Tuesday, April 01, 2008
Spiral Frog Avoids DisclosureIt's not that I wouldn't like to have a music service that enables me to download any song I like for free, with the only "cost" logging in once a month and being exposed to a few banner ads. Just like having a hover car powered by air that can do 300 mph, it would be great, but I live in the real world.
Hence my continued skepticism that Spiral Frog will ever be able to deliver free download music from all of the major labels and pay its bills.
The latest twist in this "story" is that Spiral Frog will no longer disclose financial data as its new investors don't care about things like revenue or web traffic. That of course is obvious since they invested in a company with a revenue model that is hard to explain with a straight face.
Spiral Frog now has a publisher's agreement with Warner Music, but they still have to acquire the recording rights before the tracks can be given away.
My cynical side says that after the inevitable Spiral Frog bankruptcy and closer, someone is going to hack the digital rights management that prevents tunes from being played without a current account. There are millions of tracks floating on hard drives, and someone will find away to free them, and then won't Universal Music feel foolish for ever signing a deal with Spiral Frog?
By John Gartner at 08:41 AM | Comments (1)