BigPond does deal with record companies

BigPond is stepping up its presence in the digital music business after signing a deal with all four major Australian record companies.

Telstra's internet service provider today announced it had made an Australian-first deal to offer music from Sony BMG, Universal, Warner Music and EMI, as well as independent labels such as MGM and Liberation.

It will see the number of tracks on BigPond's online store grow from 20,000 to more than a million by January 2009, BigPond said today.

In a bid to cut into the huge Apple iTunes market, the online store also will allow customers to download music to almost any portable music player, including the popular Apple iPod as well as home systems like the Xbox.

"BigPond now gives iPod users an alternative place to purchase their favourite music in a format that will work on their player," BigPond group managing director Justin Milne said.

"BigPond is changing the online music game by creating a truly open world that puts consumers in the driving seat."

Warner Music Australia chief executive Ed St John said he was pleased with the deal because digital music was the future of the industry.

"The future of the music industry relies on the growth in legitimate digital music sales," he said.

"And we can only have a healthy digital music industry when consumers have the opportunity to purchase music any where, anytime and with the capacity to load it on to any device they choose."

- AAP