Destra signs deals with Harvey Norman and People Telecom

Stan Beer
Thursday, 30 September 2004 17:26

IT Industry - Development

Online music vendor and web hosting service provider, Destra Corporation Limited (ASX:DES), has signed agreements with retailer Harvey Norman (ASX:HVN) and telecommunications service provider, (ASX:PEO).

The agreement with Harvey Norman will be to provide online music through the retailer's specialised website, www.musicandgames.com.au.

Harvey Norman's 157 retail stores across Australia sell PCs, MP3 players and home entertainment equipment in addition to general household goods.

DestraMusic.com (100% owned by Destra) was the first company in Australia to launch a legal digital music service in December 2003, offering music through its network of online retail partners. Today, DestraMusic has agreements to supply online music with major record companies including BMG Australia, EMI Music, FMR, Warner and Sony Music Entertainment.

The music is in the Windows Media Architecture (WMA) format and will have built-in technology for customers to copy the songs onto a CD three times, as well as to a portable media player. The technology is designed to prevent tracks from being transferred to pirate websites.

The deal with People Telecom delivers new content option to customers through an agreement to enable People Telecom's residentially focused Swift broadband service division to deliver a new content option to its customers.

The new service, branded Swiftmusic, allows customers to acquire and download music 24 hours a day via an interconnect agreement with Destra. The music download can be made from any Destra music site.

Destra has set up a link between its own network and People Telecom to ensure music download traffic is not counted for monthly billing purposes.

The agreement with Destra is designed to strengthen People Telecom's position in the content arena having announced earlier this year its gaming services and, more recently, launching its voice over internet service.