Rhapsody takes on Spotify with Napster buy

Rhapsody has bought Napster’s European business as it looks to battle Spotify for dominance in the music streaming sector.

/c/x/x/napster160.jpg

The service, making its first foray outside its home US market, will keep the Napster brand in the UK and Germany and migrate all existing subscribers to its infrastructure in March.

Rhapsody, the US’ first subscription music service when it launched in 2001, claims to be the largest of its kind in its homeland with more than 1 million paying subscribers.

Its European launch ratchets up its battle with Spotify following the latter’s US introduction last year.

Spotify, which leads the market in the UK and claimed 2.5 million paying subscribers in November, is looking to establish itself as a platform for content as well as songs through partnerships with Rolling Stone and the Guardian.

Rhapsody’s president Jon Irwin says of the deal, the value of which is undisclosed: “This is the perfect time to extend our borders – both geographically and technologically, as we take our service to new places, including the automobile and the living room.

“Consumer demand for subscription music has never been greater, and our partners are eager to bring music to the masses in new and creative ways. There is a lot of room for growth in this market and I firmly believe that 2012 is going to be our biggest year yet.”

Latest from Marketing Week

PLEASE SIGN IN OR REGISTER. IT'S FREE, QUICK AND EASY!

Access Marketing Week’s wealth of insight, analysis and inspiration that will help you develop as a marketer and leader.

Register and receive the best content from the only title 100% dedicated to serving marketers' needs.

We’ll ask you just a few questions about what you do and where you work, so we can make Marketing Week more relevant to you.

Register now

THE BEST CONTENT

Our award winning editorial team and columnists will ask the biggest questions about the biggest issues on everything from strategy through to execution to help you navigate the fast moving modern marketing landscape.

THE BIGGEST ISSUES

From the opportunities and challenges of emerging technology to the need for greater effectiveness, from the challenge of measurement to building a marketing team fit for the future, we will be your guide.

PERSONAL AND PROFESSIONAL DEVELOPMENT

Information, inspiration and advice from the marketing world and beyond that will help you develop as a marketer and as a leader.

Dedicated to developing your skills and helping you achieve marketing excellence. Find guidance on leadership, professional development and the latest industry jobs.

Having problems?

Contact us on +44 (0)20 7292 3711 or email subscriptions@marketingweek.com

If you are looking for our Jobs site, please click here