Balogun+Final+Report

TO: //Proximity// Music Teams FROM: Robiat Balogun DATE: Jan. 11, 2010 SUBJECT: Proposal for report on Napster

[]  “Napster (www.napster.com ), the pioneer of digital music, offers the ultimate in interactive music experiences, creating better ways to discover, share, acquire and enjoy music anytime, anywhere,” (Napter.com). The company however, has  experienced a significant decline since 2002 when paid subscriptions were required in order to obtain music downloads. I propose to write about Napster's (a case study) declining position due to free unlimited online music downloads.

 Clients want to use music to target Gen Y, it's not as simple as it was years ago with FM radio. Napsters business is has declined over time because: 
 * Need **

· Limewire, Kazaa, and Jamglue offer free illegal music downloads · Internet radio company Pandora, allow users to stream music for free online and through the use of smart phones  ·  Napster new mobile service is only available to one cellular provider AT&T (limited access to Gen Y)  Proximity clients with intent on using subscriptions targeted towards Gen-Y consumers can no longer make a profits due to free internet radios and illegal downloads from torrent sites.

The proposed report, "Napster and the Era of Free Music," will cover the following topics: <span style="font-family: 'Arial','sans-serif'; font-size: 10pt;"> · <span style="font-family: 'Arial','sans-serif'; font-size: 10pt;">Death of FM radio · <span style="font-family: 'Arial','sans-serif'; font-size: 10pt;">Smartphone connectivity to online radios · <span style="font-family: 'Arial','sans-serif'; font-size: 10pt;">"Rent" or "Own" music · <span style="font-family: 'Arial','sans-serif'; font-size: 10pt;">Napsters’ plan to stay in the competitive music market <span style="color: red; font-family: 'Arial','sans-serif'; font-size: 10pt;">
 * <span style="color: black; font-family: 'Arial','sans-serif'; font-size: 10pt;">Sources **<span style="color: black; font-family: 'Arial','sans-serif'; font-size: 10pt;">

Wikipedia. (2010, January 9). Napster. Retrieved January 11, 2010 from []

Wikipedia reports the history of Napster and the rise and fall of the company. The company created by Northeastern University student, Shawn Fanning in 1999 was meant to provide online music file sharing to users at no cost. The company began to crumble when the music industry’ accused the company of copyright violations. After countless lawsuits and buy outs, the company is now owned by Best Buy.

Napster. (2003-2010). About Napster. Retrieved January 11, 2010 from []

Napster reports what the company’s current status and objective as the world of music attainability shifts.

Sandoval, G. (2010, January 6). Best Buy drops Napster CEO, president posts. Retrieved January 11, 2010 by []


 * <span style="font-family: 'Arial','sans-serif'; font-weight: normal;">Greg Sandoval reports on Best Buy’s dismissal of Napster CEO and presidential positions. The decline of the company sales has cause in the initial buy out of the company by Best Buy and the removal of the executive structure over time. Napster’s attempt to cash in on users by requiring a subscription fee led to the drastic decline of the company and shift to more popular competitors. **

Napster. (2010, January). Company Background. Retrieved January 11, 2010 from []

Napster company background reports the companies ventures outside of music downloads. The company has expanded to <span style="font-family: 'Arial','sans-serif'; font-size: 10pt;"> retail (Best Buy), mobile (AT&T) and hardware (Dell, Logitech, Samsung, Sonos, Sony).