Crenk

Qtrax will be sued before they even launch if they arent careful. Qtrax is a music P2P service that is supposed to have launched a few days ago, but the site is online and no one can download their software. Plus, it has been reported that Qtrax dont have agreements with WMG and EMI when they have specifically announced that they have. So strange!

The LA Times reported that Qtrax has not signed with EMI or Warner Music Group and they are only close to coming to terms with Universal. So why are they going around saying they already have these contracts? I really think this product could be a lost effort even before it launches.

I saw this article over on The Times and thought it was very interesting to see a company pay too much for another company in which they have no idea about the industry or how it works.

The Times reports that Terra Firma who recently purchase EMI, are currently looking to sell off 15% of the company and have also set a target to exit the entire business within 5 years.

It is also reported that Terra Firma expects to increase profits to 528 million pound by 2012, from 61 million today. The majority of that increase will be because of cost cutting measure that will be in place.

There has been a lot of talk in the past few months on whether Terra Firma paid too much for EMI and with them already getting a quick exit strategy in place maybe they should just have steered clear of the music industry in the first place!