The songs are DRM-free, but are downloaded directly to the iPod. The only way for a user to then remove them is to hack the iPod. So while the songs do not contain DRM, the user is effectively barred from consuming the song cross-platform….The digital tracks will be watermarked .aac files. They won’t stop you from transferring the songs to friends iPods, but the service will only allow one licensed copy of that watermarked file to work on Lala at a time.

- TechCrunch

LaLa’s pitch to labels is that hey can offer consumers tracks that can be freely enjoyed almost anywhere - except on your own computer - which you would have used to purchase the tracks.
And like a good number of people you either work in front of a computer for X hours a day and/or use one for entertainment purposes as well. Makes perfect sense.

[You can go to Lala’s site and stream plenty of music - I would just be annoyed not being able to listen to music I purchased on my computer, or say my computer at home where we don’t have internet access].

Telling me after I purchase something how I can use it means, in my eyes, there’s still DRM [there are work arounds to get the music off your iPod] - but why can’t they just accept the way people use music today and take advantage of the opportunities presented there.

They also need to earn $65 a year per customer to make this work.
I predict complete and utter failure.

Hypebot’s coverage - I think I ripped off some of their content but again can’t be bothered to search and see so here’s what they wrote just in case:
LaLa Adds Free Song Streams & Unprotected…
LaLa Update: AAC Files Watermarked
LaLa Update Part 2: “Future Proof” Your Purchase…

Perhaps a purer move away from content protection will level the playing field, but until that happens, sources like Limewire will win every time.

Paul Resnikoff, Editor Digital Music News - DRM-Free*
The above piece provides a nice recap of Lala, Apple’s new DRM free tracks and the issue in general.

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Meanwhile in India….
India has emerged as the first country in the world where digital music sales have outpaced physical music sales… Deccan Herald [via Coolfer]

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