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Microsoft (NSDQ: MSFT) just added some lagniappe to its Zune Pass music subscription: effective now, 10 tracks a month can be downloaded for keeps. It's a nice gesture for subscribersI am one so can attest to thatbut it's also a very real PR effort to goose interest in the subscription model. To expand the $14.99 monthly subscription, the company crafted new payment agreements with all four majorsEMI, Sony, Warner Music Group, and Universal Music Groupand indie distributors INgrooves, Independent Online Distribution Alliance and The Orchard. Microsoft values the tracks at approximately $10 (not in the confusing conceit of Zune Marketplace points), which would take the cost of the actual subscription to about $5 a month for those who make all the permanent downloads. -- Liner notes: The 10 permanent tracks can be burned to CD or moved to other devices even after the subscription ends. The Zune Pass currently allows subscription sharing between three PCs and three Zunes. An updated version of Zune's software started distribution Tuesday. Sony BMG and UMG also agreed to provide DRM-free MP3s, joining EMI, WMG and some of the indie labels. Microsoft says Zune's library soon will offer 90 percent of its music as MP3s. -- Billboard: "To make the offer, the Zune team had to rework its existing licensing deals with labels so that it now provides a certain percentage of the Zune Pass subscription fee to all labels based on market share, and then allocates a separate payment to each label based on what music is downloaded for good." -- First look/listennot: Signing into Zune just now required accepting a new terms of service in an unnecessarily complicated multi-screen process. So far, I can't tell how I would know this option is supposed to be availableand I can't figure out how to make it work. For instance, when I add a song to the cart, then look at the cart, it's empty. Another variation brings up an error message. I'll try again in the morning. Social Media Deals Report: This 199-page report, filled with charts and data, examines the categories, number and size of VC and M&A deal in social media from 2007 through 2008. Visit the ContentNext Reports page
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Jonathan Grayer is resigning as chairman and CEO of the Washington Post Company's Kaplan Higher Education unit after 17 years in the role. His replacement is Andrew Rosen, who has served as COO since Grayer became CEO in 1992; he's been with the company since 1986. While WaPo is mainly known for publishing the Washington Post and Newsweek, it's the Kaplan unit that's been the prime revenue driver lately. The education division produced revenues of $602 million in Q3, more than half of WaPo's total $1.1 billion. Year-to-date, the Kaplan segment revs rose 15 percent to $1.7 billion, while during the same period, WaPo's total revs grew only 8 percent to $3.2 billion. Release Our streamlined mobile application for the BlackBerry and other smart devices brings you the latest headlines quickly on the go. Click here to download.
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Google's "me too" virtual world Lively will be dead by the end of the yearjust six months after it launched. It was almost inevitable though, as Google (NSDQ: GOOG) debuted Lively well after the virtual world frenzy had simmered down. The service also had to compete with established worlds like There.com, IMVU and even themed properties like MTV's Virtual Laguna Beach. Lively traffic was marginal at best (via Compete stats), and given the state of the economy, even Google couldn't afford to devote resources to a fledgling project. The company admitted as much in an official blog post: It has been a tough decision, but we want to ensure that we prioritize our resources and focus more on our core search, ads and apps business. Any guesses on which other Google projects might be on the bubble? Google Base? Related Google Tries To Go Lively With Its Own Virtual World Effort Social Media Deals Report: This 199-page report, filled with charts and data, examines the categories, number and size of VC and M&A deal in social media from 2007 through 2008. Visit the ContentNext Reports page
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After spending hundreds of hours deliberating and thousands of pounds on consultants' fees in the search for a new London home only to decide to stay put in its Wapping HQ, News International has now declared it cannot afford to upgrade the east London site. The plan had been to improve the sprawling complex next summer and eventually move in News Corp (NYSE: NWS) family members like Dow Jones, MySpace and Harper Collins. But those plans have been shelved because of the adverse economic conditions, according to an internal memo by James Murdoch, CEO of News Corp Europe and Asia, seen by Reuters and MediaGuardian. This could be seen as a blow to News Corp.'s plans to further integrate its media brands and create synergies where possiblewith every executive in one building it's not far to go for that breakfast meeting about that content-sharing deal. More details at our sister site PC:UK. Check out the best business jobs in digital media. Go here for paidContent.org Job Board.
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Apple (NSDQ: AAPL) is talking to the three remaining major labels about adding more DRM-free, MP3 tracks, a year after EMI signed on. UMG, Sony (NYSE: SNE) BMG and WMG are still talking to Apple, and at least one is close to an agreement, this News.com report says. Meanwhile Amazon's music store, Napster (NSDQ: NAPS), Rhapsody and other have already amassed on the MP3 deals with these labels, but no specific evidence yet that DRM-free has spurred the sales of song downloads in the last year. One evidence does point out that with price parity, users prefer DRM-free over DRMed songs...who wouldn't? Meanwhile, that persnickety MySpace Music CEO hasn't signed on yet, has he? Mark Logic Digital Publishing Summit, Thursday November 6, Westin Times Square. Insight and perspective from Outsell, Gilbane, Simon & Schuster, BusinessWeek.com, more. Evening cocktail reception. Cost is complimentary. Register now!
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