Audio Video News

Just as Rhapsody is going independent, the music streaming service is dropping the price of a monthly subscription from $14.99/month to $9.99/month for unlimited access.

Rhapsody is leaving its parent companies, RealNetworks and Viacom, with $51 million in cash (much of it to be spent on advertising on Viacom's MTV and VH1 channels) and annual revenues of $130 million. Unfortunately its subscriber base dropped from 800,000 in the first quarter of 2009 to 675,000 in the final quarter of that year. Perhaps the $9.99/month deal will make the streaming service some new friends.

The new price applies to just one device. Those who want to access Rhapsody To Go across multiple mobile devices still pay the old price. Rhapsody's iPhone application launched last fall, attracting 1.5 million downloads but few paying customers beyond the seven-day trial period. An app for the Android is in development.

See the Associated Press.