Predominantly known for physical retail HMV is planning to follow the DRM-free route in conjunction with EMI, much like a certain digital music stor called iTunes. The wrinkle HMV is adding to the mix is a higher encode rate for MP3s of 328Kbps.

HMV is planning a September launch and wants to have 20% of its income through digital in the next 3 years. It already has digital partnerships with mobile carrier 3 as well as with label Universal Music.

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