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Napster, Best Buy in Digital Music Marketing Deal

No. 1 electronics retailer Best Buy Co Inc. on Wednesday said it reached a multiyear agreement to promote Napster as its leading digital music service through in-store marketing and broadcast, print and online advertising.

Napster is a division of Santa Clara, California-based digital media company Roxio Inc. Under terms of the deal, Best Buy will receive Roxio stock worth up to $10 million over the term of the agreement and Napster will work with Best Buy in jointly funded marketing activities, the companies said.

Minneapolis-based Best Buy said it would also market a co-branded version of Napster through Bestbuy.com. Roxio transformed Napster into a legal service from an unauthorized song-swapping platform.

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