Rainy Days for Online-Music Start-Ups

(reg. req.) A shakeout appears under way in the online-music market, [faster than people expected it to be] as elusive profits and pressure from big companies has forced start-ups to shelve planned offerings or shop themselves around.

MusicNow of Chicago has approached large retailers, technology companies and other online music sites for possible sale or investment

OnDemandDistribution (or OD2, as it is knows), the European digital music company founded by Peter Gabriel, is also casting about for potential investors or acquirers; it has hired investment bank Broadview…

– Echo Inc, the music retailers’ consortium, never launched its service and its plans are now on hold…

For news on all of these companies, read our dedicated digital music section..

Comments have been disabled for this post