Roxio-owned Napster announced today (Feb. 23) that it has sold more than 5 million downloads for its PC-based service. Napster, which launched in its current form in October 2003, says it expects to generate at least $20 million in music sales in its first year of operation. Earlier this month, Roxio reported third-quarter sales for Napster of $3.6 million, representing its first two months of operations.
Napster produces revenue from single and album downloads, as well as pre-paid download cards, subscription services and brand licensing.
Additionally, Napster says it is in negotiations with a number of universities to bring its digital service to students. The company has already inked deals with Penn State University and the University of Rochester. Napster has also struck partnerships with Samsung and Miller Brewing, and sells branded-products through Target.
