A new Web site that aims to transform music industry economics is set to go live on Thursday, giving musicians a major cut of the proceeds while largely freezing out record labels and other intermediaries.

Lala.com, which allows fans to trade music discs for just $1, plus shipping, pledges to give a fifth of its sales to all the musicians, including lesser known session studio players, involved in the making of CDs exchanged on its site.

Source: Reuters