AOL Tests MusicNet 2.0
By Craig Newell
Tuesday, January 07, 2003
Microsoft rival AOL is prepping a new subscription service, featuring DRM from another Redmond adversary, RealNetworks.
AOL and Microsoft are set to duel in yet another arena: music subscription services.
America Online is beta testing MusicNet 2.0, a service which will allow its members to pay an additional subscription fee to download music onto their computers legally, unlike online file-sharing services, such as KaZaA and the defunct Napster.
Sources said that the MusicNet service would most likely launch to the entire 35-million-strong AOL membership within the next few months.
Like Microsoft's Windows Media 9 Series - which officially launched today -- MusicNet will include built-in digital rights management (DRM) technology from the get-go. MusicNet's client utilizes technology from RealNetworks' RealOne system, a competitor to Microsoft's Windows Media software suite. The DRM technology in MusicNet, Media Commerce Suite from RealNetworks, was released in the summer of 2001.
Originally, AOL had announced plans to launch the MusicNet service, which is independently managed by MusicNet Inc, in January 2002. AOL delayed the launch, however, because of alleged concerns over support for key features like the ability to burn music to CDs and copy songs to portable devices.
MusicNet already is available (albeit, the older, 1.0 version) to members of RealNetworks' RealOne MusicPass.
MusicNet Inc., which provides the service, is a joint venture between RealNetworks, AOL Time Warner, Bertelsmann AG, EMI Recorded Music and Zomba.
AOL MusicNet 2.0 allows music to be played and managed in several ways, including streaming live from the service, or downloaded to the member's hard drive to allow playback when the member is offline.
While exact details for pricing have not been set, AOL members will likely see a tiered subscription model.
Members are likely to be allotted a number of "portable downloads" which can be burned to CD or moved onto portable digital audio players. These files remain playable even if members cancel their MusicNet subscriptions. Non-premium members can download and play songs, though if their memberships are cancelled, they lose their ability to play downloaded music.
Microsoft's MSN Music partners with Pressplay, which uses a similar tiered payment structure for online music downloads.
Some AOL beta testers have been griping about paying for the service, as free music downloads easily available on the Internet. Others questioned the limited selection of music on MusicNet, considering that there are more titles played on Radio@Netscape, a free service. However, on Radio@Netscape, individual songs cannot be downloaded or played in a specific order.
MusicNet has obtained rights from BMG, EMI, Warner Music Group, Zomba, Sony and Universal to distribute music, which encompass the labels of Maverick, Reprise, Arista, RCA, Virgin, Capitol, Grand Royal, Priority, Blue Note, Jive, and others. Pressplay has a comparable lineup of labels, including BMG, EMI, Sony Music, Universal Music Group, Warner Music and Zomba.
Some audiophiles have balked at MusicNet's audio quality, which is delivered via RealAudio, incorporating the Sony ATRAC3 technology at 96 kbps. (Typically, MP3s are encoded at higher-fidelity 128kbps.)
AI
