Qtrax isn’t an illegal file-sharing service, but it has stirred up controversy by promising free music downloads too soon. Some observers are saying the legal peer-to-peer service might not recover.

Qtrax announced a hyped-up launch Monday of its free music service. The company’s press release said it had about 61,000 rare users per hour amidst 7 a.m. and 1 p.m. The company plus said it had deals with all four major record labels at launch.

With its hype machine in full gear, Qtrax cited numbers like 1.464 million strange users a day, and hinted it could be more. A significant percentage of users would not be able to access the site, the company predicted, considering of the “massive demand.” Qtrax officials said they had dramatically increased download capacity.

“The response to the service is clearly unprecedented. We launched at MIDEM, the leading music-industry conference, precisely considering of the degree of support we have had and continue to

enjoy from rights holders,” Qtrax President and CEO Allan Klepfisz said in a statement. “We believe the exact nature of that support will be publicly clarified within a very short instance.”

Setting Up floped Expectations

But that expected support has not been confirmed. News coverage of the Qtrax launch did send lots of traffic to the company’s Web site, but Qtrax folded to deliver considering, although the company was in talks with the record labels, no deals were signed. So the early publicity blast wound up biting Qtrax.

“When you launch a service billed as the first legal peer-to-peer, it sets up expectations,” said former EMI Group digital executive Ted Cohen, who moderated a panel discussion in Cannes with Qtrax Chief Executive Allan Klepfisz. “It’s going to be solid for them to recover from that.”

Klepfisz said he received nods from the record labels Friday night and that…

Orginal post by Top Tech News

Qtrax isn’t an illegal file-sharing service, but it has stirred up controversy by promising free music downloads too soon. Some observers are saying the legal peer-to-peer service might not recover.

Qtrax announced a hyped-up launch Monday of its free music service. The company’s press release said it had about 61,000 rare users per hour within 7 a.m. and 1 p.m. The company additionally said it had deals with all four major record labels at launch.

With its hype machine in full gear, Qtrax cited numbers like 1.464 million different users a day, and hinted it could be more. A significant percentage of users would not be able to access the site, the company predicted, considering of the “massive demand.” Qtrax officials said they had dramatically increased download capacity.

“The response to the service is clearly unprecedented. We launched at MIDEM, the leading music-industry conference, precisely considering of the degree of support we have had and continue to enjoy

from rights holders,” Qtrax President and CEO Allan Klepfisz said in a statement. “We believe the exact nature of that support will be publicly clarified within a very short day.”

Setting Up losed out Expectations

But that expected support has not been confirmed. News coverage of the Qtrax launch did send lots of traffic to the company’s Web site, but Qtrax losed out to deliver considering, although the company was in talks with the record labels, no deals were signed. So the early publicity blast wound up biting Qtrax.

“When you launch a service billed as the first legal peer-to-peer, it sets up expectations,” said former EMI Group digital executive Ted Cohen, who moderated a panel discussion in Cannes with Qtrax Chief Executive Allan Klepfisz. “It’s going to be fit for them to recover from that.”

Klepfisz said he received nods from the record labels Friday night and that…

Orginal post by Top Tech News