Vivendi backs free music downloads to challenge iTunes ...

DPA

Los Angeles, (DPA) Vivendi Universal, the world's largest

music company, is putting its muscle behind free downloads of music

from the Internet.

According to an announcement the company has reached agreement with

New York-based startup Spiralfrog to make its music catalogue available

on a free legal download service.

Under the agreement, Spiralfrog will offer Universal's songs online

in the US and Canada and make its money by carrying adverts on the

site.

The plan, which is to go live in December, is the latest bid to

challenge the popularity of the market-ruling Apple iTunes store, which

currently charges 99 cents a download. The new service also hopes to

entice users away from the illegal free file sharing sites.

"Offering young consumers an easy-to-use alternative to pirated

music sites will be compelling," Spiralfrog Chief Executive Robin Kent

said Tuesday.

Kent, the former head of the Universal McCann advertising agency,

said that youngsters would be willing to endure advertisements in

exchange for free music as long as the brands and products were

relevant to them.

The move comes as data shows that the consumption of music is fast

shifting away from the CD format to the Internet.

According to the International Federation of Phonographic Industries

(IFPI,) 60 million MP3 players were sold in 2005, while 420 million

single tracks were downloaded, which together with the sale of

ringtones brought in some $1.1 billion dollars.

--DPA