File it under half-baked.

Qtrax, the latest Internet service that aims to roil/save the music industry by offering music sharing for free on an advertising-supported basis, ran into snags even before launching, according to Silicon Alley Insider and other reports.

Stories about the Monday launch of the file-sharing service hit the wires and newspapers on Sunday. But before the day was out, the denials started coming in. Did Qtrax neglect to mention it has yet to actually land deals with Universal Music Group and Warner Music? The LA Times also reported Qtrax didn’t have a deal with EMI either. The jury’s still out on Sony BMG, as they haven’t returned reporters calls yet.

Qtrax execs tell the LA Times deals have already “been made.” An unnamed Universal source is telling reporters they are “close” to coming to terms. Warner is flat out denying there’s a deal.

Couldn’t this announcement have been made a week later? Bizarre media strategy for a media company.
(Silicon Alley Insider) (LATimes)

Keep an eye on:

• Just a few weeks after Warner Bros threw its support behind Sony’s Blu-ray next generation DVD format, NPD is already reporting soaring sales of Blu-ray players, while HD-DVD player sales plummet. (PC World)
• New York Times faces another attack from shareholders. This time it’s Harbinger Capital Partners and Firebrand Partners, who seek to boost its stake in the company. (paidContent)
• Gawker’s Nick Denton refuses to take down a Church of Scientology internal video of Tom Cruise rhapsodizing about his religion. (NY Times)
• Sony Ericsson cuts deal with 10 music labels to add content to its PlayNow mobile music service. (Reuters)