Microsoft Misses Memo, Launches DRM-Laden Mobile Music Store

Retailers from Amazon (AMZN) to Real (RNWK) have launched their own DRM-free MP3 music stores in recent years. Faced with the competition, Apple (AAPL) finally put the last nail in the coffin of à la carte music DRM earlier this month with the iTunes Store, but don’t tell Microsoft (MSFT). The world’s largest software maker just launched a mobile phone-based music store in the U.K. that charges nearly twice the price for media while offering even fewer rights.

Dubbed MSN Mobile Music and tied to Microsoft’s MSN Mobile portal, the service offers over one million songs and 10,000 videos to U.K. cellphone users from the big four labels. MSN Mobile Music was launched in partnership with VidZone Digital Media and offers songs for $2.07, ringtones for $4.05, and videos for $2.77. These prices include a fairly steep premium over the standard 99 cents charged for most MP3s, though MSN Mobile Music is compatible with over 130 handsets.

Read the rest of this post