NAPS: NAPSTER ADDS 48,000 SUBSCRIBERS DURING ITS THIRD QUARTER AND WILL EXCEED REVENUE ESTIMATES

Napster™ (Nasdaq: NAPS), today announced that it expects to report results that are ahead of the Company's prior guidance for the third fiscal quarter ended December 31, 2006. When Napster releases financial results on February 8, 2007, it anticipates reporting more than $28 million in revenue and 566,000 paid worldwide subscribers, including university and Napster Japan subscribers. In addition, Napster reported that its subscribers downloaded 500 million songs and over 700 million music streams in calendar 2006.

“We are pleased that fiscal third quarter results are expected to be ahead of guidance, highlighted by a healthy subscriber increase of approximately 48,000 additions during the period, solid international growth on the heels of the Napster Japan launch and continued expense management,” said Chris Gorog, Napster's chairman and CEO. “Napster has significantly improved its strategic position over the past twelve months, with a global footprint now including the top four music markets in the world and a robust mobile offering spanning multiple geographies and support from global operators including Cingular and DoCoMo, two of the world's largest wireless carriers. We look forward to providing further financial and operational updates on our regular quarterly conference call.”

The Company also announced today that it has partnered with Virgin Digital to exclusively market Napster to Virgin Digital's customers in the U.S. currently using Virgin's paid music subscription service and paid and free Internet radio products.

Conference Call Information

Napster will host a conference call for analysts and investors at 2:00 p.m. PT (5:00 p.m. ET) on Thursday, February 8, 2007. Participating on the call will be CEO Chris Gorog and CFO Nand Gangwani. To participate on the live call, analysts and investors should dial 800-218-0713 at least ten minutes prior to the call. To participate on the live call from outside the U.S., dial 303-262-2125. Napster will also host a live web cast of the conference call at the "Investor Relations" section of the company's Web site (http://investor.napster.com ). A telephonic replay will also be available for 48 hours following the call by dialing 800-405-2236 and entering passcode 11080708#.