Category: Rhapsody

Newly independent Rhapsody cuts fees to $10 a month to be more in tune with listeners

Rhapsody Logo In an attempt to turn up the volume for its all-you-can-listen music subscription service, Rhapsody is slashing its fees Tuesday by as much as a third to $10 a month.

The fee includes the ability for each subscriber to listen to music on any computer, plus one portable device, such as iPhones and assorted MP3 players. It also announced Tuesday that its service is available on smart phones that run Google's Android operating system.

Rhapsody had earlier charged $12.99 a month to stream from the company's catalog of 9.5 million songs to any computer. Adding an MP3 player would raise the fee to $14.99 a month.

Rhapsody kicked off the new pricing scheme as it finalized its previously announced spinoff from RealNetworks, a Seattle technology company that is also in the process of shedding its games division as a separate company.

In documents filed Tuesday with the Securities and Exchange Commission, Rhapsody declared itself an independent company, with Viacom's MTV Networks owning 47.5% of the company, RealNetworks owning just under 47.5% and the remainder split between Universal Music Group and a private individual investor.  

Rhapsody, one of the first to offer online music subscriptions, is trying to avoid the all-too-common fate of Internet pioneers -- that of perishing from all the arrows in its back. Since launching as a start-up in 2001, Rhapsody has ...

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