Los Angeles - At least six independent record labels plan to entirely remove or else limit their catalogs on digital music subscription service eMusic, taking exception to the service's pricing model, Billboard reported.

Label representatives told Billboard they believe eMusic is trying to inflate its subscriber base to become more attractive to potential buyers, while failing to raise its prices in turn.

Three of the labels identified by Billboard were among eMusic's top 60 labels.

"We've been partners with eMusic since the very beginning, and it is a great way for our customers to discover music," the head of one eMusic partner label told Billboard.

"I hope they can make it a better value proposition for the labels. But if they don't, we are planning on pulling out."

Some labels have taken issue with eMusic's new "Connoisseur" subscription tier, which offers 300 downloads a month at a price of about 25 cents each.

"From the point of view of the label, the profit margin is greatly constricted, and it's a concern to anyone selling records," Rian Murphy, head of digital sales at Drag City Records -- which plans to stay with eMusic -- told Billboard.

"They would be better off being more equitable, or they will probably lose some labels."

Related Links:
http://news.yahoo.com/s/nm/20070505/wr_nm/emusic_dc_1 (Billboard)

http://www.emusic.com