The new service will be very similar to that of Nokia's Comes With Music which is set to launch next month and will allow users of certain handsets to download as much music as they like for a year.
Although Sony Ericsson declined comment, FT says the company is in talks with all the major labels currently about opening a service similar to Comes With Music.
Sony Ericsson used to believe unlimited music services "devalued music" says Dan Cryan, analyst at Screen Digest, who also added that, "Sony Ericsson's market share is shrinking. If everybody is launching 'all you can eat' services, which make handsets more attractive to end users and to operators, they don't have much choice, especially when so much of their brand value is built around the Walkman."
The company currently has deals signed with EMI, Warner Music and Sony BMG for their PlayNow Arena but have not finalized a deal with Universal, the largest of the Big 4 labels and could have trouble getting deals for this new unlimited service.
Nokia plans to offer their service for a one time fee and it is expected Sony Ericsson will do the same. Also important to note is that Comes With Music uses WMA DRM so Sony Ericsson could one-up its rival by offering DRM-free tracks.
Written by: Andre Yoskowitz @ 9 Sep 2008 17:45
