The eMusic Story

eMusic is the world’s largest retailer of independent music and the world’s second-largest digital music retailer overall, offering more than 3.5 million tracks from more than 27,000 independent labels spanning every genre of music. A subscription-based service that allows consumers to own, not rent their music, eMusic is the largest service to sell tracks in the popular MP3 format—the only digital music format that is compatible with all digital music devices, including the iPod®. eMusic targets and successfully direct-markets to consumers who are interested in music outside the commercial mainstream, dramatically expanding the sale of catalogue typically known as "the long tail." Since Dimensional Associates acquired eMusic in 2003, the company has more than tripled its subscriber base.

Dimensional Associates is the operating company that manages private equity investments made by JDS Capital. Holdings include the Orchard, the world's leading digital distributor of music and video. In 2003, Dimensional purchased eMusic from VU Net USA, which bought the company in 2001. The groundbreaking digital music retailer was originally founded as GoodNoise in 1998 by entrepreneurs Gene Hoffman and Bob Kohn and was the first company to sell digital music in the MP3 format. It was renamed eMusic in 1999 and launched the first digital music subscription service in 2000. In 2007, eMusic launched eMusic Mobile, a pioneering "over the air" music download service, in conjunction with AT&T, as well as eMusic Audiobooks, the world's first audiobooks service offered exclusively in the MP3 format.

The eMusic Experience

eMusic caters to music lovers of all types in the underserved 25-54 demographic. It does so by cultivating a vast catalogue from the world’s top independent labels that spans every conceivable musical genre, by offering unrivaled music discovery tools and by providing tracks in a high bit rate (192K VBR) MP3 format with no DRM. It all adds up to a pro-consumer experience that gives subscribers the ultimate in flexibility, and just as importantly, ample opportunities to discover new, exciting music.

eMusic sells music in the universally compatible MP3 format — the most widely utilized digital music format, used by hundreds of millions of consumers, and the only one that offers all the functions of physical music products such as the CD. The MP3 format allows consumers to play tracks on any device, burn CDs and make as many copies as they like for personal use.

eMusic focuses on selling music beyond the commercial mainstream in every genre, including rock, jazz, comedy, hip-hop, blues, classical, country, folk, children's music, electronic, world, reggae and more. Unlike so much of today's commercial Top 40, independent music is simply about great music. Top independent artists include familiar names such as Johnny Cash, Ray Charles, Miles Davis, Bob Marley and Creedence Clearwater Revival, established rule-breakers such as the Pixies, Lucinda Williams and Black Flag, and breaking new artists like Neko Case, the New Pornographers and Ying Yang Twins.

eMusic has deep relationships with the world's most innovative independent record labels, enabling it to offer cutting-edge music to its subscribers on or before its release date. eMusic's label roster includes top sellers like Concord Music Group, Koch, Naxos and Beggars Group, and other well-known independents such as Touch and Go, Merge, Sun Records, Cooking Vinyl, Fantasy, Bloodshot, Blood and Fire, TVT, Nettwerk, Vice, Thrill Jockey, Fat Possum, Razor & Tie, Six Degrees, SST, Smithsonian Folkways, Stones Throw and more.

To help consumers navigate this wide-ranging catalogue, eMusic provides award-winning editorial created by a staff of more than 120 of the best music journalists and experts in the country, led by eMusic editor-in-chief Michael Azerrad, the acclaimed music journalist and best-selling author. The web site includes the Review of the Day, regular columns in every genre and the popular eMusic Dozen, which is a brief overview of a genre, era, place or artist, followed by concise, insightful reviews of the 12 best eMusic albums fitting the topic.

Other discovery tools include the eMusic Toolbar, which offers members a free MP3 download every day, and puts Internet search and quick search of eMusic's vast music catalogue at members' fingertips. "Neighbors," "Friends" and "Playlists" features allow members to share their discoveries with each other, and eMusic provides powerful technology that analyzes members’ download histories and ratings to suggest playlists and personalized recommendations of new arrivals. Members can further customize their eMusic experience by developing their own PowerCharts™ and subscribing to genre-specific newsletters.

eMusic is a subscription-based service, allowing members to download tracks for substantially less than they would pay with other download services. Various pricing plans allow customers to pay as little as 33¢ per track or $9.99 per book, encouraging them to sample new artists and authors and as a result, purchase more entertainment — eMusic customers typically buy more than 20 music tracks per month, while iTunes® users average only between one and two tracks per month.

Executive Management

eMusic's finely tuned user experience is the product of seasoned music, direct marketing, product development and technology experts. eMusic President and CEO David Pakman is a pioneering digital music entrepreneur, having co-founded digital music "locker" company Myplay, Inc. (acquired by Bertelsmann), held senior positions with BeMusic/Bertelsmann, N2K Entertainment, and served as a co-creator of Apple's Music Group. The rest of the eMusic staff includes more than ten actively recording and gigging musicians, as well as industry veterans who've worked closely with Sonic Youth, Nirvana, Slash, the Jesus & Mary Chain, Paula Cole, Bobby McFerrin, Ben Folds and contributed to the success of BMG Music Service, CDNOW, Real Networks, Infoseek and Microsoft.

Value to Labels and Partners

eMusic is a superior partner for independent labels, enabling them to break new bands with an audience that is eager to sample new artists. The eMusic subscription model and low consumer price point help labels increase the sales of non-mainstream, niche and out-of-print music.

eMusic actively works with consumer-facing companies to develop customized, iPod®-compatible digital music strategies for their customers. Current major marketing partners include AT&T, Circuit City, Target, BestBuy and Thompson Multimedia.

'iPod' and 'iTunes' are registered trademarks of Apple Inc. Apple is not a partner, sponsor or owner of eMusic.