Actually, iMeem is a social-networking site built around the legal sharing of music and video, Imeem streams free music to users’ PCs. Founded in 2004, the company was considered a high-flier among the Web 2.0 music services. The site sees 25 million monthly visitors.

Last week, the company announced that their mobile app, the top music app in the Google Android marketplace, added a powerful new feature that lets users stream all of the MP3s they’ve uploaded to the service directly to their phone, for free.

But as CNET reports in their story about Web 2.0 music sites, Imeem is up for sale, has burnt through loads of cash and has struggled to generate income, say sources close to the company. Things were serious enough to prompt Imeem managers last year to ask the major recording companies for price breaks, according to multiple sources familiar with the discussions.

So where does all this leave iMeem?  Supposedly they have enough cash to get through the economic downturn, but they’re not turning a profit, their music download sales have been below projections, and the labels are getting antsy.

The next 6 months will be key for the company.   I hope they make it.  They are one of the few sites I see that could eventually be competition for iTunes.

Are apps a new way to distribute music?  I think definitely yes, because it gives artists a way to provide their fans with extras & customization tools that give added value to their music.

Honestly, I don’t think I can improve upon the DeadMau5 mix, but it’s been a lot of fun re-mixing their music using the basic and easy-to-use mix tools.

This $3 iTunes app is really just the beginning.  Sure, the multimedia potential is impressive; but honestly the community-building possibilities are even more exciting. When iPhone and Android phone users start linking and sharing media with one another in direct ways, these kinds of apps will create dynamic, music-based communities .

Interestingly, it looks like electronic music is leading the way with this technology.  Hip Hop is such a natural for this technology, so I’ll be very interested to see which hip hop artist is the first to release a remixable iphone app.

But with all the chaos, I sense opportunities.

First, who am I? I’m Mark Pritchard, a LA-based TV producer, active in both traditional and new media. In the mid-1990s, I produced 2 indie features: “Psycho Sushi” and “Riding With James Dean“. Currently I produce on-air promos for Fox shows like American Idol and Bones. I’m also active in new media; having produced the comedy news webshow 1TrackMind from June 2006 to August 2007.

Now I’m developing a new music-based project.  I’m combining my love of hip hop, funk, and electronic music with my experience as a TV producer.  Not sure what form the project will take just yet, but stay tuned.

Part of my project research is a long-term (6 to 8 months) study of the music business.  I intend to blog about my research, along with interviewing decision-makers and players in the industry. I hope to give some perspective for those who are trying to make a living in this new era of music.  I’ll be focusing on these 4 subjects:

1. Revenue (income streams every artist should focus on)
2. Marketing (Social marketing is key, everything else is secondary)
3. Management (artists and bands need a management structure, or else fail)
4. Business plans (plan your career like a business, because it is!)

With the music business changing almost daily, it’s a big challenge, but I’m excited about it.  Hope you join me on the journey!<–>