Google quashes rumors, says won’t sell music

“Don’t look for Google to get into digital music sales anytime soon,” Reuters reports. “The Internet search giant used a keynote slot at the annual NARM (National Association of Recording Merchandisers) conference to quash rumors of a so-called “Gtunes” store–much to the delight of retailers attending the confab.”

“‘We are not going to be selling music,’ Chris Sacca, head of business development for Google, said in a Thursday address to music merchants and distributors during the August 2-5 event in Kissimmee, Fla.,” Reuters reports.

“Talk of a Google digital music solution has been swirling for more than a year. A Bear Stearns analyst predicted in January that a Google rival to Apple’s iTunes Music Store could come in as little as six months. And speculation intensified as the company branched into selling music videos from Sony BMG via Google Video, and offering a new dedicated music search function,” Reuters reports.

“But in the wake of a cool reception to Google video sales, and in the face of a challenging environment for digital rights management and device compatibility, the company appears to be putting the brakes on expectations for a retail play in music and other areas of digital entertainment,” Reuters reports.

More here.

Related articles:
RUMOR: Google interested in alliance with Apple and iTunes Store? – February 14, 2006
Google: no interest in Napster, no plans to develop music store at this time – January 31, 2006
Analyst: Google may be close to developing Apple iTunes competitor – January 27, 2006
Google: ‘We made a big mistake with Google Video’ – January 26, 2006
AP: Google Video Store not ready for prime time, doesn’t compare well to Apple’s iTunes Store – January 21, 2006
Review: ‘Google and CBS release embarrassment of a video store’ – January 12, 2006
Google partners with Apple iTunes Music Store (and others) for new Google Music search – December 15, 2005

7 Comments

  1. Google once again proves they’re not only better than Microsoft, but smarter too. Microsoft always feel the irrational need to get their fingers into every pie in existence in their quest for domination over the consumer.

    At least when Google expands into a new area for them, they bring something that actually IS innovative to the table (Maps, Earth, Gmail, etc).

  2. I think the main reason Google isn’t selling music is because, like Yahoo, they’d want to sell it WITHOUT DRM attached. And, of course, the big music labels aren’t willing to settle into that yet.

    As soon as Yahoo breaks the DRM mold (if they can), then I’d expect Google to follow them into the music business.

    That’s just my opinion, though. I have no proof of this.

  3. Google only enters projects that are innovative and don’t have a saturated market share. MicroSoft on the other hand seems to want to compete with everyone and saturate every possible market with their name. I mean does a company that primarily sells an office publishing and operating system need to be developing video game consoles that never make a net profit, mice/keyboards, email accounts, etc. Their Street Trip Finder software is an expensive alternative to Mapquest… etc.

    It’s basically the 1980s/1990s Vertical Integration structure of IBM or Apple. And unfortunately, it doesn’t work.

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