Kim Dotcom to launch Megabox music service

Megakey business model could be the future of the music industry.

Kim Dotcom, founder of Megaupload, has confirmed he will be launching a new music sharing service later this year

The entrepreneur confirmed on Twitter that the Megabox service would launch in 2012, despite his problems with the US Department of Justice over claims of piracy.

Kim Dotcom tweet

The Megabox service is set to take advantage of the growing interaction between music artists and fans and will be based on a unique business model, which cuts out record labels.

Dotcom originally outlined the business model in the blog post on Torrent Freak, in December.

"Universal Music Group knows that we are going to compete with them via our own music venture called Megabox.com, a site that will soon allow artists to sell their creations direct to consumers and allowing artists to keep 90 per cent of earnings," Dotcom noted.

"We have a solution called the Megakey that will allow artists to earn income from users who download music for free. Yes that's right, we will pay artists even for free downloads. The Megakey business model has been tested with over a million users and it works."

Dotcom will be hoping Megabox is able to replicate the success of Megaupload, which was the 13th most frequented website on the internet and received over 50 million daily visitors, before being seized by US authorities.

If Megabox takes off, record companies may have to rethink the redistribution of royalties to artists or risk losing them. The site could also challenge established distribution platforms such as iTunes.

Featured Resources

Seven steps to connect and empower your frontline workers

How business leaders can improve communication with a secure platform

Free download

Create what’s next

The future of collaboration and productivity

Free Download

Leveraging the cloud without relinquishing control

Your data. Their cloud.

Free download

Re-architecting for nonstop innovation

Unlocking productivity, scalability, and lower costs for cloud natives

Free Download

Most Popular

What should you really be asking about your remote access software?
Sponsored

What should you really be asking about your remote access software?

17 Nov 2021
How to speed up Microsoft's Windows 11
Microsoft Windows

How to speed up Microsoft's Windows 11

9 Nov 2021
Nike to take customers into the metaverse with 'NIKELAND'
virtualisation

Nike to take customers into the metaverse with 'NIKELAND'

19 Nov 2021