Microsoft Ends License Talks With Music Labels on Subscription Service


That’s according to a story in WSJ…Microsoft has broken off licensing talks with the four big music labels, raising questions about its plans to start a subscription-based online music service. The talks broke over what Microsoft considered high royalty rates sought…the labels separately were seeking royalty payments of $6 to $8 per user, per month, in line with what existing subscription-music services pay..MSFT wanted to pay less than that.

This will indefinitely postpone MSFT’s subscription music service. Its own download service has received tepid response from the market till now…

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