Yahoo & Rhapsody = A new romance
From MSNmoney.com
Web giant Yahoo said Monday it will stop running its online music subscription service and switch its customers over to Rhapsody America, a partnership between Seattle-based RealNetworks and MTV. (ALSO happens to be where i work. suh-weeet!)
Yahoo Inc. (NASDAQ: YHOO) said its Music Unlimited subscribers will be migrated to Rhapsody's digital music service in the coming months and will be able to maintain their existing pricing tiers for a limited time period.
Terms of the deal were not disclosed. Yahoo did not say how many people subscribe to its music subscription service.
The deal marks a boost for Rhapsody America, a joint venture between RealNetworks Inc. (NASDAQ: RNWK) and MTV Networks, a unit of media giant Viacom Inc. (NYSE: VIA)
Rhapsody offers subscriptions giving people access to unlimited amounts of online music. The service, however, is not compatible with Apple Inc.'s dominant iPod digital music player.
The Yahoo-Rhapsody deal was announced after Microsoft's $44.6 billion offer for Yahoo. It was not clear how Microsoft's proposed merger with Yahoo would affect the Rhapsody deal.
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