America Online purchases WinAMP maker

Online giant America Online (AOL) announced this week that it would bebuying Sedona, Arizona-based Nullsoft, makers of the popular WinAMP audioplayer, for approximately $80 million. AOL is also purchasing SpinnerNetworks Inc., a streaming audio supplier for about $320 million.

"Combining these leading Internet music brands with the audience reach ofour brands will lift music online to the next level of popularity,"said AOL's Bob Pittman. "We plan to build downloadable music, Internet radioand overall music features into each of our brands, as well as customizethem for the audience and partners of each of our brands."

Nullsoft rose to fame and fortune with its WinAMP audio player, which isdesigned primarily for the controversial MP3 format, a target of recordcompany executives because it can create clean digital copies of prerecordedmusic. But WinAMP has evolved into a sophisticated media player that workswith various audio formats, not just MP3