• GigaOm, Thursday, August 23, 2007 11 AM

Selling legitimate, digital rights management-free music looks like a trend that will continue, as encouraging signs emerge from Europe, particularly France. DRM freedom allows consumers to play music files purchased from any online store on any music device. Once music opens up, the future belongs to ISPs that offer DRM-free music for a monthly flat rate. This is already happening in France, where Cegetel and Orange France are offering access to large catalogs of music for either an added price of 5 euros (in the case of Cegetel) or as part of its existing service.

In the U.S., big labels EMI Group and Universal Music Group are jumping on the DRM-free bandwagon, too, while retailers like Real Networks, Amazon.com, Apple and Wall-Mart are making DRM free music a priority. "DRM free music is going to help digital music expand from the iPod generation to the mainstream market," says John McFarlane CEO of Sonos Inc., a company that sells digital music players bundled with music services like Pandora and Real's Rhapsody.

Apple's dominance of digital music won't be threatened by an open music market. Consumers are still buying iPods, and Apple makes most of its music money selling hardware. As long as its music software stays competitively priced, it should spur iPod and iTunes sales.

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