The widely publicized failed negotiations between Microsoft and the major labels is another crack in the suddenly vulnerable label-provider alliance. In this case, according to reports, it was Microsoft refusing to accept standard terms, not the labels hoping to rock the boat as in the escalating disagreement with Apple. David Utter at WebProNews postulates that Microsoft wanted to open a service priced at the bargain level of Yahoo! Music Unlimited, and was uninterested in subsidizing the effort. At any rate, no subscription service from Microsoft will be forthcoming soon.
1. I'm surprised Microsoft didn't just jump and lose money intially to try and capture the market like they're trying to do with the X-Box. I guess two money losing sectors within Microsoft is 1 too many.
Posted at 5:58AM on Dec 19th 2005 by cartel