Malaysian music-download site closes down

July 21st, 2008   News  


A Malaysian site offering music downloads is closing its doors after poor sales have exposed the business model as a failure. TM Net’s Bluehyppo music-download service has an announcement up at the moment outlining that the service has suspended its operations.

The word going around is that the service has only been selling about 40 music downloads a month since its launch in September 2006. That’s nowhere near enough to justify keeping the music-download service going.

Apparently, to be viable, a website offering music downloads needs to shift about 50,000 music downloads a month, leaving Bluehyppo about 50,000 short.

With music downloads still booming, its puzzling why a service with the back of TM Net, a subsidiary of Telekom Malaysia Bhd, can’t make a go of such a service. Maybe Malaysians just aren’t into legal music downloads like the rest of the world.

Bluehyppo offered tracks by international artists, but that wasn’t enough to inspire people to buy any music downloads. A shame.

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