Mix Napster & Circuit City = Circuit City + Napster’s Digital Music Service

Napster / Circuit City LogosThis last Friday, April 20 Circuit City Stores Inc. (NYSE: CC) and Napster Inc. (NASDAQ: NAPS) have announced that they’re teaming up in the launching of a new online music service called: Circuit City + Napster.  The service will be powered by Napster subscription services and will be available starting April 29. 

This partnership between the electronic store and the digital music service emulates a similar deal struck between Best Buy and RealNetworks’ Rhapsody player. 

What Napster gets out of the deal is that they get a new marketplace.  Circuit City is an established and well-known brand that consumers are comfortable with.  Circuit City will be able to market itself to Napster’s 566,000 paid subscribers.

“We are delighted to create this new alliance with Circuit City which is one of the top destinations in the U.S. to learn about exciting, new digital entertainment products,” stated Chris Gorog, the chairman/CEO of Napster. “Circuit City’s strength both in consumer electronics and as a music retailer should be an ideal environment to introduce Napster’s industry leading music subscription service.”

For more information, refer to the press release.

This article was written by Amit Chowdhry. You can follow me at @amitchowdhry or on Google+ at
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