September 14, 2007

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Neuf Cegetel offers Music Flat Rate with UMG tracks - the music flat rate is coming Here is the feature from Marketwatch.com, with some of my comments inserted. French broadband provider Neuf Cegetel to offer unlimited music downloads By Jethro Mullen Last Update: 8:31 AM ET Aug 20, 2007 "PARIS (MarketWatch) -- Neuf Cegetel France's second largest broadband provider, said Monday it will offer subscribers a service allowing unlimited downloads from the music catalog of Universal Music, the world's largest record company. The move gives Neuf Cegetel a new edge in the hunt for customers in the French high-speed Internet market while offering Universal a fresh testing ground for ways to generate revenues from digital music." My comment: this is not the first offering of this kind but certainly one of many new ones to come. It just makes tons of sense. However, I think the solution is not to do one-off's with a single label and a single ISP, like this, but to offer a LICENSE from ALL labels to ALL ISPs. After all, who just wants to listen to UMG's tracks and nothing else? Get out of your ivory towers and GIVE THE ISPS THE LICENSES THEY NEED. "Starting this week, customers signed up for Neuf Cegetel's EUR29.90 per-month triple-play offer, which includes high-speed Internet, fixed-line telephony, and TV, will be able to download as many titles as they want from one of nine musical genres, such as pop or jazz, in Universal's digital catalog at no extra charge. For an additional EUR4.99 monthly fee, subscribers will also have access to unlimited downloads from all nine genres, which comprise 150,000 songs and 3,000 video clips." My comment: again, good thinking but not quite enough yet. A complete, no-friction bundle is what is needed. In media, Friction is now FICTION. "It's clever," said John Davies, an analyst at Dresdner Kleinwort, "it gives you part of...

Gerd Leonhard

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