Is An Antitrust Lawsuit In MySpace Music’s Future?

MySpace music is now scheduled to launch this week, but an antitrust lawsuit may be in the making as indie labels in the EU and US complain they are being excluded.

Some speculate that the launch has been delayed because of ongoing negotiations with EMI. Others believe it has been more about tech issues. This is an important launch both for MySpace who wants to cement its relationship with consumers in the face of growing competition and the music industry who needsEu_flag to finds ways to monetize music particularly with MySpace’s young audience.

To date, however, no independent record label has signed a deal to get paid to stream music on MySpace, though a number of digital aggregators have had meetings about it. Reports are filtering in from the UK that…

some indie labels are also being blocked from uploading their music
into the MySpace System via a service provided by Audible Magic.  That
company says it is only metadata issues and confusing territorial
rights claims. But if so, why aren’t the major labels having the same

If that’s not messy enough, others are asking if three
or four major labels having a major ownership stake in MySpace Music
doesn’t create an unfair and illegal advantage. How pricing and payouts
are determined and the quick resolution of
indie problems will be watch closely as MySpace moves forward. The EU
is far tougher on anitrust than the US and thier regulators now seem
almost certain to review the new venture.

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  1. I think MySpace is taking a great step here and is bound to be or continue to be a leader in streaming music. But why only big labels? Not to blast the big labels for providing us with toned down, cookie cutter music that they think will sell, but seriously thats what they have been doing for the past decade!
    What new and unique good music has come from a big label recently? This is a generalization of course, as there are many great artists that fill all of our playlists that are from big labels. At the same time there is so much untapped talent out there that lack the marketing and promotional tools that the big labels and now myspace provide.
    I think this is a good step for music in general, but there needs to be more support and representation for real new and good undiscovered music, whether it is from the big labels or from an average Joe that records great jams in their make shift living room studio.

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