$.99 Too Much? SpiralFrog To Offer Free Legal Downloads

In a move that could shake up the entire download marketplace, SpiralFrog has signed a deal to make Universal’s extensive audio and video catalog available for free downloads in the US and Canada via an ad supported service to be launched later this year.

"The US radio industry generates 20 billion dollars a year in revenue and they give the product away for free," Inside Digital Media analyst Phil Leigh told news service AFP. "Record labels generate 12 billion dollars a year and they sell their product."

SpiralFrog’s research showed that consumers are willing to ‘pay’ for content by "watching non-intrusive, contextually-relevant, targeted advertising in an online entertainment environment where advertising is already part of the overall experience". SpiralFrog’s target audience is the 13 and 34 year old demo most sought after by advertisers.  (press release)