This week Magnatune signed an agreement with Grooveshark, a new peer-to-peer music brokerage. Magnatune is the third label to enter into a licensing agreement with Grooveshark since March, joining London-based V2 Music Group and Naxos.
As a DRM-free peer-to-peer (P2P) music-sharing network which compensates copyright holders as well as users, Grooveshark aims to revolutionize the music industry by combining the best of P2P file sharing and online music purchase sites into one service at www.grooveshark.com.
“At Grooveshark we really believe in the progressive
approach that Magnatune has taken as a label,” said Sam Tarantino, founder and
CEO of Grooveshark. “This is a mutually
beneficial partnership that can help them grow and allow us to expand our
ever-growing catalog of artists.
“The indie music world is perhaps the hardest hit by illegal
music sharing,” Tarantino continued. “By
partnering with Magnatune, we hope to stem the tide and provide a safe haven
for the young and independent musicians out there who want to have their music
heard by their fans, yet still get paid so they can pay their bills. We also
will be strengthening that intimate direct connection between fan and artist,
right to the point of musical conversation.”
“We applaud Grooveshark’s approach of making the largest
possible catalog of music available while compensating artists and the members
of their community,” said John Buckman, Magnatune founder and CEO. “It’s clear to us the music industry needs to change, and that’s why we founded Magnatune, and we’re excited to see a unique
distribution channel like Grooveshark to complement our efforts.”
Visitors to grooveshark.com can
browse songs uploaded by other members and pay to download MP3 files with no
digital rights management (DRM) technology. Songs vary in price, but cost no
more than 99 cents. Grooveshark will pay appropriate royalties to copyright
holders by taking commissions from users’ transactions and also compensate
users with free music for community participation such as uploading songs,
fixing song tags, flagging unwanted files or reviewing music. Members will be
rewarded based on their level of contribution to the community.
posted by guest blogger Teresa Malango, Magnatune