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Altnet, a new file-sharing system, will allow users to trade music and video files that are coded with digital rights management (DRM) technology. The technology will allow artists to limit distribution of their work and collect fees before a song is played. Matthew Berk, an analyst at Jupiter Media Metrix said, “There is clearly a demand for file swapping…Whether or not if you lay on top of it a DRM system people will be keen on using it is another question.” Altnet has formed a partnership with KaZaA where they will distribute their search software with a new version of KaZaA software. When a user searches for a song on KaZaA, the Altnet tool will look for files on both the Altnet and KaZaA networks. Altnet is currently developing a version of its tool for Linux computers and is exploring partnerships with other companies.

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