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Record Companies Seek Ad Revenue Share From Free Music Downloads

By Sahad PV - Mon 27 Mar 2006 06:04 AM PST

The Hindu: South Indian film music industry is seriously looking at digital distribution as an additional revenue generator. According to the South India Music Companies Association (SIMCA), record companies earned Rs.1.5 crore last year through ringtone downloads and that is set to quadruple this year.
Besides distributing through partners such as Soundbuzz, Next Gen Media Alliances, People Interactive and On Mobile Asia Pacific, the companies are working out deals with portals that allow free download of songs. SIMCA plans to demand a “share of their advertisement or subscription revenue” in this case.

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