Legit P2P Service in Limbo By Mark Fleischmann January 29, 2008 — Legit P2P? It seems too good to be true. And it is, at least for now. Qtrax missed its debut this week.

The shiny new music service would have used a combination of Gnutella and song fingerprinting to help users find and download music. Instead of refashioning the well-known P2P technology as a paid service, Qtrax would have sold ads instead, sharing the ad revenue with the music industry.

Only problem was, the music industry wasn't ready to go along. Just hours before Qtrax was to have made its debut, Warner issued a statement saying it had not yet signed a deal with the fledgling company. One by one, the other major labels have confirmed to various press outlets that they haven't yet signed on either. Some added they were still negotiating, so there is still hope for Qtrax.

"A colonoscopy is relatively painless in comparison," said Qtrax's CEO of the negotiations, showing the diplomatic acumen that has made his company what it is.

Even if it gets John Hancocks from the majors, Qtrax may still face other hurdles. An anti-piracy outfit that protects the likes of Prince and Van Morrison has said that Qtrax will have to get permission from artists. In some record contracts, the right to authorize downloads remains with the artist.