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Amazon launches digital music locker service
March 30, 2011 Over three years after launching its digital music store Amazon, the online retail giant, has ventured into digital music locker space with its Cloud Drive and Cloud Player services launch in the US. Amazon.com account holders get 5 GB of free storage on Amazon Cloud Drive and all Amazon MP3 purchases are automatically added to the digital locker and do not count towards the 5 GB quota. Purchasing any album via Amazon MP3 will automatically extend a users' storage quota to 20 GB; alternatively, users can purchase additional capacity of 20, 50, 100, 200, 500 and 1000 GB at $1 per GB per year. Uploads are not limited to music - users can store any type of file. Music uploaded to the digital locker can be accessed via the Amazon Cloud Player for Web (accessed with a browser) or via the Amazon Cloud Player for Android, integrated into the Amazon MP3 app. No integration with Amazon MP3 app on BlackBerry was announced at launch. The Cloud Drive leverages Amazon Web Services suite, including Amazon S3 remote storage, Identity and Access Management (IAM) and Metadata Service. The new service is one of a number of Amazon digital content initiatives which have met with varying success. Unlike books, in music and video, the company has so far largely failed to leverage its existing registered userbase to drive uptake of its digital services (with the possible exception of Amazon MP3 store in Germany, where the company has achieved a prominent share of the relatively nacent online music market). Preloaded Amazon MP3 store on Android handsets does not appear to have helped the retailer to make significant inroads into market leader Apple iTunes market share either. Cloud Player tries to apply the lessons of Amazon's successful digital content service Kindle to music - the company's ebook transactions overtook physical book purchases in January this year. At its core the Kindle ecosystem is a digital book locker service: in addition to Kindle devices, ebooks purchased from Amazon can be accessed on PC and Mac computers and on iOS, Android, BlackBerry and Windows Phone 7 devices. However, while Kindle service was propelled to popularity because of the appealing native device closely tied to the store (the same reason that has helped iTunes to become the world's leading music retailer), Cloud Player lacks this level of tight integration with devices, but one of the goals for the service is presumably to help improve the 'stickiness' of Amazon's Android app and thereby improve sales as consumers move seamlessly from playback to purchasing within a single enviroment. However, it is far from clear that Cloud Player will actually have this effect. Starting with Myplay and my.MP3.com, which launched in 1999 and 2000 respectively, digital locker services have so far failed to spark mainstream consumer interest. Many, like my.mp3.com, faced a number of legal challenges from Major labels. However, Amazon will be storing a copy of each uploaded file rather than using a content identification system and only storing links to a master copy of a track - IHS Screen Digest understands that this should allow the retailer to forgo music licensing and royalties pay-outs for the locker service. Apple uses the same workaround the licensing issues to offer similar functionality within their MobileMe proposition: since August 2010 all MobileMe users can stream music stored on the iDisk on their iOS devices, although it is widely believed that few users know about, let alone use, this function so far. Part of the underlying issue is that a number of consumer might find the process of transferring existing music collection by uploading it onto the Cloud Drive cumbersome, particularly in light of the competition from subscription streaming services, such as Rdio, MOG or Rhapsody, which provide seamless, convenient, device-based access to growing catalogues. While hardcore music fans are sure to find gaps in these services catalogues, they are more than sufficient for the average fan at whom Amazon's 5GB of free storage is aimed. Tags:
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