INgrooves Announces Low Cost Digital Distribution & Administration Servce
Announcements from the Consumer Electronics Show (CES) which start tomorrow have already begun with digital distributor INgrooves’ launch of ONE Digital, a new division to house its technology 
platform and offer digital distribution and royalty
administration at rates below the industry standard. INgrooves says it can deliver digital distribution and administrative services for as low as $1 and 1%. This kind of breakthrough pricing should improve the business model of many niche music providers.
Nation), Urbanlife Digital Distribution and content aggregators, iMusica (Brazil),
Digital Delivery Services, Inc. and Big Fish Media, have already 
committed to
using the ONE Digital platform for over 50,000 song titles.
The development of ONE Digital was led by David Kent, the
former Director of New Technology at the original Napster. A patent pending platform, ONE Digital
provides encoding, delivery and monthly royalty administration services
solution for content owners (audio, video and images) seeking to access online
and mobile retailers. ONE Digital expects to planning to add “on-demand” royalty payments and customized sales report
generation as early as mid 2007.
Music Downloads No Cost
The deadweight loss can exceed revenue because the cost of handsets, cutting $100 to $30