Myspace.com is to launch a music service which is being seen as competition and an alternative to iTunes. Record Companies have been concerned about a lack of competition to the Apple service, and now three major record companies – Universal Music, Sony BMG Music and Warner Music – have signed deals with myspace for their new platform “myspace music”. This is seen as competition for iTunes, which in the opinion of many record companies, holds a too powerful grip on the market for digital downloads. Conspicuous is the absence of EMI in this deal.

Users will be able to watch videos and listen to music, downloads on the other hand will cost money. According to reliable sources the myspace mother News Corp will pay 120 Million Dollars to the music companies to solve copyright issues concerning myspace due to users uploading copyrighted videos

(Source: BBC Website, www.kress.de)