Tuesday, 29 November 2005 16:18

destra signs content deal with SonyBMG


destra Corporation (ASX:DES) subsidiary destra Music has signed a contract with SonyBMG Australia to sell SonyBMG's content to mobile phones.

The agreement enables destra to sell SonyBMG's music full track downloads to mobile phones as well as true tones, wall papers and movie video clips.

'The music industry and the mobile community were made for each other,' said Domenic Carosa, destra's CEO. 'When people leave their house, they bring their keys, wallet and mobile phones with them - the mobile phone is the natural music player.'

There are approximately one million iPods in Australia and over 15 million mobile phones. Shorter upgrade cycles and the launch of 3G networks are feeding mobile music/video models, according to destra.

destra believes that as a result of the mobile explosion, music and the consumer experience is taking on a whole other relationship - music as ringtone, mobile device as retail provider, mobile device as radio player, mobile device as music library - with the consumer being fully immersed in a mobile music experience.

destra is currently engaged in discussions with regional 3G mobile network carriers to support its audio and video technology. Carosa said, 'According to IDC's latest research, 3G networks are enabling the delivery of multimedia rich mobile content, with the two fastest-growing categories, music and video/TV services, projected to enjoy a five-year compound annual growth rate of 190 and 112 per cent, respectively.'

destra announced on Friday that it had terminated its agreements with Artist & Entertainment Group Limited (ASX:AEM) for AEM to acquire all of destra's digital media assets. Additionally, destra announced it will now acquire the Rajon Music & Video Group pending due diligence activity.

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