News

Best Buy neglects to follow own name, buys Napster

12:19 p.m. · September 15, 2008 · by Andrew Winistorfer

Despite it’s countless recentwoes, Best Buy has agreed to purchase Napster for $121 million, or $2.65 a share. Napster shareholders are really taking this one on the chin: Napster was trading at above three dollars a share less than a year ago. Best Buy says it will keep Napster’s staff intact, including CEO Chris Gorog.

It’s a curious purchase for Best Buy, considering they move more music in CD form than Napster does in MP3’s, but apparently Best Buy is sick of selling iPods that get filled with music away from its pocketbook, and want to get a little piece of the digital music action. [Alley Insider]