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Big Names Ready to Rival Apple

Will Microsoft, AOL, and Yahoo launch their own music services?

The digital-music download industry appears likely to become an incredibly competitive space, reports claim.

In an extensive report published this morning, the LA Times claims Apple Computer's success in the market has inspired competitors, such as Microsoft, AOL Time Warner, and Yahoo, to look into launching their own competing services.

All three are expected to launch their own services, according to reports. Other operators, including Amazon.com and MTV Networks are also moving to leverage their online brands.

Change of Attitude?

Apple's launch of the ITunes Music Store marked a change in the music industry's attitude to digital distribution. While the business continues to battle against illegal music download services, it now accepts the need to find technology companies with established brand names to bring their products to market.

A source said: "We have the rights. We have the music. We need the real experts to come and make a distribution system that works."

Discussing the rapid rollout of these services, Vivendi Universal chairman Doug Morris said: "I think the whole thing is a revolution."

David Goldberg, vice president and general manager of music for Yahoo, told the LA Times: "Apple's service shows there's consumer demand, and it shows they've built a great product, which they did."

The story cites sources who suggest new, competing music download services will be available by Christmas.

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