Best Buy to Purchase Napster
In a surprising move, Best Buy said Monday that it plans to buy the pioneering but struggling musical download service Napster. According to Reuters, the deal is for $121 million in cash, although Best Buy will assume $67 million in cash and short-term investments owned by Napster.
Napster’s management will remain in place, and the company will continue to be located in Southern California.
Best Buy will also assume Napster’s 700,000 subscribers as well as its Web assets.