Virgin Media and Universal Music are teaming up to offer a music service that could be the first to let users download an unlimited number of songs without digital rights management (DRM) restrictions. The service will only be available to Virgin Media broadband subscribers.
Details are sketchy, but a Virgin spokesperson tells StrategyEye that the company hopes to have the service up and running with an extensive catalogue before Christmas. Universal is currently the only label signed up to the service. Universal’s roster of artists includes Razorlight, Amy Winehouse and La Roux.
Virgin and Universal are not revealing the cost of the subscription, though they insist it will be ?great value?. They will also offer a budget option allowing access to free streaming and a limited number of downloads each month.
Universal has also agreed a music partnership with BSkyB which was announced almost a year ago. Sky’s service will only offer a limited number of DRM-free tracks alongside its streaming service. However, it will be available to all internet subscribers and not just Sky broadband customers.
Alongside the new service, Virgin and Universal say they will ?pursue a range of different strategies to educate file sharers about online piracy and to raise awareness of legal alternatives?.
Under the arrangement, Universal will identify Virgin Media broadband subscribers who are sharing files illegally and pass the information to Virgin. Virgin will then send warning letters to its subscribers before taking measures such as barring them from specific websites. Virgin also says it will ?temporarily disconnect? persistent file sharers, though a spokesman was unable to specify exactly what this will entail.
Virgin emphasises it will not monitor its subscribers in any way: ?The process will not depend on network monitoring or interception of customer traffic by Virgin Media,? says the company.
Lord Carter, who releases his Digital Britain report on the future of the British communications industry this week, says the partnership will help curb illegal file-sharing.
?Government has a role in creating the right legal and regulatory framework for rights and copyright. However, agreements such as this will help significantly in reducing any demand for piracy,? he says.
Carter’s report is expected to call for a crackdown on illegal file-sharing coupled with the development of more attractive legal alternatives.
In May, the EU Parliament rejected attempts to remove an amendment in the European Telecoms Package which stipulates that any move to disconnect an internet subscriber must be overseen by a court. Last week, a French court threw out a ?three-strikes? bill which would have seen ISPs charged with policing and disconnecting persistent file sharers.
StrategyEye's related categories: ISPs - Wired, Major Labels
StrategyEye's related companies: Universal Music Group, Virgin Media







