Baidu.com, one of China's largest internet search engines, has got approval from a leading Chinese language record company to provide free music for online users, signaling a new approach from record companies looking to cooperate with websites rather than confront them.
The deal will see Internet advertising put on display while users listen to the music, with Rock Records Co. Ltd. and Baidu set to share revenues generated in this manner.
"This partnership reflects growing industry recognition of the advertising-supported free music streaming model," said Baidu chairman and CEO Robin Li.
Sam Duann, founder of Rock Records Co. Ltd., said "By using Baidu's leading position in the Chinese language search market and its unparalleled premier digital music platform, this partnership will satisfy to music lovers, record companies and advertisers alike."
However, Baidu did face a backlash last year when it was sued by seven record companies including EMI, Sony BMG, Warner Music and Universal Music for allegedly engaging in illegal downloading and putting 137 pieces of music owned by the record companies online without their permission.
The Beijing First Intermediate Court dismissed the motion though, saying that Baidu's service is not an infringement since it only provides web links to the music which is being downloaded from third party web servers.
The agreement between Rock Records and Baidu.com comes six months after a similar deal between EMI and Baidu.
(Xinhua News Agency July 6, 2007)