Anthony Bay, chairman and CEO of MOD Systems, shows off his company’s digital kiosks at CES.
By : Chris Tribbey | Posted: 11 Jan 2010
LAS VEGAS — For NCR Corp. and MOD Systems, movies were just the beginning.
The pioneers of digital movie kiosks launched a new kiosk Jan. 11 that offers 5 million DRM-free MP3 downloads to SD cards, USB drives, and even directly to portable music players.
“We’re going to roll this out very widely in 2010,” said Anthony Bay, chairman and CEO of MOD Systems, during the International Consumer Electronics Show in Las Vegas. “We’ll be putting these out faster than we did the movie kiosks.”
He said the companies are looking at high-traffic areas to place the music kiosks, like airports, convenience stores and supermarkets, in addition to media retailers.
“The rate of decline in CD sales is consistent with diminishing retail shelf space for music, which drives consumers to look online for music purchases and takes retailers out of the digital music growth opportunity,” Bay said about the market for the kiosk technology.
In a demo of the system, three full music albums, ranging in pricing from around $10 to $15, were downloaded to a small MP3 player. An easy-to-use touch screen allows for easy browsing, searching and selecting. After making their choices, users swipe a credit card, and the download takes just a few minutes.
“Retail remains the top source of entertainment sales, yet retailers and content owners have not been able to take advantage of digital downloads,” said Alex Camara, VP and GM of NCR Entertainment. “NCR and MOD are first to offer retailers millions of the most popular songs in a compact kiosk footprint, a critical product offering as they look for ways to maximize shelf space and add the latest music to their stock.”
Several major music labels and independents have signed up for the service, according to MOD Systems.