Feeds

Lala sells 'streaming rights' at 10c a song

Any takers?

Designing a Defense for Mobile Applications

If you thought you've heard of every digital music idea going, try this one on for size. Lala, the former CD-swapping site, is offering you the chance to "buy" the right to be streamed a song for life for 10 cents. For that, you'll never get a licence to an actual copy - physical, or digital. Lala calls it a "Websong".

Like Michael Robertson's mp3tunes.com service, Lala is "cloud computing" for music.

"If the goal is to get consumers to buy more music, then the existing model of how it’s priced and sold doesn’t work," Lala founder Bill Nyugen told Billboard.

Lala has been testing the idea since May and reckons 30 to 40 per cent of streaming sign-ups buy a licensed copy of the song to keep. Presumably, the other 60 per cent just rip it using Audiograbber or Audio Hijack.

We first wrote about Lala back in 2006, when it was setting sail as a CD trading site. Last year, it turned into a music discovery service and has now moved into retail, signing the four major labels. Songs can be moved into a virtual locker, but can't be transferred to an iPod or music player. You can see how the company is keen to sell you an access right.

So why hasn't it been tried before?

Probably because the surest way of making sure you can hear a song "for life" is to acquire a physical copy. And if you're going make the effort to undertake a streaming transaction, the same effort gets you a copy. The real hassle is the transaction.

In addition, there are people who will subscribe to streaming rights by the bundle (it's called "radio"), it's not a huge number, and it's hard to see people stumping up the right for an individual song.

Equally, the "for life" portion of the deal is unlikely to quicken pulses, since it's not a transferable right. And being a startup, Lala.com doesn't have the brand trust of an established, century-old blue chip name - such as your Lehman Brothers, or your Goldman Sachs. ®

Using blade systems to cut costs and sharpen efficiencies

More from The Register

next story
BBC goes offline in MASSIVE COCKUP: Stephen Fry partly muzzled
Auntie tight-lipped as major outage rolls on
iPad? More like iFAD: We reveal why Apple fell into IBM's arms
But never fear fanbois, you're still lapping up iPhones, Macs
Nadella: Apps must run on ALL WINDOWS – PCs, slabs and mobes
Phone egg, meet desktop chicken - your mother
White? Male? You work in tech? Let us guess ... Twitter? We KNEW it!
Grim diversity numbers dumped alongside Facebook earnings
HP, Microsoft prove it again: Big Business doesn't create jobs
SMEs get lip service - what they need is dinner at the Club
ITC: Seagate and LSI can infringe Realtek patents because Realtek isn't in the US
Land of the (get off scot) free, when it's a foreign owner
Dude, you're getting a Dell – with BITCOIN: IT giant slurps cryptocash
1. Buy PC with Bitcoin. 2. Mine more coins. 3. Goto step 1
There's NOTHING on TV in Europe – American video DOMINATES
Even France's mega subsidies don't stop US content onslaught
You! Pirate! Stop pirating, or we shall admonish you politely. Repeatedly, if necessary
And we shall go about telling people you smell. No, not really
prev story

Whitepapers

Designing a Defense for Mobile Applications
Learn about the various considerations for defending mobile applications - from the application architecture itself to the myriad testing technologies.
How modern custom applications can spur business growth
Learn how to create, deploy and manage custom applications without consuming or expanding the need for scarce, expensive IT resources.
Reducing security risks from open source software
Follow a few strategies and your organization can gain the full benefits of open source and the cloud without compromising the security of your applications.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.
Consolidation: the foundation for IT and business transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.