Music streaming site Imeem will reportedly acquire Snocap, the digital music-licensing site co-founded by Shawn Fanning of Napster. TechCrunch reports the deal will be finalized this week, citing an unnamed source.

Snocap launched in 2002 in an attempt to legitimize P2P file-sharing by fingerprinting songs to track how many times it is streamed by a site, that can then pay a share of its advertising revenues to labels. Snocap secured $10 million in funding at launch and scored a deal with MySpace but failed to catch on beyond that. In October, the company laid off more than half of its staff.

Imeem uses Snocap's fingerprinting technology.