RealTime IT News

Wiredrecords.com to Supply Digital Music Licences

[Sydney, AUSTRALIA] Australian music retailers sanity.com and ehyou.com have announced the creation of wiredrecords.com as a 50:50 jointly owned company to serve the growing online music industry.

Wiredrecords is designed to be a distributor, supplying digitized music and services to Internet retailers and others for subsequent sale to the general public.

The company will administer Festival Mushroom's music catalog and provide digital music licences, royalty accounting, product marketing and technical support to music retailers.

Ehyou has licensed its Digital Rights Technology to wiredrecords, and is contributing technical expertise, while both companies will nominate two directors to the four-person board of wiredrecords.

The company is expected to provide a comprehensive set of services to enable music retailers and others to start selling licensed music content over the Internet and help resolve the online piracy problem, by partnering with music companies to manage the sale of their music and collect royalties for artists and other rights holders.

"Wiredrecords is a business that is long overdue," said sanity.com's chairman Brett Blundy. "Music consumers are increasingly demanding music in a digitized format, and we have established wiredrecords.com to satisfy that demand."

Ehyou.com's chief executive officer Domenic Carosa said music retailers would benefit from wiredrecord's services. "This is an exciting business model that fills a glaring need for licensed music content on the Internet," he said.

"Wiredrecrods is well-positioned to build a substantial share of a rapidly growing market, and ehyou looks forward to working with sanity and reaping significant tangible benefits from this business," Carosa said.