News > Companies settles with EMI
July 27, 2000: 5:26 p.m. ET

Third of five expected agreements with recording giants over copyright suit
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NEW YORK (CNNfn) - Inc. reached an agreement with EMI Group PLC that will allow the online music company to use songs owned by the British record label in the My.MP3 Web-based database, sources said Thursday.

The company is expected to announce Friday that can use EMI's music as part of the service, sources confirmed to

The settlement means just two of the five music giants that sued for copyright infringement, Sony and Universal, have yet to settle. But a source said Thursday that Universal had begun settlement negotiations with the digital music provider.

An EMI spokeswoman declined comment on the reports Thursday.

An spokesman could not be reached for comment.

graphicThe five major recording labels, Warner Music Group, Bertelsmann AG's BMG, Sony Music Entertainment, Seagram Co.'s Universal Music Group, and EMI, sued San Diego-based late last year alleging that the company illegally copied songs without permission from the companies via its Internet service.

The service works by allowing visitors to listen on a computer anywhere to music from popular recording artists, after proving to that they owned the CD.

Last month, settled its dispute with two of the companies, Warner and BMG. Although terms were not disclosed, such settlements will likely clear the path for recording companies and to pursue online music distribution like never before, industry experts have said.

The company's deal with Warner and BMG licenses to use Warner and BMG-controlled recordings from the likes of Whitney Houston and Eric Clapton, on its service.

Shares of (MPPP: Research, Estimates) closed down 1/16 to 10-5/16 Thursday. Back to top

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