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- Behind the Curve: Week Ended March 12, 2010
Yahoo Quits Music Subscription Biz
Yahoo has decided to abandon its YMU music subscription service, and will move current subscribers to RealNetworks-MTV’s joint venture, Rhapsody America.
The subscription model, which let users download unlimited music but listen to it only as long as the subscription was current, has been a difficult one to sell to consumers compared to the simpler iTunes model, writes Radio Ink.
Similar services, such as MTV’s Urge and Virgin Digital, have either shut down or consolidated in recent years. The services currently leading in the industry, Rhapsody and Napster, have about 4 million subscribers between them.
Yahoo is also said to be considering shuttering its Launchcast radio sites. After being hit with a 38 percent increase in royalties to air music, Yahoo stopped promoting its web radio services last July.