Pepsi Leaving iTunes for Amazon, Too

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Pepsi Leaving iTunes for Amazon, Too

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Another company leaves the grip of Apple's iTunes, though this time it's not a record label. It's Pepsi. After running a Super Bowl promotion for free iTunes downloads in 2004, Pepsi is gearing up to dole out more free music next year--with Amazon. Another promo that will be announced at the Super Bowl, the deal between Pepsi and Amazon has a few implications on the larger music industry and how it's treating downloads.

Pushing for Sony and WMG to go DRM-free

[img src="" caption="" credit="" alt=""]EMI and UMG content will be available for DRM-free downloads on Amazon, but not Sony BMG or WMG. Should Pepsi's promo with Amazon be successful, it could further influence Sony and WMG to adopt DRM-free downloads in mp3 format. And with reports of Wal-Mart planning to pull all Windows Media compatible downloads while requesting music labels to provide DRM-free downloads, the pressure on the record labels is coming from all sides.

One possible hold-up on any brash decisions made by Sony and WMG could be the still-pending status of UMG's decision to permanently adopt the mp3 format for download distribution of its content. So what we're left with is the usual: everyone but the record labels is pushing for change.

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