Music download service Datz has closed down after it was unable to fund payments to record labels.
Datz.com was launched in October 2007 by Oxford-based Comment Retail Services, which offered a configuration service to non-specialist retailers. It provided Datz download vouchers with phones supplied to outlets such as Woolworths, Sainsbury’s, WHSmith and Littlewoods. Datz later provided an unlimited download subscription for £99.99 per year.
At launch it had signed supply agreements with record labels including Universal, Sony BMG, Warner and EMI, enabling customers to choose from over 800,000 tracks. Record label fees measured hundreds of thousands of pounds, all financed by Comment.
Comment went into administration in December 2008 as its main customer Woolworths buckled under debt.
Datz has now lost the rights to music libraries from the record labels, leaving hundreds of customers without any music to download.
Managing director Michael Richardson (pictured) said: “When Comment went into administration, it meant the record labels couldn’t be paid. We struggled on regardless in an attempt to finance these but have ultimately failed.
“For the people that signed up and paid for the service in the last few months – I can only apologise but there’s not much we can do for them I’m afraid.”