Musicload - Music on all consumer devices for the German market leader with CoreMedia DRM

The client: T-Online Musicload

Musicload is one of the leading providers of music downloads. In 2005, its internet-based sales topped 15.5 million downloads. According to Media Control, Musicload last year sold 24.8 percent more digital products than the next-closest competitor in the german market. This makes Musicload the market leader in the field of digital products (individual tracks, digital singles and albums). With more than one million tracks on offer, Musicload enjoys particular success in the Top Ten singles charts. The T-Online platform runs in cooperation with all leading music labels and with independent labels.

The challenge: Interoperable DRM for all sales channels

Prior to the technological relaunch, rights management was handles solely by the proprietary Windows Media rights standard (Windows DRM). Musicload sought an internationally proven interoperable technology that supported not only Windows DRM but also the open standards of the Open Mobile Alliance (OMA DRM). This would enable Musicload to offer music downloads for mobile telephones, independent of device manufactures or network operators. At the same time, license management needs to be flexible enough to enable the white-label shops which are affiliated with Musicload (such as RTL) to deliver individual files, including shop-specific system information – even though the files for download are generated centrally. And finally, the music labels also need to be assured that their songs are effectively guarded against copyright infringements: the labels are, after all, entrusting Musicload with their entire digital catalog.

The solution: CoreMedia enables new business models and viral marketing

Musicload selected CoreMedia DRM. CoreMedia DRM has proven its effectiveness real-world application many millions of times over; it is the global leader in interoperable rights management. It offers outstanding flexibility in its interfaces and supports for a range of integration models. A key commercial advantage: its dynamic encryption feature (ondemand packaging) enables Musicload to deliver individuallyconfigured files for its partner shops – including shop-specific metadata. Thanks to many years of experience in open standards, CoreMedia DRM offers excellent support of the OMA 1.0 and 2.0 standards. Now, Musicload is in a position to exploit business models based on the direct-to-mobile sales of music: the existing shop system can be smoothly upgraded with the necessary components for delivering content to mobile phones and PDAs. This opens new marketing opportunities and sales paths, including innovative models such as superdistribution, in which the consumer becomes a sales partner. Musicload is ideally positioned to grow as a profitable player in the digital content business, exploiting all sales channels and guaranteeing its content partners the best possible protection for their digital products.