Our take...
The deal signifies recognition of the viability of the popularity-based music pricing model: AmieStreet prices tracks depending on the number of cumulative downloads with new catalogue entries available for free and more popular downloads fetching up to $0.98. Screen Digest believes this model has potential for retail of niche and independent music; however, the questions remain about how money is distributed back to the content owners involved. eMusic, a book-club subscription service specializing in independent music, has seen a number of labels withdraw their content because they did not receive significant remuneration from the service provider.

The Orchard is one of the largest distributors of independent music, which has recently expanded across the music value chain by acquiring TVT Records at a bankruptcy auction and thus taking over TVT's physical record distribution infrastructure, artist contracts and catalogue of master records. Its deal with AmieStreet points out that popularity pricing is gaining mainstream acceptance. However, the size of The Orchard also means that in comparison to small independent labels it has the scale advantage when its music is retailed on the popularity-based model as well as more bargaining power when signing the deals with retailers.