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Napster says it's still healthy

Culture

Rumors of layoffs and instability at the Napster digital music service have been rolling around the Net over the past few days. For the record, the company says a change in strategy that will push customers to its Napster.com site has resulted in "approximately ten middle management redundancies world-wide." No other reductions are contemplated, the company added in a statement.

Fair enough. The company has shown respectable growth over the last year, doubling its revenue, and reaching half a million subscribers. But with a digital music market getting more crowded by the minute, and still dominated by Apple, the company is very far from being out of the financial woods.

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