SanDisk Buys MusicGremlin

Memory and media player maker SanDisk has bought MusicGremlin to bolster its audio/video product development.

Storage and media player maker SanDisk announced today it has acquired the privately-held media player maker MusicGremlin for an undisclosed amount. SanDisk plans to leverage MusicGremlin’s technologies and digital distribution to bolster its own line of Sansa media players.

“SanDisk and MusicGremlin share a core passion for granting consumers easy access to digital content,” said MusicGremlin co-CEO Robert Khedouri, in a statement. “We’re very pleased that MusicGremlin technologies will soon contribute to a new generation of Sansa products and services.”

MusicGremlin e made a splash back in late 2005 and mid-2006 with Wi-Fi enabled music players, with the capability to browse a content library of over 2 million songs from both independent and major labels. Users could browse the library on their local MusicGremlin device, and buy tracks for $0.99. The MusicGremlin also offered a $15/month all-you-can-eat music streaming service, and the ability to share libraries and tracks wirelessly with other MusicGremlin owners.

SanDisk’s interest in MusicGremlin seems to be in its content distribution system and (possibly) its streaming music platform rather than its Wi-Fi capabilities—somewhat ironic since SanDisk just shut down its Fanfare video download service…and virtually no one noticed.