Vodaphone launching new music service – to rival iPhone

With the imminent launch of the iPhone in Britain, Vodaphone are offering their subscribers access to a huge selection of music for only £1.99.

Vodaphone were rumoured to be in the running to become the British operator for Apples iPhone, but lost out to O2, running the risk that hoards of customers would switch to their rival as the new device became available towards the Christmas season.

But Vodaphone, which currently has 14.7 million UK customers, is fighting back.  MusicStation will provide access to more than a million music tracks for a flat £1.99 a week.  It is expected to be available on most Vodafone handsets from November.  Vodafone has deals with all the big record companies as well as several independent labels.  MusicStation will nonly be available to Vodaphone subscribers, which should set the scene for a vicious Christmas battle for mobile music customers.

Although MusicStation does not quite have the resonance in it’s name as Apple does, benefits of the Vodaphone-MusicStation deal for customers should be really great.  For a start, MusicStation is compatible with around 80% of handets which means that most customers will not have to purchase a new phone (at a few hundred pounds that would be paid for an iPhone) in order to use the service.  MusicStation users can download tracks wherever they are, rather than waiting until they are at their computer.  In addition, subscribers can also use more than one handset; they can upgrade to a new model and keep getting access to music they have already downloaded.  Unfortunately, if customers unsubscribe from Vodaphone, they will immediately lose all access to the music they have downloaded from MusicStation.

Vodafone said on Monday it thought its wide range of phones and the easy-to-use nature of the music service would appeal to consumers.

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