MySpace unveils ad-funded music service

LONDON - MySpace has launched a new ad-funded music service today (Thursday) to rival iTunes. It will allow users to stream as many audio tracks as they want, paving the way for entire back catalogues of big-name artists to be hosted by the social networking site.

Music maker: ad-funded service MySpace Music aims to rival iTunes
Music maker: ad-funded service MySpace Music aims to rival iTunes

Four major record labels have signed up to the service, which operates on an ad-funded model with McDonald's, Sony Pictures, Toyota and US insurance company State Farm among the launch advertisers.

The first phase of the new music service will allow MySpace's 120 million users to listen to ad-supported streaming of full-length tracks from EMI, Sony BMG, Universal and Warner Music. Users can purchase MP3s and ringtones in the USA through Amazon and Jamster.

Users will also be able to download music free on "Toyota Tuesdays". State Farm will have rotating ads on the site and McDonalds will advertise on MySpace Music's personal music player.

The new product allows MySpace users to create playlists for personal use and to share. Users will be able to search the site more easily and stream music through a personal music content player, while browsing MySpace and other websites.

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