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Record Labels Change Minds About Sharing MP3s 243

Mass Defect writes "While the RIAA continues to sue people for p2p file sharing, the record labels have made an about-face and given their blessing to users sharing MP3s via the social networking site In May this year the site was being sued by Warner for allowing users to upload photos, videos, and music to share. However to everyone's amazement, instead of being flattened, managed to convince the label that this free promotion was a good thing. In July signed a deal with the label. Since then the site has added Sony, BMG, EMI, and now the biggest fish of them all, Universal. Imeem now has the royal flush of record labels supporting its media-sharing service, each getting a cut of the advertising revenues generated by their catalog. Finally someone has figured out a way to do 'YouTube for MP3s' without getting sued out of existence."

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