Amazon buy digital music site Amie Street

By Chris Coplan on September 9th, 2010 in News

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How’s this for an interesting twist: while the Internet is having an effect of ever-decreasing album sales, it’s simultaneously offering more and more places to actually buy records with online venues. Building on what brick and mortar stores are doing, some have tried to shift the paradigm and make albums more affordable. One of those such stores was AmieStreet.com.

Started in 2006, the store was built on the concept of “dynamic pricing,” where bands and solo acts uploaded music and sold tracks and LPs with prices based on demand. Most songs were initially available for free and their price would then rise based on overall demand, though no song ever exceed 98 cents. Now, though, according to The Register, the website’s overall model may be shifting after being purchased by Amazon.com.

According to an issued statement, all AmieStreet.com pages will be forwarded to Amazon.com effective September 22nd, 2010, and any customer who has yet to download any purchased music must do so by that date.

“We believe we’ve found a great home for AmieStreet.com and are committed to making this transition as smooth as possible for you, our fantastic customers,” explained the company in the statement.

It is not yet known whether Amazon will utilize AmieStreet.com’s aforementioned pricing concepts, but according to Aime Street co-founder Josh Boltuch, Amazon has only purchased “certain AmieStreet.com domain names and trademarks, but not the business model or customer records.”

As for what the future holds for Boltuch and the rest of Amie Street team? The sale will allow them to turn their efforts entirely on Songza, a streaming-music site which Amie Street acquired in late 2008 and relaunched as a public beta this August. Currently, eight million songs are available for listening, with the company said to have agreements with “all the major labels.”

Despite comparisons to Pandora, the Songza team is claiming that the site will allow people to create stations like other larger names, but fill those stations with songs that they want. They can then join up with friends and further develop those playlists and stations.

As always, stay tuned for more news and updates as they’re announced.

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