I like that MP3 is targeting multiple sources of revenue, any of which could really take off:
- own artist base, ie its own record label with D.A.M & airplay model
- retail & on-hold airplay
- user base with premium service $49.95 / annum for listens, unlimited Beam-it to my.mp3.com
- the swap it service with $2 revs each CD swapped
- expanding internationally, esp. the Asia announcement
- and the motherload wildcard for the future- deals with major recording labels. MPPP is aiming at being the "good guy" in the whole Napster mess.
These multiple revenue streams for this new technology, plus a beaten up stock price, a good cash base and largely sunk in start up costs which are behind us, really bode well, as far as my own analysis goes, for this stock.
Add to all this that consumer growth of DSL/cable continues apace, I'm optimistic. And consumers want such alteratives to the regular music distribution concept, so even if there is a recession, MPPP should do well.
Sincerely,
Ben |
