We're not sure why the music industry thinks consumers want to buy even more physical media, but it can't seem to stop pumping out plastic in a futile attempt to stay relevant -- this time it's an initiative called slotMusic, announced today in partnership with SanDisk and several major retailers. The 1GB slotMusic microSD cards are preloaded with DRM-free 320kbps MP3s, and are aimed primarily at mobile phones -- the idea is that you'll be able to buy music and listen to it without having to sideload it onto your device using your computer at home. Sure, we can see the appeal of that, but when we half-facetiously asked SanDisk's reps if they expected us to carry around a stack of individual microSD albums, they didn't laugh when they said yes, and even told us that slotMusic media binders would be available at launch -- no, they weren't kidding. We're not sure anyone's going to be sold on going back to lugging around physical media with the iTunes and Zune WiFi stores out there, but it sounds like we'll be seeing quite a push for this from retailers and the labels -- and artists are apparently enthusiastic about using the full 1GB of space to include content beyond basic liner notes and cover art. We'll see when these launch around the holidays -- if we had to guess, we'd say this is just Ringles and CDVU+ part III.

Step aside Universal Music, Sony BMG is now offering its catalog of music on Nokia's Comes With Music service. You know, the freebie, all you can eat music download service expected to launch mid-2008 (oops) "second half" of 2008. Remember, you'll have to buy a Comes with Music device first and the free download period from the Nokia Music Store (to your PC or phone) only lasts for 12 months. Still, consumers keep the downloaded (and DRM'd) tracks at the end of the period and "can transfer their downloaded material by substituting their new [Comes with Music] device or computer for the original devices" later on. While no Comes with Music devices have been announced yet, we certainly wouldn't be surprised if Nokia's touch-screen Tube or some other S60 touch device was first.

Ouch, that payback, it can be a bitch -- Sony BMG, distributors of rootkit-installing CDs and litigious foe of P2P users worldwide, has just been busted in France for using pirated software on its servers. And it gets even worse: Windows admin tool developer PointDev says a Sony BMG was caught when an IT staffer actually called up for support and gave a pirated license number to the phone tech. That's some pretty shady behavior for a company that's rammed anti-piracy measures down its own customers' throats -- too bad it's probably not going to feel the hit of the €300,000 ($475,000) lawsuit nearly as hard as the college students it routinely sues for $5,000.

[Via ZeroPaid, thanks to everyone who sent this in]

Sony BMG boss, Rolf Schmidt-Holtz, was just quoted in an interview saying that Sony BMG is "working on an online music subscription service." The service would cost between €6 to €8 per month (about $9 to $12) when launching later in the year and provide full access to its entire music catalog. He goes on to say that customers could own "some songs" even after the subscription was canceled. Interesting on its own, right? Now the kicker: it will work "for all digital players, including Apple's iPod." That means DRM-free unless Apple agrees to license its FairPlay DRM... which it won't. Hell, Sony BMG is already offering DRM-free MP3s to Amazon. If true, then the move could almost turn public sentiment positive in the wake of Sony BMG's "rootkit" fiasco and its handling of the Jammie Thomas affair. Almost.

Man, Qtrax just can't stop over-hyping and under-delivering, can it? The company's trumpeting new deals today with EMI Publishing, Sony / ATV Music Publishing, and TVT Records, but of the three deals, only TVT will actually have music available for download. The deals with EMI and Sony / ATV are for publishing rights only, and since publishing companies only represent songwriters, and don't actually own the rights to the song recordings, Qtrax still can't offer songs to consumers. It's confusing, but Qtrax needs both types of deals to make things work. Still, considering that the EMI and Sony agreements are extensions of existing agreements, it's a little strange for Qtrax to hype them up -- if you're keeping score at home, this is essentially the same sort of half-truth Qtrax launched under, so it's pretty ballsy of the company to try and pull it again. On the other hand, getting TVT on board is no small feat -- TVT artists include Lil Jon, Ambulance LTD, Dude 'N Em, The Polyphonic Spree, and The Cinematics, so it looks like Qtrax might be getting better at this whole "signing actual deals with labels" thing.

Update: We had said in an earlier version of this post that several major labels had denied having deals in place with Qtrax -- while that's still true, the information was a few weeks old. The deals announced today are for real, but until Qtrax sorts out actual content-distribution rights, nothing's really changed.

[Via Tech Digest]

Well, that makes three -- Sony and XM announced today that the two companies have reached a settlement in the Pioneer XM + MP3 case. As you'd expect, terms of the deal are super-secret, but we hear XM tells that to all the multinational record conglomerates it gets in bed with. Anyway, with Warner, Universal, and Sony all lined up, all XM has to do is woo EMI and this nightmare of dullness should finally be over -- and we should start seeing some hot new devices.

Sony BMG is readying the other half of their reported move away from DRMed music; two days ago, they announced plans to release retail gift cards which can be redeemed for plain 'ol MP3s, but there was no word of a plan that wouldn't require people to actually leave their caves or, heaven forbid, dress themselves. Cue the other shoe: Amazon announced today that they will be hosting DRM-free Sony BMG tracks, completing its collection of DRM-free tracks from each of the four major music labels, which already includes EMI, Vivendi Universal, and Warner. The Sony BMG tracks will be available "later this month" and should be priced commensurate with the service's current offerings.

Sony BMG Music Entertainment just announced Platinum MusicPass, retail gift cards which can be traded in for digital music, delivered to you in "high-quality" – and notably DRM-free – MP3 files. No word on precisely what bitrate constitutes high-quality, but for $12.99 (or $19.99 for a couple special edition albums) you can pick up a card from a local retailer, scratch the back, enter the pin number on MusicPass.com and download the MP3s (and sometimes bonus material). Is it perhaps inadvisable to require consumers to leave the internet, go to a store to purchase a MusicPass card, only to return home to the internet to download the DRM-free track? Hey, we're not business majors here and – judging by the initial album offerings – we're not their target demographic either. Celine Dion and Kenny Chesney, really?

In a move that could finally sound the death knoll for the universally-hated digital leech known as DRM, Sony BMG Music will reportedly become the last of the top four major labels to offer unprotected tracks for download. Citing people familiar with the arrangement, BusinessWeek.com reports that full details of the label's plan will be released "in the coming weeks," although at least part of its catalog will supposedly be available without DRM sometime this quarter. If this does indeed pan out, Sony would follow EMI, Vivendi Universal, and Warner in moving towards a much more consumer-friendly music distribution model.

[Thanks, Mack S.]

There's one of them RIAA lawsuits going down in Duluth this week, and Jammie Thomas, the single mother charged with sharing 26 songs on Kazaa, isn't going down without a fight. Yesterday her attorneys called Jennifer Pariser, Sony BMG's head of litigation, to testify before the jury and got her to say some incredibly incendiary things -- not least of which was her opinion that making copies of purchased music is just "a nice way of saying 'steals just one copy.'" That viewpoint, of course, implicates pretty much every single thing consumers do with music and computers, including transferring songs to iPods and Zunes. We're betting there might be a couple jurors on the panel who aren't too fond of Ms. Pariser right now. Might want to check yo'self before you wreck yo'self, counselor.

Disclaimer: Although this post was written by an attorney, it is not meant as legal advice or analysis and should not be taken as such.

It seems like every couple months one of the major labels announces yet another harebrained scheme to entice consumers to purchase CDs, regardless of what people actually prefer, and right on schedule, Sony BMG and Universal have announced their latest three-martini-and-a-cocktail-napkin plan: the "ringle," a $6 CD single featuring a remix and ringtone. There's really not much more to say -- trying to revive the CD single by adding in something that consumers are used to getting over-the-air seems like it speaks for itself -- but it's certainly interesting to see the labels desperately try and nab as much of the ringtone market as they can, even as their partners try and move forward. We'll see you at the funeral, boys.

[Image courtesy of Boy Genuis Report]

If you thought picking up a full-length studio album on a USB stick was hot stuff, di[rec] is out to make such an idea seem second rate. Founded by two ex-Sony BMG colleagues, the company is looking to round up support from their former employer, Warner Music, and various independent labels as it records live performances, mixes and masters on-site, and offers up the show on a USB drive or "download voucher" as folks are filing out of the exits. Sadly, there's no word yet on how much the outfit plans on charging gullible concert goers for the privilege of reliving their deafening experiences over and over, but it has already given the system a go at Nova Rock in Austria last month. So, for those of you at the festival just weeks ago, how about clue the rest of us in on the quality and value of di[rec]'s offerings?

[Thanks, Lars G.]

Sorry to end the EMI and Apple anti-DRM love-in so quickly but the EU is back with more complaints about Apple's business model. This time, they've launched an official probe into iTunes pricing across Europe accusing Apple of "restricting choice." Only now, the "Big 4" music majors are also lumped into the European Commission's accusations of anti-competitive practices. The core of the complaint is Apple's nationalized approach to their iTunes store. On-line shoppers can only purchase content from the store in their home country with British shoppers suffering the highest per song fees at 79p or $1.56 at current exchange rates -- ouch! As they tend to do, Apple quickly shifted blame to the labels by stating through a spokesman that Apple "wanted to operate a Europe-wide store, but music labels and publishers expressed legal and copyright concerns." Of course, if that strategy doesn't work out for you Atlas, you can always shrug.

Update: The EU Commission is now saying that Apple's multi-country store approach is indeed being "imposed on Apple by the major record companies." Of course, the majors have come off the ropes swinging by denying any breach of law. Now quick, redirect your ire at the Big 4 per protocol.

Although it seems like Sony BMG has been paying for its devious inclusions on certain records for quite some time, it looks like the joint venture will now be coughing even more dollars to compensate those affected. US regulators have now said that the company "agreed to reimburse consumers up to $150 for damage to their computers from CDs with hidden anti-piracy software," which comes on top of allowing customers the ability to exchange the album if they so desire. Moreover, Sony BMG must now "provide an uninstall tool and patches to repair the security vulnerabilities on consumers' computers" for another two years, and if its hand hadn't been slapped enough, it can no longer "collect information for marketing purposes" nor "install software without consumer consent." Great, we're elated that someone up there understands that this DRM gauntlet isn't the way to go, so why are we still fighting the agenda in so many other areas?

Well that was quick. After forking over $750k to California on Tuesday to settle charges regarding its nefarious rootkit schemes, Sony BMG has brokered a similar deal with 39 more states in the US and A. Luckily for Sony, it looks like they've improved their per-state cost considerably, at a bargain $4.25 million for all 39 states, with Washington D.C. thrown in there to boot -- it is the holidays after all. Just like with California (and Texas, which settled with Sony on Tuesday as well), Sony BMG will additionally be giving refunds of $175 to consumers who file a claim that the rootkit damaged their computer in some way. Also included in the settlement is a pinky swear from Sony that they won't put any more copy protection software on future CDs that can't be easily located and removed from a computer. Sony BMG says it's pleased to reach the agreements. Aww, big hug.