Loudeye Powers Its First Music Download Store in South Africa

Loudeye Powers Its First Music Download Store in South Africa
Leading South African Retailer Musica Chooses Loudeye's OD2 Services to Launch
Privately Branded Music Store 


SEATTLE, Dec. 13  /PRNewswire-FirstCall/ -- Loudeye Corp. (NASDAQ:LOUD), a
worldwide leader in business-to-business digital media solutions, today
announced the expansion of its OD2 services into South Africa through the
launch of a music store for leading retailer Musica. The music store, which
will be available at http://www.musica.co.za/, marks the first digital music
download store powered by Loudeye's OD2 services in South Africa, and the 20th
country where Loudeye provides digital music services.

The deal allows Musica to enhance its online presence through the addition of a
custom-branded digital music store to its existing online retail Website. The
site will be updated with new releases, allowing consumers to access the most
contemporary music available.  Musica is also planning to focus on local talent
by working with local record companies to educate them about the benefits of
legal digitized music as a means to generate extra revenue and promote their
brand to a wider audience.

"The international download market is growing apace and as South Africa's
largest retailer, Musica had to be the first to offer a download service here,"
said Colin Robb, Musica MD. "Our customers would expect us to offer the service
and, as they already know and trust our brand, we're confident that they'll
feel safe and comfortable buying music online through the Musica website."

"This is an exciting new territory for OD2 to be moving into, especially as
there is no current digital music supplier in the country," said Philip
Shepherd, OD2's business development manager.  "It was an obvious choice to
collaborate with Musica as they are the largest music retailer in South Africa
and the ideal partner for educating the market about the benefits of digital
music."

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 music archive 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 http://www.loudeye.com/.

Forward-Looking Statements

This release contains forward-looking information within the meaning of the
Private Securities Litigation Reform Act of 1995. These statements are based on
current estimates and actual results may differ materially due to risks,
including adverse changes in the market for distribution of digital music that
Loudeye's OD2 services target, in particular in new markets; potential delays
in store launch; loss of digital distribution rights from any major label;
adverse or uncertain legal developments with respect to copyrights surrounding
the creation and distribution of digital content; pricing pressures and other
activities by competitors; lack of market acceptance for Loudeye's and its OD2
products and services; 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 http://www.sec.gov/ . Loudeye assumes no obligation
to update the forward-looking statements. 

DATASOURCE: Loudeye Corp.



CONTACT:  media, Karen DeMarco,  or Yasmeen Coning,

, both of mPRm Public Relations, [phone], for

Loudeye Corp.; or in Europe, Simon Hill of Trimedia Communications UK,

[phone] or [phone], or , for

Loudeye; or investors, Michael Dougherty of Loudeye Corp., [phone], or





Web site:  http://www.musica.co.za/ 

Web site:  http://www.loudeye.com/ 

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