Report: Mashboxx May Acquire Grokster
Mashboxx is in talks with file-sharing service Grokster over a possible puchase, a move that could be seen as an attempt to keep the embattled file-sharing service alive.
The Wall Street Journal reported on Monday that the deal likely surrounds some kind of revenue sharing model for the current owners of Grokster, as the service itself is of little financial value.
Grokster and Morpheus, another P2P service, are fresh off a Supreme Court loss that opened the door for lawsuits by copyright holders if they suspect illegal activity. But now, in a bid to shield itself from legal repercussions, it appears Grokster is trying to go legit.
The owners of Mashboxx are currently investigating ways to creating a legal P2P service that is attractive to consumers. iMesh last year released a legal version of its service, which has so far been met with little support from the P2P community.
The Mashboxx service should launch in the next few months, and the company has already signed a deal with Sony. It expects other record labels to follow suit by the service's launch. Mashboxx is looking into ways to allow users to sample music for free, and pay when they wish to download the songs.
Mashboxx CEO Wayne Rosso declined to confirm to BetaNews whether or not the talks had indeed taken place. "But we at Mashboxx are very happy to private label our application to any company that meets our criteria," Rosso added.
Grokster representatives could not be reached for comment.