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Coke to launch UK music download service

Coca-Cola hopes to enter the growing music download market by launching its own download service in the UK in January.

Coca-Cola hopes to enter the growing music download market by launching its own download service in the UK in January.

Run by European digital music company On Demand Distribution (OD2), the music service will offer 250,000 tracks from more than 8,500 artists. Tracks will cost 99p each.

OD2 will offer a "white label" service running online music sites for UK and European music businesses, including those offered by Microsoft's MSN.com, Tiscali and Virgin Entertainment, said marketing manager Paul Smith.

All major record labels will be involved with the Coca-Cola site.

"Given the unprecedented level of support that Coca-Cola's putting into it, the potential customer reach is in the millions," he said.

Coca-Cola and OD2 will split the proceeds from the site on a revenue share model, although Smith would not reveal what percentage OD2 will receive.

Music service users need to be over 18, as they need a credit card to buy tracks.

Last week, Coca-Cola announced that it had signed a two-year deal to sponsor the UK Music Charts from January and a planned Download Chart.

According to a report released earlier this year by Jupiter Research, a division of Jupitermedia, the online music market could be worth $3.3bn by 2008.

A pre-announcement site, allowing potential users to register, is at www.mycokemusic.com.

Gillian Law writes for IDG News Service

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