Our target audience:

• People who listen to music in the background while they do other work (i.e. office workers [or any traditional "radio" market]).
• Fans of music that gets little radio airplay or major record distribution, but has a fairly large audience.

• Radio stations of our very high-quality artists, tailored to each listener's specific tastes.
• We make it easy to listen to our music, and what we play is on-genre and extremely high quality.
• A simple interface to save your favorite artists and songs; come back to them, build a collection.
• A wide variety of music that can be freely previewed and put on a 'temp track" on a work-in-progress. If the music is then proven to work for your use, you can then pay to license it for advertising, films, business, etc.

• Downloadable albums at a low price: $5 to $18: buyer determines the exact price.
• Sub-licensed music for commercial purposes (i.e.: trade shows, advertising and web sites), priced from $150 to $5000, depending on length and type of use. This is our fastest-growing and most profitable business area.
• Merchandise: posters, clothing, mugs with artist's likeness. We're not currently offering this, but we may in the future.

• 50% of the sale price of each album goes directly to the artist.
• 50% of any commercial sub-licensing (ads, web sites, trade shows, films, etc) goes directly to the artist.
• 50% of merchandise profits goes directly to the artist.
• Wider distribution of the artist's music means more gigs and more fans.

Subject: re: Notification of Payment Received
Date : Wed, 14 May 2003 06:19:00 -0700
From : "Daniel Weese"

I was looking for ambient new age music on Shoutcast, and got one of your stations. When someone asked me what I was listening to, I went back to Shoutcast and typed in Magnatune. It brought me back 6 results, and I noticed the World Asian Middle-Eastern station, and gave it a try. I have the output of my sound card piped into the secretary's computer so she can tune into what I'm listening to, and we both loved the station. I initially went to buy Beth's album, and while I was shopping, Jeremiah's song came on, and I had to have it as well. This station could prove to be the end of me financially!!!

I am in the process of hooking up a short range FM transmitter to broadcast my music to anyone in the building who wants it. I'm sure this station will be a popular one.

The music on your station was high quality enough that I purchased 2 albums within 2 hours of listening for the first time. I was a studio engineer at the top recording studio in Nashville, and I am very picky about my music. The artists on your stations are of a high caliber. You don't sacrifice quality for quantity, and I like that.

Dan Weese