OnScoobySnacks used our newssubmit to tell us that the CEO of Napster, Konrad Hilbers, has decided to leave the company.
Napster once the first and most succesfull MP3 filesharing technology is now outdated and had a lot to suffer from legal action.
Hilbers took the helm of Napster last year. Napster's future now appears in question as Hilbers' departure represents a loss in confidence in the leadership of the Redwood City-based company. It turned down the buyout offer from Bertelsmann earlier this year. |
The German media conglomerate has extended about $85 million in loans to Napster, but the company has failed to generate revenue or launch a paid service. To further complicate matters for Napster, the company's original investor, venture capital firm Hummer Winblad, and the uncle of Napster founder Shawn Fanning remain locked in a legal dispute over the division of funds from the sale of the company.
In an internal memo to Napster employees sent by Hilbers and provided to The Associated Press by sources close to both companies, the chief executive bashed Napster's board for refusing Bertelsmann's offer. 'I am convinced that not pursuing the offer is a mistake and it will lead the company to a place where I don't want to lead it," Hilbers said in the memo
The Napster protocol has been imitated, improved and the FastTrack technology can be considered superiour above the Napster protocol.
Besides that other paid music services have failed to gain public interest. Is there any hope for Napster ? We don't think so...
Source: MSNBC
