Yahoo to Buy Online Jukebox Musicmatch
From Associated Press
Yahoo Inc. agreed to buy online jukebox provider Musicmatch Inc. of San Diego for $160 million in a deal designed to broaden the Internet giant’s appeal among consumers who buy songs off the Web.
The all-cash acquisition gives Sunnyvale, Calif.-based Yahoo a major drawing card as it competes against the likes of Apple Computer Inc., RealNetworks Inc. and Napster in the rapidly growing field of digital music management.
Musicmatch will provide Yahoo with two features that it doesn’t currently offer: an online music store that sells songs for 99 cents apiece and a popular software program that helps manage digital music on computer desktops.
Yahoo shares surged $1.33 to $33.20 on Nasdaq.
