Qtrax signs historic music deal

We’re almost out of breath. Just hours ago, music download service Qtrax claimed it has brokered an historic deal that, for the first time, would deliver an unlimited supply of free songs to music fans.

But hopes, it seems, have already been dashed as the three of the big four studios allegedly involved have come forward and denied signing any such deal.

Qtrax, which offers a catalogue of 25 million songs to download for free, said today that its service will be endorsed by the biggest powers in the music industry - EMI, Sony BMG, Universal Music and Warner Music.

The service was unveiled at the global music industry's largest annual event, MIDEM, in Cannes.

Qtrax chief executive, Allan Klepfisz, said customers expected to be able to get music for free, but didn't want to use illegal sites. "It's been a long trek to this point for peer-to-peer to find its place in a legal world."He then went on to say that the service would deliver up to 30 million free and legal music tracks for download.

In return for access to the music, users will have to put up with some advertising and Qtrax claimed that Ford, Microsoft and McDonald's have all signed up to advertise.

The files will still contain DRM (Digital Rights Management) software, which means that record companies will be able to keep track of how often their tracks are played and downloaded, and they will be paid in proportion to how popular their music is.

Qtrax says that record labels will also get a cut of the advertising revenue. We were so worried, we haven't been able to sleep nights.

http://news.sky.com/skynews/xml/article/tech/0,,91221-12481,00.htm