] Software maker Roxio announced Monday it has acquired
] online music service pressplay for about $40 million, in
] preparation for the relaunch of a new service under the
] Napster brand name.
]
] Santa Clara-based Roxio bought pressplay for $12.5
] million in cash and approximately 3.9 million shares of
] Roxio common stock. Pressplay, based in Los Angeles, is
] the joint venture of Universal Music Group and Sony Music
] Entertainment, record companies that were seeking a legal
] alternative to Napster.
]
] Roxio bought the Napster brand on the cheap after the
] company dissolved, and appears ready to relaunch the
] brand as an online music store.
]
] "With our acquisition of Napster we obtained the most
] powerful brand in the online music space. Now, with our
] acquisition of pressplay, we have the most complete and
] scaleable legal technology infrastructure to use as a
] platform to relaunch Napster," said Roxio's chairman and
] CEO, Chris Gorog.