Zune Revamps Subscription Model

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Microsoft, has increased the value of its Zune Pass music subscriptions adding 10 free mp3 downloads a month to its $14.99 package. The announcement also added Sony BMG and Universal to the other two majors offering their music as DRM-free mp3s making Zune 90% DRM free. Independent aggregators IODA, The Orchard and INgrooves have also joined the majors in the free download program.
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Music subscriptions from Zune, Napster, Rhapsody and others have struggled to gain traction. Microsoft may have found a way to jump start the sector. If downloaded and valed at 99 cents each the 10 free tracks bring the effective price of unlimited on-demand listening to $4.99. As eMusic has proven, not every subscriber remembers to grab their monthly quota, leaving the effective cost to Zune lower.


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