I think that this would actually be a really smart strategy for Virgin to employ. Think about it, Virgin not only gets the advertising for it first and everyone begins to associate it with them but then once it becomes famous they get a piece of everyone elses action.
The world is moving towards total technolgy convergence where people will have a radio/mp3 player/phone (they already do actually). This will become another feature that every phone will have to have in a couple of years and Virgin will not hold a monopoly for very long. By letting people buy into their content they make sure that they get money from everyone.