Wanadoo - the French ISP which also owns Freeserve - has followed in the footsteps of Tiscali and signed an online music distribution deal with On Demand Distribution (OD2).

The deal means that Wanadoo will be able to offer a music subscription service to its 5.75 million punters in France and the UK.

Basic subscription services will cost from E8 (£5) a month and users will be able to rent tracks or buy them outright.

Like other operators, Wanadoo has identified that music could prove to be a real money-spinner with people happy to cough up for premium content.

OD2 - which was founded by music man Peter Gabriel - has access to artists from a number of music labels including BMG, Warner Music, Mushroom, Telstar, V2 and Ministry of Sound.

The new service should be available early in the summer.

In November last year Tiscali announced it had joined up with OD2 to flog music online. BTopenworld has also been trialling a service from the Bristol-based company. ®

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