Millenial Music Service Napster Could Make a Comeback Soon After $207 Million Deal

The early 2000s were a very different time. Spotify, Facebook, and social media as a whole were distant dreams. The Internet was in its early stages, and the masses were just starting to jump on the bandwagon of the World Wide Web. Naturally, the web became the hot new place to listen to new music, all without the need to buy physical media such as CDs or vinyl. One company was at the head of it all: Napster.

Napster launched in 1999 and became the premier file-sharing application for digital audio. It was hugely popular, especially among those who wanted free music. The company ended up losing quite a few lawsuits from angry labels and musicians who weren’t getting paid, and they ceased operations, more or less, in 2002. However, it looks like the company didn’t completely disappear. As of Tuesday night, Napster was just sold for a whopping $207 million.

Napster Might Just Make a Comeback in the 2020s

Originally founded by Shawn Fanning and Sean Parker, Napster’s original form was shut down via court order in 2001. Now, it has been purchased by a company called Infinite Reality. It looks like they could opt to use Napster for something very different from its original intention. Specifically, Napster could be used for virtual concert experiences, not unlike what one would find in the metaverse or Fortnite.

Naturally, tons of people are wondering how this could have happened. How could a long-defunct brand be bought for so much money, decades after it ceased operations? However, it looks like it didn’t completely cease operations. 

The Napster that Millennials might remember has been gone for years, but Napster (the brand and assets, specifically) was sold to a number of different companies, from Roxio to Best Buy. Technically, it never went away. It simply changed and started to adhere to the law a bit better.

The next chapter in Napster’s story could call for a serious comeback. Infinite Reality has plans to venture into new territory in terms of digital music and concert experiences. Considering that Napster now has licenses to legally stream quite a bit of music, Infinite Reality wants to use it to build virtual concert spaces, listening parties and rooms, and merchandising endeavors.

“We just don’t see anybody in the streaming space creating spaces for music,” said Infinite Reality’s CEO, John Acunto. “I think there’s no better name than Napster to disrupt.”

Photo by Thomas Trutschel/Photothek via Getty Images

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