Posted: Mon., Sep. 5, 2005, 9:48am PT

Napster reveals U.K. biz

Company claims 750,000 British users; 80% over 25; 75% male

LONDON — For the first time since launching in the U.K. 15 months ago, online song shop Napster has revealed its performance figures in Britain.

The company claims to have 750,000 registered U.K. members and says that music fans have accessed 55 million downloads and streamed tracks since the service launched in the U.K.

The data marks the first time Napster has broken out its figures in a single territory and it goes into detail to show which particular demographics are early adopters of legitimate online music services.

The Napster report states that 80% of its British members are aged over 25 and that 75% of all its users are male.

More than 50% of its members are parents and, perhaps indicative of where music sales are heading, 20% of Napster members say they no longer buy CDs.

Leanne Sharman, Napster VP and U.K. general manager, comments, “The data regarding parents just goes to show that subscription services are more of a family option, but also that it is the most compelling service for adults with a disposable income.”

Regarding the number of users no longer buying CDs, Sharman says, “We believe this is a transitional period. The music industry as a whole is changing its business models and with retailers such as HMV and Virgin now launching online music serv-ices — a move that we welcome — we see this as confirmation that the digital distribution of music is the future.”

With established operations in the U.S. and the U.K., Napster is now eyeing Germany and Japan as its next two markets.


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