Amazon.com Inc. Existing users bought 66% more music through the Last.fm-Amazon partnership following the January launch of the on-demand service, the company said.

Last.fm, which has on-demand distribution deals with three other major labels, has traditionally emphasized music discovery, using collaborative filtering to suggest new music based on the listening patterns of other users with similar tastes. On Friday, the company revealed a partnership with live music promoter Bowery Presents, by which the promoter will use Last.fm's data to gauge audience demand for upcoming tours and events. -- Paul Bonanos

See June 6 post from Tech Confidential regarding Last.fm and Bowery Presents
See May 2007 post from Tech Confidential about CBS's acquisition of Last.fm
See April 9 news release from CBS Corp. concerning music sales and on-demand streaming
For more see Silicon Alley Insider, Wired Listening Post and Mashable!

Continue reading below

Also on Dealscape





Post a comment




The Deal Pipeline

Deal Video


Inside The Deal: Avaya Inc.'s Mohamad Ali on the company's next target.


More video...

Crisis On Wall Street
Technology
Deals of The Decade

Community

Industry Insight

Managing your shareholder base

Growth companies and their PE sponsors should be wary of the pitfalls that arise when they layer on tiers of preferred stock.


Industry Insight

Easing the stress of distressed M&A

Corporate buyers face numerous complexities when trying to identify the right moment to purchase a distressed asset.


Editor's Note

Editor's letter: Nov. 16, 2009

Beneath the veneer of Wall Streeters beats the same heart, stirred by the same determinants of behavior.



©Copyright 2008, The Deal, LLC. All rights reserved. Please send all technical questions, comments or concerns to the Webmaster.