Microsoft halts talks over music licensing
Seattle Times | at | by Mike
After weeks of negotiations, Microsoft has suspended talks with the four major record companies over the licensing terms for a new online music-subscription service, according to music-industry people familiar with the talks.
Microsoft ended the discussions Friday, citing an impasse with the record companies over royalty rates, these people said yesterday.
Microsoft already sells song downloads on its MSN Music Internet site but had been seeking to develop a subscription service. Such services typically offer users unlimited number of tracks for download, and in some cases, for use on compatible portable music players, for a monthly fee.