Tesco Racks up the Clubcard Points With £10.8m Buyout of We7

By Gary Cutlack on at

The UK supermarket race to go digital has a new leader today, thanks to Tesco buying up established music provider We7 for a whopping great £10.8m.

While rival Sainsbury's has recently launched its own standalone MP3 store, this move by Tesco is much more aggressive. We7's very well established and already has a great presence online and inside many smartphones via some excellent apps, although it's never actually made a profit from its streaming, free-to-listen, advertising-based business model.

Perhaps now it has the massed power of the Tesco advertising network and its wealthy corporate clients onboard, it'll start making money for its new bosses via endless washing powder ads. [Guardian]