Thursday, April 3, 2008

MySpace Spins Out Music Joint Venture

MySpace said today that it has launched a joint venture, MySpace Music, along with Sony BMG Music Entertainment, Univeral Music Group, and Warner Music. Financial terms of the joint venture were not disclosed. According to the firms, the new effort will combine artist profiles, user home pages, and other features with ad-supported audio and video streaming, ability to purchase music, and sponsorships. The effort also inclusion of a mobile storefront powered by News Corp's Jamba, MP3 downloads, and other merchandising efforts. The new company will be located in Los Angeles, and have a separate, dedicated management team. No details of the equity ownership or revenue split in the joint venture were announced.