Warner Music announces Last.fm content deal

By Kate Holton

LONDON (Reuters) - Warner Music Group on Tuesday said it had signed a deal to allow its entire catalog to be played on fast-growing music social network service Last.fm, an innovative site that links music fans to new and old hits.

With more than 15 million active users per month, Last.fm has earned glowing praise for its system which recommends songs by tracking a listener's music-playing habits and automatically linking them to fans with similar tastes.

The deal with Warner, the world's fourth-largest music company, is the first with one of the major labels and the network's co-founder Martin Stiksel said they were in talks with the other three major labels and content holders.

Warner, home to Madonna and Red Hot Chili Peppers, said the deal underscored its commitment to offering consumers unique ways to experience its music.

Stephen Bryan, who looks at business development for Warner Music Group, told Reuters that Last.fm reflected a broader trend that showed the power of community driven services.

"This will help us harness that power for consumers," he said.

Last.fm was launched in 2002 but exploded in popularity in 2005 when it developed a new method for connecting people with music and artists with listeners.

Music fans who sign up at www.last.fm can agree to link their digital media player, such as Apple Inc.'s iTunes for example, to Last.fm's site, which then monitors the choice of music.