Looking for new streams of revenue, Warner Music Group (WMG) has dropped its lawsuit against Imeem, an online community built around music, and is now partnering with them.
Warner originally claimed in the lawsuit that Imeem had built its business by using copyrighted music illegally. Imeem ranks No. 4 in multimedia entertainment sites in the U.S., according to Hitwise, with over 16 million users. Only MySpace (NWS-A), 
YouTube (GOOG) and Google Video rank higher.
Imeem changed to an ad-supported model last month with its relaunch, where it will share revenue with music companies and artists.
In response, Warner will now provide its video and song catalog free to Imeem users to listen to or view, monetized by advertising.
Another change Imeem has made is to put limits on the length of songs uploaded to the site. Now the music will only be played in 30-second clips.
The last paragraph has a mistake, imeem only plays 30 second versions when the track is owned by a record label which does not have a deal with imeem. Most of the content on the site is full length.
Posted by: Steve | July 12, 2007 6:27 PM | Permalink to Comment