Napster's singing a new tune

A silicon.com leader pointed out a few weeks ago that no one had yet worked out how to make money from online music. Not charging for it was never going to be one of those ways.

Napster, once it appointed a 'grown-up' CEO and raised some serious cash, was clearly setting out on the path to become a fully-fledged commercial outfit.

This is stage one in that process.

Bertelsmann was one of the five major record companies suing Napster. By making a pact with the devil, it has pointed a way forward for the other four.

And much as the free spirits of cyberspace wanted to see Napster retain its glorious isolation, more licensing deals will follow.

The free-ness will continue in some way, shape or form. But the music industry has - rather belatedly - realised that it couldn't beat a community with 38 million members.

So Bertelsmann has joined 'em. Expect the rest to follow soon.