Tuesday, March 06, 2007

Another interesting indie business model

Amie Street, an online music store that started up last summer, has developed an innovative business model. All music is offered as DRM-free mp3's. The songs are available for free at first, then as more users download them, the price begins to increase, until it reaches the maximum of $.98 per song. Of course, what this means is that more popular songs will be more expensive. The store takes 30%, giving 70% to the artist or label.

Nettwerk Music Group just signed a deal with the service, so there are some major players involved. The new Barenaked Ladies album was just released there yesterday, so the site is starting to get some press as well.
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