Napster Sold to Best Buy
Published Sep 15, 2008Once again, Napster (aka the company that just wont die) has a new owner: Best Buy. Yes, Best Buy, the electronics mega-store thats increasingly out to dominate the fragile world of music retail.
Napster announced today (September 15) that the floundering peer-to-peer file sharing service would be sold to Best Buy for a cool $121 million, or at $54 million net of cash and equivalents. Best Buy says it will keep all Napsters L.A.-based staff, including CEO Chris Gorog, on the payroll, meaning the digital music service wont be changing all that much in its day-to-day routine.
"This transaction offers Best Buy a recognized platform for enhancing our capabilities in the digital media space and building new, recurring relationships with customers," said Best Buy president and chief operating officer Brian Dunn in a statement.
Napster was launched back in 1999 by Northeastern University student Shawn Fanning, before the RIAA busted it up and shut it down in 2001. It has since reemerged as a fully licensed and legit digital music seller.