Napster gets ready for UK and gets into bed with Dixons

Napster and Dixons are getting into bed, the two companies have announced. With the UK launch of the music download service planned for this summer, the recently-reformed Napster has signed up the consumer-electronics company to further its cause.

Dixons will push Napster via its network of Dixons, Currys, The Link and PC World stores, with Napster now signed up as Dixons' only music-download buddy.

Dixons will promote Napster by shipping all of its own-brand PCs with Napster 2.0 software preinstalled on the machines and a "unique offer" for the premium service thrown in.

Dixons will also be showing off its new partner in its stores, with various promotional trinkets branded with the Napster logo, including CD wallets and labelling kits, also available to highlight the service.

The agreement between the two companies is described as "multiyear" but no financial details have been given for the deal.

However, Roxio, the company that owns Napster, has been giving out its financial details, with yearly results announced yesterday. The company announced that for the financial year ended 31 March, 2004, it posted a net loss of $44m.

The loss hasn't dampened Roxio's enthusiasm for its download subsidiary, with the company expecting Napster to post revenues of $7m in the coming quarter.