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Loudeye Corp.

O2 Germany Launches Mobile Music Store Powered by Nokia and Loudeye

Seattle and Espoo, Finland (ots/PRNewswire)

- O2 Music Store Enables Full Song Music Downloads Over Mobile
Networks
Loudeye Corp. (Nasdaq: LOUD), a worldwide leader in
business-to-business digital media solutions, together with O2
Germany and Nokia (NYSE: NOK), today announced the official launch of
the O2 Germany Music Store. Built on the Nokia and Loudeye mobile
music platform, the O2 Germany Music Store allows users to browse,
search, sample, and download full-length songs directly to their
mobile device as well as their PC. The store can be viewed at:
www.o2music.de.
With more than 8 million subscribers, O2 Germany, which is part of
the European O2 Group, is one of the fastest growing mobile operators
in Germany and the first operator to deploy the mobile music solution
from Loudeye and Nokia. Earlier this year, Loudeye and Nokia teamed
to deliver a mobile music solution for operators and other mobile
companies to launch customized mobile music services under their own
brand. The platform developed by the two companies provides a
compelling model for consumer music downloading via mobile networks,
by enabling simultaneous full song downloads both to a PC where it is
stored in a locker for download at a later time and instantly over
the air to consumer's mobile device.
"Nearly everyone loves music of some kind, and mobile phones and
carrier networks are perhaps the most important emerging channel for
music as these services can be so personalized, easy to use and
ubiquitous. Carrier-branded music storefronts allow operators to stay
'cool' in the eyes of their customers, generate additional revenues
and reduce churn.  Music and mobile  phones now go hand in hand --
literally -- and once customers start getting  their favorite songs
delivered over the air they may never look the same way  at their
phones again," according to Senior Analyst Lewis Ward of IDC, a
leading provider of global IT research and advice.
The O2 Germany Music Store uses a unique dual-delivery model
allowing users to browse, search, listen, and download full-length
songs over-the-air to their mobile device as well as to a personal
computer. The service supports progressive playback that enables
consumers to listen to the song while it is downloading. Music
purchases are billed directly to a user's existing O2 Germany monthly
statement. Additionally, customers can use their personal computer to
access the O2 music shop via the Internet and download songs to their
PC.
"The launch of the O2 Germany music store defines a new era in the
rich media experiences consumers can now expect on their mobile
handset," said Lutz Schuler, member of the board of O2 Germany.
"We've unlocked new potential in the mobile music marketplace and
combined that with a PC experience that helps consumers access their
music collection in a variety of different ways according to their
personal preferences. Nokia and Loudeye have been critical partners
in developing the cutting edge features and functionality that set
this store apart from anything else in the industry and we look
forward to its introduction today into the German marketplace."
O2 Germany also offers a mobile music search and recognition
service called "Spy & Buy," which allows customers to discover the
name of the artist or song playing on the radio simply by holding
their handset to the music. The Music Store announced today will be
seamlessly integrated within the "Spy & Buy" service to link the song
recognition with the music store, making it a near instant experience
for consumers to identify and purchase a song all from the device.
"Mobile music is becoming an essential service for mobile
operators to offer to their customers and we are pleased to be
working with Loudeye to deliver an innovative mobile music solution
for O2 Germany," said Jonas Geust, Vice President, Music at Nokia.
"This service gives consumers access to their music anytime and
anywhere."
"Earlier this year we announced, together with Nokia, that we
would create mobile music services that enable consumers to access
media on their handset. Through the launch of the O2 Germany store
today, we have delivered on that promise," said Mike Brochu,
Loudeye's president and chief executive officer. "We are at a key
inflection point in the industry. Handsets can support rich media
content on a more widespread level with a compelling user interface
and 3G networks are proliferating across Europe and Asia capable of
delivering media at high rates. Today we are launching our first live
and at scale, fully functional music store that can be deployed in
this environment and leverages these key industry trends."
About Loudeye Corp.
Loudeye is a worldwide leader in business-to-business digital
media solutions and the outsourcing provider of choice for companies
looking to maximize the return on their digital media investment.
Loudeye combines innovative products and services with the world's
largest digital music archive, a broad catalog of licensed digital
music and the industry's leading digital media infrastructure
enabling partners to rapidly and cost effectively launch complete,
customized digital media stores and services. For more information,
visit www.loudeye.com.
O2 (Germany) GmbH & Co. OHG, a subsidiary of O2 plc, offers its
post-pay and pre-pay customers almost blanket GSM-coverage through
the own mobile communications network and a roaming agreement with
T-Mobile. Moreover the company provides innovative mobile data
services on the basis of GPRS and UMTS technology. O2 plc has 24.6
million customers in the UK, Ireland and Germany.
http://www.o2.com/de .
About Nokia
Nokia is a world leader in mobile communications, driving the
growth and sustainability of the broader mobility industry. Nokia
connects people to each other and the information that matters to
them with easy-to-use and innovative products like mobile phones,
devices and solutions for imaging, games, media and businesses. Nokia
provides equipment, solutions and services for network operators and
corporations. www.nokia.com.
Forward Looking Statements
This release contains forward-looking information within the
meaning of the Private Securities Litigation Reform Act of 1995. The
forward-looking statements in this release are based on current
estimates and Loudeye's actual results may differ materially due to
risks, including challenges of new technologies such as over-the air
and dual-delivery of content; possible adverse changes in the market
for distribution of digital audio and video; adverse or uncertain
legal developments with respect to copyrights surrounding the
creation and distribution of digital content; pricing pressures and
other activities by our competitors; failure of Loudeye's hosting
infrastructure; any problems or failures in the structure,
complexities or redundancies of Loudeye's network infrastructure;
failures in third party telecommunication and network providers to
provide required transmission capacity; lack of market acceptance for
Loudeye's products and services; the possible delay in the adoption
of digital media or related applications on the web in general; and
other risks set forth in Loudeye's most recent Form 10-Q, Form 10-K
and other SEC filings which are available through EDGAR at
www.sec.gov. These are among the primary risks we foresee at the
present time. Loudeye assumes no obligation to update the
forward-looking statements.
/Web site:  http://www.nokia.com /
    /Web site:  http://www.o2.com/de /
    /Web site:  http://www.loudeye.com /

Contact:

Karen DeMarco of mPRm Public Relations, +1-323-933-3399, or
kdemarco@mprm.com, for Loudeye Corp.; or Chris Owen of Trimedia
Communications UK, +44-(0)-2070-471-6851, or +44- (0)-7787-122-800,
or chris.owen@trimediauk.com for Loudeye Corp.; or Michael Dougherty,
Investor Relations of Loudeye Corp., +1-206-832-4000, or
ir@loudeye.com; or Roland Kuntze of O2 Germany, +089-24-42-12-14 or
fax, +089-24-42-12-18, or roland.kuntze@o2.com; or Nokia
Communications, +358-7180-34900, or Multimedia Communications,
+358-7180-45667 of Nokia

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