MTV Enters Online Music Market

In what some see as a conspicuously late entry into the online music market, MTV is set to launch URGE, an online service both for music and videos. URGE will reportedly have more than two million tracks available when it debuts, and, similar to competing services from companies such as Apple and RealNetworks, consumers will be able to buy a subscription for unlimited downloads or pay for individuals tracks.

Analysts noted that MTV’s brand recognition should boost the appeal of the URGE service. URGE will be the featured music source for Microsoft’s media player, and URGE songs are compatible with a wide range of portable devices. The exception, however, is the hugely popular iPod, of which Apple has sold more than 50 million since 2001.

Steve Gordon, entertainment attorney, said, “Whether the consumer really wants a service that’s only compatible with non-iPod players is going to be the big issue.” Van Toffler, president of MTV Networks Music Group, pointed out that the online music industry remains new and said that URGE is not “about selling a million singles.”

San Jose Mercury News, 15 May 2006