Blog Post

Qtrax Loses Tracks

In the how-not-to-launch-a-business category we have Qtrax, an ad-supported peer-to-peer music download network that had supposedly signed deals with all four major record labels and was launching today with a catalog of 25 million songs. Only it doesn’t seem to have those deals with the record labels after all.

While Qtrax CEO Allan Klepfisz assures the world that this is all a misunderstanding and deals would be signed soon (and I was able to find a few press releases and stories indicating that both EMI and Universal Music Group had signed some kind of deal with Qtrax), the site doesn’t have 25 million songs and so far appears to have scored little more than some incredibly negative press.

It’s only the first month of the year, but this should certainly be a contender for the Business 2.0 Fortune 101 Dumbest Moments in Business for 2008.

6 Responses to “Qtrax Loses Tracks”

  1. Om what is even funnier is the press release Qtrax put out last might not mentioning anything about their Mea Culpa but boasting how the site had an overwhelming demand.

    The press release seems to be Qtrax reaching out to their South East Asian investors who like that kind of optimistic crap .As an Aussie I’m disappointed in Allan Klepfisz and his sense of business values .

    It seems that the company forgets that Press releases no longer work as a effective marketing tool and its another example of how Press Releses should be fact checked by Journalists and Bloggers alike before they even start writing .

    I for onle rea

  2. In another Screw up the company emailed people on its mailing list with the client download URL which is still up so here it is for anyone to have a look

    Qtrax being based on Songbird will put the Record company execs in a fit when they realize that Songbird parses a web page for MP3s and automatically loads a easy to use download manager to grab those Mp3s into your library .